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3 Reasons to Stop Calling Network Marketing a “Pyramid Scheme”

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www.fitnessbeautytravel

“Don’t hate what you don’t understand” – John Lennon

I see posts online with people calling the Network Marketing industry a pyramid scheme all the time, and I hear it in person occasionally as well. I have to say, when this happens it takes a lot of effort to keep myself from educating the people that said it. For this reason, I have set out to hopefully educate some people about Network Marketing a little bit so that we can do away with this line of thinking. To start out, I want to provide you all with the TRUE definition of a pyramid scheme for a basic understanding in case any of you are unsure:

Pyramid Scheme: a form of investment (illegal in the US and elsewhere) in which each paying participant recruits two further participants, with returns being given to early participants using money contributed by later ones.

If you are one of the people that typically refers to Network Marketing companies as a pyramid scheme, I wanted to share these three reasons with you to hopefully help you understand why you should really stop.

UntitledNumber 1: It is untrue. As defined above, a pyramid scheme revolves solely around recruitment. So as an example I wanted to show you what a pyramid scheme ad looks like. I didn’t really browse that hard, I just went to a random advertising group on Facebook and scrolled for about 5 minutes. I found this gem to the left, and this is just the first I came across of what I am sure would be many to be found on the wall of that group. This isn’t an obvious pitch for a pyramid scheme, because obviously, they would get in trouble. However, I have a little insider knowledge with this $25 per referral ad because someone tried to recruit me for this kind of crap in the past. And that is exactly what it is – total bullcrap. THAT, ladies and gentlemen, is a pyramid scheme. Their sole purpose is to go out and recruit people for the “company”. All they have to do to join is pay a small fee of $25+ dollars to join, and then they can start recruiting more people and earning money immediately. It is a constant return of cash from ONLY recruiting.

Do you see the difference between THIS and between legitimate Network Marketing companies? I hope you do, because it is pretty freakin’ huge… THERE ARE PRODUCTS AND/OR SERVICES FOR SALE… If it is a company that has legitimate products for purchase, it does NOT qualify as a pyramid scheme, despite the fact that it does involve team building. In fact, when you think about a typical corporate environment, there are often bonuses for referrals. When you work at the company for so long, you are granted the opportunity to make recommendations for people that you think would be a good addition to the company. If they are hired, make it through the probationary period, and succeed in their role, you receive compensation for the recommendation. So when you think of it that way, the corporate environment has team building too! The problem here is that this industry is a relatively new concept to people, so it is difficult to grasp I guess. Think of it this way: Each person involved in Network Marketing is essentially the CEO of their own company. In order for a company to grow and become successful, they typically must have other employees and grow in size. It is the same with Network Marketing. To become truly successful, you need to build a team, and you need to nurture that team consistently to help them grow teams of their own as well. When you think of it this way, Network Marketing actually is more of an inverse pyramid. Why? Because in order for one person to be successful, they have to aid their team to be successful. You can’t just recruit a bunch of people, then sit back and rake in cash. You need to train your team, help your team to grow, and push your team to achieve new heights in their business. Nobody can simply sit back and get complacent, which appears to be a common assumption.

Number 2: It is offensive. Seriously though! If you ask anyone in the Network Marketing business what they think about people that refer to their JOB as being a pyramid scheme, chances are they will say that it drives them a little bonkers. It is just so frustrating to be so passionate about a company that you love, and to have so many people on so many different fronts constantly trying to dis what you do. We work HARD at what we do (or at least those of us trying to make this a real career) and it can be offensive and rude to have people look us in the face and call the Network Marketing industry a scam or a pyramid scheme. If you care about your friends and family involved in this industry, please do not use those terms when speaking to them about their business. Even when speaking to strangers, it is best if you just keep those words out of your vocabulary when discussing this topic. These days Network Marketing is becoming super popular for being part-time endeavors, so you seriously could be meeting tons of strangers every day that have businesses outside of their “real” jobs without your knowledge. If you want to avoid an awkward and uncomfortable conversation, just keep those little negative thoughts to yourself!

