Why Network Marketing Is The Business of the 21st Century
If you are new to business, and in particular network marketing then “welcome”. You are at the right place. We strongly believe that building a network marketing business is one of the smartest things you can do with your time and money in today’s economy.
In order for you to be really successful in network marketing, it is important to understand why you should even bother. The truth is that it takes time, effort and energy to build a business. Most people are quite comfortable with where they are, so why bother?
Below are the top 20 reasons why starting a network marketing business right now is one of the smartest things you can do, but first we must understand that we are now living in a new age. “The Information Age”.
Living in the 21st Century
For the last 2000 years of human history, we lived in the “Agrarian Age”. This was a time when it was all about farming. Whoever owned the farms and the land, controlled the wealth.
In the 20th Century, we moved in to a new age called the “Industrial Age”. The first big corporate giants including Andrew Carnegie and Henry Ford, with their huge steel and car companies dominated the business world. It was whoever owned the factories that controlled the wealth.
From the year 2000 onwards, with the rise of the Internet, we moved in to a new age. “The Information Age”. Today, companies like Twitter and Facebook are changing the business world. Today, it is about building and owning networks. This has levelled the playing field. There has never been a better time in history to build and own your own business. Are you set to take advantage?
Why Network Marketing is the
Business of the 21st Century
• Build Your Fortune, Not Someone Else’s
Here is the big question: At your current place of work, who is making a living and who is getting rich? It is whoever owns the asset. The asset is the business. This is where the control and wealth is. By working as an “Employee,” you are spending your 8 hour day building someone else’s asset. You are earning a living, and the owner is building a fortune. You are not only making 10x less money, but also paying twice as much in tax.
• Want To Double Your Income Each Year?
It is very difficult to be able to double your income with a job. In fact, the average pay rise is currently around 2%. This is crazy, especially since inflation is closer to 10%. However, with a business, it is a lot easier to get twice as many “customers” next year than the last, which in turn doubles your income. The smart people are now building their own businesses on the side.
• True Financial Freedom
One of the top reasons for owning your own business is that it leads to financial freedom. Meaning, being able to earn lots of money without you needing to be there. The problem with a job is that you are “Selling time for money”. This means that you can never stop working because your income also stops. With a business, you have hundreds of customers that are generating the income. This means you can go on holiday for a month and be making more money when you come back than when you left.
• Utilise the Internet…(or kick yourself)
Important Point: The Internet is changing the world as we know it, and you are living in the middle of it right now. In 50 years, you might look back and think, why didn’t I make the most out of it? There has never been a better time in history to start a business and especially one that involves connecting with people. You can now contact hundreds of people with a push of a button. The fact you are reading this right now proves it’s effectiveness. You will kick yourself if you do not take advantage of this.
• Living A Rich and Rewarding Life
One of the biggest benefits with a network marketing business is the personal development, which many people are not even aware it exists. To become successful, you have to help other people become successful. It’s very rewarding to watch other people grow and become better people. The fact that you can make £100K per year, working only 4 hours a day, which then gives you all the time and money to enjoy life is a massive bonus.
• Are You Taking Advantage of the Population Boom?
You may not currently be aware of this but, the human race is currently expanding exponentially. Simply do a Google image search for “world population growth“ and you will see world population is going off the chart. Now, this is going to cause a lot of problems for some businesses, but is great for people businesses like network marketing.
• What Job Security?
For over 100 years, the reason people clung to jobs was because of security. Today, with more and more people getting made redundant in a shrinking market, job security no longer exists. People are now looking for a more secure way to earn a living. What is more secure? Having one income stream with a job or an income coming from a hundred places, which you get from having a customer base? Today, jobs are now the risky option.
• Retire Rich or Retire Poor…your choice
The government with the pension scheme made a critical error back in the 1970’s when people could suddenly “Choose” whether they pay in to a pension or not. We now have a massive problem where there isn’t enough money to pay for everyones retirements. Add to that, the fact that the state pension is a tiny £6000 per year, there are going to be thousands of people retiring on half of minimum wage needing another income.
• Want To Work for The Next 50 Years?
