Successful Network Marketing–Knowing How To Analyze An Opportunity BEFORE Spending a Dime

To be successful network marketing – knowing how to analyze an opportunity BEFORE spending a dime will save you years of struggle, frustration and starting from scratch over and over again.  On the other hand, if you have already signed on the dotted line with a company and are struggling to create that income from home as an online network marketer, I strongly suggest and recommend that you find a mentor with a servant’s heart to help you look at the opportunity you are currently in to see where there can be some improvements made. Usually it is just a matter of learning some skills, a network marketing education if you will.

How many times have you started a network marketing company, only to find frustration with the duplicable system, the upline support is next to zero or non existent and the compensation plan just does not add up as you were shown in the presentation? 

How many times have you been burned? That’s right. You thought you saw the light at the end of the tunnel; had an organization of twenty, thirty or even hundreds in your downline when…BAM! Something turned it off. You found yourself holding the bag. Sound familiar? Perhaps you were terminated without cause, the company went out of business or changed it’s business model from MLM to direct sales.  Heaven forbid the company may  decided that it does not need  sales reps at all of any kind, direct or MLM distributors.  What happens then? 

My hope would be that you would determine just how much of a risk the company you are thinking of joining will be before you join.  But if you find that you skipped that step and are in a company now,  there is still a way to determine how much you are risking by  using the 5 Pillars technology. Once you read the book Success in10 Steps written by Michael Dlouhy you will, when finished the free training course,  have an equivalent of a University degree in Network Marketing. 

You will learn:

  • How to avoid scams that are masked as legitimate MLM Companies and turn out to be pyramid schemes
  • What is the best compensation plan? 
  • What is the best system for duplication? 
  • What is the best MLM company for YOU?
  • What to say and when to say it.

Just imagine how you would feel if you were NEVER scammed again, could finally create a residual walk away  income of 10K a month or even more and could finally say I have found a company that I can call HOME.

Just what is your desired income, perhaps an extra $500 a month is good enough for you?  Will your Policies and Procedures as well as your compensation plan allow you to retire and/or will your business to your heirs. 

The Policies and Procedures will in most cases indicate that you can retire or leave your residual income to your heirs; succession. But, have you read them close enough to know that there may be qualifications that MUST be met by your heirs, or even qualifications that may prevent you from ever retiring.  Oh you can retire whenever you wish, but in most contracts in MLM if you decide to retire and do not caring on with your training responsibilities and your team building responsibilities; you will no longer be eligible to receive YOUR residual income that YOU created.  Making it impossible for you to retire and take a vacation when you want if you still want to receive that residual income that you worked so hard for.  This income, if you choose to walk away from a contract written like this will now roll right back to the company. OUCH!!

Read your PnPs for your self.  Look for words such as “ongoing” training, responsibilities, succession. What do your heirs have to do to qualify to receive what you have willed to them in your last will and testament?  How will your heirs feel when they realize that in order for them to receive what you have willed to them, they MUST sign up as a distributor and perform all the same duties that you do now?… Recruiting, selling, pitching your deal, training your downline.

You can  put any company to the 5 Pillars test.  Using the 5 qualifications listed in the 5 Pillars qualifying technology that will allow you to determine what your chances of success and or failure will be with any company.  You can find out what the 5 Pillars technology is by contacting us and we would be honoured to explain this important tool for evaluating a business opportunity.

What would have happened if you had the ability to properly analyze an opportunity before you decide to spend a dime? If that sounds like what you want, then give us a call and we would be honoured to share with you what we have learned over the past few years.

Commit To Success Today
Dave and Darlene Mills
Leadership With A Vision

“You cannot teach a man anything. You can only help him discover it within himself.” — Galileo

Frustrated Networker – A SCAM or a Pyramid Scheme!

I wish I had a penny for every time I hear that phrase. Unfortunately, most people think  Network Marketing is a scam or a pyramid scheme. But you know the unfortunate truth is that there are a lot of Network Marketing Companies out there that are scams. A lot of people are getting ripped off each and every day.  It breaks my heart to listen to some people tell us that they have lost hundreds of thousands of dollars trying to make it as a network marketer.

So ask yourself, why does this happen? Are people just plain stupid or dupable to fall for  scams and pyramid schemes? I don’t think that is the case at all. I think that the main problem is people get caught up in the HYPE and the promise of instant cash in three hours and don’t really understand what they are getting into. They don’t take the time to figure out if the opportunity is legal and legitimate or not. And some people want to join everything that is FREE.  FREE opportunities in my opinion are to be avoided.  You know people are not stupid, they’re just trusting! They trust that a company or sponsor wouldn’t wilfully try to rip them off.

