Multi Level Marketing Business Opportunity |

A good multi level marketing business opportunity is one that pays a relatively high commission with a relatively small cash investment. Escalating unemployment roles have forced many individuals to consider a career as a network marketer, promoting and selling products based on a legitimate shared compensation plan. Business owners, acting as independent sales associates within a national or international organization, are expected to build their own "legs" or "down-lines" of the company by selling directly to consumers while recruiting other sales associates to come into the organization. Business owners receive commissions on product sales as well as bonuses for new recruits and a percentage of the recruit's sales. Up-line, or middle and upper level managers who recruited the new business owner, also receive bonuses for sales accumulated by those independent owners and their recruits.
The potential for lucrative earnings from a multi level marketing business opportunity can be astounding. Top selling associates who have been with MLM companies for several years can realize six-figure incomes largely through the efforts of down-line associates. Imagine if someone participates in a network marketing program and recruits just five associates in their down-line organization. Each of those associates recruits five more consultants a piece. Within a very short amount of time, a new business owner can build an organization within the company consisting of thirty hardworking sales associates with the potential of producing thousands of dollars each month in product sales. Not only does the parent company compensate the new owner for each of the five new recruits, but also pays commissions on each of the sales generated by each down-line associate. Up line managers are rewarded bonuses based on the accomplishments of the new business owner, multiplied by each leg of the company actively selling products and services to the general public -- one consumer at a time. "But thou shalt remember the Lord thy God: for it is He that giveth thee power to get wealth" (Deuteronomy 8:18).

Compensation plans may vary depending on the multi level marketing business opportunity. While some organizations reward sales representatives based on individual and group accomplishments, others offer commissions based on an agent's position in the down line. Representatives are compensated with a percentage of sales depending upon how far down the ladder they fall from the original business owner. For example, a representative at level seven will share in the profits of the up-line distributor at less of a percentage than the representative who has earned a place at level two. Networks are also compensated at a specific rate when all down-line level positions have been filled with recruits. A down-line might be required to reach a maximum of five recruits before a new sub-group can be formed. Branching off into new sub groups prohibits one organization in the parent company from outgrowing the corporation's capacity to adequately compensate individual sales associates.

A lucrative multi level marketing business opportunity may also offer cash incentives for top sales or recruitment efforts. Bonuses are awarded to associates with the most recruits for the month. Tropical island vacations, luxury cars, and membership in million dollar producer clubs within the organization are all incentives to propel independent sales personnel at every level to meet and exceed sales goals. MLM corporations encourage friendly competition among team members, directors, and upline managers because they realize that in network marketing, everyone wins. A distribution of income commensurate with sales goals met is a way of keeping associates happy and the parent organization in the black.

In order to be classified by the federal government as a legitimate multi level marketing business opportunity and not just a fly-by-night pyramid scheme, network marketing companies must meet certain criteria. Organizations are prohibited by federal law from focusing too much attention solely on recruiting associates or charging registration or franchise fees without selling products. To prevent new recruits from spending more money than they are likely to make, a legitimate multi level marketing business opportunity will monitor new recruit sales to ensure that they sell at least 70% of products ordered before placing new orders. In the United States and Europe, pyramid schemes are strictly prohibited and operators can be prosecuted.

Pyramid schemes do not represent a legal multi level marketing business opportunity and usually don't involve selling a substantial amount of products. Illegal schemes make money by requiring individuals to pay a certain dollar amount to an unknown recipient, in exchange for others paying small amounts of cash to them. The concept is that those in the top tier will receive the most money, with those in the bottom tiers eventually having their original investment compounded as the organization branches out into a network of investors. Anyone who has ever received a chain letter with a request to send the bottom ten people listed two dollars each and expect to get letters coming in the mail with cash money is an unwitting party to a pyramid scheme. Most get-rich-quick schemes just don't work; and participants usually lose money by taking heed to fraudulent plans and companies.

Individuals seeking to earn extra cash with what appears to be a legitimate multi level marketing business opportunity should check with the Better Business Bureau and the Federal Trade Commission to ensure that companies operate well within the law. If an MLM company asks for an exorbitant franchise or registration fee and does not stress product sales for profitability, it may be a thinly-disguised pyramid scheme. It won't hurt to do a little homework before parting with hard earned cash to make what may seem the potential to make thousands. As with any new business enterprise, operating as an independent network marketer takes salesmanship, an aptitude for entrepreneurship, a good product that consumers will want to buy, and a legitimate company with a proven track record of fairly compensating associates for a job well done.

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