MLM Success – How To Distinguish Genuine MLM Opportunities From Fake Work At Home Business

MLM opportunities on their own are not bad.

In fact they are a very good way to make money at home.

Unfortunately, because of the large incomes associated with MLM opportunities, there are some unscrupulous companies giving the industry a bad name.

These companies come up with a scam, dress it up as an “unbelievably successful” MLM or work at home opportunity, and begin their own money making venture… siphoning your hard earned money from your pocket to theirs.

It’s not right… and you need to know how to protect yourself.

If you know certain things to look out for, you will be able to distinguish the genuine MLM opportunities from all of the work at home business scams out there.

Here are a few tips:

Beware of Pyramid Schemes

One main reason the reputation of work at home and MLM companies has been tarnished is pyramid schemes.

Pyramid schemes look like MLM opportunities by copying the MLM concept of sponsoring others and building a network. And, just like a true MLM opportunity, every person that signs up into the network has to pay to join the company.

But that’s where the similarity stops.

With a pyramid scheme, there is no product to sell – “selling” the opportunity is the only way to make money. The only intention is to get as many people into the network as possible.

The company’s goal is for people to recruit other people… to recruit other people… to recruit other people… to continually collect more and more money which flows to the top of the pyramid… to the “organizers”.

Make doubly sure that the MLM opportunity you are planning to join has an actual product or service to sell and that you are paid for making sales… not recruiting.

What is the Membership Fee?

It’s normal to pay a registration fee when you sign up for MLM opportunities, but you have to check carefully how much you are paying.

You can become involved with most top MLM companies for less than $200.

Now, this isn’t to say that there are not great MLM opportunities out there requiring more than a $200 initial investment – it’s just that they may not be the ones to choose until you have some MLM experience.

Also, keep in mind that the main goal of a work at home scam is to get as much money coming into the company as quickly as possible… and a fast way of doing this would be to charge high sign up fees.

The Compensation Plan

Is the pay plan for the MLM opportunity convincing?

Is it too convincing?

When an opportunity looks too good, trust your instincts and do some research before joining.

Go to Internet forums and see what people are saying about the company and opportunity.

If possible, meet with a representative and go over the details of the MLM opportunity. If it’s not possible to meet in person, contact the distributor or team leader either by email or phone.

Most legitimate MLM opportunities have successful individuals who are willing to share their success and help others… through their contact information listed on their website or company profile.

Ask questions and seek answers.

Do Some Background Checks

What is the reputation of the company?

How long has it been in business and / or the MLM opportunity been available?

If possible, find out how many people are already in the MLM network and how many product sales are being made.

These are important items to know.

It will be much easier to succeed with the MLM business opportunity if your members are able to believe in both the product they are selling and the company that will be paying them.

Without both of these, it will be harder for you to find people that trust the opportunity enough to actually join your organization.

Once you are convinced that the MLM opportunity you are looking at is genuine, then there’s no reason not to go ahead and join the company.

Maintaining Investment Discipline

The successful stock market trader is the disciplined stock market investor.

It is very much simple and easy. And every stock market trader must find this easy to obtain along with sentence.

Mostly, it just suggests sticking on to a particular stock trading system and not opposite from it. But people vary in their capacity to keep up self-control and discipline.

Can you manage the present instability? Are you more anxious to sell offs and experience gain in the increasing markets?

There is nothing wrong from those feelings, unless you have to do something on them. That is why the market timing techniques non-discretionary work. In case you go along them, no sentiment is involved and you are unrestricted with the obligation to create emotional decisions.

Just stick with the trading strategy.

Discipline vs. Sentiments

It’s simple to keep principle from a stock market timing approach when that approach possesses the profitable run. Although all methods have times when they are not profitable. It’s a truth of the investing on stock market & accepted by beneficial stock market investors that the price of doing business.

Though, when a technique is looking an not making money period, keeping discipline is unpredictable thing else again. A investor, as deficits in the investment portfolio, tries to find a tendency why do exiting the approach is a good idea. Something to take away the pain.

The issue is the output of the successful strategy is almost always about to lead much more pain.

Exiting is a sentimental choice and the stock market runs on feelings. But that just places you in crowd. To buy as well as sell decisions according to how you feel.

Sticking on to the group of people can get rid of emotional pain for a short period, however this isn’t the best way to earn.

Felix as well as Oscar

As you might have observed by chance, some people are more disciplined while others are unsystematic.

Characters in Neil Simon’s Felix Ungar & Oscar Madison show the dissimilarity of the discipline & unruly.

Felix was a neat freak who wanted all in its place, when Oscar was sloppy and much more impulsive.

However there were moments at the time Oscar was much disciplined. He was a recognized sports writer & must have illustrated a suitable amount of self-control, to make his column every day.

Although it was a fictional character, Oscar shows how it can be unruly in terms of personality qualities, yet able to point out discipline at that time doing a particular task, like running a trading system.

Discipline Equals Gains

Understand that you do not have to be disciplined all the time. You only need to be disciplined when you’re executing a buy or sell alert. It’s sometimes helpful to remember that information. It makes simple some of the hassle to think that you simply have to be systematic if you run market timing signal, other than when all waking hours.

Do not lessen the value of self-control and discipline. The most disciplined, you will trade, and you will fulfill more gains over time.