People now have a clear choice. Do they graduate from university with £50,000 of debt? They can then either get a job, earn a living and retire in 50 years on the equivalent of minimum wage, or, they can build a business and have the opportunity to retire after only 3-5 years. This is the Industrial Age moving in to the Information Age at it’s most obvious. Those who realise this, will be the ones who will benefit massively financially.
• Want To Start Life £50K in Debt?
With university fees being tripled in the UK, the average student debt is now £50,000. The younger generation are starting life with chains around their neck. The choice the younger generation now has, is going to uni and starting life in debt or starting a business where in 3 years they could become financially independent. Where do you think people are going to be going? Are you ready to help them and benefit financially?
• Do You Use Mass Market Chemical Products?
Did you know that 95% of the food we buy and personal care products we use from the super markets and the high street stores are not very good for you? They are mass produced and in order for them to have a long “Shelf Life” are being pumped full of preservatives and parabens. Studies are now linking these to cancer. The top network marketing companies are botanically based meaning, products that are actually good for you.
• Would You Like An Income That Builds Itself?
When you get to a certain point in a multi level marketing business and you have your team in place, your business then begins to build itself. You cannot do this with a job. This is how you can go then away on holiday and be making more money when you come back than when you left. Thats leverage!
• Want More Recognition and Appreciation?
How would you like to work for a company where your hard work gets regular recognition and appreciation? You can now become part of a strong community of people who all want you to succeed as it directly benefits everyone. This is very rare to find in a job.
• The 9-5 Job Is Broken!
In a 9-5 job, there is only one winner and that is the boss. The reason you only get 2% pay rises is because it comes directly out of the bosses pocket. The more money you make, the less money he makes. In a mlm business, the more money you make, the more money your business partners make. It is a true win/win. This is not only the business modal of the future, it is the business modal of right now.
• Surround Yourself With Like Minded, Fun, Ambitious People
Are you lucky enough to be surrounded by fun, ambitious, like minded people? Most people are not. Network marketing attracts the very best people, which is very beneficial to you because you then surround yourself in a new culture that supports you and helps you become successful. Remember this: You will earn what the 5 closest people around you earn.
• A Shrinking Job Market
With increasing population and more traditional businesses closing down due to the Internet, there are now less jobs for people to go for. This means employers can and do take full advantage of this, asking people to work longer and longer hours for the same money. This is becoming more and more common and is making people work in a fear based environment. Do you want to continue to live like this?
• Getting Poorer with Rising Prices? – Inflation!
So, the government statistics state that inflation is around 3%…so why then are our gas, electric and phone prices going up closer to 10%? You don’t need a degree in maths to know this doesn’t add up. The truth is that if you are not getting closer to a 10% pay rise each year, then you are actually getting poorer. Inflation is a stealth tax which the masses are not educated to realise.
• Get Free 5* Holidays and Drive A Luxury Car
The top multi level marketing companies offer their consultants great incentives for their work. These include free luxury cars, all paid for 5* holidays to paradise islands and free weekends away. Why save up for your holidays and car when your work place will pay them all for you? Does your current employer offer you this?
• Want The Same Tax Breaks of the Rich?
Having a part time or full time home business gives you great tax incentives that are used by the rich. All of a sudden, all your transport, rent, computer, phone, office equipment, coffee shop visits, meals out, as well as many other things all become a tax deductible expense. You too can have access to tax incentives that rich people get to use.
• What Do Donald Trump, Richard Brandson and Robert Kiyosaki Have In Common?
I am going to finish with this. Some of the biggest business people all around the world are either involved or recommend network marketing, including Donald Trump, Richard Brandson, Robert Kiyosaki, Stephen Covey, Jim Rohn and T Harv Eker and many more. Who are you going to listen to? Need I say anymore?
The BI Triangle was created by Robert Kiyosaki and the Rich Dad company to show an ‘easy to understand’ visual of what makes up a good business.
Creating a successful business always starts with, a noble mission from a leader with a vision. The leader will then put together a winning team.
Once the team is in place, you then need to manage your cash flow, have great communications, build the right systems and make sure all the legal requirements are in place. It always surprises people that the actual product of the business is the least important part of running a good business. The product, as you can see, is just the tip of the iceberg.
Below is the BI Triangle broken down for a network marketing business. This should really help you understand what it is going to take to build your own thriving network marketing business. Enjoy.
