What to look for in a network marketing company – part 2

In my first post, I talked about how important it is to choose a company with a product or service you can really get behind.  So, apart from a range of products you can happily use and recommend, what else should you look for?

DSA Member

The Direct Selling Association in the UK and other countries is the industry watchdog, amongst other things.  All reputable MLM companies are members and I wouldn’t look at any company which wasn’t.

Track record, sound financial basis

Does this sound as exciting as ‘get in on the ground floor …’ be the first …’? No. But it does sound like you’ll get paid every month. MLM companies come and go, especially in some parts of the world, and for lots of reasons. The new kid on the block may look glamorous, but that typically means no history, no reputation and a limited support structure, possible teething problems etc. And please watch out for a long ‘pre-launch’ period.  To me, that says ‘not ready yet!’  Great for the trailblazers and gamblers and creates a real buzz, but may not make it.  Of course, every successful company started somewhere and it’s brilliant if you’re in on the ground floor of something massive.  Just be a bit cautious.

Payment system

Unless you’re really into numbers and prepared to spend a lot of time comparing various systems, you’re probably not going to make a useful comparison between the various plans (or, if you’re like me, even understand one of them properly!).  They’re all good as long as you get paid every month.

Just avoid these:

  • any scheme where your payment is kept in a ‘holding account’ until it reaches a certain level or until the company releases it to you. Sound dodgy to you?  It does to me, but there are companies who do this.
  • anyone who tells you that their company’s plan is better/more generous/faster than someone else’s. How do they know? And how will you know?
  • be wary of companies where you reach a certain position but lose it if you don’t maintain a level of sales.  Life happens, you may need to take a break, but you shouldn’t have to keep proving yourself.

International presence

This may not be important to you but, if you have friends and family in other countries or plan to live in another country at some point, check how easy it is to grow your business abroad.  Some companies only operate in their home country.

Finally, avoid like the plague any company which actively encourages their distributors to recruit from other MLM companies.  Yes, it happens and I’ve never understood why.  I wouldn’t be falling over myself to recruit someone who was already unsuccessful and unhappy elsewhere, nor someone looking for where the grass is greener (it’s usually fake or fertilised with bullshit, as I’m sure you know).  To me, it sounds lazy and desperate – what do you think?

Find a good company, work hard and learn and stay with them, it pays off massively.

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