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The headlines are surely enticing, specifically in modern troubled economic local climate. The idea of making a living right absent without any special skills or significant expense appeals on the instant want, even though the assure of residual cash flow appeals to the need to not conclude up with your recent financial position at any time yet again. And a few very reputable firms have already been constructed on this marketing and advertising & distribution structure... Avon, Mary Kay, Excel Communications, and more. But then there's the down side... "Do I really want to pitch this to all my friends?" "Can I actually generate income at it?" "How do I know it's not a scam?"
If you're considering an MLM, CDM, or network advertising opportunity, ask these six queries to determine whether a network, multi-level, or consumer direct advertising is worth your while (and your cash).
Who is your upline? Take it all the way on the top. What do you know about the person who introduced you to the opportunity? Can you trust what they tell you? Are they willing to divulge exactly how much they've been making? And what about the founders of the company (assuming it's a newer company)? Have they been successful and trustworthy in their previous businesses? Investigate your entire upline just like you would a business partner you'd never met before.
What exactly is the product? Is it something that would sell well in a retail store or via other traditional marketing and advertising and distribution channels? What's the competition like? How convincing are you going to have to be in order to sign up customers? If you're not an experienced salesperson, don't expect to turn out to be one overnight. You're going to have to turn into an evangelist for the product, so make sure you believe in it.
When will you start actually making money? Don't fall for the line that it takes months or even years to show a profit. You should be able to recoup any investment and start earning revenue within just a few weeks if there's really demand for the product. Creating a living at it is another story. You require to be able to work it part-time in addition to other steadier cash flow sources. Will you realistically be able to do that with this company?
Where is the product being promoted and where can you promote it? Is the company doing advertising and publicity of its own to help create demand for the product? And what restrictions are there on where and the way you can promote it (advertising, web sites, etc.). There's not a correct or wrong answer to that question - a wide open policy is more flexible for you, but for everyone else, too. If you're prepared to be very competitive, that's fine, but if not, you may prefer to work with a company whose policy is more restrictive.
How were you recruited? Were you recruited primarily as a customer, with just a mention of "income opportunity", or was the primary pitch about the business opportunity? The ethical way to build a downline is to sign people up as customers first, and then if they like the product, they'll be drawn to turn into a rep. A hard-sell on signing up as a rep correct at the outset should send up a red flag for you.
Why are you doing this? This is perhaps the most important question of all. If you're doing it because you think it's going to help you out of a cash crunch, forget it. If you're doing it because you think you're going to be rich in a year, well, it's fine to have a vision, but don't bank on it. On the other hand, if you really believe in the product, that gives you the best likelihood of good results with it.
There are no absolute correct and wrong answers to these questions. The point is to make sure that you're going into it with your eyes wide open. Many people have made a lot of funds in network marketing, MLM, and consumer direct advertising and marketing, but many more have ended up wasting a whole lot of time and funds chasing a pipe dream. You can ensure your success best by being sure you're getting into the proper opportunity in the first place.
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