MLM or Network Marketing is a business model that has been around for quite some time. I remember hearing about it in my early twenties but blew it off as another "get rich quick" scheme. If you would have told me then that I'd be part of a network marketing business now and have success I would have laughed. Now that I am involved in network marketing, I realize that it is nothing to laugh at. It is a legitimate way to earn income so long as you are with a legitimate company.
In my previous post, I talked about the importance of creating multiple streams of income. Starting an MLM business is just that. The reason I feel many people don't consider this method of income is because they have either been burned in the past by an unethical company or they have heard negative comments from others.
Another big reason some people avoid MLM is because they worry about the amount of money that has to be invested. It is true that just about every MLM requires an initial investment but compared to starting a business from scratch, it is very minimal. Investing in a franchise can cost hundreds of thousands. Most network marketing companies require anywhere from $40 to $500 to get started.
Which MLM is the Best?
This is where another issue arises. Once you become more interested you want to work with a company that is the best. That is a natural thing to want to do. Why invest your time in money with a company that isn't making any money?
You may search them out on your own and may even contact a few people who are already involved. These people may then bombard you with information and want to tell you that their business is by far the best in the industry. Some of them will begin to hound you to sign-up right away.
I can tell you that everyone involved in their MLM will tell you they are the best. Your best bet is to find a company that has been around for several years. The products they produce are also very important. Have you heard of these products? Would you use them? Would you feel comfortable promoting them?
Remember, you want to go into your business for the long haul. Many people get caught up in the glitz and glamour. They may see someone who is at the top of their game making 6-figures and assume they can do the same. What they don't realize is that it often takes years for someone to reach a top level. Another thing to consider is that what one person does to achieve success may not necessarily work for you.
Choosing an MLM requires research on your part. Find out about their compensation plan. Try one of the products before you invest your time and money. See if you like what they produce and if you see yourself being a part of it.
How Do I Make Money in MLM?
Money is made just like in other business. You have to market your products and sell them. You don't need to be good at sales starting out but you will need to develop some marketing skills. It requires work and the more you do, the higher the chances you will succeed. Don't let anyone fool you into thinking it is easy and that following a simple plan will get you the same results.
You will need to sell products, follow-up with leads, promote your business, and run it just like any other business.
Then Why Bother?
Unlike traditional businesses, it is very easy to get started because costs are low. It is also a team effort. Building up your network and making sure they are successful means you will be successful as well. It is also a form of residual income. As your business grows, the less work you will have to do to maintain it.
It is also a business that can be run part-time and develop into a full-time income. A lot of people gravitate towards it because they want freedom. Freedom can mean the time spent with their family, having no boss to answer to, financial freedom, etc.
Now that I have some experience with network marketing by being an Independent Beachbody Coach, I find it to be a great business. For me it is fun, challenging, and I like the extra income I'm making. It all boils down to doing your own research and understanding what you are getting into.
Yours in Success,
{ 7 comments… read them below or add one }
Aren’t MLM a scam or like pyramiding? Its beneficial to the people at the top but the persons in the bottom can sometimes get nothing if the company folds out.
MLM’s have that reputation of being a scam and a lot of people who have tried them often do not make any money. I had no experience whatsoever with network marketing and I am enjoying the business so far. I think it has a lot to do with choosing the right company and really liking the products.
I think MLM will soon end as social media networking is the latest trend. It can cost free for starters to get the word out there. Unlike before, you look for the latest buzz on how to get rich..but with social media, this buzz finds you instead. For example, Facebook has more traffic than Google. Besides, MLM is always tied with the negative image of pyramiding scams. Just my 2 cents.
I like affiliate marketing over mlm marketing I think it is a better business model. But they both are good ways to make money online.
MLM system is designed for people at the top of “Pyramid” earn the most. Everyone below it needs a lot of work and wages is ridiculous. I worked in the MLM system about six months and during that time I earned almost nothing and I joined more than 13 people.
This is really a helpful blog. But I hope there is more than MLM can offer that those who are in it can earn equally and not just those on the upper pyramid. Affiliate marketing also works good but you really need to work on your marketing skills.
This type of pyramid marketing in the uk is illegal…
And with good reason.