Pre-Paid Legal is a company formed in 1972 by Harland C. Stonecipher. After a motor vehicle accident in the late 1960's that left him hospitalized, the other driver filed suit against him. Although the accident wasn't his fault, he lost his life savings paying for a lawyer to defend him. This is how the idea for Pre-Paid Legal was born.

Fast forward a few decades, and the company has seen its fair share of legal issues and a run at the rumor mill. Some claim that the whole thing is a scam, and others say that there exists a Pre-Paid Legal ripoff.

How can new network marketers know what to believe? Is the whole thing a scam, or a legitimate way to make money? Ultimately, it's up to each individual to decide for themselves. But it's important to take a close look at the company and their reputation before joining (or not joining) an opportunity like this.

The Good News About the Pre-Paid Legal Ripoff

Forbes has listed the company in its "200 Best Small Companies" list for three consecutive years in the late 2000's. The company serves over 1.4 million households in North America, and has provided residual income for thousands of representatives since its founding in 1972. While legal issues have cropped up over the years, there have been both wins, losses, and settlements. Ultimately, the company has complied with court rulings to make its business better.

The Bad News About the Pre-Paid Legal Ripoff

Unfortunately, the company is currently seeing some issues with its shareholders and a recent merger with MidOcean Partners, a private equity firm based in New York. However, the investigation has not had an effect on representatives or the clients served. Other issues include simple rumors at the gossip mill. The unfortunate truth is that there are a lot of people who join in on opportunities like this, and end up failing for a few reasons. They rely heavily on their friends and family to be their best customers and downlines, and give up after frustrations of not making it big.

The Truth About Pre-Paid Legal

But ultimately, the opportunity is a perfectly legal one, and one that reps can make money from, at that. But it does require some knowledge about the industry, and that isn't something that can simply be learned overnight.

It's important for new reps to understand how to generate warm leads to add into their downlines. And learn about SEO and driving traffic to a great opt-in site. It's also crucial to understand how to use the web and the telephone to attract more people to your opportunity.

These are all things that can be learned, with a bit of help from experts who have been there before.

To learn more about building a successful business with Pre-Paid Legal, check out Pre-Paid Legal Wealth.

About the Author:
Joshua Fuson is a professional marketer, and has participated in the generation of over $14 million dollars in the direct-marketing industry in the past 4 years alone. To find out more about Josh, click here.