Cash Gifting is it for real?
You may have noticed lately that Cash gifting has become very popular on the Internet. Cash gifting is not new and it is not a business. It is a money making concept only. The concept is that you pay your sponsor to join and then passed up your first and sometimes second enrollee and then after that you get to keep all the money yourself.
Now that you’ve passed up 2 enrollees you can supposedly start making all the money. As I will discuss later this is where most people fail.
Earlier and mentioned that this is not a business the reason I said that is there is no transaction here. There is no buying and selling of goods there is just the promise of more money down the road. Just to set the record straight I joined two of these programs to get the inside scoop. I did not join them to promote but to research.
I found it strange that one of the first things I learned about cash gifting after joining was that they had it entire list of words are you weren’t allowed to use. Now these were just average words that she would use in a regular business setting such that is income, self-employed, business, profit.
Now that brings me the next question is it legal?
I will say that I don’t believe it is illegal but it definitely in a gray area. It has nothing to do with Pyramid scams or Ponzi schemes but it is not a real business there is no transfer of products. One of my biggest beefs about this program is that if you are going to build something and really spend your time working at it you should spend your time building something real.
The real problem with cash gifting is their compensation plan.
Most Cash gifting programs are based on the one up or two up plan. This means that you give your sponsor your first and maybe your second sign up. Now this is what Cash gifting pitches as the power of their system because as you enroll people then they have to give you their first or second sign up. But this is exactly where they fail. Why does what they pitch as the power of their system cause them to fail?
Because as soon as you sign up one or two people and you are no longer making your sponsor any money you are immediately their competition. Anyone you sign up is somebody they didn’t. How much support after you sign up your first two people do you think you’re going to get when you’re in direct competition with your sponsor?
This is where it all falls apart unless you are a marketing guru. You will probaly be left alone way to early. Simple because you are no longer make your sponsor any money.
Not that this has anything to do with cash gifting but one of the organizations I joined to research provided some basic marketing information and one of the companies they told you to contact for marketing was under investigation by the feds.
Filed under: Home Based Business