Many self-proclaimed entrepreneurs send me invitations and accolades to join their favorite Multi-Level Marketing (MLM) or Network Marketing company, but these all sound like "get rich quick" schemes to me. For me, the essence of an entrepreneur is creating something new and innovative, whereas an MLM is a traditional formula on an existing product with a high premium on pyramiding.


Consider you open a restaurant under the name of My Yummy Foods. It has great taste, ambience and suddenly it is becoming very famous restaurant of the town. In order to get more money you give it a franchisee. Now you choose an investor who will be trained on the food items, apparatus, ambience etc so that your name and taste will be carried forward by him.
I don’t know much about World Ventures, Greg. I do have some very respected friends in the business who build that business and I do trust them. In ANY network marketing business, it more often comes down to what the independent business owner is putting IN to their business. Are they following the plan religiously? There is no company out there that can legitimately promise a get-rich-quick plan. You have to assume MLM is a 4+ year build – and only then when you’re going full-out. Most people don’t have the stamina for that – but if they do or can learn it, people can make a lot of money in many different companies.
In April 2006, the FTC proposed a Business Opportunity Rule intended to require all sellers of business opportunities—including MLMs—to provide enough information to enable prospective buyers/participants to make an informed decision about acquiring/joining a business venture with information disclosed about the average likelihood of monetary profitability (and the extent of monetary profitability, if any) of acquiring/joining the business venture. In March 2008, however, the FTC removed "Network Marketing" (i.e. MLM) companies from the proposed Business Opportunity Rule, thus leaving MLM participants without the ability to make an informed choice of entering or not entering MLMs based on the disclosed likelihood of success and profitability:
“The two years I was supposedly building my Amway business, I lost nearly $10,000 on tapes, seminars, books, gas, and travel expenses for out-of-town seminars. My earnings? Less than $500 total. Since I was unemployed — and pretty much unemployable for any nonburger-flipping job — those $10,000 came exclusively from my grandmother, who was also my biggest (and only) Amway customer, buying expensive, ‘concentrated’ Amway products she didn’t need, every month to support me.”
Multi-level marketing (MLM) is a distribution-based marketing network that includes direct sales and a downline of distributors. These home businesses tend to get a lot of bad press for their similarity to pyramid schemes. In reality, they have one key difference. Where pyramid schemes require people to invest in a false promise of wealth, MLM organizations sell real products or services that their distributors believe in.

Scentsy is an MLM company that manufactures wickless, scented and flameless candles with a lot of varying fragrance that leaves customers drooling. People, who haven’t used this brand of candles, instantly fall in love with it once they do. Network marketers are given a good and lovable product to resell and the chances for success are really high.
Eric Worre sits down with Gloria Mayfield Banks and talks about the “it” factor. Gloria shares her view on what the defining characteristics are of the high achievers. What does it take for a person to excel in Network Marketing? Gloria shares that it’s not your personality. She’s seen all types of personalities at the top of the game. It’s abo ...…
Hey Erica, I’m a doterra gal also. Just over 3 years ago I just wanted to see if these hippie oils really worked from there I couldn’t keep my mouth shut and I share with whomever will listen. I recently read this in the leadership magazine and I love it. “An oil for every household, a drop to change a life”. That is my goal. I never plan to get rich off my sharing but if I can change a life, help someone along the way it will be worth my time.

Thank you for your article. I am also with doterra and I never in my life thought I would do something like this. The reason I started was because of health issues that led me to the oils. I have been an RN for 23 years and I feel more free and excited to share about health than ever. If you are going into something to get rich quick, I think that is the wrong attitude. I think most of my fellow doterra wellness advocates, have come to the same realization as me. I believe most of us started out trying to help ourselves and our families. I left my nursing job of 17 years in Feb, not because I am making enough money to replace my past income, but because I truly love helping others and I love the company and what it stands for. I can’t argue about MLM’s because I truly don’t care about that side of it. Maybe I am wrong to think that way. I hope that this ride doesn’t end anytime soon because the difference that doterra is making in my life, and the lives of those around me, is amazing. Thank you again for your information and your viewpoint. 

I can see the appeal for a physical business. For example, you might send out a message about a sale to people in the proximity of your store. There may be other specific people who could use the device well, like real estate agents. But, the device doesn’t seem worth it for the general public. No one is going to want spam about how to message people.
Lauded as the #1 leadership expert in the world by Inc. Magazine, John C. Maxwell is a speaker, coach, and New York Times Bestselling Author. He has written more than 80 books - including the 21 Irrefutable Laws of Leadership and the 21 Indispensable Qualities of a Leader - that have sold more than 26 million copies and have been translated into 50 languages. In 2005, he was one of 25 best-selling authors named to Amazon.com's Hall of Fame.

