Multi-level marketing (MLM) is a controversial business model that relies on recruiting a network of distributors who sell products directly to consumers. Participants earn money both from their own sales and from commissions on sales made by people they recruit. MLMs are often criticized for their similarity to illegal pyramid schemes, though defenders argue they are legitimate businesses.
The Bible does not directly address multi-level marketing. However, it provides principles that can guide Christians in evaluating any business practice. Here are several relevant biblical themes to consider regarding MLMs:
Avoiding greed and idolatry of money
The Bible warns against greed and loving money too much. Passages like Ecclesiastes 5:10 say, “Whoever loves money never has enough; whoever loves wealth is never satisfied with their income.” 1 Timothy 6:10 is stark, stating that the love of money is the root of all kinds of evil.
This is relevant because greed and pressure for recruits to buy products are two major complaints about some MLMs. Christians should cautiously examine if an MLM relies on appealing to people’s greed or lust for wealth. Any hint of idolizing money over God is problematic.
Honesty and transparency
Several Bible verses speak about being honest in business. Proverbs 11:1 says “The Lord detests dishonest scales, but accurate weights find favor with him.” Zephaniah 3:13 praises those who “do not tell lies or deceive one another.” Any MLM should be evaluated on whether it is transparent about the average income most make and the difficulty of recruiting downlines. Anything misleading could violate biblical standards.
Avoiding exploitation
Multiple Bible verses speak against exploiting others. Ezekiel 22:29 condemns those who “mistreat the foreigner and exploit the poor.” Amos 5:11 says woe to “you who impose heavy rent on the poor and exact taxes on their grain.” Any MLM needs to be evaluated on whether its model tends to profit from those struggling financially by appealing to their hopes of earning income. If so, it may conflict with biblical warnings against exploitation.
Working diligently
The Bible frequently encourages diligent work and warns against laziness. 2 Thessalonians 3:10 says “The one who is unwilling to work shall not eat.” Proverbs 14:23 warns that “All hard work brings a profit, but mere talk leads only to poverty.” Any MLM should be evaluated on whether it emphasizes diligent work rather than quick riches, as the Bible promotes earning money through labor.
Avoiding quarrels and dissension
Philippians 2:14 instructs believers to “Do everything without grumbling or arguing.” 1 Corinthians 1:10 says “I appeal to you…that all of you agree with one another in what you say and that there be no divisions among you.” One common complaint about MLMs is damaged relationships due to recruitment pressuring. Any tendency to disrupt Christian unity would be a negative sign.
Seeking wisdom and discernment
The Bible frequently speaks about seeking wisdom and discernment. Proverbs 2:6 says “For the Lord gives wisdom; from his mouth come knowledge and understanding.” Philippians 1:9 asks for believers to be filled with “knowledge and depth of insight.” Carefully evaluating an MLM using biblical principles requires prayerful wisdom and discernment.
Avoiding associations with sin or deception
2 Corinthians 6:14 asks “what fellowship can light have with darkness?” 1 Thessalonians 5:22 says to “reject every kind of evil.” Some MLMs have been sued for illegal practices. Christians should be cautious about associating too closely with companies who have reputations for unethical behavior, lest it reflect badly on their witness. Discernment is required.
Focusing on eternal rewards over earthly ones
Matthew 6:19-21 encourages setting hearts on heavenly treasures rather than earthly wealth. MLMs often promise lavish lifestyles and riches. But Christians should evaluate how an MLM’s culture measures up against calls in Scripture to focus less on material gain and more on eternal rewards.
Responsible stewardship and using talents
The Parable of the Talents in Matthew 25:14-30 teaches God wants people to use their skills responsibly and productively. Christians who feel they have talents suited for sales and networking may see MLMs as opportunities to be good stewards. But the emphasis should be on diligent and ethical use of talents, more than schemes for getting rich.
Generosity and caring for others
The Bible frequently encourages generosity. 2 Corinthians 9:7says “God loves a cheerful giver.” Acts 20:35 records “it is more blessed to give than receive.” Any Christian in an MLM should prayerfully evaluate if the business encourages generosity and caring for others over mere personal profit. Any lack of emphasis on helping others should be viewed with caution.
Obeying governing authorities
Romans 13:1 says “Let everyone be subject to the governing authorities.” Christians should ensure any MLM they participate in complies with government laws and regulations, paying all required taxes. Any violations or legal gray areas should be warning signs, since Scripture instructs obeying lawful authorities.
Inclusive community
Galatians 3:28 says “There is neither Jew nor Gentile, neither slave nor free, nor is there male and female, for you are all one in Christ Jesus.” An MLM culture should be evaluated on whether it promotes an inclusive community that crosses divides, rather than pressuring outgroups. Anything that works against Christian unity should be regarded cautiously.
Balance of family over work
Ephesians 5:21-6:4 provides guidance on family relationships, instructing parents not to exasperate children but bring them up in the Lord’s ways. Since MLMs require significant time investments, Christians should evaluate if any opportunity allows reasonable work-life balance, rather than becoming all-consuming at the expense of family time.
Protecting reputation and witness
1 Timothy 3:7 warns that church overseers should have a good reputation and not be open to condemnation. Anything that could potentially tarnish a believer’s witness should be approached with wisdom. Christians in MLMs need to prayerfully consider if recruitment methods reflect well on their character or if overly aggressive techniques could harm their witness.
Seeking wise counsel
Proverbs 1:5 recommends letting the wise listen and add to their learning. Proverbs 15:22 says “Plans fail for lack of counsel, but with many advisers they succeed.” Christians considering an MLM opportunity should seek wise counsel, especially from church leaders and mature believers, rather than making decisions alone. Input should be considered carefully and prayerfully.
In summary, here are some key principles for Christians to consider regarding multi-level marketing, based on relevant biblical themes:
– Avoid greed and idolatry of money
– Emphasize honesty, transparency and integrity
– Be wary of exploiting others
– Encourage diligent work over quick riches
– Avoid disrupting Christian unity through divisive recruitment
– Seek wisdom and discernment through prayer
– Avoid associations with sin or deception
– Focus on eternal rewards over earthly ones
– Use talents responsibly and productively
– Promote generosity and caring for others
– Comply with governing authorities
– Foster an inclusive community
– Maintain reasonable work-life balance
– Protect reputation and Christian witness
– Seek wise counsel before joining
The Bible does not prohibit all multi-level marketing outright. However, given many concerns, Christians should be very cautious and evaluate any MLM opportunity extensively against these biblical principles. Any red flags may indicate an MLM that is best avoided. Wisdom, prayer, counsel, and staying sensitive to Scripture’s guidance are essential for deciding if participation in any particular MLM is ethical and beneficial.