Are you Interested in Generating Some Extra Cash?


Multiply and Conquer

Yes, there are opportunities in MLM. Fortunes have been made and will be made in the future. But you need to know what to look for in an MLM organization, and you also need to know what to avoid. To begin with, you need to understand MLM. Virtually any product or service can be sold via MLM, but most of the companies in the field emphasize consumer goods, such as cosmetics, vitamins, and personal care items.

Every person in an MLM organization can sell those products directly to a consumer, receiving a commission on each sale. However, it's doubtful you'll succeed strictly through your own sales efforts. Instead, with an MLM program, you'll make the most money by recruiting other salespeople, sometimes known as distributors. Then, you'll earn a partial commission, known as a bonus or an "override," on all sales made by the distributors you recruit. Here's how a sample MLM operation might work: Every distributor starts out paying a nominal amount (usually under $100) for a distributor's kit that might contain a carrying case, a manual, a product catalog, brochures, order forms, audiocassettes, video cassettes, etc. In addition, distributors can buy the company's products at a discount, say 20% off the retail price.

Each distributor recruits other distributors, who recruit still more distributors, and so on. All those below you in your organization are known as your "downline," and you'll share in the commissions on what they sell.

Often, a minimum amount must be generated in sales by your downline before you're entitled to bonuses and overrides.

Suppose a first-level recruit (a distributor you brought into the organization) reaches a certain level of sales, $300 dollars worth of products in a month. Then an override kicks in, and you might collect 5% of your recruit's total sales. If a second-level recruit (someone your recruit has recruited) reaches the $300- dollar plateau, you might get a 4% override. This structure continues down the line so you might get 3% for a third-level recruit, and so on.