Multi-level marketing (MLM) businesses, or pyramid schemes, work on the idea that individuals will buy and sell a product in bulk through their social networks. The strategy is known as a scheme because it is very rare that those involved in such a business actually save or make money, though many MLM businesses hold out the idea that they can. MLM businesses also frequently scam those who get involved, and according to the FTC, 99% of those who get in on an MLM business will lose money.