How to Have a Healthy Business when Working in Multi Level Marketing

What is MLM? Done properly MLM – Multi Level Marketing, is a form of marketing that distributes products via independent distributors working with the company that supplies the products.

This means that a “proper” MLM company is more of a direct sales company with a product range that people want to use and that they want to use on an ongoing basis.

Supporting that direct sales role is a market plan that will pay the distributors wholesale profit and royalties for recruiting and supporting a sales team of their own.

There are many variations of this that masquerade as MLM but that are not.

If there is no product then it is probably a pyramid selling scheme.
If there is no work to be done, that is, you can make money without having to do anything yourself, then that is also likely to be some sort of scam.

MLM done properly is just traditional sales and marketing where you have satisfied customers who like your products and you get paid directly on the customer base that you create and support. You also get paid for recruiting and building a sales team of your own.

It is almost like there are two halves to the business; the traditional sales and support and the more corporate side of leadership and team building.

This means you can build cashflow from your business and it also means that you can build a residual income from the royalties that can support your lifestyle, give you retirement income or, if you get right into it and do it right, you can get rich.

There are certain things that you need to look for in a company you decide to work with.

The first is that they have a product that you like and that you are interested in. No matter how good the business looks, or how fantastic the market plan, if the product is not of direct and personal interest to you then you are unlikely to be successful with the company over the long haul.

The second thing is that the company needs to be solid. In the industry they talk about the 5 year rule. As most companies fail or change their systems in the first 5 years then getting involved with a company that is less than 5 years old is a huge gamble and is most likely to give no long term results for you. If you are looking for short term cashflow then by all means go with a “ground floor” opportunity but if you are looking for stable, long term residual income to support yourself in retirement then the odds are that an established company is the answer you need. That narrows the opportunity down to just a handful of companies who have a very solid established organization but that also have strong growth.

Finally, you need to find a sponsor, or a sponsorship group, who is going to support you.

If you have someone who you relate to and who is going to put their time and their money into supporting you in your own business then you can be fairly sure that the business they are in is a genuinely worthwhile one. The key to MLM is that your sponsorship should only make money when you make money. That means that they are directly interested in helping you success. Ask questions of the people who are offering you the opportunity. There will always be a set up cost but that cost should be low, often only $100 or so or maybe a little more if you are getting some sample products included in the package. If they are talking over $500 then they are selling you a business, not looking to work with you to build a business. This is different from proper MLM where the whole process is set up to ensure that everyone wins.

Finally, check what the ongoing costs are. A good MLM company creates satisfied customers and makes money for everyone involved. If you are looking at a business that has ongoing costs or fees you have to pay, then you want to make sure that they are not making their money out of selling you marketing tools. If you are putting more than basic start up costs into a business then you need to now that the income it produces covers those costs. With a proper MLM business done in the correct way it should be cashflow positive, not cashflow negative.

If you check these rules and find the right company, with products that suit your areas of interest, then you can build up an income around what you are currently doing till it is strong enough for you to step to it full time. It can be a vehicle to set yourself free and build a financial security that is not left in the hands of governments and funds managers. MLM is one path that can let you take control of your own life and your own future.

Warren Tattersall has grown an international business in network marketing health & nutrition products since 1991. His world wide leadership team has openings for new consultants in 60 countries right now.

If you are just at the point of considering whether or not Direct Sales or Home Business Marketing MLM is something that you can do and make money at it, you need to do some research before you make any decisions.
There are some great Home Business Marketing MLM opportunities in the nutrition direct sales industry.

Get a free report about creating a home based business or even a no-obligation personal consultation with Warren Tattersall when you visit

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