Fighting Fraud
By Better Business Bureau Serving Greater Cleveland
The prospect of earning extra cash from home has long been enticing for many area consumers whose social media accounts may be full of feeds from friends and family plugging products and services from work-from-home companies. Some of these companies may be “multi-level marketing” (MLM) schemes or posts from affiliate marketers, but a new trend has emerged. Local consumers may soon see Master Resale Rights (MRR) on their social feeds.
What are Master Resale Rights? Master Resell Rights allow potential small business owners to resell the rights of a product or digital information to others. Some businesses may call MRRs by more palatable names such as “blueprint,” “plan,” or “course.” MRRs are sometimes confused with Private Label Rights (PLRs). PLRs allow business owners or buy digital marketing content, such as white papers, reports, and e-books, and rebrand it for personal or commercial use. The key difference between these two types of rights is that MRRs allow buyers to resell to other consumers who can then also resell these rights. This can’t be done with PLRs.
With so many different marketing terms, small business owners may be confused about what is a legitimate business opportunity and what may be a poor choice. Before consumers opt to purchase MRRs, consumers should carefully vet any work-from-home opportunity that promises income. BBB provides the following tips for consumers:
- What Will You Be Selling? Find out what you will be selling and compare prices and quality with other products and services. Make sure that any marketing materials you will be using are truthful and that there is evidence to support claims about the products.
- Learn About The Company. Look into the seller’s track record and reputation. Look for a business review and complaints at bbb.org. Do an internet search with the name of the company and words like scam or complaint. You can also search for news articles related to the company.
- Understand Contracts. Make sure you are clear on the terms and conditions of the rights usage. Get all information in writing.
- Ask Questions. Ask the seller things like: How long have you been in the business? How much money did you make last year? What were your expenses last year? How much product did you sell to customers?
Consumers can file a complaint at BBB.org/Complaint. Have additional questions? Reach out to your BBB at 216-241-7678 or [email protected]. Have a scam to report? Report it to BBB.org/ScamTracker.
