Thursday, July 3, 2008

Is Network Marketing A Business?



My answer is a resounding NO.

Anyone that is an independent distributor with a network marketing company is an independent contractor, not a partner or shareholder in the business. As a matter of fact, network marketing companies have non-compete clauses in their independent distributor agreements that prevent its distributors from working with another network marketing company. If you are found to be doing so, the company reserves the right to terminate your distributorship (i.e. fire you).

Well, here are a few points to consider:

  • Network marketing allows average people to generate passive, recurring income (which can can potentially lucrative)
  • Sales training is done at the independent distributors own pace, and is often free of charge. The ability to sell is a coveted, invaluable skill.
  • Independent distributors are taught operations (e.g. how to manage others, time management, forecasting, industry-specific expertise, etc.)
  • The personal growth and development books and programs that the industry advocates are life-changing
  • May be a compliment, supplement, or gateway to what you REALLY want to be doing.

I started my OWN business back in October 2007 (along with my business partner, Lisa Torres). Our company is called Grassroots Business Network, LLC. What we do is organize and promote networking events and developmental workshops specifically for small business owners with up to 10 employees, sales agents, freelancers (including network marketers), and those interested in starting their own business - whatever that may be. We are actively organizing and promoting events in NYC, Charlotte, and Atlanta.

I say without reservation that the skills, tools, and systems that Lisa and I have learned from network marketing has been invaluable in helping us to develop and grow our business.

Not only in business, but the skills that I have been able to develop in network marketing have allowed me to significantly increase my income in Corporate America, and have enabled me to seek and seize bigger and better opportunities with relative ease. Understand that it is not me, it is the training that network marketing provides.

You can not make one red cent with your network marketing distributorship, but you will become a better, more marketable you. These are some things that they don't teach you in the classroom. You instead learn by doing. Ralph Waldo Emerson said it best: "Do the thing and get the power."

Here are a few books that I highly recommend: Why You're Dumb, Sick, and Broke, by Randy Gage; The Cashflow Quadrant, by Robert Kiyosaki; and Multiple Streams of Income, by Robert G. Allen

I hope that you found this blog entry to be thought-provoking.


2 comments:

Anonymous said...

Hey Tyrone,

I can understand why you would say no to answer that question. I agree with your reasoning, but my answer would be a resounding YES!
I tend to look at Network Marketing as the next phase in the evolutionary chain of business. Coming from the model of franchising, network marketing provides all the pluses and none of the minuses. You've detailed all the benefits it provides. Called Private Franchising by many people it provides individuals the opportunity to generate income by leveraging their time the way no other business can or does.
And as you mentioned, the most important aspect of this business model is the training. While many business provide training tailored specifically for its industry or product, network marketing businesses provide "life training" which is beneficial for every facet of a persons life.
I encourage anyone who has questions and doubts about network marketing to just do some research. Our industry is the future, don't get left behind!

-Gis
www.thedreammarket.com

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