For those of you that know me, even if it’s just through this blog and the one at TaxLoopholes,you know that I hate to recommend anything unless I’ve thoroughly researched it.
A while ago I started researching direct sales companies. I’ve seen the model work, again and again. For people who work the plan for 4-5 years, income suddenly jumps to $30,000 - $50,000 per month. I just saw it again for a friend of mine. Only he did it in 2 1/2 years. That in and of itself was unusual. I’ve never seen anyone jump that fast and I’ve known some very powerful marketers. My friend is good, no doubt about it, I’ve known other guys who are good.
Here’s the other issue for me on the direct sale companies. I don’t want to have to talk someone into using the product. The nightmare biz opp for me would be having to convince people why this magic potion was the best thing ever and after fighting all the initial resistance, then seeing it for sale at Costco for half the price.
We’ve had a comment to that effect in other blog posts. In cases like that, the only way the biz opp works is if you recruit someone. And then even if you’re legally not a pyramid scheme, it sure feels icky like one.
I want to find something that I can support and that works even if you never sell a single person on the plan. Then you WILL sell people on the plan because it works without selling them. Not sure if that circular argument made sense - basically if you have to spend all your time trying to overcome objections you might just have the wrong thing that you’re pitching.
So I checked out my friend’s direct sale company. I talked to the founder. (One of my rules - I want to get through and ask some very direct due diligence questions. I’ve done tough due diligence for some of my hundred-millionaire clients and trust me, I know the hard questions.) He passed that test. The product is something every person needs AND it’s 1/3 of the cost that you could buy it at Walmart. (I don’t think Costco sells it, or I’d use that as the benchmark).
And one more thing - one of the guys came up with a challenge that if you followed this program for 6 months, you’d get 20% more business - guaranteed. No one is really promoting that challenge anymore. But I love that!
So, here’s what I’m asking you. I want to do one more test. My husband and I started this program this Monday. If after one month, I see the jump, I’ll do a webinar on the program. If this works, I’ll show you exactly what I did and I’ll share my own spin on how we did it. You can follow along step by step and it won’t cost you a dime.
Are you okay with waiting a few more weeks?
July 11th, 2008 at 5:20 am
Nancy and I are in. This is almost like waiting for Christmas.
July 11th, 2008 at 6:35 am
>>Here’s the other issue for me on the direct sale companies. I don’t want to have to talk someone into using the product.<<
I suspect this is the #1 objection folks have about MLM opportunities, and the #1 reason would-be customers shudder when they learn their friends have a new venture.
It will be great to watch this story unfold! For this crowd, anything generating revenue w/o impacting quality lifestyle is of interest. Great detective work.
July 11th, 2008 at 9:04 am
I’ve thought a lot about MLMs and perceptions. There is a lot of negative media about how they are “scams.”
I know there have been a few that are scams, just like any business. I know of a few that were brand new and people jumped in because they knew if you are early on an opportunity and it takes off, you can make a lot of money. But, they didn’t do their due diligence and the company wasn’t ready for growth, so it folded. There have been cases like that and cases where the founders just took the money and never delivered.
So it’s a fine balance between finding a company that is new enough that there is still a lot of opportunity and isn’t too new that it hasn’t been tested by fire.
Another issue, at least in my opinion, is that there is a very low barrier to entry. If you want to buy a manufacturing plant, for example, you’re either going to need a whole lot of money or you’ll need financing. If you have a whole lot of money, there is a presumption that you understand due diligence and plus you have the cash to hire someone to investigate it for you. If you need financing, the bank is going to require a lot of due diligence. Either way, there is a much higher barrier to entry. And that means the people who get involved in those kinds of businesses are much more like to succeed. It’s TOO easy to get in an MLM and somehow people equate that with easy money.
But, it’s a business just like anything else.
And, a lot of people think they hate to sell. (Reality is that we all sell every single day.)
I could go on and on. Here’s the bottomline - I have a very powerful reference. I have seen dozens of clients go from zero, slowly building to $50K - $100K/ month and then SUDDENLY! they make $30K - $50K/month. I see it ALL THE TIME. There is no other business that can do it. And when I saw one more case of it a month ago I made a vow that it was time for me to get involved.
July 16th, 2008 at 10:38 am
Diane,
Been following this blog for a while, but never posted (I suppose that makes me a ‘lurker’ here). Anyway, I’m on board. Very interested in hearing how your first month progresses.
Pittsburgh Mike