All businesses (whether they plan it or not) are built on a “Mission”. A reason for existing. The mission is the driving force of the business and all the people that work in it. It bonds people together, working for a noble cause and creates a great place to devote time, effort and energy. The mission of a network marketing business would be “Helping people become financially independent”.
Once the mission has been established, what determines whether the business is ultimately successful or not is the leadership of the owner and the leadership of the team. The good news is that great leaders are made not born. Here are the critical factors that make up great leaders.
• Your Vision
You must have a crystal clear vision of what it is you are tying to achieve. The end result. What your business will look like when everything is running perfectly. If you do not have this clearly in your mind, why would people want to join your organisation? A leader without a vision, is a team without direction.
• Leading by Example
The second important part of great leadership is leading by example. In network marketing, everything gets duplicated down your business whether you like it or not. You can’t tell people one thing and not do it yourself. You must set the bar high for you and your team and then lead and show people what to do.
Once you have a clear established mission and have a clear vision of what it is you would like to build, it is time to put your team together. In network marketing, this mainly includes your power team of 4, your sponsor or business coach, an accountant and mentors. Top Tip: Remember to build a team of people better than you.
Understanding and managing your cash flow is a critical business factor. Cash flow is the oxygen of your business which everything is built and runs from. What is cash flow? Cash flow is what is left over, after you add up your total income and then you minus all your fixed expenses at the end of each month. The key is to use the excess money to make more money. This may be from your job at first.
Effective communication is the next critical factor. This can be split in to two parts. Internal communication with your team and external communication of your business itself, through effective sales and marketing.
The key with communicating with your team is to make sure you have regular contact. Weekly meetings and even 5 minute daily phone meetings are very valuable. Regular communication keeps people on track and motivated and fixes most problems before they arise.
• Marketing and Sales
Sales and marketing is basically just the “Message” of your business. Your business coach will teach and show you exactly what you have to do and say, and the company will have most of the marketing material already in place. Good marketing is the difference between thriving and surviving.
To make this easy to grasp, look at systems this way. Everything you do throughout the day is a “System”. A system, basically just means ‘how you do something’. You have a way of doing anything and everything. We always want to be making “mirco-improvements” on all our systems all the time. Making everything you do better and better. These will compound over time and dramatically change your results. The main business systems include:
• Lead generation
• Follow up
• Daily reading
• How you think
• Time management
One of the biggest benefits of running a network marketing business, is the fact that 90% of the work that makes up a business has already been done and is already in place. It is very similar to buying in to a franchise. This makes the legal side of this type of business very simple. The main thing you need to do is just:
- Register as self employed and open a separate bank account for all your business uses
The product is the smallest and last part of the BI Triangle. This is because it is the least important part of what makes a successful business (though most employees believe it to be the most important). In network marketing, there are actually two main products.
• The companies actual product
• The network marketing business itself
Yes, the company has a range of products or services, but the real network marketing professionals know that the actual product you are selling is the business itself. By creating your own network marketing business, you have a vehicle that creates financial freedom and this is what you are offering people.
I hope you found this valuable.
Biggest Myths About MLM – A Must Read!
This is going to be one of the most important articles you will read on network marketing and the MLM industry.
This is because I am going to go head to head and address the biggest myths, concerns and problems that people have with the MLM industry.
I am going to go full out, face them head on, and I am not going to hold anything back. I truly believe that the MLM industry is one of the most mis-understood industries out there and I am here to set things straight.
Below are the biggest myths that people have about network marketing. I am going to show you that not only are they blatantly wrong, but they are stopping hundreds of people starting in business and building an extraordinary life for themselves and their families.
This needs to change right now.
Disclaimer: I apologise in advance as I am going to get very blunt and to the point. This is because I am very passionate about this subject and people need to know the real truth. Your financial future depends on it.
This is a hot debate and I encourage you to post your questions and comments below this article after you have finished reading. Lets start with the main problem with MLM.
The Problem With MLM
Let me start with what I think the biggest problem is with MLM and why 95% of the misunderstandings exist. It is because 95% of people who start in MLM have never had previous business experience. Meaning, the industry is full of “Untrained Sales People”. This is very dangerous.
It’s very common when starting out in business, to only think about making money. To only think about your needs, wants and goals and not to consider other people.
