Why Network Marketing
During the last month alone in the U.S., 20,000 jobs
were eliminated, although reports seem to indicate a growth in the economy.
Amazingly, the Department of labor also reports that the number of
self-employed Americans grew by 126,000 in the last quarter.
The loss of jobs together with a growth in
the economy, though seemingly conflicting, is an indication that companies are
doing business differently these days. Gone are those days when folks prepared attractive
résumés in the hopes of being hired for their skills and educational
background. Companies are seeking temporary workers and independent consultants
… and shying away from taking in full-time workers.
This shift has also come with a shift in
mindset for individuals looking to make a living. With the internet and other sophisticated
technology now mainstream, most are venturing out on their own, seeking new
ways to be productive.
One out of every 5 people I meet these days
in the U.S. has been approached about Network Marketing or Multi-Level Marketing (MLM). Network marketing is
becoming more and more popular, yet most people do not know where to turn for
legit and true answers.
Personally, I think that for someone who is
looking to expand, network marketing is a real,and very important option because of the following reasons:
Low start-up cost. Small businesses usually require
tens of thousands of dollars to start. Most aspiring business owners in this
area are often required to take out high interest loans and then have to spend years paying them
off. And often as has been the case in this failing economy, these small
business owners have been left with loans they must pay off even when the
businesses have not grown as expected or have failed altogether.
Network marketing, on the other hand usually
does not require that much of an upfront cost to begin. In most cases, a thousand
dollars or less can get you going. Most
individuals seriously looking to start a business find this affordable. Those
who can’t afford to or refuse to invest in starting up, either do not
understand it is a legitimate business that requires some start-up fee, or are not
ready for business ownership in the first place.
Low over head. It is no secret that running a
traditional business comes with lots of responsibilities: employees who have to
be properly managed, utilities, rents, inventory, equipment, advertising costs,
etc. It is no wonder it takes the average business years just to break even.
In network marketing, you do not have that
problem … most entrepreneurs run their network marketing businesses out of
their homes; you are normally required to purchase little inventory or none in
some cases; certainly you get to avoid the hassles of dealing with employees.
All that is required is usually a computer, internet, a phone … and the cost of
keeping a website up.
No boss. People join network marketing with
different expectations and goals. The greatest attraction is the freedom it
offers to work where and when you want. The uniqueness of the mlm model is in
the fact that there are ‘upline’ mentors, willing to invest their time and
efforts in helping you succeed … which is really not the case with other
business models – where the owner is pretty much on his own and has to hire
consultants or take expensive courses to acquire and improve their skills and/or
their employees’ skills.
In Network marketing, individuals have complete
control over their experience in the industry. No time clocks, no bosses to
report to, no explanations to give, no reports to be made – you are your own
boss and so you get paid based on how much effort you put into making it work
Flexible schedules. Most people start in MLM
part time; reports show that about 90% of all involved in the industry do so on
a part time basis. Because it is home-based, individuals can fit it into their
existing schedules. There are those who spend a few hours a day building their
businesses, and then those who take it on full-time and dedicate more time to
Unlike a traditional business that has to stay
open during certain periods or hours of the day, in network marketing each distributor
determines when and how they operate their business.
No skill-set required. No experience, no
particular skills, talents or educational background are needed. Anyone, with any background can get involved and
thrive in network marketing if they are coachable, have a good work ethic … and
get with the right company. Which explains why you find people involved ranging from
students, to stay-at-home parents, to professionals and other successful business
owners. This in
itself might be the reason why several have embraced the industry and flourished; and also
why so many have not found success simply because they might not have had what
it takes to achieve whatever their goals were.
Limitless income potential. This is so true
with network marketing – there are no caps as to how much you can earn, you alone
determines how much. Some look to earn just a few hundred dollars a month to
supplement their full-time income and others work hard to earn thousands of
dollars weekly or monthly, making it their main source of income.
Just as folks get started for various reasons,
income expectations are just as different. The sure thing is, the income you
generate is always or usually proportional to your efforts. I do not believe
there is such a thing as ‘a lot of money for little work’ and network
marketing clearly shows that … except for false ‘get-rich quick’ claims that
have been and continue to be made about the industry.
Tax benefits. The U.S. tax code favors
home-based business ownership, especially in conjunction with a W2 (employee)
income. The write-offs are amazing as individuals get to lower their tax liabilities by being rewarded more for the
business use of their homes, vehicles and other activities that would otherwise not be possible. Be sure to seek the advise of your tax adviser as to how this
might apply to you.
The question remains: Is network marketing for everyone?
… this causes me to pause. But I will
answer as frankly as I possibly can. I do not believe it is for everyone, but I
believe anyone who wants to, can be successful.
It is possible to achieve
whatever you want in the industry. It has been a pathway to freedom for millions who have stuck with the plan. It can be for you too. The choice is entirely up to you.
Good luck, I hope this helps.