“Bruce I want to ask your opinion about a business informational I recently went to. This group helps people out of their financial debt, but they also aggressively recruit more people into their business,” were my words in a discussion with Bruce Williams in 2007. “It sounds like I could make a lot of money if I join. It also sounds like pretty hefty commitment, one that I’m not sure that I can fulfill in tandem with my scientific research.”
“What you just described sounds like a Multi-Level Network Marketing company,” Bruce casually commented in his burly, grandfatherly voice. Bruce Williams’s was a conservative but fair talk show host who covered a range of topics; politics, current events, economics, as well as life’s daily issues (usually financial). “Look guy, I don’t know what it is that they’re selling, but I think you’ll be better off focusing your time and attention to launching your career in science.”
Anyone’s motivation for going into to business is to make money. Unfortunately not everyone can cook, invent a social media site that will change the world, create a new operating system, or buy a a McDonalds, coincidentally the one franchise often referenced in the Rich Dad books and in Network Marketing informational meetings. It’s not uncommon at a meeting to hear, “McDonalds may not make the best hamburger, but they are the model franchise,” or something similar.
Likewise Network Marketing businesses offer the opportunity to start a business with only a little money down (usually $100-$500), and the potential to make a lot more money than one could ever make on their job through generation of passive residual incomes.
The thought of making passive residual incomes is very enticing for people who understand these concepts. There is also the time factor. What also gets people’s mouths salivating is the potential to not have to punch a clock, go to an office, and not answer to a supervisor.
Personally, people have multiple reasons for joining. Some who hold traditional jobs and careers and sour on the thought of having to climb a ladder, and having to be chosen for a promotion which may result in more responsibility but not necessarily significantly more income. Others have reached middle age and don’t see themselves being able to retire on what they’ve saved or haven’t saved. Others don’t like the idea of having to go back to school to get another degree, to qualify for promotion in their organization.
“When my job told me that I would have to go back to school to get another degree in order to get a promotion, I didn’t want to do that. This business is allowing me to make larger sums of income than my job could ever offer and save for my retirement,” the speaker at a meeting said.
Some people haven’t gone very far school-wise for any number of reasons and don’t see the potential to ascend in any job.
“My mother who is deaf and some of her friends weren’t very educated and they saw the business as one of the only ways they could make good money,” a friend revealed about why her mother got involved in a home based business that sold water purifiers.
In general, these businesses are seen as ways for people to:
• Achieve financial independence
• Have more control over their lives
• Bypass the traditional paradigm of working for someone else to make money
While the benefits of joining Multi-Level Network Marketing businesses seem to be limitless, what actually happens when you pay your entrance fee and sign on the dotted line? And when one does join, what are the actual rigors and expectations? These questions will be addressed in part three of this series.