The 95% are just trying to get people in to their business, so they gain financially. But this is not how good business works and this why now we have myths and misunderstandings, which has given the industry a bad name in the eyes of some people.
Pyramid Structures Are Bad.
The first biggest misunderstanding people have with this type of business, is the structure. Some brand new inexperience consultants do not know what to say about this, and end up trying to deny it or cover it up by saying, it’s an upside down pyramid, but here is my response.
So what? So what if it does.
Here is the important point that 95% of people miss. So has traditional business and government and religion and nearly every big organisation out there. They all have a pyramid structure.
The Traditional Business
Picture this: In traditional business, you have the CEO/MD at the top of the pyramid, followed by heads of department, followed by upper management, followed by middle management, followed by lower management, followed by supervisors, followed by new staff, followed by customers. It is a pyramid structure.
Next, religion. With religion, you also have the pope at the top of the pyramid, followed by cardinals, followed by priests, followed by church leaders, followed by helpers and so on. It is a pyramid structure.
Next, government. So in government you have the President/Prime Minister at the top of the pyramid, followed by his closest advisors, followed by heads of department, followed by chief MP’s, followed by MP’s and so on. Guess what? It is a pyramid structure.
MLM is A Scam
The next concern some people have about starting a network marketing business is that they have heard, that it might be a scam or that it is a pyramid scheme. If this is you then do not worry. Firstly, MLM is not a scam or pyramid scheme. Why? Pyramid schemes are illegal.
What Is A Pyramid Scheme?
A pyramid scheme is where the owner gets people to invest their money, with the hope of getting a return on their investment.
The owner keeps recruiting new people and then begins to pay the initial people off with the new investors money. The main difference is that there is no product involved. The product is money.
Pyramid schemes are illegal. The big difference with a network marketing business is that these companies are not illigal and they distribute actual products.
So is it a scam? The short answer is no. It is a industry regulated by a strict government body that has been around for decades and is one of the fastest growing industries today.
The reason you many have heard it might be a scam is because someone you know, may have joined a company, realised that there was actual work involved and then quit. To make themselves feel better, they then tell their friends and family that it was just a scam to save on any embarrassment. Today, it is just an easy excuse.
People Are Just In It For Themselves
Another mis-understanding is that it is not about customers, like in traditional businesses. It is just about that person trying to get you on board so that they can make money from you. Lets take a closer look.
When you go in to a Mcdonalds restaurant, and they give you a burger, what are they doing? Trying to make money.
When Virgin Media knocks at your door to offer their services, what are they doing? Trying to make money.
When you go in to any shop and buy anything, what is the business trying to do? You guessed it. Trying to make money. This is the same for all businesses
QUESTION: Why do we buy a burger or broadband or anything?
ANSWER: Because, we will become better off afterwards.
It makes our life better. So, if someone came to you with a product that made your life better, would that be a problem? No.
The problem is if the sales representative, was just trying to make money from you, without thinking about you right?
So here is the recurring theme of this post. The problem isn’t MLM, the problem is the sales representative. Makes sense?
It Doesn’t Work Due To Market Saturation
Another concern some people have is that network marketing doesn’t work as the numbers don’t add up. Meaning when everyone in the country has a business, then there is no where else to go and it all fall down.
Very simply, if this was true, then why has it never happened yet, with any of the hundreds of companies in the 80 years it has been around?
The issue people have is that MLM teaches a simple system of, finding 4 people who find 4 people and so on. This is the compounding exponential growth model. It works like this.
And so on. The problem people have with this is that it is not mathematically possible for this to continue as you run out of people in the world. (The critics love mentioning this.)
Here is the important point. This is not how the business must be done. This is just an example of how you can grow a business using only referrals. This is the same for any business!
Remember This: You can build a highly success MLM business by just building a customer base without ever recruiting anyone.
We just teach the 4 find 4 strategy because it is really easy modal for a brand new person to understand and get started with. Which leads me to my next point.
It’s So Easy To Be A Critic
It’s so easy to be a critic. Anyone can be a critic. Anyone can sit there and pick faults in people and businesses and tell you all the reasons why it won’t work.
What it more difficult and admirable, is choosing not to just follow the crowd and stand up for what you believe in. To go for your dreams and put yourself out there in front of the critics.