The desire to neglect a buy or sell signal, and even get out of the trade for the reason that it’s not at present beneficial, can be very much strong and sometimes only these traders fully committed to sticking on to an unemotional market timing system may stay the course.

However during the big trend is starting to profit, when you don’t trade, you may be left behind. Because it’s not possible to understand earlier where this trend will start, you have to take all trades.

At the end

This year’s big rally started after a record breaking bear market. The market was in the disarray. A lot of traders and market investors had given up.

When the rally begin, we didn’t make out it was the rally can move upper. It was just the other purchase alert. But this time, the trend has continued to grow everything without looking backward. Investors who take all traders had been on board since beginning.

While the majority market investors and traders have the chance to follow a market timing strategy most would be rich. As this isn’t the case, we all know that lots of stock market investors as well as traders fall through the wayside.

Don’t be one among them.

Business Cash Management Essentials

Many aspiring entrepreneurs go into business because they have a product or a service they feel strongly they can offer that will in some way be better than what is currently available to their potential customers. Either they will have more reasonable pricing, personalized customer service, a higher quality product, more convenient hours, highly effective marketing or some other “edge” over the competition. And in many cases, the entrepreneurs are correct and their fledgling business grows as sales increase. This would seem to be great news and promise success to the small business, but unfortunately there is more to staying in business than just providing a quality product or service. Cash management is the absolute key to the short and long-term success of any business venture, be it a one-man operation or an international corporation employing thousands.

The trap entrepreneurs often fall into is thinking that expertise in their chosen field and a decent sales volume are enough, and that cash flow will be there as long as they are busy. A majority of failed businesses can point to mismanaged finances as the primary reason for their demise, even in cases where sales are booming. So why is it that a business making sales and keeping busy is at risk of failure, and what can a business owner do to minimize their risk even when finances and accounting are not their forte?

First, let’s understand the basic problem. Sales are absolutely essential to maintaining a successful business. But why aren’t they “enough”? There are several factors that weigh in:

  • Inventory – some businesses require large outlays of cash to purchase inventory, which may or may not be sold quickly, tying up large quantities of cash that sit on the shelf or warehouse floor and gather dust.
  • Receivables & Payables – if credit customers take longer to pay than the business takes to pay its outstanding bills, a cash shortage could become a real problem; a balance between receivables and payables scheduling is essential to proper cash management.
  • Capital Expenditures – large outlays of cash for assets such as equipment, vehicles, real estate or technology can be important for business growth, but pose a cash flow problem if they are not managed properly.
  • Pricing – goods and services need to be priced so that not only the cost of the sale is considered, but the business overhead is also taken care of and a profit margin is included. No business can be maintained by losing even small amounts of money on every sale; a business that has to cut prices that far is doomed to failure.
  • Sales Cycles – some businesses are cyclical or seasonal, or they ebb and flow based upon factors outside their direct control.Assuming the sales and receivables will always “be there” during the lean times is a huge mistake that can have dire consequences; business owners need to maintain a cash buffer to see them through lean times; whether those downturns are planned or unexpected.

So how can a business owner minimize their exposure to cash shortages? Following are some general guidelines for keeping track of your cash and protecting your business.

  • Plan your cash flow at least 6 months in advance to make sure you have the cash to meet your business needs, including payroll, estimated tax payments and general operating expenses.
  • Use your bank balance as a tool in planning, but don’t mistakenly think of it as actual, usable cash. “I must have money, I haven’t run out of checks yet” isn’t a good strategy for cash management. Always remember that your bank balance fluctuates dramatically as bills are paid, assets are purchased and invoices are collected.
  • Think about your business and try to establish a few signals of the ebb and flow of sales. Depending upon what business you are in, it could be the size of your phone bill that lets you gauge how sales are going, or it could be the number of packages out the door each day, or the mileage driven by your delivery trucks. Obviously this is different for each individual business but knowing what the signals are without having to analyze a monthly or quarterly financial statement every day could be a good tool for being proactive and avoiding cash crunches instead of having to react to crisis situations.

Your banker may be able to provide assistance in the form of tools you can use to keep on top of your cash management situation. Some cash flow management products and services offered by many banks that can be helpful include:

  • Sweep accounts -these can be used to provide overdraft protection and can be set-up to leave only enough cash in your checking account to handle the needed outlays for the day; your remaining balance can be moved into investment accounts so the money remaining in your account is making money for you.
  • Credit lines can be used in cases where you need a quick cash outlay but know you will have the cash to cover the expenditure shortly. Banks appreciate advance planning, and will be more likely to set up a credit line for your business or offer a loan if you have a clear plan for where the money is going and how it will be recouped.
  • Electronic payment tools such as ACH direct debits, wire transfers and remote deposit capture help you ensure that payments from your customers are in your account as quickly as possible, while you can better manage and schedule payments to your suppliers.

The best business cash management tool you can employ is information. Know when you need to spend cash and how much you need to spend. Know how much your customers owe and when it is due. Keep on top of overdue payments and do not let slow-paying customers continue to obtain goods and services on credit. Be aware, and don’t get caught with bills to pay and no cash with which to pay them! Cash flow isn’t a boring accounting function. It is the lifeblood of your venture. Give it the required attention.