Looking for the TOP MLM COMPANIES?
Affiliate program comparison can be a daunting task, especially when
searching for MLM companies. Many MLM companies are
pyramid
schemes, are very poorly managed or market products with little
consumer appeal. If you seek MLM opportunities, know that MLM can
work, but there are MLM Rules to go by. Learning these
important MLM rules will enable you to find an MLM opportunity that can
provide you with lifelong residual income. Failing to learn them
will prove costly.
Rules for Evaluating MLM Opportunities
STABILITY
Affiliate programs backed by companies with proven track records
and time tested payout are those you should seek. If you put
forth the effort to create the income stream, they had better be
around to pay you!
PRODUCT
MLM companies must provide a real product or service that will be
in demand by the general public. Many MLM companies promise you
income based not upon product, but upon their marketing structure.
Others “sell you the dream.” It is easy to identify
these MLM companies because it is difficult or impossible to
identify their product. If an MLM’s sole means of income
consists of recruiting and pushing unproven marketing products to its
recruits, it is at worst a scam and at best a very poor marketing
strategy. Ask yourself whether your mom, dad, sister or brother
would like to purchase marketing products from you. Enough said.
BUSINESS CONCEPT
A unique business concept is a distinct advantage in product
marketing. This is the very characteristic that has made MLM
opportunities so appealing. A company able to wrap its merchandise in
a novel and comprehensive marketing plan enables you to generate
sales. You see, most marketing plans and products are not bad
— it’s just that you should be using them, not
selling them!
RESIDUAL INCOME
Residual income is necessary to make your MLM business succeed.
Do the work once and get paid for repeat sales and referral fees.
MLM companies offering single-sale products or those that pay you
only for your first sale to a customer are not good candidates
for your business. Commissions based upon recurring membership fees
also represent an important source of residual income.
EARNINGS REPLICATION
The heart of MLM is the ability to gain income not only through
your own efforts, but through the efforts of others in your
group. In a traditional (simple) MLM structure, you gain
through your efforts and those of your downline (members below
you). In a forced matrix, you can also gain spillover
from your upline (those above you). There are many combinations
and variants of these two basic themes; their implementation
can become very confusing. A forced matrix or forced matrix
variant can provide you with a fast start if your upline is very
aggressive. Note, however, that many forced matrix MLMs are
designed to appear very attractive while, in reality, they are
inherently unstable. Growth and earnings of an improperly
structured forced matrix MLM cannot be sustained, leading inevitably
to poor performance or outright collapse.
WORLD MARKET
The internet is exploding globally. Let’s take full
advantage of this burgeoning world market.
ZERO OR LOW STARTUP COST
An affiliate or MLM opportunity should not cost you hundreds
of dollars per month to get started. We consider internet home
businesses that enable you to recoup your business investment within
a year with an option to join for free to be reasonable business
investments. Avoid MLM companies requiring hundreds of
non-refundable dollars up front just to get you started.
NO EXPERIENCE NECESSARY
Are you an experienced marketer? Most of us are not; we are
ordinary people just trying to earn a little extra income. Some of
us, provided we have the proper motivation and assistance, will go on
to do more — which leads us to ....
SUPPORT
An affiliate or MLM opportunity should provide the tools and
training necessary to help you get a quick start and grow your
business at whatever pace you find convenient. The program sponsors
should be able to resolve disputes and technical issues quickly and
fairly.
NO QUOTAS
Many of us have jobs and family obligations. We want to
generate extra income at our own pace in our work at home business
without having to meet sales targets set by our affiliate program
sponsor.
NO PAPERWORK
Affiliate programs should have the necessary infrastructure in
place to provide full accounting (for referrals and sales),
tracking (sales) and notification (referral) functions
for you. This preserves your most valuable asset —
time!
While not all affiliate programs are right for everyone, we feel these
guidelines can aid you substantially in selecting MLM opportunities you
may be considering or in evaluating MLM programs you have already
joined.
Authored by Kenneth L. Anderson.
Original article published 3 August 2003, updated 7 April
2005.
Follow links to the right to learn more about rules for evaluating MLM opportunities.
At the left margin, Related Links address topics of interest
pertaining to affiliate programs, business and business-related resources.
The Ten Spider Business Center provides tools for small business proprietors
and business startups. We have amassed a collection of resources and
services that should be included in any entrepreneur’s arsenal.
Here you will find resources to help get your business off the ground,
finance it, make it grow, manage your own resources and maintain
a safe and beneficial environment for your employees. View the
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for a complete list of business and business-related topics.
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