In one of our former issues we wrote of different types of pyramids, MLM and Ponzi in particular, besides we analyzed the correlation of short-term and long-term programs. However, now we`d like to supplement the conclusions with the final chord, devoting all the article to “long-term” programs, explaining the principles of their work, and the main thing is how to define them.

“Defining” is certainly rather doubtful statement, the more so as not all the programs can be exclusively referred to this or that type. Everything is very doubtful and unreliable, to rely upon with 100% confidence, though investor working experience and feeling can show who is who and You really can rely upon it.

First of all let`s decide what programs can claim to be called long-term ones, on the simple reason – the payback time won`t be earlier. Pyramids – is the first thing that comes to mind, and it`s absolutely right. Pyramids, by definition, are high yield programs with the long age.

Of course we are talking about right, competent pyramids, not about using this principle with the purpose of fast enrichment. Nothing prevents You from immediate losing, though these are exceptional cases; so – here are the basic distinctions.

The first one – the terms declared by programs. The programs, counting upon short-term are originally striving for investing maximum money from the part of investors for the maximum term. That`s the main term. They just can`t stay longer and intensify their work, just like a snowball.

200% per 2 weeks, some sort of plans, saying the terms “week”, “day” etc. (that is the boundary term You can withdraw the money) are the character features of short-term programs. And the site, of course. Their site can`t be good. Either the engine is free, or it`s the clone of any other site.

Of course, one can earn here as well… but we`ll speak about this in our article about short-term programs. Though You should remember, the interest offered is insane. Is it worth investing?

The terms offered in pyramids are more prolonged. Here we are not talking about pure scam. Different investors work different, and these programs are really aimed at more qualitative work (to be exact – more qualitative build-up of a pyramid). That`s why look – a month or two mean something.

You can find this information not only in plans. If they have been working for a month already, though they are having good potential, being a definite pyramid, You can try it. If the term allows taking a risk – try it. If everything is good, in a month already You will be able to recompense Your deposit, getting solid per cent. Besides, You can get additional bonuses from referrals.

Of course one more important thing is… the site. Yes. The site in the Internet is like an office, the face of a program. Pay attention to its quality, design, the way their content is organized, what technologies are in use. One more thing of no small importance, we were not mentioning yet, is… banal SECURITY.

Serious program takes care of this, cause modern technologies allow not just blocking the work of the site, but also… stealing money, and destroying anything violator wants. The site, designed manually, bought, is a claim for SECURITY.

That`s why, taking into account the fact whether the site is designed manually or You received it for free, You can not just rate the “paying capacity” of a program, You also rate the way, authorities can keep Your money. And…; can they do it at all.

Pay attention to entering passwords, to the connection with the site. Of course, the best variant is a private program, or the one, working through the system of offers, though it can just be nominal means to control popularity.

And low percent of course. Programs that are going to work for a long time (pyramids in particular) don`t declare any kind of high interest rate in their offers because they have nowhere to “run”, and if the business is real – then double income means double danger.

If everything is OK, but You understand – these guys are not working on the market, You deal with a long-term pyramid. It`s possible to earn with them – go ahead! The main thing – as You already know – is to be as much watchful as it`s possible.
Good luck!

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hile choosing a program you should stick to following rules.

Rule Number 1
Never put all your money into one small program, regardless of how good it looks, or how great you have been told the program is, especially if the only means of communication with them is via anonymous email. These programs will usually have a free website from Homestead, Tri-pod, Geo-Cities, etc., if thy do have the site. This goes for almost all of the frauds, but can also apply to very professional looking websites ,giving you virtually no contact point information. If you intend to invest a large sum, then you should always make sure that the program in question offers some sort of capital security. In this case, you should also try to arrange a te^te-a`-te^te meeting with the principals. If you have an up line sponsor, ask them if they have this information.

Rule Number 2
Carry out as much due diligence as possible on that particular program. If you are coming in with $1 million, you will be able to satisfy yourself about legitimacy with irrefutable proof, because you will be dealing directly with the principals. Usually an investor with $100,000 can secure a program utilizing a sole signatory account, through an offshore trading structure, and be privy to more info, but this situation is not always the norm. What about the rest of you? Forget it.
There are no public registries, no BBB listings, no bankers or brokers who will confirm anything. For the small investor, this business is based on trust and personal relationships: you know me, I know ‘A’, ‘A’ knows ‘B’, who works with manager ‘C’, who knows the trade facilitator ‘D, etc. You can only do the best with the information that is available on that program.

Do not contact any regulatory authorities to see if any complaints have been made, as this may simply result in an otherwise sound program being shut down. Use the forums that are listed in the appendices to gather as much info as you can and make an educated decision. What you are looking for is impartial advice, which is unfortunately hard to find on the HYIP forums, although the Invest Navigator website is completely impartial, so make good use of it.

Rule Number 3
Once again do not put all your eggs in one basket when it comes to the smaller Internet based HYIP’s. You should diversify by placing a portion of your investment capital into many different programs so if one venture goes sour you still have the others intact to produce income. Many small programs will close down. Funding two to three small programs with large amounts is suicide.

Focus on the overall plan, not on a program or two, unless you have found a single large program that offers a good return coupled with capital security. Build your smaller program list up to no less then ten, it may take time, but this is the correct way to go about investing in small Internet HYIP’s. If you want to achieve a lot of success, get your mind off the investments you are in, and get focused on your plan. Your ultimate goal is to eventually fund 15-20 paying programs, as soon as some pay out you can widen your program list. Concentrate on the plan not the programs.

Rule Number 4
With the smaller programs, you should aim to recoup your seed money from any one venture as soon as possible. Take your seed money back when you reach 2-1 or 3-1. Remain invested with their money and not yours from that point on. Too many small programs start out fine, we get comfortable with them and start putting extra money in before the returns from the last cycle come back, and then they fail. Do not reinvest more money before you have been paid back, no matter how long it takes. A good rule to follow is to take your original capital back as soon as possible and only keep reinvesting half of the payout proceeds on each cycle.

Rule Number 5
Do not let large amounts accumulate in small programs; take smaller profits often. Even from the most stable smaller programs, take funds back often. Taking small amounts of profit along the way versus letting a larger amount accumulate before a program goes sour will allow you to see a profit instead of missing out on what you thought you had.

Rule Number 6
Do not jump into new programs right away. Truth is many programs never make it through launch. Why would you waste your time promoting a program that had a month or two to go before you could ever sign someone up for it, assuming of course that the program even remains on schedule.

If it is good this week, it will be good next week or three months from now. Let the program establish a payout history with good customer service before investing money with them. With some exceptions, we do not join new programs right off the bat. If they are still around in another month and everyone who is participating is happy with the program, then it’s time to take another look at it.

Rule Number 7
Do not jump the gun and start screaming swindle if a program experiences some problems early on. Allow some time for the administrative end to catch up with the trading and sign-ups, as enrolments escalate. Most programs with small administrative teams have no concept of how many people can enter a program in the early stages. It does not take long to get in a real pickle admin wise.

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