Because of these relentless money monger companies and sponsors, it’s given our whole industry a really bad reputation.

So how do we compete with both the bad companies and the bad reputations?   Education! We need to get educated on what makes a legal legitimate company. There are signs. We just have to know what signs to look for.

5 pillar technologyThere is a way to determine if the company or opportunity you want to join or have already joined is indeed a legitimate home based business.  The gage or comparison module is known as “The 5 Pillars of Success” .  A good, solid, legitimate company will have all 5 of these Pillars.

PILLAR 1 – Experienced Company Management Leading Company With INTERGRITY … has the management team been network marketers working in the field before taking the helm of a company?

PILLAR 2 -  Timing is Everything…Timing in the Company (When to join) and Timing in the Industry (Timing of the products…right now Wellness Products are the next Trillion Dollar Industry poised to make millions of NEW Millionaires in the next 5 years– Good Timing for these products) 

PILLAR 3 – Products that are Remarkable…products that other people swarm after … REMEMBER the Product is NOT remarkable just because YOU love it.  It is REMARKABLE because the MASSES want it. 

PILLAR 4 – Compensation Plan- don’t fall for every claim that my company has the best compensation plan if you have never bothered to research the model of several compensation plans or the payout commission of several company compensation plans.  When you hear that you will receive 5% commission on  your first level and 4% on your second level, 2% on your third level and 7% on your fourth level….stop and ask yourself, “is that  a good compensation plan compared to 30% on your first level, 10% on your second level, 10% on your third level and 5% on your fourth level?” 

PILLAR 5 – A System for Duplication….SKILLS Duplicate

If any one pillar is missing, you should think twice about joining that company. Why? Because your chances of success diminish with every loss of a Pillar. Now, does a company without all 5 Pillars make it an instant Scam? No, not at all. But…. You can be guaranteed that if the company has all 5 Pillars it won’t be a scam. 

So which would you prefer? A guessing game? Or a book that will show you exactly what to look for in a good company and what to avoid?

To learn more about the 5 Pillars of Success technology, just email us at daveanddarlenemills@gmail.com or find us on BIg AlbackcoverFacebookThere is nothing to lose, except precious time and frustration struggling to learn how to be successful in MLM today.  You will discover why you experience frustration and how to avoid scams and pyramid schemes.

To Your Success

Dave and Darlene Mills

Leadership with a vision

Do you need a plan “B” that you can take action on?
If you are open to looking at a business opportunity with a solid company that allows you to create more income part-time for something you already do but do not get paid for, visit Your Financial Freedom Plan B
! Even it it’s not for you, you may know someone who wants to start dreaming again!

Network Marketing Tip ~~ Read Your Policies & Procedures, Please!

I’m sure you’ve signed up for something and checked the little box that says you agree before they let you click that last button to proceed many times.

imagesYou’ll be amazed at what you find in your own Policies and Procedures, the legal contract between you and your MLM company.

In MLM / Network Marketing, that box you check usually says something like this, “I have read, understand and agree to the Terms of Agreement, the Policies and Procedures, and the Compensation Plan.” 

You click the button…You have just; unknowingly, agreed to a lot of legal stuff.  If you are like most people, you didn’t even read it. You don’t even know what they are where to find them and what the legal ramifications will be to you and your business. Isn’t that interesting…

We read contracts and agreements elsewhere in our lives, so why don’t we read them before we sign up online?  If there is just one phrase or one word that you do not understand, DO NOT SIGN! This is not a hobby you are starting. This is a dedicated and contemplative business opportunity and should be treated seriously.

Consider this…If you were buying a business that cost you thousands of dollars; hundreds of thousands of dollars, would you read the contract or maybe have an attorney read it? In all seriousness you most certainly would!  But you get into your little business for very little money so it isn’t necessary. Really?

Here is a Real example:

This is a major company, name changed to [company] to protect the criminals. What a deal!

10.3. AGREEMENT TERMINABLE AT WILL
You may terminate your relationship with [company] at any time by providing a signed written notice to [company]. [Company] may also terminate the relationship with you (including any partnerships, corporations or other entity) at any time by providing written notice. You or [company] are not required to have any reason, nor do you or [company] have to claim or prove any cause to terminate this relationship. If and when the relationship is terminated, you shall have no claim against [company] nor any right to claim or collect lost profits, lost opportunities or any other damages. Termination will result in the loss of all benefits as an [company] Independent Consultant.

