This page was last updated on: May 28, 2013

MLM IS A GOOD BUSINESS
MLM FOR DUMMIES 101
It is imperative that a distributor representing an MLM company have an excellent working knowledge of the product, the company, the compensation plan and the industry.  Sharing one’s “product story” with a prospect is the foundation of MLM success.  Using a product with the intent to evaluate its effectiveness and potentially build a business is an essential first step.  No product story, no business.

Since MLM products (as a rule) are priced higher than what might be considered “retail” in stores there needs to understanding and consideration of:

a. MLM products have to be of higher quality than retail products to get customers to “feel better.” Time after time exposé’s on TV show that many items on a store shelf contain nothing but the equivalent of “sawdust.”  To stay alive MLM companies “generally” have to produce  higher quality products.  To determine which are most effective requires a product by product test by the MLM seller.  Only by personal experience can an MLM Distributor “bond to a product.”  This “bonding” is an essential element of being able to aptly sell a product.

b. MLM nutritional products are “generally” more complex than store shelf products.  That means there are more nutritionals in a capsule than those on a store shelf.  Why MLM?  Because a product on a store shelf can’t tell about a complex mixture in a small label on a bottle.   The whole story about what the complex formula in an MLM liquid or capsule needs to be told verbally from one person to another.
MLM DUE DILLIGENCE AND INVESTIGATION FOR A GOOD MLM COMPANY PLUS HELP

MLM IS GOOD – ANOTHER REASON “SOCIAL PLACES”
Ray Oldenburg,  is a now famous sociologist who wrote a book about 10 years ago, called The Great Good Place.  In  the book wrote about the critical importance to human society of informal public gathering places. Oldenburg divided our social life into three "places."  They are:

Our first place is the home, our second place is work, and the neighborhood bars, bowling alleys, and coffee shops are our collective "third places."

The third social “places” are becoming almost extinct.  After World War II, according to Oldenburg, older neighborhoods have often lost their cafes, taverns and corner stores to the ravages of urban renewal and freeway expansion.  Newer neighborhoods that developed under single-use zoning restrictions (houses only) made these critical third places illegal to even operate.

"Life without community," Oldenburg wrote, "Has produced, for many, a life style consisting mainly of a home-to-work-and-back-again shuttle. Social well-being and psychological health depend upon community." Later  he writes,  What suburbia cries for are the means for people to gather easily, inexpensively and regularly, without expensive transportation.

This is why MLM party plans have grown and people like MLM opportunity meetings because, they provide social well-being and psychological health.  You meet in a group with a common cause that does not require extreme dedication.  There is a common thread of communication, especially in the coffee shop after the meeting.
MLM DUE DILLIGENCE AND INVESTIGATION FOR A GOOD MLM COMPANY PLUS HELP

WHY MLM PART TIME?
By Rod Cook

GOVERNMENT PYRAMID SCHEME UPSIDE DOWN!
The U.S Government's private pension insurance program is in financial straits. Their deficit reached a record $8.8 billion at the end of Aug. 2003.  The Government's Pension Benefit Guaranty Corp (PBGC)  reported a deficit of $5.7 billion by July 2003 and then jumped in Aug.
The PBGC insurance fund comes from premiums paid by private companies that run their own pension programs. It is not intended to be funded by tax dollars.
PBGC estimates that it is under funded by $350 billion to cover private pension programs that it is responsible for. Some pension plans are in such bad shape that $80 billion worth of them may have to be paid by the PBGC.
One fix is very unpopular with retirees!  Legislation has been proposed that would reducing pension pay to retirees in the next 2 years by 10%!  Ed Note: Social Security won't be far behind so hang on to your hats!  It is up to you to develop diverse streams of income!
Article source: Congressional Budget Office.
MLM DUE DILLIGENCE AND INVESTIGATION FOR A GOOD MLM COMPANY PLUS HELP

MLM IS A GOOD BUSINESS
Yes, there are some bad companies out there and pure pyramid schemes.  Over all MLM is the Last hope in America for the little person to learn how to make money and actually do it.  There are over 10 million people that earn a part time to a full time MLM income.  People that hate MLM always ignore the part timer person because I swear the "Bashers" (see below) would rather have them washing dishes or waiting tables.  My heart goes out to that divorced woman with 2 kids whose MLM income lets her spend more time with those kids.  A woman who that extra $500 a month means the "world" to her and her kids.  I look at the people making a living at $3500 a month that are happy.  It isn't just our industry that highlights the high income earners so does Franchising and all types of business opportunities besides MLM.  It's human nature to look at high dollar earners.  Every year when college starts enrollees are looking at what graduates started earning when they graduated last spring.  Priests and teachers are the only ones deliberately going into a low end earning business (they earn respect)!

