Multi-level marketing, better known as MLM, has had a bad rap. Talk to someone about MLM, and you could hardly get a word in once they complain about how ineffective and inefficient it is. There are complaints about people who failed and lost money.
Is multi-level marketing a failed system? Darren and Mike’s MLM career was successful; they know the ins and outs of growing a marketing business.
What, Exactly, is an MLM?
An MLM is often used by companies engaged in direct selling to build a distributorship system wherein every distributor recruits new distributors. All distributors in the MLM earn by either direct selling or through commissions earned through the sale of the distributors they recruited.
Depending on the type of business, the original distributor could earn commissions from other distributors down the line, hence the term downline, which is often used in multi-level marketing.
So what’s the problem? While there is nothing wrong with the structure of this business model, it is still a business in that it has to follow laws. The worst MLM failures involve companies that did not follow these laws.
The distributors suffer losses as a result, and the company also does. This is why many promising MLM companies start strong and then peter out.
Advantages of the MLM Business
MLMs have many benefits that are inherent in their structure – the kind of benefits that are not usually found in other business models. The advantages of MLMs are outlined below.
The old MLM practice of having distributors hold inventory is no longer feasible. Inventory is good, but only if you can move them. With the efficiency and convenience offered by the Internet, keeping an inventory simply does not make sense.
As a result, today’s distributors are much more flexible and free from the unnecessary cost of keeping and storing unsold products.
Zero to Low Startup Costs
The initial cost turns off many potential business owners from starting a business. In this sense, it takes money to create money.
For example, significant capital is often required to purchase raw materials and other supplies. It is also required to pay for the cost of production, which may include tools, equipment, software, and labor.
And then, there are other costs such as logistics for delivery and shipping, packaging, and warehousing. Of course, there’s also the labor cost, space rental or ownership, and utilities.
With MLM, the products are already available. Distributors must purchase a small batch and sell them for profit. There is no need to pay labor, rental, or utilities. Distributors sell through word-of-mouth, referrals, business websites, or social media.
Earn Your Income
In an MLM, distributors can choose to work independently or with their team of downlines. Distributors get to choose how hard and how often they work. If they want to earn more, they simply work more. They manage their own time, start as early or as late as they want, and see as many people as they like.
Better Control Over Work Hours
MLM distributors choose their work hours. Since they are not confined to an office setting, they do not have to work under the constraints of a regular 9-to-5. They can choose to network for a few hours, direct sell for a few hours, and spend the rest of the day for themselves and their family.
Potential for Large Income
Since a distributor’s income will depend on how they work, they can potentially earn an excellent income from their efforts. It is no surprise that people who switched to MLM from a regular job earn in a day what they used to earn in a week or month. Since distributors are not paid a salary that limits their earnings, they can focus on their efforts to earn more.
Can MLM Still Work?
MLM has worked and still works. It is a business model that has survived the years and has only come under scrutiny because of bad practices and uninformed shortcuts among certain companies. Like all businesses, MLM carries a risk but can be managed and overcome, as many successful MLM business owners and their distributors can attest.
Meet Mike and Darren
Online business was Darren and Mike’s alternative to their corporate careers. While successful, they knew they could still do so much more. They are two seasoned entrepreneurs who both wanted something better.
While both were doing in the business industry, they wanted a way to earn a good income and still have much more control over their time. Starting their own business turned out to be the perfect solution.
Today, Mike and Darren share their expertise with other entrepreneurs, providing them with the right mix of business savvy and insider knowledge to build more substantial businesses and create more profitable systems while ensuring that business owners still get to enjoy time well-spent on the things that matter the most – life and family.
For Darren and Mike, MLM is one way to break away from the confines and limitations that a regular job imposes. They have proven that the right approach and strategies used in MLM create a dynamic and stable business that can be profitable and sustainable.
With the host of tools and resources available, they believe that anyone who wants to leverage all the possibilities that the MLM business model can offer should be able to do so and pave their path to success.
For Mike and Darren, online business acumen can be learned and should be the solution for would-be business owners who are held back by doubts.
According to this Darren and Mike Dream Team, the key is understanding the nuances of the business model and utilizing the strategies that have worked and continue to work.
The duo does not believe in re-inventing the wheel but believes that finding better options is the key to finding better solutions. For Mike and Darren, starting your own business is the time-honored way to build a stable income, become independent, provide a means for others to earn, create your wealth and take back your time.