Network Marketing Opportunity

More importantly, network marketing enables you to own your own business while you keep your day job. Therefore, you still have the financial security to pay your bills, save for retirement, and take vacations, while you get your business up and running. You get to become a part-time entrepreneur and test the waters, while you learn the ropes.

The American Dream

As an entrepreneur, things don’t work that way. Entrepreneurs get paid to produce results. Therefore, no results equal no profit. For some people, that’s hard to swallow. However, if you produce big results, you get big money. Keep in mind, a job will only pay you what the job is worth to your employer.

Entrepreneurs have no salary cap. They can earn millions. Or, they can earn nothing. That’s what I enjoy about being an entrepreneur. If you are good at producing results, you can obtain financial freedom.

Most Businesses Fail

The worst part of owning your own business is that most business owners don’t own a business. Instead, their business owns them. They work longer hours and are “confined” to their business. In other words, they have to “go to work” at their business every day. They become a slave to their business. When you visit just about any small business, you will find the business owner there. He or she will be helping customers, stocking shelves, working the cash register, etc.

Normally, within a five to ten year time period, the small business owner is burnt out. If their business hasn’t failed (most do), the business owner shuts down the business or sells it, and returns to the work force. He or she decides that a job and a steady paycheck are better (and easier) then working 80-120 hours per week.

In my experience, I know that entrepreneurs work like dogs. And sometimes, they don’t make a penny profit. Sure, you can get wealthy as an entrepreneur, but the odds are against you. You need to know that BEFORE you start a business. Now that we’ve got that out the way, do you still want to be an entrepreneur? If you answered yes, I’m proud of you. You are the one of the few. You are part of a select group of people who keep America running. If you’re still interested in starting your own business, you should consider the network marketing opportunity.

What I Love About Network Marketing

# 1 Passive Income: This is the number one advantage of the network marketing opportunity. Passive income is income that comes in month after month, for something you did one time. For instance, authors get passive income from their book royalties. And insurance agents get passive income from the insurance policies they sell. Please realize that most businesses do not provide passive income. This means you have to keep working month-after-month to earn money.

With the network marketing opportunity, you can earn a life-long income stream for your one-time efforts. For instance, if you can build a large downline of distributors and customers, you can earn commissions every month from their ongoing purchases. That’s powerful. Even if you don’t want to join the network marketing opportunity, make sure your business offers some type of passive income.

# 2 Low Start up Costs: This is the second most powerful advantage of the network marketing opportunity. In the network marketing opportunity, you can start your own business for less than $500. I don’t know many other opportunities like that. In some cases, the cost is even less. Most traditional businesses cost $50,000 or more to get started. That means you have to have the money or be willing to borrow it from the bank. Even worse, that means you will have enormous debt. And if your business fails you will still have the debt to pay off.

# 3 Leverage: Robert Kiysoaki, best-selling author of my favorite book “Rich Dad, Poor Dad” discusses the power of leverage. He uses real estate investing as his example. He discusses how you can buy a $150,000 home with little or no down payment and leverage yourself. And you can earn profits from that $150,000 investment, even though you didn’t invest $150,000 of your own money. That’s a really good deal if you know what you are doing. However, even real estate isn’t a sure guarantee. You can leverage yourself to a hilt and create a positive cash flow, but you now have a large amount of debt you are personally responsible for.

With the network marketing opportunity, you leverage yourself through other people. You sponsor other people into your business and help them build a sales organization. As they grow their business, your profits increase too. Eventually, you can have an organization of 100, 1,000 or 10,000 distributors. You earn a small commission from each person. That’s powerful.

If you own a franchise or traditional small business, the only way to leverage yourself is by investing more money to open another store. In most cases, the investment is substantial. If you don’t have the credit or personal funds, you’re stuck. That’s why I think the network marketing opportunity is such a great deal.

The Truth about Network Marketing

Many people fail in network marketing, just like any other business venture. Most people who join the MLM industry have no sales or marketing skills. And, they’ve never owned a business before. Therefore, they don’t understand what it takes to succeed as an entrepreneur. They expect to “get rich quick” within our industry and achieve overnight success.

Unfortunately, our industry doesn’t work like that. Because they don’t get rich quick, they quit. Rather than taking the time to develop the skills they need to succeed in their network marketing opportunity, they close down their business and tell all their friends and family they got ripped off. They create blogs and websites about how horrible our industry is. They run back to their jobs with their tail tucked between their legs promising to never start another MLM business or home-based business.

That’s the major downside of any network marketing opportunity: anyone can get involved. Because it is so cheap to get involved, we don’t always attract “qualified” people. The reason most franchises (i.e. Subway, McDonalds) work is because they have a “systematic” screening process, which weeds out the tire-kickers and financially broke people. Our business doesn’t have that luxury. If we did, we would have higher success rates.

Despite some horror stories, you must understand that the network marketing opportunity has made many people rich. Many ordinary people have joined our industry and changed their financial situations for the better. The reason they succeeded in the network marketing opportunity is their hard work and willingness to develop the required sales, marketing and leadership skills. If you can understand “big picture” thinking and are willing to commit your time, energy and money to building your MLM business, you will succeed. There is no doubt in my mind.

But if you expect to get rich quick and achieve overnight success, the network marketing opportunity isn’t for you. In that case, you shouldn’t be an entrepreneur either. Instead, you should just stay in your job. Any entrepreneurial venture requires money, time, and lots of hard work.

Final Thoughts about Network Marketing

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