Number 3: It makes YOU look bad. I am aware that this one may offend a few people, because I am sure that there are a lot of you out there that are guilty of doing this on a fairly regular basis. However, I gotta be real… It seriously makes you look kinda silly and ignorant to those of us that actually know the true definition of a pyramid scheme. We live in a time where SO many people around the world are bringing in full-time earnings by working at home with their direct sales business. There are millionaires in many of these companies, and more and more are made all of the time. If you put the time and effort into this industry, and you are willing to learn and to grow as a person, you can be successful in this industry as well. To say that something is a scam, when it is clearly doing so much good for so many family and individuals around the world, is just ridiculous.

If you have been guilty of this, I want to encourage you to please just stop. Start thinking of Network Marketing for what it really is – a successful business opportunity not for the faint of heart.

xoxo

Jess

5 Reasons Direct Sales is MADE for the Struggling Student

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Something about myself that many of my online readers may not know, is that I actually started my direct sales journey while I was an undergrad student. There are challenges that accompany that for sure, because along with class, you are often trying to balance readings, writing papers, preparing presentations or projects, working part-time, and having some form of social life. Having a direct sales business on top of all of that sounds daunting to you on top of all of your other tasks, and it does come with unique challenges. However, it also has a lot of hidden perks. When you have classes through the week, and schedules that change from one term to the next, it can be difficult to find steady employment that is above minimum wage… and let’s face it, minimum wage on part-time working hours for a student is often just not enough. When I started school, I was actually working three part-time jobs. Each job individually did not provide me with enough hours, so I kept taking on more and more. This resulted in little sleep, a lot of stress, and not enough time to focus on my schoolwork. Any of the higher paid jobs typically do not accept students, because they prefer to have people that are going to be there long-term and working on a full-time basis. Add to that the fact that it is becoming increasingly hard to find a job in the first place, at least where I am from in the Maritimes.

I was pretty fortunate in that I was able to get into a good and steady job the summer after my second year of my degree. It wasn’t much in terms of hours during the winter months, but the hours and income I had during the summer allowed me to save. I also managed to get a perfect job for a student in my final year, a security guard in a government building. I worked weekends, which admittedly did suck, but it permitted me to study and work on schoolwork in between my responsibilities because the building was nearly always shut down on weekends. Most students are unable to have that luxury. For that reason, it is almost like the direct sales industry is perfect for the struggling student.

Here’s 5 reasons WHY direct sales is MADE for the struggling student:

  1. You have the ability to choose your own schedule. Have exams coming up, three papers to write, and a presentation to prepare for a seminar? Not an issue. With a direct sales business, YOU get to choose when and how you work. If you only have 5 minutes before class, you can write a quick post for Facebook and share an image on social media. Network marketing provides you with the freedom and flexibility to CHOOSE when you need to focus on your studies, and when you have time to focus on your business. There were some days when I was just totally drained mentally, emotionally, and physically from school (especially exam week), so having the ability to say “you know what, I think I need to take a day off from working my business and focus on my studies, or even just to relax and power up” is amazing.
  2. You are surrounded by potential customers. One of my biggest regrets is that I didn’t use that huge advantage while I had the chance. I am shy and more introverted, so I didn’t network like I could have. If you are a social person, this is honestly the perfect opportunity for you to use that to your benefit and make connections that will ultimately propel your business forward. University is just full of students, and gives you a giant advantage over everyone else doing a business. You have opportunities to meet new people DAILY.
  3. You save money on products you love. When you pick a direct sales company to join, you need to make it something that you love and fully support. In doing so, you will be genuine with those around you and they will see that in you. Working for a company that you love will allow you to get the products you would be buying anyway at a much cheaper price, and even make a return on all of your purchases through commissions from sales you make with the company. I chose a beauty brand and a health and fitness company because those were (still are) my passions, and I stuck around for 3+ years. I am with LimeLife now, and it is something that I absolutely love and enjoy doing, and it allows me to save money on amazing makeup and skin care that I would be buying full price anyway.
  4. You can take your job with you wherever you go. I went to school in my hometown, but a lot of people that I went to school with were from out of town. Many people came from different cities, provinces, or even countries to study. If this is you, what happens to your job if you go home over the holidays, during summer breaks, or when you graduate? Chances are a place of employment will be okay with 1 week vacation to go home, but they won’t be down with an entire summer. With direct sales, you can bring your business WITH you. While on holiday breaks, summer breaks, or upon graduation, you can continue working on your business. It is even better for you this way, because it allows you to network and make connections in your hometown and across the country as well!
  5. Extra income to support you throughout your degree. Every company is different, so I can’t speak for the payment schedules of all direct sales companies. However, I can tell you that LimeLife has the best compensation plan that I have seen for a direct sales company. The commission is deposited onto a special credit card that you can withdraw from, or even use to pay for in-store purchases like groceries, gas, etc. Personally, I chosen to allow my commission to accumulate on the card to use it to help pay off my student loans. This approach gives you an opportunity to support yourself throughout your degree with something you enjoy doing on your own time, by your own terms.

