What the Heck is MLM?

MLM stands for Multi-Level Marketing, and is also referred to as Network Marketing.

This type of business model is used for most if not all Home Based Businesses, and can be described as a combination of Direct Marketing and Franchising; meaning there can be different levels of people receiving commissions from one person's sales.

So different levels like a Pyramid Scheme, right?

A lot of people associate MLM with the pyramid scams we've all heard so much about, and that's simply because of the similarities in structure.
The difference between the two is the fact that a pyramid scam has NO product or service being moved. You simply get paid to continuously recruit people into your downline.

Recruiting should not be the only way to earn money in your Home Based Business, there should be a real product/service that you could market alone and still be successful without recruiting anyone. If the company you are involved with doesn't allow that look out because it's a pyramid scam!

A lot of Network Marketing companies that sell an actual product will require you to actually have a certain amount of products sold before they even pay you for recruiting.
When selling a service you may not have that restriction, but you will need to market the service in order to get certain promotions.

I'll go into detail when I explain the Compensation Plans, which is the break down of exactly how you get paid.

I hate all the negativity surrounding MLM

When I did a google search on multi-level marketing or a specific company, I was annoyed by how much negative information I saw. There were blogs, forums, and websites dedicated to bashing that company or network marketing as a whole!

I understand everyone is entitled to their own opinion, but almost all of them were confused about network marketing and didn't really know what they were talking about.

I saw comments from people bashing the MLM community or company, and people replying to those comments to explain why they weren't scams. The problem is to someone who's new and looking for information it all looks bad.

Most of the people that were doing all of the bashing were people who had either fell victim to a pyramid scam disguised as a real network marketing company, or had once owned their own home based business thinking they would get rich over night; then failed and quit after their first year.

I decided I would try to clear up some of the misconceptions that I saw on those websites.

Misconception #1
Any company that makes you pay money to work for them is a scam.

My reply: You pay money when joining a MLM because you are investing money to own a business, you're not paying to "WORK" for the company. If you are looking for a job and want to Telecommute you should not be paying for it, the hiring process should be similar to a regular job.

Misconception #2
Why pay all that money for a company replicated website when you can get one for as low as $5?

My reply: When you pay a monthly fee for your business, you are not paying for just the site itself. Actually the site might as well be free, because you are paying for the management of the site, customers, and products. How much do you think it will cost to make a website, host a website, have someone to answer all of your customer's questions, take their calls, manage and ship all of your products. If it's the same price as the low monthly fee, then go right ahead!

Misconception #3
You can't make money if you have to spend it all buying the product.

My reply: You don't have to buy the product for your own use! The product is supposed to be sold by you, if you are buying the product and just storing it in your closet thats what you choose to do. Don't buy more product than you can sell, it doesn't make sense!,

Misconception #4
People don't really buy those products if they can get them from a store or mall.

My reply: Network Marketing is a people business. I could go to the store and buy something sure, but why would I when I have established a personal relationship with someone that I can actually talk to whenever I want. I would feel more comfortable dealing with one real person instead of a huge store with a bunch of employees

I will continue searching for more and update this page as I find them.

MLM isn't for everybody.

I hate to say it, but it's not. You have to be someone that is dedicated and business minded to make this type of business work for you. So if you understand that it will take time to succeed, and that it takes real work and commitment on your part. This type of business might be for you.

Need help finding the company that's right for you? Tips, on what to look for when deciding on a Network Marketing Company.

Please check back soon for more information

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