One of the main goals of a multi-level marketing (MLM) independent distributor (business owner) is to sell the product or service of the parent company. However, an equally important goal is to encourage the customer to also become an independent distributor within that business owner's network and sell the services or product. Prospects who may be interested in becoming distributors are known as MLM leads.

The MLM business owner can generate his or her own leads through referrals from family members, friends, and acquaintances. These leads can also be generated through a variety of marketing tools, including surveys, event or trade show promotions, and informative websites. One quick and convenient way to acquire MLM leads lists is to simply buy the list from a third party company.

For the new MLM business owner, these methods may be too costly or time consuming. One quick search on the internet will result in a plethora of web sites promoting free MLM leads. While cost savings are beneficial, the term "free" can also indicate a situation that is too good to be true.

If the business owner decides to take advantage of some of the free leads available, he or she must take care to look into the background of the third party company that is supplying these leads. It is also important that the MLM business owner check his or her list of free MLM leads against the Do Not Call (DNC) Registry every 90 days. This will ensure that the list is updated regularly and that the leads remain fresh.