The other day I received an email from a person who asked me if I have been long with my current MLM company and how I am doing, as he was researching business opportunities in the Network Marketing industry. So, if you are in the same shoes of this person and are looking for a good home-based business, then this article will help you to know what you need to look out for.

Are MLMs An Honest Business Opportunity?

The downside of the internet is that it seems to have generated more scams than legitimate business opportunities; and this is partly due to the fact that the internet has opened a whole new opportunity to the individual person to have easy access to all information. However, if you are equipped with the right knowledge, it is easy to spot a legitimate business from an illegitimate one almost instantly.

In addition, it doesn’t seem to help that the most common scams seem to involve an MLM company. However, as has been the case for centuries, even long before the internet era, the few individuals who try to scam people, manage to taint the whole industry. The same goes with regards to the Network Marketing Industry, where the few scams manage to smother the many success stories of those MLM companies that offer a legitimate way to work from home.

How Do I Spot A Scam?

 Check why you are paid. If you are paid just for recruiting – getting more people to join the organization, and the whole business runs purely on this principle, then it is a scam and also illegal. All MLMs are based on both recruiting and retailing.
 Do your homework. There are organizations such as the Federal Trade Commission whose purpose is to prevent unfair methods of competition, to protect the consumer and small businesses. Through their database of frauds, you can research any company before joining. This organization is mainly for the American population, however most countries would definitely have something to this – it might be listed under a different name, such as Fair Trading.
 Your initial investment. Be wary of those companies that ask you for a large investment. Usually you would be asked to pay thousands of dollars, in return for a huge stock of products, which is extremely difficult to move especially if you are new to the market. The ideal company would only need you to buy a distributor kit or a kit with demonstration goods for you to sample out for yourself. This would only require a minimal investment, and normally you would be paying the equivalent of a ‘wholesale’ price for the kit, with no ridiculous mark up.
 The retail price of the product. Check at what price you will be retailing the product, and how it compares with other products in price and quality. Most scams work on the principle of over charging for the service or product. So, it is advisable to research the products of any competitors, both other MLM companies and also the products that you would buy in stores and shops. One thing to take into consideration though is, that research has proved that most often the products (including nutritional products) retailed by an MLM company are of an extremely high quality, especially when compared with some cheaper products that you can buy off the shelf from a retail store. (Will write a future article on this concept and the research.)
 Training provided. If the company won’t provide any training, then it is most likely a scam; and anyway you don’t want to be involved in a company that doesn’t invest in training their members, and to give them an equal opportunity to succeed.
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More Information That You Need To Know

 There are some websites which are dedicated solely to the home based business. You can check what they are saying about the company you are researching, and other companies in general. MLM Watchdog, NPROS and MLM Rankings.

 Choosing your mentor. This is a very important step, which sometimes tends to be overlooked. Once you join a business, it is essential to learn how to market effectively yourself and your business. The majority of people who fail do so, because they realize that succeeding in the home business arena is not as easy as is painted, or because they find it hard to generate leads, or because they don’t seem to breakthrough to achieve the success that they have envisioned.

Unfortunately, through my experience, most members are still using strategies that at this-day-and-age do not make the most of technology. I have learnt to work mainly smart and not hard, and have embraced the power of the internet, together with attraction marketing strategies that brand me as an expert, where I get leads chasing me, instead of me chasing cold leads. Hence, I am able to train my team in the latest strategies that are effective, ensuring them success along the way and benefiting from the lucrative home based business.

Choose Wisely

The home based business is an extremely rewarding career, especially for those who want to work from home, and in the process enjoy their families, their freedom and their career success. However, this same career can be very frustrating if you don’t do your research properly, and end up with a company and/or a mentor who leads you to a dead wall.

P.S. Click Here If You Want To Look At The Company I Work With.

P.S. To Learn How To Market Online And Promote You (And Not Your Company), Irrelevant Of The Company You Are Involved In, Lessons Are Being Given At mlm.BrandingYouandCo.com

To Your Success

Related posts:

1. How to Succeed in Network Marketing
2. What is Network Marketing – by Someone Who Realizes the Potential of this Multi-Billion Dollar Industry?

If you are involved in an MLM company (also known as network marketing companies) or are interested in joining one, then you must be familiar with the phrase… ‘make a list of friends and family’. If you are anything like me, you must be really frustrated with this phrase, as you are aware that most often than not this strategy simply doesn’t work.

Another frustrating phrase is …‘talk to as many people as you can’. This in other words means pitching your sales-story to strangers, assuming that all their life they were waiting for this moment, and they will jump in the boat too and will make you rich! However, an interesting analogy is, that if you become an accountant you don’t ‘pester’ others to become an accountant too and work for your firm?!