There are two kinds of people in this world. Ones that go out and try to build a better life for themselves and their families, and ones that sit there, poke faults and tell you all the reasons it can’t be done, without even actually doing it themselves.
There Are Ethics and Relationship Costs?
Now we have the argument of whether this business is ethical and if there are any relationship costs when talking with your family and friends about starting a business with you.
I repeat again, the problem isn’t the business, the problem is HOW you do this. If you had a way of genuinely improving your closest loved ones lives then, would let them know about it? Of course you would.
If that person wasn’t interested then fine. But you would be doing them a dis-service by not letting them know about it. There are millions of people becoming financially independent all around the world with network marketing.
Network marketing is one of the fastest growing industries that has created more millionaires than anything else. You would actually be annoyed with your friend if you became a big success and you hadn’t told your friend about it and given them the freedom of choice to decide if it was right for them or not.
So here is the actual problem. The problem is HOW people get told.
The problem is when people “trick” their friends in to hearing about it. They will ask them to meet up for a catch up and then suddenly launch in to a business opportunity.
DO NOT DO THAT. This is why people think that there might be relationship costs. It is not good for anyone and it is giving the industry a bad name. Stop it!
Bottom Line: Just be open and honest and let people decide for themselves if this is right for them, and there will be no relationship costs.
Only The People At The Top Ever Make Money
Another concern people have is that, it is only the people at the top that make any money. 90% of people who join don’t make any money. Guess what? This is true. You’re right. However let me also reveal some very important insights to you.
This is the same in learning any skill or industry!!!
Let me explain.
The Martial Arts Analogy
The best analogy for starting a network marketing business, is that it is very similar to starting in and progressing in the martial arts.
Picture This: In a room of 100 people in a typical martial arts class, there will be a 1-2 black belts who are taking the class, 3-7 brown belts helping out, quite a few more red and blue belts, and the vast majority of people are white belts or brand new. Sound familiar?
Building your MLM business is just the same as wanting to become a black belt. The sad fact is that most people quit.
Most people didn’t realise that there was actually work involved. Most people did not have clear goals of what they wanted. Most people did not have a clear reason why they were doing this in the first place. Most people did not turn up to training. Most people have bad habits. Most people did not take it seriously and most people quit!
But the important point is that anyone could of become a black belt if they wanted to.
Want another example?
The Gym Analogy
Lets take getting in to shape. Of 100 people in a gym, how many actually have great gym bodies? 1-2 probably.
Those were the ones who have trained and worked at it for a few years. Those were the ones who took it seriously. Those were the ones who had a strong reason why they were doing it. Those were the ones who turned up to train when it was raining or they don’t feel like it or when people told them to just stay at home that day.
You then have a few more people in the gym who are in good shape, a few more people in average shape and then the 90% of people who join a gym realise it’s hard work and quit!
Most Business Do Not Make Money
90% of ALL business fail. Not just in network marketing. Why? All the same reasons.
Most people just want to get rich quick. Most people don’t have any proper business plans. Most people didn’t realise that it takes years of work.
Most people didn’t have a good enough reason why they were doing it. Most people have bad habits. Most people like watching TV instead. Most people let other people talk them out of it. etc etc etc.
Bottom Line: Yes 90% of people don’t make money, but this is everywhere and in everything we do.
The Good News!
Ready for the good news? If you do take it seriously. If you do set clear goals, if you turn up to training every time, if you get better everyday, if you have strong reasons why you are doing this that isn’t just about money, if fix your bad habits, if you start with the right expectations and commit to becoming successful and don’t just quit after 3 months, then you too can and will be in the top 10%.
Thats all they did.
So, to quickly answer all these concerns I would say… So what if it is pyramid shaped, so has traditional business, government, religion and every other big institution.
No it’s not a pyramid scheme, they are illegal.
This business is about helping other people. I am sorry that a bad sales representative didn’t respect you and just tried to make money from you. This is not how good business really is.
Yes, the maths does add up. Compounding is just an example we give for new people so they can easily understand.
No you won’t burn close relationships if you are just straight and honest with people.
Yes only the top 10% do make the big money, so work hard and get in to the top 10% of people. If you don’t someone else will.