The business landscape has changed drastically, you are either flowing with it or swimming upstream. Network marketing businesses are quickly becoming the fastest growing form of entrepreneurship making it very easy and attainable for one to start their own business and work from the comfort of their home. For those that are employed by an employer, they can work this type of home-based business after work hours or during spare time for additional income – essentially you’re building a company within a company. Building your business out of the comfort of your home allows for flexibility that is difficult when renting or buying office/warehouse space as in traditional businesses, not to mention high monthly overhead costs. Network marketing requires major self-discipline, organization and most importantly, a massive and clear vision. With that being said the benefits can be quite substantial as you will read on. Here are some key benefits for creating a winning business in a losing economy and just a few of the many more advantages of the network marketing model over traditional business models.
1. Low Start-Up Costs
You can start a network marketing business with either very little investment or no investment at all. In most cases, your initial investment you are required to pay as start-up capital will not even come close to your earning potential – which, if taken seriously will pay out much more compared to other types of businesses. The best thing about investing in this type of business is that there are very minimum monthly costs such as your monthly auto-ship that can cost anywhere from $50 – $100/month with products you consume. What’s great is that the operating systems are already in place for you such as a back-office, sales/financial tracker, marketing material, replicated website, corporate training, etc. which some companies charge a monthly fee for. Basically, you’re getting a business that is already built, market research and costs of formulas and patents are taken care of; it’s ready for you to run right out of the gates!
Leverage is by far the single most important advantage in a profession like this by allowing people to work smarter, not harder. Most people wish they had more hours in a day; however, in the same 24 hours we all have, you must work to generate income, you need to sleep, you need to be with your family or loved ones, you have to focus on your health and the list goes on with life obligations. Most people typically work eight hours a day at a job – most times, at a job they don’t even like. In exchange for time, employers pay a set wage. Some employers pay employees for units of a product produced or sold – commission based and sometimes capped. Either way, employee wages will always have a ceiling.
Understand network marketing – network marketing companies pay their distributors for work done by other distributors. Similar to Bill Gates as he built his company by creating and owning a ‘system’. When he sleeps he makes money, when he drives and he makes money, when he vacations he makes money. Do you think he goes into his office much? No. So by systematically increasing the number of active distributors/business builders in your downline, your income will increase, and as your system grows the number of hours you work will decrease making time for you to spend any way you wish. It is definitely well worth your time to build if you have big aspirations.
3. Passive Residual Income
You could have all the savings in the world but when that rainy day comes your savings will eventually be depleted, then where will that money come from to replace it? Network marketing is an opportunity to build an ever-increasing passive residual income. If people understood what residual income is they would break through brick walls to obtain it. Passive residual income is only made possible by leveraging as mentioned above. So by leveraging on other people’s effort and time, a large residual income is possible because you’ve helped them to do the same. In this business, it’s all about duplication – not just a President or CEO sitting at the very top of a company while everyone works hard while he or she benefits. It’s about people helping people and when you help others to build a passive residual income you bet that you deserve the same. You become successful only when you have helped others become successful.
4. International Business Owner
Do you love to travel? You can literally work anywhere in the world where a network marketing company is operational. As long as you have a smartphone/laptop, WiFi and a burning desire to win, you are in business! Meet new people from all over the world with just a tap on your keyboard and see the world and experience it first-hand. I can literally choose which province, state or country I want to build in. Truly, the world is your oyster and keep in mind that as you decide where you want to build your business, the next benefit is key to building globally.
5. Huge Tax Perks
One of the not-so-obvious advantages of network marketing that people miss are the incredible tax perks which an ‘Employee’ doesn’t have. When you join a network marketing company you’re starting your very own home-based business and even your capital invested can be written off. For those of you who have a traditional job, you too can be earning extra income and as a huge bonus, you will have various tax advantages over your colleagues. If you like to travel, dine out, entertain, if you have a mortgage, car payment, fuel costs, office supplies, etc. then this is possibly the greatest advantage of all as you are allowed to deduct your expenses from your income before calculating how much tax you should pay!
I love Robert Kiyosaki’s cashflow quadrant: ‘Businesses earn, spend and pay taxes. Employees earn, pay taxes and spend.’ In other words, businesses spend what they earn before paying their taxes, while employees pay taxes before spending what they earn and it’s usually a 30% deduction of your hard-earned cash – how fair is that? Remember, with the money you save on taxes that’s additional cash flow on top of the extra income you’re earning with your home-based business. Consult with your local tax specialist to find out what you can deduct and have them show you how this puts you at an advantage. As someone in the business, your tax liability is not calculated on how much income you have earned. No. It’s calculated based on how much of what you have earned remains after taking off some of your expenses from that income. This is a no-brainer!
6. Time Freedom
A huge disadvantage of the traditional 9 to 5 is the lack of time freedom. When an employer trades you money for your time you are no longer free to come and go as you please; you clock in and clock out and you are at the mercy of your boss. In the cash flow quadrant, don’t get Self Employed mixed up with Business Owner. Self-employed means that you now ‘own’ your job because if you don’t work you don’t get paid. Being self-employed means that there are no more 2-week paycheques, the hustle becomes real and you become a slave to your customers.
