Is Multiple Streams of Income a Scam

Not too long ago another network marketer wanted to drag me into a discussion about her Network Marketing companies opportunity and her MLM patented products.

She has admitted that she has some concerns about the leadership’s integrity and the compensation plan; well she really does not understand it but feels that it pays her well. She has also confirmed my suspicion that she is not making any money, but rather paying more out on her lead generation system then she has ever made in two years with her companies.   After speaking with her a couple of times now she also admits that her  company can not provide her with a system that is duplicatable and this is the reason for her reaching out to a lead generation system. She feels that the weekly webinars are nothing more than a pep rally and  hype.  The leader is motivating them by shouting at them and never any real skills taught.  She has been told by her upline that she is not  connecting with good enough leads. The thing is that the leads she is contacting are the ones she bought from this great lead system her upline convinced her to join.

Admittedly she is having a hard time building her business, even using a very sophisticated lead generation system and additionally wanting to market two opportunities at the same time. To me this spells disaster and  this adds up to (together with the lead generation system) three streams of outgo instead of income.

She doesn’t make any money because in one business she needs 2000 ACTIVE (people actually working  to secure sales and other recruits) people on her team to make $5,000  of true residual income a month and with the other opportunity she needs an additional 2700 ACTIVE members to make a residual walk away income of $5000.00 a month. This is no mistake,  it is set in stone because of the compensation plan. Numbers never lie.

She sort of perked up a bit when I told her that in some companies you only need 200  people on the team to make the same amount of money, 5 k per month, that’s always a good reference. She needs more than 10 times the people than me to make the same amount of money. And, ladies and gentlemen, that is no exception in the MLM marketplace. No wonder most network marketers think they have to resort to  multiple sources of income.

A while later  we talked again. She told me that she did not like that most other companies are selling me-too-products.   I wonder if this lady bases her decisions on proven business concepts? Struggling to market “expensive $4000.00  “brand-new to the industry” products and her respective service oriented business product on the one hand and discarding the promotion of so-called me-too-products that people want and need on the other, that’s hard to really wrap your head around.

If you want to make it in this business you absolutely have to offer a product to the masses who are looking for it and at a price that everyone can afford. Sell high ticketed price items sort of diminishes your market. Nine out of ten can certainly afford a me-to-product but how many of that same 9 in 10 could afford a $4000.00 product or service? McDonalds sells billions of hamburgers because there is a mob of starving people who want them and can afford to eat them!

I would rather promote affordable me too-products in my MLM Network Marketing business that offer me a significant residual commission than try to blaze a trail  with a new products that most people do not  want or can ever afford anyway.  In addition it is fact that  most of the new Start-up companies last less than 2 years. MLM Network Marketing is about offering what people want, not about offering what serves your ego best.

It may surprise you to know that there are far more making a nice residual monthly commission check selling those same me-to-products that she does not want to be a part of.  Most of us are not making a living with  the newest next best  thing, yes there are some. I learned some solid business building principles from my mentor Michael Dlouhy and Tom “Big Al” Schreitertomlyd regarding this issue. If you are struggling in your business then learn the truth about marketing  and what does work to create a solid home based business income.

We always love your feedback, so please leave us your comment,   thoughts, or feedback.  If you liked this post please share with your Twitter and FB friends. We totally appreciate it!!

To YOUR ultimate success,

Darlene and Dave Mills

Leadership With A Vision

Never give up on your dreams. The difference between the impossible and the possible lies in a man’s determination. ~Tommy Lasorda

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Dave and Darlene Mills

Welcome and thank you for visiting our blog. We are Mentors with "Mentoring for Free". A community of volunteers who believe in the value of education, personal development, and in sharing what we know that works to build a solid online business. We use this system to build our business and can be used with any MLM/Network Marketing company. We devote much of our time mentoring ANYONE in ANY company to build THEIR personae so they too acquire the skills they need to be successful. We will be more than glad to give you 100% of our effort and support. Today, Life is Grand!! We will never look back!! Darlene and Dave Mills "Be a Mentor With a Servant's Heart"

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