Imagine that every phrase in the contract you signed can and will be used against you, because that is what will happen if the company owners have little or no integrity.  You do not have to imagine that it may happen.  This is why the P & P’s are written.  To be used at the (Company’s) sole discretion.  Is your commission check getting to big for them to pay out?  Or the company overhead is to large for the company to meet it’s obligations; bingo there goes your check to pay the big dogs of the company and the expenses of the learjet to transport them around.  Don’t laugh…IT HAS HAPPENED!! This behaviour will continue to happen because the business models drive the behaviour in the field.

If you are thinking, “Oh! They wouldn’t do this to me.” Ask yourself, “Why did they put it in the P&P if they weren’t planning to use it?”  Banks draw up legal document’s, auto dealerships have you sign a contract.  Why?  To use them and enforce them if you do not keep your agreement and to protect themselves.  How many homes and cars have you seen repossessed?  LOTS!

The good news is that there is help to keep you out of this scenario.
To learn more about how to protect yourself, and to understand your Policies and Procedures; start with  Success in 10 Steps endorsed by Tom Big Al Schreiter.   It will save you years of failure and frustration. Email us with subject line “Success in 10 Steps” and request your free pdf copy of this industry resource book.

To Your Success

Dave and Darlene Mills

"You cannot teach a man anything. You can only help him discover it within himself." — Galileo


Stop Pitching and Spamming In Social Network Settings, Unless………

Stop pitching your network marketing opportunity.  Just because people are breathing, can stand on their own two feet and do not require an oxygen tank to survive, does not mean that we want to hear about your latest, greatest, biggest, best MLM opportunity with the only compensation plan like it in the industry that is a game changer and  is going to be saving millions of children if we join YOUR deal.

As  Professional Network Marketers, coaches and mentors we have made it our business to rally against  pyramid schemes, promotional hype campaigns and those famous get-rich-quick scams.  My husband and I actually look into MLM companies…yes we look at the legal stuff that most  do not feel are important enough to read .    We look at the compensation plans because the videos do not, DO NOT tell you the whole truth about just how hard you WILL have to WORK to make the income that is being promised to you in the flashy promotional videos.

We actually crunch the numbers to know how hard a network marketer will have to work to make $10,000 a month. We tear apart the Policies and Procedures, to see what is in the legal jargon that may legally force you to give back your commission check and perhaps never even receive one to begin with.  Legal hoops and qualifications are in most contracts that prevent you from ever receiving a check, but you wouldn’t know that if you didn’t read them, would you?

However  there is one really huge problem with us putting ourselves out to the public in this manner.  We are targeted everyday by other network marketers who pitch, pitch, and pitch some more their “business opportunities”.  Please, please, please, give up!  We are not interested in your deal. Unless you can prove to us that you are in a 5 Pillar company we are very happy with our own 5 Pillar company.

We get pitched all the time and have been threatened to be removed from“friends” lists on Facebook and other social network sites because we do not show an interest in the company products or services. We have been told we are heartless because we do not want to look at another opportunity.  Come on, in most of these cases we were not even friends by those who were pitching their deals.  So no need to unfriend us, we were never friends to begin with.  This is outright SPAM.

Look; it is time that all network marketers took notice that this method of marketing is from the stone ages.  This selling and marketing approach does NOT work in an online social setting such as Facebook.  You tick people off and turn a potential prospect away using this technique.  Surely it is easy to notice this trend.

New methods involve a skill known as building relationships and making friends.  Don’t demoralize and threaten others because they do not align with your deal.  It would be worthwhile to get to know people  first before you start throwing up all over the prospect.

My mentors Michael Dlouhy and Art Jonak teach this…

  • The chances of doing business with your prospects increases as you build relationships of  know, like and trust.

Your Network Marketing life expectancy will be much longer than 45 minutes if marketers would just learn this one skill.

So at this point  we will not be entertaining any notions of  joining another MLM company or even leaving the company that we are in now if you can not prove to us  that your company is a 5 Pillars company or more.   We would do our homework and are able to determine if any company measures up to the 5 Pillars yard stick.  Remember this is our life’s calling, we have made it our business to look at over 400 MLM companies (and counting) along with our team of coaches and mentors. We have narrowed the playing field substantially already.