When you are a business owner, you are creating your own system and as you build your downlines in network marketing you begin to solidify your system, much like Bill Gates as mentioned before. This is a great profession for people who have children, or other obligations, where the normal hours of a 9 – 5 will not allow and keep in mind that when you work from home, or eventually on a beach, you have cut out wasted commute time. In this glorious profession, you choose with whom you wish to work with, when you want to work and best of all where you want to work, now couple that up with a leveraged residual income = FREEDOM to do, be and go wherever you wish, whenever you wish, never ordering from a menu based on the right hand side ever again!
This is a people helping people kind of business. There is a famous saying in this profession, “you’re in business for yourself, but not by yourself.” I remember being freaked out as I was stepping into the unknown with my very first try at network marketing and that statement was most comforting as I had a great mentor. As soon as you join a network marketing company, you become part of a positive and motivated team/family that has you in their best interest. It’s like this, if you don’t perform at a traditional job and meet your quota, or fulfill your responsibilities, you are Gonzo Alfonzo!
In network marketing, if you’re not successful then your Sponsor/Upline will not be successful so it’s absolutely in their best interest to help and equip you with the right tools and support that you require to become successful. Remember, it’s never about you! It’s all about leverage and how it can be achieved is by supporting your people. As you start building your own team they become your downline and you coach them into their greatness. Your team will benefit from your personal support and those of your upline and so on and so forth, you may call this ‘cloning’ or ‘duplication’. The Company is also committed to helping you because you are their life source along with every new customer or distributor/business builder you bring and it has happened where someone found their one superstar which ended up being worth millions!
8. Personal Development
This one is my absolute favorite because when I worked corporate if I didn’t take it upon myself to grow within it wouldn’t happen at work and it’s no wonder I left corporate, my vision became too big and clear! I was lucky to be introduced to network marketing when I was 19 years young and because of that I was exposed to a ton of personal development and as I grew within, my businesses flourished! To become a leader in this profession all network marketers are prolific readers; as the saying goes, ‘leaders are readers’. Network marketing diversifies you in skills that a traditional job doesn’t focus on such as public speaking, coaching, mentoring, how to relate to others, etc. Network marketers also grow spiritually regardless of their religion because in this business it’s all about your belief systems. Traditional jobs will train you and develop you just enough that you say confined to their corporate walls because why would they want you to leave when you can be building their empire while making someone else’s dreams come true?
In network marketing, you don’t need any sales experience or any form of a business background. As long as you have a dream and you’re coachable, and you apply what you learn to your business the network marketing vehicle is a great way to get you where you want to go faster, rather than finding a part-time job spending another 20 hours on top of your full-time 40 hour job building, yet again, someone else’s empire. However, for those that are business savvy, they truly understand this type of grind and would rather grind for themselves. Training will come from corporate or different groups within the company that with different styles of training.
Again, the beauty in this business is that you get to decide whom you want to work with and whom you want as a mentor. Since all distributors are independent business owners, it is imperative that you don’t ‘blame’ your Sponsor or Upline for your lack of success. There are many courses and a plethora of free training that can be found on the internet. As an entrepreneur, you also have to continually self-educate. Knowing your ‘why’ is the first step and the ‘how’ will follow. You must keep actively searching for training opportunities that align with you, not necessarily what is comfortable for you because as we all know, success begins outside of your comfort zone and investing in courses and company conventions is the key to massive growth and success.
10. Personal Branding
With all that you will learn through this profession, you may become an expert marketer, but if trained properly you will now understand that you’re not a salesperson or a professional marketer for your product or service. You are branding you and your values and what you stand for. People buy into your company or products because they like and trust YOU. Once you have established this for yourself, and you become a leader in your community by using your voice and helping others, your level of success is exponential and never capped.
11. Impacting Lives
As you’ve just read, what I believe is the biggest benefit and satisfaction from this profession is the ability to make a huge impact, not only in one person’s life but in many lives on a global mass scale! The power of the internet gives you the ability to have an enormous outreach through various social media platforms making it easier to connect with potential customers or distributors/business builders and to share the marketing material that the company already provides. With the proper use of social media, it can connect you to people that you would not have been able to meet in your area or globally, otherwise. With the touch of your fingertips, you are now able to influence and help so many people in all pillars of their lives. And making a global impact will lead you to build a legacy that you can pass on to your family and leave for your children. Now that’s worth your time and effort building towards your own empire!
Remember, most people think that 3 – 5 years is a very long time to build a business like this to get rich, but for some reason due to conditioning, they don’t think spending 40 years at a job is a long time to stay broke. The freedom of choice is yours! The chances of you being born into this world is 1 out of 400 trillion so that means you do have the chance to live the life you’ve always dreamed of and envisioned. If you know that there is more out there, if you feel that there is a better way, if you want to surround yourself with goal diggers and dream getters then the call to action is to make that 3 second decision to join that person that has been reaching out to you because they truly want more for you and believe that you can do it. Remember, you have all the support and a huge cheering section rootin’ for you! Know that you have all the support you need and you’ll gain many cheerleaders rootin’ for your success! What are you waiting for?