When I first joined my network marketing company, I must say I was lucky because I joined without really researching and still was able to achieve success that 95% of people who join these companies don’t.
Within my first 6 months in the business I had accumulated over 6 figures through the efforts of myself and my team. Life was wonderful however I started to see a trend, there were network marketing companies popping up left and right. This did begin to spark my interest because I started hearing about all these different compensation plans and different incentives. I started to notice that it wasn’t just about me and my company. I was still doing good but I wanted to do some research to see more about this wonderful industry.
Any who, this article is about things you want to look for when joining a network marketing company. Here are my top 10.
1. Is it expensive to join? If it’s a legit Network Marketing company they will most likely have different ways you can join. There will be one way which will be pretty inexpensive however you may not get any products or services with the pack. Then there will be either a middle plan and/or the highest plan which will get you more products or services. Usually most people will go for the higher priced plans to get the products.
2. Does your company focus on paying you for sales versus enrollment of new distributors? A network marketing company should focus more on the sale of the products. If you see that it’s all just about enrollment enrollment enrollment, this should spark a red flag. We all must understand that network marketing is nothing more then direct sales with a twist.
3. How are you reward for personal sponsorship? This is the twist. You do want to be rewarded for sponsoring someone but it should be because of the products they purchased in the sponsorship. Basically how they enrolled and with what products purchased. Never should you enroll someone for a phenomenal fee and they receive nothing. That is a pyramid scheme.
4. How important is training and supporting your downline in the company? You want your team to do well so the reward will come in form of maybe leadership recognition. You must understand that when you start enrolling people, you are now a leader and responsible to helping them to achieve the same things you have. If a company tells you that you never have to help your team at all, this should spark a red flag.
5. Do you get compensated for volume sales in your group? Generally this is where your compensation falls into play. If you are in a legit network marketing company you will be rewarded for volume brought in by your team/group/downline.
6. Do you get recognized for advancement? One of the main reasons a lot of people join network marketing companies is because love the personal recognition. Believe it or not people like to recognized for their hard work. You will find this in all great network marketing companies.
7. Are there additional rewards and incentives, such as trips or cars? Most network marketing companies will also offer additional rewards on top of the compensation. Ways to recognize their distributors in other ways for their hard work.
8. Is the required monthly payment reasonable – not so high that you can never achieve it, and thus never receive compensation? All network marketing companies should have some monthly minimum that is reasonable. If they didn’t, that would raise a red flag with me. How can a company survive without a monthly minimum requirement?
9. Are dead-weight distributors rewarded? I’ve heard of compensation plans paying what we call “non-producers”. They just enroll and never do anything to grow their business. If a company pays you regardless if you do anything or not, then RUN… something is not right.
10. Do they sell real products or services? I’ve heard so many companies with these gimmicky ideas with no real product. If the ideas seem to good to be true, they might just be. Do your research on the products or services offered by the company. Make sure they are actually legit. You may find negative reports but review them carefully and make sure they aren’t just some displeased customer as with anything NOT EVERYONE is satisfied.
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