Am I against more government regulation of MLM - No!   However I have owned enough Franchises to know that it hasn't helped a lot in that arena.  The Government knows it too, and that is why nobody has really pushed for more regulation.

MLM HAS CHANGED AMERICA
In the last 50 years MLM has change America for the good.  With the advent of Wacthers in 1937 and California Vitamins in 1941 (later becoming Amway) MLM changed the health of Americans forever.   MLM started the health food industry.  It made it a common word.  The health industry did not start with a few health "food nuts" opening stores.  It was given awareness by millions of MLMers through the 40's, 50's and 60's out introducing longer life and longevity through vitamins and nutritionals.  Every year Americans get fatter and the medical establishment manages to kill more patients.  But, overall Americans live longer every year!  The reason for this was the personal awareness that grew through the introduction of the idea of living longer by taking vitamins, nutraceuticals and health foods.  MLM companies trained millions more than never stayed in the industry - but they spread the idea.  That helped Americans too.MLM DUE DILLIGENCE AND INVESTIGATION FOR A GOOD MLM COMPANY PLUS HELP

MLM changed the face of many other areas in America.  Telephone deregulation set the ground for MLM to take over telecom - Do good sales.   Tens of millions of people were stuck paying high phone rates (despite mailers and ads).  Most were older Americans who were afraid to change.  MLM changed that cutting phone bills in half or a fourth for older people.  This never would have happened without MLM.  Do you think a local phone company would tell its customers they could save 50% on their phone bill?  No, but their nephew would, and did, by the millions!  Look around - there are more examples like these.

WHY DO I THOROUGHLY DISLIKE MLM BASHERS
AND THEIR ACADEMIC FRAUD?
Most MLM "Bashers" (people that say MLM is no good) have never been close to a good MLM company. They took one bad experience and go bonkers about it. Their point of veiw is a pinhole to match the brain in. Most are wage earning tongue draggers that have not been outside their local city limits. Why do I get mad at them? I have global experience. I have lost more money in more businesses (the majority non-MLM) than those losers ever made! I have also made more money (some of it in MLM) than they could even remotely imagine! Most MLM bashers hate successful people.  They go into a state of shock when they see "ignorant" people (by their silly standards) making money. The bashers never figured out that People without a P.H.D. are not automatically dumb. The bashers were outraged when they saw high school dropouts making $500,000 a year. Of course many bashers, that joined MLM companies, were really outraged when they found they would have to "share" or sell something.  Work - on my no they cried!  Bashers want people to live in cradle to grave society with no risk and wash dishes their whole life. They are the "new socialists" and work hard at destroying vestiges of the last bastion of economic freedom in America and the world!  They totally ignore the "little" success stories outlined in the first paragraph.
MLM DUE DILLIGENCE AND INVESTIGATION FOR A GOOD MLM COMPANY PLUS HELP

Big Basher >>> blow out of context lies - Sixty percent of people that join MLM never make any money!  But the Big Lie is that people such as Frederick Taylor pHD (I use a small p as a sign of disrespect). is that nobody makes any money without looking at conparative statistics for similiar sales jobs (independent contractor salespersons).  Taylor doesn't substatiate his research which to me is academic fraud.  My sales position research comparisons are ones that any of you can do in your hometown in a heart beat!   Examples:

1.  Real Estate Agents (independent contractor salespersons):  They spend about $1000 to go to school.  They spend $250-500 to get their license.  Sixty percent drop out without ever selling a house.
Easy research here, talk to anyone in the real estate business!

2. Life Insurance Agents (independent contractor salespersons): Spend several months in On the Job training and in many states have to take an exam.  Sixty percent or more only sell one life insurance policy...  and that is to themselves!

3. Mortgage loan Officers (often independent contractor salespersons):  Three mortgage brokers that employ these loan officers told me that after months of study, on the job training and taking the test that my 60% drop out comparison is too low.  They said 70-80 percent.

4. Door to door sales agents (independent contractor salespersons): A friend of mine ran Kirby vacuum sales crews.  The drop out rate was 90% in the first two weeks after weeks of training.

5.  Car Salespersons:  No obscure research here, 80-90% of new salespersons here drop out.  Call your local car dealer!

My, my my in just about any direct contact sales field Sixty Percent or more drop out.  and golly - just about the same number of people drop out of College their freshman year (after spending $5-10K of Mom and Dad's money)!   A friend of mine sent his daughter to medical transcription school for $2500 and 3 months of her life.  She transcribed 10 tapes and quit.  .
Also See  - http://www.mlmwatchdog.com/Report_TheRing.html

MLM DUE DILLIGENCE AND INVESTIGATION FOR A GOOD MLM COMPANY PLUS HELP


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