Multi Level Marketing Business Opportunity
A good multi level marketing business opportunity is one that pays a relatively high commission with a relatively small cash investment. Escalating unemployment roles have forced many individuals to consider a career as a network marketer, promoting and selling products based on a legitimate shared compensation plan. Business owners, acting as independent sales associates within a national or international organization, are expected to build their own "legs" or "down-lines" of the company by selling directly to consumers while recruiting other sales associates to come into the organization. Business owners receive commissions on product sales as well as bonuses for new recruits and a percentage of the recruit's sales. Up-line, or middle and upper level managers who recruited the new business owner, also receive bonuses for sales accumulated by those independent owners and their recruits.
The potential for lucrative earnings from a multi level marketing business opportunity can be astounding. Top selling associates who have been with MLM companies for several years can realize six-figure incomes largely through the efforts of down-line associates. Imagine if someone participates in a network marketing program and recruits just five associates in their down-line organization. Each of those associates recruits five more consultants a piece. Within a very short amount of time, a new business owner can build an organization within the company consisting of thirty hardworking sales associates with the potential of producing thousands of dollars each month in product sales. Not only does the parent company compensate the new owner for each of the five new recruits, but also pays commissions on each of the sales generated by each down-line associate. Up line managers are rewarded bonuses based on the accomplishments of the new business owner, multiplied by each leg of the company actively selling products and services to the general public -- one consumer at a time. "But thou shalt remember the Lord thy God: for it is He that giveth thee power to get wealth" (Deuteronomy 8:18).
Compensation plans may vary depending on the multi level marketing business opportunity. While some organizations reward sales representatives based on individual and group accomplishments, others offer commissions based on an agent's position in the down line. Representatives are compensated with a percentage of sales depending upon how far down the ladder they fall from the original business owner. For example, a representative at level seven will share in the profits of the up-line distributor at less of a percentage than the representative who has earned a place at level two. Networks are also compensated at a specific rate when all down-line level positions have been filled with recruits. A down-line might be required to reach a maximum of five recruits before a new sub-group can be formed. Branching off into new sub groups prohibits one organization in the parent company from outgrowing the corporation's capacity to adequately compensate individual sales associates.
A lucrative multi level marketing business opportunity may also offer cash incentives for top sales or recruitment efforts. Bonuses are awarded to associates with the most recruits for the month. Tropical island vacations, luxury cars, and membership in million dollar producer clubs within the organization are all incentives to propel independent sales personnel at every level to meet and exceed sales goals. MLM corporations encourage friendly competition among team members, directors, and upline managers because they realize that in network marketing, everyone wins. A distribution of income commensurate with sales goals met is a way of keeping associates happy and the parent organization in the black.
In order to be classified by the federal government as a legitimate multi level marketing business opportunity and not just a fly-by-night pyramid scheme, network marketing companies must meet certain criteria. Organizations are prohibited by federal law from focusing too much attention solely on recruiting associates or charging registration or franchise fees without selling products. To prevent new recruits from spending more money than they are likely to make, a legitimate multi level marketing business opportunity will monitor new recruit sales to ensure that they sell at least 70% of products ordered before placing new orders. In the United States and Europe, pyramid schemes are strictly prohibited and operators can be prosecuted.
Pyramid schemes do not represent a legal multi level marketing business opportunity and usually don't involve selling a substantial amount of products. Illegal schemes make money by requiring individuals to pay a certain dollar amount to an unknown recipient, in exchange for others paying small amounts of cash to them. The concept is that those in the top tier will receive the most money, with those in the bottom tiers eventually having their original investment compounded as the organization branches out into a network of investors. Anyone who has ever received a chain letter with a request to send the bottom ten people listed two dollars each and expect to get letters coming in the mail with cash money is an unwitting party to a pyramid scheme. Most get-rich-quick schemes just don't work; and participants usually lose money by taking heed to fraudulent plans and companies.
Individuals seeking to earn extra cash with what appears to be a legitimate multi level marketing business opportunity should check with the Better Business Bureau and the Federal Trade Commission to ensure that companies operate well within the law. If an MLM company asks for an exorbitant franchise or registration fee and does not stress product sales for profitability, it may be a thinly-disguised pyramid scheme. It won't hurt to do a little homework before parting with hard earned cash to make what may seem the potential to make thousands. As with any new business enterprise, operating as an independent network marketer takes salesmanship, an aptitude for entrepreneurship, a good product that consumers will want to buy, and a legitimate company with a proven track record of fairly compensating associates for a job well done.
