Back to the OP. The whole thing is like most any other business. One guy puts together a great product, or at least a profitable one, and someone is going to come along and knock it off. See Coke then Pepsi. But the business world becomes a Wild West of scammers and scheisters and less than honorable people. Sometimes people honestly believe they have something valuable. I don’t know if getting the government into regulating businesses is the best option though. The best is consumer education and live and learn. Sometimes regulation is needed, but only after very careful thought and consideration of negative consequences down the road.
As to my advice to people. Go with a smaller organization with fewer players if your kid is not an absolute stud. In the 300 player orgs, only the best get any true attention. Your lower level kid is just cash to fund Jupiter
Caveat: East Coast Baseball out of Mississippi is pretty large, but they are an outstanding group that does care and directors are accessible to all players. some national names, not so much.