Network Marketing Start Up Costs
It is the low network marketing start up costs that makes network marketing so appealing to many people wanting to start a home based business.
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Easy to Start – Easy to Stop
The low start up costs makes it so EASY for anyone to get started. Particularly with a home based business for under $100. Unlike starting say, a retail store where the costs to set up can be in the hundred’s of thousands of dollars compared to starting a distributorship with a network marketing company.
(The network marketing start up company has already out laid their money – by the way, like with any new company, new network marketing start ups can fail just as easily as traditional business. )
Commitment Levels
Obviously, if you are putting up large sums of money there is a strong motivation and commitment that can be greater then when there is low dollar amounts involved particularly for a home based business under $100.
However, this very reason can be their downfall.
Why?
Reliance on Advisor’s
With larger start up costs, you would normally involve your business advisor's. However with a low start up, it is too easy to simply ‘decide’ to ‘give it a go’ without much thought and planning. Same goes for a home based business for under $100.
So, just make sure you take the time to learn how to with or without your friends family and neighbors.build and expand your direct sales and network marketing business.
Also, get good MLM training, even if you are successful in other areas of life, be willing to learn what makes this 'different'.
Skills Required
Again, with higher start up costs, you would make sure you have the skills to be successful. When there is a lower start up it is easy to ‘wing it’ and ‘hope for the best’ without taking the time to really learn what is required.
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Downside of Low Start Up Costs Another aspect to the network marketing start up costs, is the requirement of having a genuine product (if there is no genuine product, be WARNED - it is more then likely a scam). With all honest network marketing programs you only get paid on product that is moved through your business. |
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When you understand this, you will view the nil or next to nil network marketing start up costs from a different perspective. Just ask yourself this:
“If the only way I make money is by product being used, consumed, purchased through my business - how much volume will it take for me to make the kind of money I have been promised or want to make. Then, how much effort is that going to take to do that?”
Usually, the start up kits include product for a very good reason. Now you don’t want a garage full of products (besides that is illegal too!) What you DO want is enough product for you to use yourself and a bit extra, as well as a regular monthly auto-shipment of product.
Why?
It is from your regular monthly auto-shipment of product that creates your residual or passive income.
Quality product is essential for your long term income. You will want to have product that actually works, is highly consumable (the bottle empties it needs to be repurchased) – poor quality product won't give you the long term income.
So stop and think:
Would you rather lot’s and lot’s of people using a ‘very small’ amount or fewer using a little more on a regular basis?
I know which I'd prefer!
So beware of any home based business for under $100. You really do get what you pay for.
Click to listen to this Network Marketing Start Up Costs Podcast now.
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