Choosing the Right Network Marketing Company

How to Choose the Right MLM / Network Marketing Company

How to choose the right Network Marketing / MLM Multi Level / Direct Sales company that is right for you.
How to choose the right Network Marketing / MLM Multi Level / Direct Sales company that is right for you.

Facts and Statistics about Network Marketing / MLM

Over 150,000 network marketing companies were established since 1945. Out of this figure, only 1,000 are in existence today. To succeed in this industry, choose the Right Company.

There are a lot of network marketing companies. In fact, today there are over 1,000 of them, and an estimate of over 150,000 since the industry began in 1945. But how do you really know which one to choose?

The truth is, out of the THOUSANDS of network marketing companies that have opened their doors, only 63 have ever reached over $100 million dollars in sales a year in revenues. 34 have reached $250 million in sales. Our company was the fastest to reach both of those. And only 11 have earned over one billion dollars a year in revenues. What does it take to build a long-term, stable residual income that will follow you for decades?

Answer: Choosing the right company.

Network Marketing / MLM Facts and Statistics, figures 2014
Network Marketing / MLM Facts and Statistics, figures 2014

How to Choose the Right MLM / Network Marketing Company

Here are the key factors to consider when selecting an MLM / Network Marketing Company:

(Partial Source: Entrepreneur JULY 24, 2006):

1. Carefully research the company.

Company’s Track Record, Financial Stability

How long have they been in business? If the company is less than 2 years old, the probability of failure is high. If it’s more than 15 years old, you’ve probably missed most of its growth.

Examine the management team to see if it has a solid mix of people who’ve been involved in managing successful traditional and network marketing companies. Who are they? What’s their mission? Are they people with INTEGRITY? What’s their track record, past experience?

Search the internet to see if the company has any lawsuits or outstanding complaints against it. If the company is solid, you can assess the next factor.

Check also if the company has (c) international or global presence. Even though you have no plans of going international today, you cannot control the growth of your network in the future.

If the Network Marketing companies have been around for decades, you should examine if they are still growing and bringing in new reps and customers each and every single day.  You can get annual DSA statistics of the company if they are among the top 100 direct selling companies in the world. If they are not in the top 100 after a decade in business, you need to ask yourself why they have not made the great leap forward.


2. Find a product or service you’re passionate about.

Does the company need to have a physical product for me to offer to friends, co-workers, people online, etc? Does their products excite me?

If not, find another company. Also ask yourself, is this a product or service that’s in high demand and will be for many years to come?

Is this a consumable product or service people must reorder every month?

Is there a genuine need for the product or service?

Is the product or service unique in some way? Check also if the products are patented and exclusive to the company. There are very good imitators out there. You don’t want to see your products displayed at department stores or at any point, do you?

If it’s a product, does the company manufacture it? If it’s a service, does the company perform the service itself? You want the answer to be yes.

Check to make sure the company will be able to handle rapid growth in product orders or service performance.

Products must be of value but not overpriced and preferably with a money-back guarantee.


3. Examine the compensation plan:

Is the plan easy to understand and explain? Does it reward new associates who sponsor a couple of people, or do you have to sponsor hundreds to make a decent income?

Check if there are purchase requirements so you can weigh that monthly investment into your decision.

Ask for average annual incomes at different levels of the company to get a picture of what people are making, then ask how long it takes to reach your desired level.

Also find out if commissions are paid monthly, weekly or daily. Weekly is best–it puts less strain on the company and provides quick and consistent pay for you.

A good question to ask yourself would be, “Can I still make money if my network just consumes the products and does not recruit anybody?” Answer should be “YES;” otherwise, run away as fast as you can!

Another important question is Can you generate immediate income?

Beware of network marketing companies is offering very high returns. It is usually a sign that it could be a scam or money game. Chances you and your friends will get burn.


4. Determine the amount of help you’ll get with marketing.

Does the company offer full-colour marketing pieces, DVD presentations and customizable associate websites?

Will it train you to market your business?

Make sure the company has developed a solid internet-based ordering system so customers can order via the site. Also, the site should allow you to sponsor new associates.

5. Find out what type of and how much training is offered.

Does the company offer a reasonably priced (under $50) associate training kit? Is there training available online? Are there conventions and conferences held in cities near you?

When you find several companies that meet your criteria, you then have to use your gut instincts to make a final decision. Does this company feel right? If so, you’re ready to begin a career in network marketing.

6. Is the person who is introducing you to the opportunity committed to YOUR success?

If they are, the company is strong, and the product or service is a winner, (and, of course, you’re willing to learn) you WILL succeed. There’s a big difference between a “sponsor” and a “recruiter.” A sponsor coaches. motivates and trains and a recruiter just signs people up and in most cases, abandons them.

7. What types of things will motivate you to work harder?


  • Recognition,
  • Money,
  • Property / Investments
  • Vacations
  • Flexible time, More Family time
  • Helping others around you succeed,
  • Opportunity,
  • Being first-to-market, etc.)
  • Be your own boss
  • Create a viable business for your family with less capital and in a shorter time.
  • No glass ceiling. You get paid for your effort.


Find strong, compelling reasons to drive you to greater success. Remind yourself everyday why you are in network marketing. Make your chosen career an all consuming passion. What drives you, will help you to persevere until you achieve the success you deserve and desire.


8. Finally…What you must do to succeed in Network Marketing?

I’ll be brutally frank, network marketing / MLM is a tough business. There are no short cuts. No free lunch. It is not a get rich quick business. But if you work consistently to build your network, you can earn money beyond your wildest dreams.

You’ll have to treat it like any business.You’ll have to work longer, harder, develop new business skills and think about how you can improve your success rate / business acumen all the time. The better you are at doing all of these, the more you will earn.

That said, network marketing is a level playing field… meaning we all start from zero. So even if you are new to network marketing, you can still achieve some level of success depending on your capability of learning and applying the  skill sets you were thought (duplicating). Most good and successful network marketing companies have got a good Business Success System. Learn it, Use it, Duplicate it.

In real estate, it’s all about location, location, location. In network marketing, it all about duplication, duplication, duplication. Make things simple for yourself and for all who come after you. If it is simple, everyone can duplicate your success.

Here are the key secret ingredients to your success in network marketing in a nutshell.

  1. Be coachable. No duplication, no success
  2. Develop your dreams, goals and objectives. No goals, no success
  3. Work, Work, Work. No work, no success
  4. Be consistently persistent. No persistence, no success
  5. Make friends everywhere you go. No prospects. no success.

Success does not mean the lack of failure. Success means going from failure to failure without the loss of enthusiasm or courage. Do you have what it takes to be success in network marketing? If so, contact me and I promise you it will be worth your while.



Related Posts: Network Marketing – How to Succeed in NMW – How to Choose the Right Network Marketing Company