What’s a 5-Pillar company? Do YOUR due diligence and read this book and you will be able to determine  what a 5 Pillars company looks like and/or determine if your present company is a 5 Pillar company.  Read  Success in 10 Steps

What questions can you expect to have answered as you go through the mentoring process and reading Success in 10 Steps?

  • Does the MLM company management team have experience as network marketers or are they coming from a corporate America approach?  How long has the company been doing business as a network marketing approach?
  • What hoops will be in you company’s policies and procedures that you will have to jump through to get a check? Did you understand your company policies and procedures…the legalese?
  • Do you know the compensation model?  How many people will you personally have to sponsor before you’re making $1,000, $5,000, $10,000 per month?

Your very best solution for creating an income from home today is to learn to build   relationships, regardless of the fact that the prospect may or may not join you in your online opportunity.   Have no agenda, offer value, and offer real help. Become educated about this business/industry.

On a side note, it is common knowledge that there is a failure rate of 97% to 98% for any new business, traditional or MLM; knowing this fact how will you do any differently without learning skills to make a difference?  If you are looking for a copy of Success In 10 Steps feel free to contact us and we will send you one.

To Your Success

Dave and Darlene Mills

Leadership With A Vision

thetwodeesbiz@gmail.com

The great and glorious masterpiece of man is to know how to live to purpose. — Michel de Montaigne

The BEST Compensation Plans-The One That Pays The MOST For the Least Work

Readers please join me in welcoming today’s guest authors. Our good friends and personal mentors,  Bob and Anna Bassett of togethertothetop.com to daveanddarleneMills.com .  

Bob and Anna began their network marketing career in 1999. Just like we all do with enthusiasm and very little skills.  The ultimate result was 7 years of EXPENSIVE failure and frustration.  In 2006 Bob and Anna turned this all around when they decided to learn the system and the skills they needed for success. In 2011 Bob and Anna were chosen as two of the network marketing industry’s TOP 100 Mentors.  Bob is a retired teacher and Anna is a retired Private Investigator.

From Bob and Anna Bassett their conclusions:

The best MLM compensation plan is the one that pays the most money for the least work.

That’s not lazy or greedy.  It’s just smart.  It’s as smart as getting paid $50 per hour rather than $10 per hour for doing the same job.

We get paid for just one thing – selling stuff.  We sell the stuff ourselves and we find imageothers to sell stuff with us and we get paid for that too.  We can’t do it all ourselves, so wouldn’t it make sense to find a compensation plan that requires finding the lowest number of people to reach our financial goals?

That’s where The 10k Question comes in handy.  It’s the best yardstick we’ve found to compare comp plans:

How many active people do I need in my business to generate $10000 per month in walkaway residual income?

In the 500 or more companies we’ve analyzed in the past 5 years, we’ve found an astounding variety of answers to that question, ranging from a reasonable low of 400 all the way up to an astronomical 40000!  No wonder people are confused and failing!

But how do you figure it out?  How can you find the 10k answer for your company or one you are considering?

You can use our 10k Calculator or follow this simple two step formula:

1.  Average income per person:

Find the average autoship in your company or in your team.  For example, a company may require a minimum of 100 points or $150 per month to qualify for all bonuses.  If you have variable requirements, find the average for your own team, or call your company and ask for the figure.

When we don’t have the company number, we always use 100 points, standard in the industry.

Example One:  Let’s say the average (residual only!) commission paid out is 8%.  It’s low, but common among MLM companies.

Your average earnings are 100 points x 8% = $8 per person per month.

2.  Number of people required:

Now divide $10000 by $8 per person to get 1250 people.

This tells you that in your company, you will need about 1250 people purchasing 100 points per month for you to earn $10000 per month.  If your goal is $5000, just divide 1250 by 2 to get your answer of 625 people.

In short, the number of people needed for 10k is $10000 ÷ (average autoship x average % commission)

Example Two:  Let’s consider a communications company with an average monthly bill of $40 (used in their presentation).  The average commission they pay over seven or eight levels is about 2%.  No kidding.

Each person would generate $40 x 2% = 80 cents in income to you each month.  The number of people required in this company would be 10000 ÷ 0.80 = 12500!

Is that a small number or a big number?

Don’t be surprised.  Excel Communications lasted fifteen years with these numbers, and there are still many companies out there with the same plan or worse.  It helps explain why so many MLMers are failing, having never done this kind of simple math.  We speak from experience, as we ignored our multilevel poverty for five years! 

