Eight Key Questions When Considering Network Marketing as Home-based Business

Monday, August 31st, 2009 at 10:05 pm

If you are one of those people interested in starting a home-based business but do not have a skill as an artisan or background in things like accounting, financial planning, etc., one of the possibilities you may be considering is a network marketing opportunity.

Once you open up to network marketing as a possible answer to fill your home-based business desire, how do you choose between the many opportunities available?

Use this list of eight key questions as you consider the different network marketing opportunities:

Is the company participating in growth markets?
- Make sure the company’s products align with the major growth markets including health and wellness, green products, anti-aging, etc.
Is the company financially stable?
- Many start-up network marketing companies fail within the first few years of existence. Make sure the companies you are evaluating are stable and can weather the current economic conditions.
What is the company’s reputation in their marketplace?
- Check out the company’s reputation and history in the network marketing industry and whether they have had product, service or issues with distributors either today or in the past.
Can you make a legitimate initial and residual income?
- Evaluate the compensation plan and be sure the bonus plan provides for a potential income both in the near-term as well as long-term residual income. Many older compensation plans were structured to focus on the long-term residuals and provided little or no early bonus structure meaning it takes longer to build a positive cash flow.
Does the company produce a viable, consumable product?
- Another way to phrase this question is …. Are the company’s products in demand and readily consumed? This is important to maintain repeat sales from satisfied customers as you build your distribution base.
Is their credible research and QA/QC conducted on the products and ingredients?
- As you evaluate the company and its products, make sure they both conduct in-house and support external research on the products. You also want to check to insure the company conducts their own in-house QA/QC tests on ingredients used to manufacture the products as well as the end products (think about what happened with lead in toys!).
Does the company introduce new and revolutionary products on a continuing basis?
- As you undertake your research, check to see if the company actually researches and produces new and innovative products on a regular basis to enhance growth and keep renewing their product lines.
Do the company and team under consideration provide training on realistic business building methods along with the products and opportunities?
- Check to be sure the company and the distribution team you are considering offers training beyond the products and compensation plan. They should also offer training on variety of business and marketing topics including up to date prospecting methods (traditional, social networking, using Internet) and delivery techniques (teleconferences, webinars, multi-media presentations, along with traditional live events).

Careful consideration of each question will greatly assist you in during your evaluation process. Take the time to gather your facts; gain a realistic understanding of your selected opportunity; and what it actually takes to build the business will help set a firm foundation enabling you to be successful.

Would you like to see how these questions can be used during your evaluation process of different network marketing opportunities?

Enter your contact information into the form below for a personal consultation and evaluation tour one team’s approach to address each of the questions:

Be Sociable, Share!