Are Some Things Just Too Good to Be True?
In the current financial environment the idea of making money quickly and easily, with no special skills or big investment is very appealing. Add in a residual income to promise financial independence for the future and it’s a potential winner. There has been great success with this type of marketing and distribution structure – i.e. Avon, Mary Kay, Shaklee and others. The downside, of course, is to try to sell to friends and family. How do you know if it is a legit business? Or just another scam?
If you’re considering an MLM, CDM, or network marketing opportunity, use these six factors in determining whether it is worth your time and money.
1) Who is your up-line? Know everyone above you. Is the person that introduced you to the opportunity someone that you trust? Have they shared how much they are actually making? Are the founders of the company successful, reputable business people? Have they been successful in any other type of business? Treat your up-line like a potential business partner and perform due diligence.
2) What is the product line? How is it traditionally sold? Who are your competitors? Does the product sell itself? Do you need to be an experienced sales person to sell it? You need to believe in the product to be able to effectively sell it.
3) How soon will you be making money? You should be able to recoup your investment, if any, and begin earning an income within a few weeks if the product is really in demand. You won’t generally be able to make a living on it right away, so make sure you keep it as a part-time addition to your regular job in the beginning. Will you realistically be able to do that with this company?
4) Where is the product advertised and where can you advertise it? What if any are the marketing restrictions? A wide open policy is easier for you, but also for everyone else. A company with a more restrictive marketing policy may be less competitive for you.
5) How were you invited to the opportunity? Were you targeted primarily as a customer? Or was the primary pitch about the business opportunity? The ethical way to build a down-line is to sign people up as customers first so that they can become familiar with the product and decide if they like it. If they like the product enough they will want to become a rep. Hard selling a business opportunity raises a red flag.
6) What’s your reason for doing this? This is a crucial question. If you think you are going to get rich quick and all of your financial crises will be solved then you are going to be disappointed. If you really believe in the product and the business model that gives you the best chance at success.
So use these factors to help you pinpoint what the business is about and whether it is right for you. That is your best way to success without wasting time and money.