The naysayers will try to convince you that it is a waste of time, or that it isn’t worth it, but they are wrong. Even if you only have time to work on it super part-time like I did when I was in school, it still allows you to build a following through networking while in school and establish credibility among your friends, family, and peers. Over time that business will grow, and eventually you will have more time to put into it, and it will be worth it to see the result.

Are you a struggling student with a direct sales business already? I would love to hear about how this industry has helped you throughout the duration of your university career! Please share below in the comments :)

Feel free to reach out to me at any time should you have additional questions!

xoxo

Jess

So you want a business opportunity that is free?

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Much like anyone else in the network marketing business, I am a member of multiple groups to network with other people in the industry and those looking to become a member of the industry. Within these groups, I see countless posts on a regular basis of people seeking business opportunities with no starter costs. If you are one of those people – this is for you.

If you have been searching for anything free, chances are you can’t find a business opportunity that is free because that is not the way that the world works. Network marketing is NOT a get rich quick scheme. Network marketing is a legitimate business opportunity, and essentially you are your own CEO. Obviously all companies are a little bit different in how they do things, but for the most part, you are paying a fee to start that covers a kit full of products, training, website fees, etc.

Think of it this way. If you wanted to start your own store locally, you wouldn’t be able to just do it for free. There are start up costs, and a whole lot more that way too. Network marketing gives you the opportunity to have your own company without all of the hassle of producing the product and shipping it out.  You can’t expect companies to give you the world. The products that come in those kits are super discounted already (at least with my company, LimeLife) , so you can’t expect to be handed them for free. Not to mention that initial fee also covers your training online, it usually covers a personalized website, you get a LimeLife credit card for your commission, and more.

Another common theme among people that make these posts is to say “well I would rather join for free and not get the starter kit”. That is available with LimeLight as well, but I am sorry, that option just makes no sense if you want to get your business off to a good start from the beginning! Having a start up kit is essential to a new business so that you can use the products and accurately represent them to your customers. You need to have experience with the products and be knowledgeable about the products if you are going to sell them successfully. People are going to ask you what you think of certain products and expect you to be able to give them an honest answer. They won’t appreciate you saying “well, I don’t know actually because I have never tried any of the products”. Right then and there you will lose all credibility with that potential customer, and that is bad for your business.

If you are just joining a company for the sake of joining a company and making money, I have to be honest, don’t bother. People can tell when you are genuinely passionate about a product or if you are just trying to push it, and they will gravitate to those they can tell truly care about the product. People want to buy from people that they can trust, and with whom they have formed a relationship. If you’re all about the sale and you place little value on the customer experience, you’re not going to get far in this industry.

Now I know that if you’re struggling and you don’t have a lot of money it can be difficult to make that investment, which is why some of the people making those posts are seeking something free to join. However, if you are serious about wanting a business opportunity that you love and creating a life of financial freedom, you’ll make the effort to save up bit by bit until you can pay for your kit. Even just a couple of dollars here and there will add up.

Just remember that with any network marketing business, you need to put in what you want to get back out of it. If you are not willing to make an investment into your business, then that is a choice that you are making, and it is something you are going to have to learn to live with. I don’t believe in sugar coating the truth to get people to join my team because I feel like people need to know the truth about network marketing prior to joining. It is important that you know what you can expect from this industry and what it will take to be successful, because it simply may not be for you.

It’s not for everyone, and that is perfectly okay.

Visit my previous post to learn about the Network Marketing industry. If you are still interested in making this a part of your life, Click Here to learn about LimeLife, or visit my website to sign up today! I have my own team training resources in addition to those provided through LimeLife corporate and our Facebook training group, and I would love to have you on my team and help you create the success you are hoping for.

Thanks for reading!

xoxo

Jess