After trying a couple of these strategies, one becomes to realize how frustrating this is and most often than not will lead you nowhere or with just a couple of dollars, which is not much compared to the hard work you put in, or worse off spending more than you are earning.

Why do most people fail?

A lot of people are shown a different view of the business model. A lot of people are told that there is no selling involved, and that the products are so good that they sell for themselves. ‘Once people try, they will buy for themselves and their family…’, the pitch goes. This myth is misleading, and brings a false relief to people who don’t like selling. However, people, with no experience of sales and no proper training in marketing and business, struggle desperately, often quitting within a few months. Some people might even join another MLM company, thinking that the problem is the company – but they are wrong.

THE MAIN PROBLEM is that most often than not, people are not taught how to market properly. What you want is people being ‘attracted’ to you and calling you to join your business. And this is done through learning how to market correctly, and through learning how to brand you as the expert. If you haven’t read Mike Dillard’s Magnetic Sponsoring, then grab a copy now, as it will change your outlook in how business is done.

In addition, people are given false beliefs that by joining an MLM one is going to become rich instantly. You can make money in network marketing, but it takes determination, hard work and patience, plus the PROPER TRAINING. Unfortunately, most of the training of most MLM companies is ‘outdated, offline-only, old-school techniques’, which although might work for a few, there are other cutting-edge marketing strategies (based on science) that can actually guarantee you results if implemented persistently.

Another frustrating problem within an MLM company is the attrition rate. The ratio at which people join your team and the amount of people who quit is horrendous. You find yourself training someone to leave you for another company. This can easily be resolved by giving your team proper ‘modern’ marketing strategies which actually work. Once they see that it’s working, they view you as an expert, and would want to continue being in your team.

So How do People Earn The Big Money in Network Marketing?

From research of different MLM’s brochures and website, in the success stories page, one always finds in small print that the typical annual gross income is much much less than otherwise advertised. A lot of articles state that 97% fail in the network marketing industry with only less than 3% actually live the life that is often the bait to many to enter the network marketing industry. While I won’t go into the exact percentage, it’s a fact that only a few succeed to earn a substantial income from their MLM business. MLM is often compared to a pyramid scheme where the bottom people ‘slave’, so that the few at the top become richer and richer at their expense.

However, it is important to note that those who have made it to the top, have done so through a lot of hard work, maybe luck too. For sure they didn’t do it just through talking to family and friends. A probable answer is that they might have already had a large network of people, which made their list of family and friends much longer than yours. It could also be that they previously came from a sales background. An interesting fact is that if someone sticks to the same company for 10 years, they are in the running of becoming part of the top few – but could this also mean that they were persistent, worked hard towards their goal, had a vision and did not give up easily?

Is There A Future For Me in Network Marketing?

Nowadays, there are different strategies of how to go about your MLM business, and achieve success – dare I say it… guaranteed success. But this is done through proper training, and being determined to put in hard work. The get-rich-quick-and-easy mentality does not work. My favourite strategies that I personally use are:

1. an attraction-marketing based system that teaches me how to market successfully to the target people that I want and who are interested in what I have to say. I don’t waste my time giving meetings to people who are not interested, and only end up buying because they pity me. You can check out the system here.

2. the second strategy is providing free valuable information first, and building a relationship with my readers, while branding myself as an expert and positioning myself as the-person-to-go-to in my industry. And this I do through my own self-hosted blog. Subscribe to Claire Morawski’s free training on how to create a successful blog.

To Your Success

Related posts:

1. What is Network Marketing – by Someone Who Realizes the Potential of this Multi-Billion Dollar Industry?
2. Are You Joining a Home Based Business? What you should know before joining an MLM Business Opportunity

‘Where a Nobody Prospers’

In this blog… Educational, Inspirational, Empowering training on:

How to Use Internet Attraction Marketing Tactics To Create Your Own Raving Fans!

 Have you been trying to use Internet Attraction Marketing to brand yourself and market your business on the internet?
 Have you tried using Facebook as your marketing strategy, then after a few weeks of not seeing any results, you decided to switch to Twitter?
 Have you been switching from one mentor to another trying to search for answers to succeed like they did?
 Have you been buying one ebook after another, trying to find the secret to breakthrough?
 Have you been wanting to quit, but yet you hang on?

Well, I have the answer for you…. if you have arrived so far, then you are a fighter. Allow me to show you the marketing tactics that I use, and follow my step-by-step training so that you won’t get distracted anymore, and to stay on the right track of your success. Stay updated by subscribing to my blog so that you will immediately be notified of the latest posts.

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