Today, I want to talk about the past. I know the past isn’t a topic that many people in Network Marketing want to talk about, but it has a huge impact on your future. Faulkner once wrote, “The past is not dead, nor is it past.” What he meant is that the past has a life. All of our histories have a life and contribute to our future. And as I hav ...…
When you buy a franchise for, say, Jamba Juice, you’re buying the right to be the only franchisee in a certain geographic area. They don’t sell twenty franchises to twenty different business owners in the same city. That would result in Jamba Juices on every street corner owned by twenty different people all competing to sell the same product, which would cannibalize the profits of all the franchisees. No one in their right mind would buy a franchise in a company that ignored basic economic principle of supply and demand.

In 1959, two employees of Nutrilite, Rick de Vos and Jan van Andel, founded their own company: Amway. Amway was created using the MLM organizational structure and paved the way for MLM companies to be established in other countries like Canada, the United Kingdom, Australia, Germany, and France. Amway allowed for companies like Panasonic, Palmolive, and MasterCard to include network marketing in their omnichannel marketing strategies. Amway's success has even led them sponsor an NBA arena, the Orlando Magic's Amway Center (and the older Amway Arena), since 1989.
Lorene Hochstetler, from Ohio, recommends keeping your current job while slowly making the transition into MLM.  She’s been able to replace her full-time income but explains, “It didn’t happen overnight, and I still work every day.  I am very disciplined with my business and wake up every day knowing what I have to do in order to succeed at this.  You have to treat it like a business and be willing to follow advice from others who have made it.”
The Direct Selling Association (DSA), a lobbying group for the MLM industry, reported that in 1990 only 25% of DSA members used the MLM business model. By 1999, this had grown to 77.3%.[26] By 2009, 94.2% of DSA members were using MLM, accounting for 99.6% of sellers, and 97.1% of sales.[27] Companies such as Avon, Electrolux, Tupperware,[28] and Kirby were all originally single-level marketing companies, using that traditional and uncontroversial direct selling business model (distinct from MLM) to sell their goods. However, they later introduced multi-level compensation plans, becoming MLMs.[23] The DSA has approximately 200 members[29] while it is estimated there are over 1,000 firms using multi-level marketing in the United States alone.[30]
If you decide to buy into the program and promote the products, you must be sure your marketing materials are truthful and that there's solid evidence to back up the claims you make about the products. Before you repeat any claims the company has made, verify that there’s competent and reliable research to back them up. That’s the standard the FTC uses when evaluating advertising claims.
I totally agree, Mary. You can lose soooo much more just by opening up a small storefront business. I was in the Spa Industry and then the economy tanked in late 2008. I did not renew my lease in 2009. Lost my several hundred thousand dollar build-out. Lost so much more than taking an MLM business seriously. Even if I would have front loaded on a ton of product, I still would have been better off. People spend $750 and get some business cards then do nothing and blame MLM.
As you read these disclosure statements, you need to keep in mind that the companies do what they can to paint a bright picture of your income capability. Instead of giving you straight figures, they’ll share percentages and percentages of percentages. There’s a whole lot of intentional obfuscation going on. You’ve got to bust your mathematical chops to really understand what the numbers mean. We spent hours carefully reading through the above disclosure statements and crunching the numbers ourselves in order to verify Taylor’s conclusion that 90-99% of distributors in each respective MLM were only receiving at most a few hundred dollars a year in commissions. And it’s absolutely true.
This is perhaps the most important question of all. If you're doing it because you think it's going to help you get 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 success with it.

Growing up, multimillion-dollar earner, internationally renowned motivational speaker, success strategist, author, and sales trainer, Gloria Mayfield Banks managed a learning disability to achieve not one, not two, but three college degrees - including a MBA from Harvard University. Gloria’s high-energy persona and inspirational teaching style ...…


Product Overview: The most unusual thing about 5LINX is the services that are on sale. The company’s marketing suggests that they have Home, Wellness and Health Products. Yet, almost everything they’re promoting is a type of service. This includes various discount programs, as well as options like a Residential Energy Program and TeeVee On-Demand Television.
Consumer safeguards are policies a company can implement to minimize the possibility of consumer harm. Because a distributor’s success depends on his or her efforts along with market conditions, there’s no way to completely eliminate the chance of distributor losses. But…things can be done to minimize the sting if a distributor gets stuck with product they no longer want. The smart companies spend more money than required to build these safeguards. The easiest protection is offering a generous refund policy on unused or unsellable inventory. It’s considered a best-practice to offer a 12 month buyback period on resellable inventory. The refund needs to be clearly published and easy to understand, and customer support needs to make the experience of requesting a refund as painless as possible.
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MLM Company Success Opportunity

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