Example Three:  Excel paid an average of 2% on a long distance bill of $25.  That meant we needed 10000 ÷ (25 x .02) = 20000 customers to reach 10k!  No wonder we never made it.

Example Four:  Here is the lowest number we’ve been able to find.  A streamlined company offers an average team commission of 25% on a monthly autoship of 100 points.  The 10k answer for partners in this company is 10000 ÷ (100 x 0.25) = 400 people.

Now which sounds better to you, 20000 or 400?  Would you knowingly choose to work 50 times harder than you have to?

How To Calculate Average Commissions:

Example Five:  If you are in a matrix or unilevel, the calculation is straightforward.  Let’s say you are in a matrix of seven levels deep with commissions of 7%, 6%, 5%, 4%, 3%, 2%, 1%.

The average over seven levels is (7+6+5+4+3+2+1) ÷ 7 = 4%.  10000 ÷ (100 x 0.04) = 2500 people!!

If you are in a binary program, you are paid only on your weaker leg.  You are usually required to activate your position by sponsoring two people – one on the left and one on the right.  Your efforts are immediately split in half. 

Less than half actually.  If you sponsor Alice and Betty and Alice is a big builder, you will be paid on Betty’s leg.  If Betty is the bigger builder, you get paid on Alice’s leg.  Always the weaker leg.  You are not paid on Alice AND Betty – you are paid on Alice OR Betty.  Does this seem fair?

Suppose you were a track coach taking your team to the meet.  Your two fastest runners are Alice and Betty, but your team will be represented only by the slower of the two.  If Alice is the speedster, you’ll watch her disappear into the distance, and you will be left watching Betty struggle to keep up.  If Alice wins, your team will not receive the gold.  You will have to settle for Betty’s silver or bronze, or perhaps no metal at all.

Example Six:  Let’s assume that the binary company pays you 10% on your weaker leg (a very common commission rate among binaries).  In reality, since you are responsible for growth in both legs because you sponsored both Alice and Betty, you are being paid not 10%, but 5%.

If the average autoship is 100 points, the 10k answer is 10000 ÷ (100 x 0.05) = 2000 people.

Example Seven:  A company we analyzed recently paid 20% on the weaker leg (10% overall), but the monthly autoship was only 40 points.  In this case, the 10k answer would be 10000 ÷ (40 x 0.10) = 2500 people.

Here is a generalized summary of the 10k answers we have found, based on analyzing over 500 companies in the past five years. 

  • Over 20000:  Most travel companies and online shopping clubs pay extremely low commissions.  Most ‘commissions’ are earned by the sales of the businesses, not by sales of the stuff.
  • 10000 – 20000:  Communications and energy companies with Excel-like pay plans.  “Buck of The Month Clubs” like website companies that charge $10 per month and pay out $1 per user.  They make the math easy but don’t do much for your wallet.
  • 3500 – 10000:  Many well established industry giants and some of the door-to-door and home party plans fall into this category.
  • 2000 – 3500:  The vast majority of MLM companies are in this range.  The first company we looked at required 2800 people for 10k, and we still use it as a reference point for all others.
  • 1000 – 2000:  You’ll find some older companies in this range, but it’s mostly young MLM’s with modified comp plans that pay more money to the average distributor.
  • Under 1000:  Streamlined companies doing almost all business online.  Overhead is kept extremely low, so much more money can be paid to the field.

What’s YOUR 10k answer? 

Most companies will try to divert your attention away from this important question, but you have to know.  The numbers don’t lie.  One and one is two no matter what you do!

We would be glad to help you understand how hard you are working.  Just contact us.  Most of all, we love helping people avoid wasting their time and money as we did for seven years.  From that experience we learned …

If you’re in the wrong vehicle, it doesn’t matter how well you drive.

If you are interested in how to choose the right vehicle for you, contact us and we would be honoured to pass along any information we have so you can make an informed decision regarding your future.

You can learn more if you listen to Richard Dennis interview Bob and Anna Bassett re The 10k Formula.

Bob and Anna Bassett
519-371-1028
bobandanna@togethertothetop.com

Tom ‘Big Al’ Schreiter’s 25 Skills
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Commit To Success Today
Dave and Darlene Mills
Leadership With A Vision

Vision without action is merely a dream. Action without vision just passes the time. Vision with action can change the world. by Joel A. Barker