TODAYS ARTICLE:


How to Evaluate Multi-Level Marketing Businesses
By: Debbie Schwarm

With the increasing interest in home businesses, and the internet explosion in full swing, we are constantly being tempted to participate in many of the multi-level marketing plans available. It is important to evaluate closely the opportunities presented, to determine the legality and soundness of a business. Consider what participating in an illegitimate business scheme could do to your personal and business reputation, and try to ensure that you have made a carefully considered decision.
Here are some guidelines to consider when selecting a multi-level or network marketing business:

1. The business must have a product to sell
Programs where no actual product is being sold cannot survive without building a down-line. This is because there is no product volume to sustain the business. Once the business gets to a certain size, and nobody else is getting in, the "pyramid" collapses. The business must keep on signing more people to survive.

2. The business should focus on the sale of a product and not recruitment
Sometimes the program does have an apparent product, but the emphasis is still on recruitment. Without recruitment the product would lose its value. This is because to sell more units you have to find more "people." You cannot sell more of the product to the same people.

3. The product that is being offered must be legitimate and useful
Try to evaluate the product that the program is offering. Would you buy this product if it was on sale in a retail store? Does this product hold any obvious benefits for its buyers and users? Is the product appropriately priced as compared to the costs it involves, and the benefits it is promising? If you answer is no to most if these questions then perhaps the business opportunity is not effective.

4. The business doesn't promote get rich quick promises
Any program that promises to make you rich in a quick and easy way is lying or is not based on the right foundation. The simple truth is that no one gets rich quickly and easily the right way. One must work hard to make legitimate money.

What are some examples of legitimate MLM, network marketing, direct sales businesses? You have probably heard of many of them: Tupperware, Discovery Toys, Pampered Chef, Creative Memories, 1800PartyShop, Nikken, Avon, Mary Kay. The foundation of their business is the sale of their product, not unlike a traditional brick and mortar store, and the products that they offer are good and useful. You can make money by selling their products, but they would not promise you to get rich easily and quickly.

Most illegitimate offers have the following factors in common:
-Promise you to get rich quick.
-Require continual recruiting to succeed.
-Recruiting process appears evasive.
-A large amount of money is required up front.
-Insist that your success lies in joining now versus later.
-Your "gut" doesn't feel right about them.

If you've put the above items to the test and are still unsure, here are some resources for reviewing business legitimacy.
http://www.mlmlaw.com
http://scambusters.com
http://www.betterbusinessbureau.com
http://www.ftc.gov
http://www.mlmcentral.com/thespamissue/hallshame.html

Discussion groups on Network Marketing: - is_it_a_scam@egroups.com
- makingtherun@egroups.com
- networkingmarketingtip@egroups.com
- mtaustralia@egroups.com

You can also find good information by going to one of the major search engines, and doing a search on the actual business name you are considering.

It is important to do a thorough investigation of any multi-level marketing program when you are considering it seriously. There are lots of opportunities available: many are legitimate; many are not. Use the resources listed here to make a sound decision, carefully considering the business presented. If you are careful in the initial phase of business selection, you are bound to reap the benefits later.

mlm, multilevel, multi-level marketing, network marketing About the Author
Debbie Schwarm is the owner of the online retail store
Gr82Celebr8.com, in conjunction with 1800PartyShop.com
and designs websites for small businesses and entrepeneurs.
Visit her sites at:http://www.gr82celebr8.com