How to Get Started in Multi-level Marketing

If you are getting started with a multi-level marketing or network marketing opportunity, you will need as much information as you can possibly get. This is a business opportunity and the more information you have the easier it is to determine if this is the type of business for you. There are costs to incur, including your time. Talk with members of the organization and if possible talk with those that are no longer with the organization and ask for an honest assessment of the opportunity.

You need to attend an opportunity meeting and be prepared to take notes. Jot down any questions you can think of. Chances are you won't be able to ask questions until the meeting is over. If there is anything you don't understand or if it seems over simplified make a note of it. If you receive a video study the video to receive further understanding. Make a decision based on facts and not your emotion.

Check with the Better Business Bureau along with the Federal Trade Commission to see if there have been complaints against this organization. The FTC cannot tell you if this is a legitimate business but they can give you tips on what to look out for. This needs to be confirmed before you spend your time, money and resources with any organization. Some opportunities, in the past, have turned out to be illegal pyramid schemes.

You need to study all of the terms and agreements to see exactly how this organization functions. If there is a contractual agreement make sure your read all of the fine details.

Find out how the compensation plan works. Ask how many recruits are needed before you receive your first promotion. You may want to ask about the amount of products you have to sell as well as your recruits. As a rule of thumb you may have to purchase products yourself as well as your recruits. See if you are paid a percentage of sales from your recruits.

When you start marketing the products and services see if there are limitations or restrictions on what you can do. More marketing and advertising plans are provided by the company. You need to know if you can implement additional plans of your own. Find out if you can do outside advertising other than what the company sponsors.

If you decide this is the opportunity for you then you will need a list of prospects. It's a good idea to start with 100 candidates. You want your friends and family right at the top of the list. The more people you get to the opportunity meeting the better your chance of recruiting prospects to become your down line. Discuss the opportunity with your immediate family and let them know about the time commitment, your goals and the capital needed to join.

It's a good idea to be a people person. You should enjoy this type of business. If you are shy or introverted, it will be difficult for you to be successful. You need the ability to manage, recruit, motivate and train a team.

Multi-level marketing is very hard work. The drop off rate is 98% for the members.

You will have to make some large time commitments to be successful. Make sure your family knows before hand. You will need time to recruit, train, and attend opportunity meetings on a regular basis. If you are not required to be there physically there will be conference calls.

If you decide to quit you could lose your initial investment

Source: http://www.ftc.gov/bcp/edu/pubs/consumer/invest/inv12.shtm
Source: http://www.quatloos.com/mlm/mlm.htm