There are different business models one can follow when seeking to start your own business. I’m not talking about partnerships, S corporations, C corporations, LLC, etc. I’m talking about things like franchises, multi level marketing, traditional business structure, etc.

I am convinced that for someone wanting to start a business without hundreds of thousands or millions of dollars at their disposal there is nothing that comes close to Multi Level or Network marketing. As a business model nothing has so much potential with so little start-up costs. Nothing else has so much of the business process taken care of by someone else with out any expenditures on their part.

Most Network marketing companies take care of many things that small businesses normally have to take care of themselves. Here are some of the things that the companies take care of for their distributors.

  • In the past some Network Marketing companies required their distributors to warehouse their products. With the modern methods of communications and shipping possibilities this is no longer so for most companies.
  • Since most Network Marketers don’t have to warehouse product they also don’t have to worry about product delivery. This means that they can sell product to a much larger market. They are not limited to the area where they live.
  • Billing and accounts receivable is also take care of by the company. While the distributor will loose his commission on product that becomes bad debt, the collection of the debt is the responsibility of the company.
  • Many of the legal issues of the business are handled by the company. Each distributor is, of course, responsible for his actions, but legal issues concerning the product and many other legal issues are the responsibility of the company.

These things are major expenses to small businesses. It is a real advantage to have these issues dealt with by someone else.

Another great advantage of Network Marketing is the cost of starting your business. Franchises can cost hundreds of thousands or even millions of dollars just to buy the franchise. In addition to this there are all of the other start-up costs like equipment and buildings.

Traditional businesses will cost thousands of dollars at a minimum to get started. There are expenses like equipment, product, business licenses, etc.

You can get started in Network Marketing for less than $500.00 in most companies, and many companies it will cost you a whole lot less than this. At present you can get started in the Network Marketing company I am with for around $100.00 and get it back in commissions on no more than four sales of under $30.00. It is possible to get it all back in as little as one sale of under $30.00. Quite a contrast with traditional business and franchises, isn’t it.

The time required to recuperate your initial investment us much less in Network Marketing. In Network Marking your initial investment can be recuperated in days, weeks or at most months if you are build your business right. In other types of business it usually takes years.

There are other advantages that are just as important. How about time freedom. Don’t misunderstand, Network Marketing is work, especially in the beginning. The advantage is that you have much more freedom concerning when you work.

There are some serious problems with Network Marketing also. I would be less than honest if I didn’t mention them. The biggest of these is the misconceptions concerning the business. It is often presented as a get-rich-quick opportunity. There are a few who seem to find overnight success but the rest of the story is usually left out. Most of those who seem to be overnight successes had a large network of people who respected their business advice.

Another problem is that many are still teaching antiquated methods of building a Network Marketing business. They still teach a system that requires going after friends and families that are probably not the least bit interested in their own business.

These problems can be overcome with proper teaching. If we present Network Marketing as a real business that must be run as a business and not as a hobby we will recruit serious people who will have a good chance of success. If we teach what is called Attraction Marketing or Magnetic Sponsoring we can show our recruits a plan which will give them a very good probability of success.

Over all, I believe there is no better opportunity for someone wanting to start a business than Network Marketing. The advantages far outweigh the disadvantages. This business model is well worth your consideration.

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