Multi Level Marketing OpportunitiesA myriad of multi level marketing opportunities exist for those who are willing to invest time in building a new enterprise. From selling cosmetics, shoes, and jewelry to promoting discount legal services, skin care products, and pots and pans; network marketing enables hundreds of thousands of individuals a chance to start a money making business with very little cash investment. While most business startups and franchises require tens of thousands of dollars before owners can make a single buck; network marketers can usually begin a new enterprise with less than a $100 investment. That's because corporations which utilize a network of independent sales associates depend on volume selling. Many long standing reputable companies consist of a national and international network of well-trained professionals who earn a substantial income by recruiting other associates and building tier after tier of dedicated salespersons. In addition to recruiting down-line associates, middle-tier sales managers market quality products to consumers who are eager to buy or become associates themselves. Multi level marketing (MLM) is a multi-billion dollar worldwide industry; and its appeal for individuals seeking to potentially earn five- to six-figure incomes without a college education or exorbitant startup fees is phenomenal.
Individuals can find multi level marketing opportunities by conducting an online search of companies or by word of mouth. Network marketers often pursue part time careers as independent sales consultants while holding down fulltime jobs. One only needs to browse through a workplace lobby or break room for catalogs and pamphlets placed by part-time MLM associates hawking cosmetics, apparel, legal services, or gourmet cookware. Surfing through the Internet will also yield dozens of sponsored links to multi level marketing opportunities. But before leaping headlong into a MLM program, individuals should take the products for a test drive. Order one or two products from an associate in the neighborhood or workplace and talk earnestly with them about the business and its potential profitability. Most reputable companies will have websites with frequently asked questions sections for those who are considering joining the organization. God's Word is able to reach individuals on any socioeconomic level and bring them into a saving knowledge of Jesus Christ. "For I am not ashamed of the gospel of Jesus Christ: for it is the power of God unto salvation to every one that believeth; to the Jew first, and also to the Greek" (Romans 1:16).
To become an independent sales representative in companies which sell products to consumers on a door-to-door or relationship basis, new program enrollees are usually recruited by associates who have worked in the business for a time and are familiar with both the products and the money which can be made with multi level marketing opportunities offered by the corporate office. Sales associates usually try to recruit consumers who buy products and express an interest in earning extra cash. Part of the new recruit's indoctrination process is to be brought into the company under a more experienced sales rep who walks the novice through the pros and cons of direct consumer selling, loading them down with catalogs, product samples, training schedules, and lots of encouragement. New and potential recruits are invited to attend meetings, which are more like pep rallies, designed to introduce them to the wonderful world of network marketing.
During company meetings, up-line associates, those who have spent years working their way up the corporate ladder, share testimonies of how easy it is for new recruits to achieve financial success with little effort or investment. Convinced recruits sign a flexible contract, pay a nominal fee, and agree to purchase a certain amount of products. As recruits sell the company's products, they earn a commission of 10% to 50% on sales. Up-line managers are usually compensated for each new recruit brought into the organization; and those mid-level associates who were responsible for recruiting down-line associates also receive a commission; hence, the term "multi level marketing." Ideally, multi level marketing opportunities have the potential to enable independent representatives to make big bucks as organizations expand vertically and horizontally. Multiply this domino affect of paid commissions and bonuses for every sale from every recruit and you have the potential for lucrative earnings from most available multi level marketing opportunities.
In theory, MLM looks as though it might be a fail-safe way to make extra cash or even replace a fulltime income. But, a lot of the success of any multi level marketing opportunity depends on several factors: a demand for the product; the ability of the sales associate to invest time, effort, and money into the business; and the kinds of monetary and emotional incentives the corporation is willing to offer sales associates. The kinds of products offered through network multi level marketing opportunities dictate how successful sales associates will become. Consumers are looking for a bargain, but they also want a high quality product. Companies which sell cosmetics cannot expect consumers to purchase watery creams and lotions or eyeliner that smudges easily or irritates sensitive skin. Most network marketing products are of superior quality and priced to give sales associates enough commission to encourage continued sales efforts.
The best MLM programs are those which pay the highest commission for the most in-demand products. Not all programs are legit; and thousands of people get bilked out of hard earned cash each year trying to get rich quick. Legitimate plans have earned a bad name due to a host of schemes developed just to rob people blind. Bona fide multi level marketing opportunities are often wrongly associated with pyramid schemes, which claim that thousands of dollars can be made just by joining the organization. Individuals should investigate companies by contacting local Better Business Bureaus or going online and searching for company websites. Legitimate MLMs will be approved by the Bureau and have an extensive product line with an emphasis on consumer sales rather than recruitment. If a prospective business checks out, it may be the best opportunity an individual has for making a substantial income with very little upfront investment.