1 replies
I see a lot of MLM recruiting has moved online. I'm curious about the MLM business model, a world I know very little about.

What are the top guys/girls doing? From the outside, it looks like the only way to make any money is to get in near the top of a new MLM and ride it as long as possible.

Does that mean savvy MLM people are working several "brands" at the same time, constantly renewing their portfolio when one peters out?
#mlm #question
  • Profile picture of the author jamesfreddyc
    I'm not involved or building a network but did in several years ago. This is how I approached it and would advise anyone to do the same. The problem is MOST view it from "the company I am with", which is just wrong.

    Legitimate MLM is simply a distribution channel. A channel of network owners, partners and consumers that purchase and sell products at wholesale and retail.

    Legitimate MLM opportunities allow you to treat "the company" solely as a supplier to that channel you are trying to build. In this way, "the company" is agnostic to your network (your business) and you should be able to plug in ANY supplier into that network in order to introduce products and maintain products that fit well for that channel.

    Legitimate MLM allows you to establish retail and wholesale customers that value the products within your distribution channel.

    Legitimate MLM allows you to establish partnerships and replicate the processes you used to build that distribution channel.

    All of the aforementioned items SHOULD allow you to say "yes" to the following question: "if no one new was recruited into your network for the next 3 months, would your income hold?"

    The vast majority will be unable to answer that with a yes because they've approached their "opportunity" not from the perspective of developing a distribution channel, but have been suckers of the pitch of riches given by their upline that are making money off of recruiting others into something rather than making money off of the sale of retail and wholesale purchases.

    The bottom line: there is no legitimate business that generates revenue simply from recruiting people into the network. Those are pyramid schemes.

    To summarize my advice if you are considering joining something, I would ask that person trying to recruit me:

    1. If you did not recruit anyone in the next 3 months. will your income remain the same?

    2. Can we bring on a new product supplier (aka, "the company") to my network?

    3. Is the cost to join $50-$100 and no other purchase requirements?

    Those 3 should dumbfound most who are pitching some "opportunity" because most are not in real business development and are most likely involved with some quasi legitimate MLM scam.
    {{ DiscussionBoard.errors[10320448].message }}

Trending Topics