What are the Real Benefits of Network Marketing?
What are the Real Benefits of Network Marketing?
Before we begin this topic, facts must be set straight that network marketing (mlm or multi-level marketing) is a legitimate business. Firstly, it’s based on providing people with real, legitimate products they need and want at a fair price. While some people do make a lot of money through network marketing, their financial benefit is always the result of their own dedicated efforts in building an organization that sells real products and services.
In network marketing, each person can multiply his or her efforts, skills and talents by helping others be successful. Network marketing has proved itself as part of the new economy and a preferred way to do business here and around the world.
Warm Market?
Network marketing isn’t about taking advantage of your friends and relatives. Only a few years ago, network marketing meant retailing to, and sponsoring people from, your “warm list” of prospects. Although sharing the products or services and the opportunity with people you know is still the basic foundation of the business, today we see more people using sophisticated marketing techniques such as the Internet, conference calling and other long-distance sponsoring techniques to extend their network across the country.
Network Marketing = Leverage
The real key is this: Network marketing is all about leverage. You can leverage your time and increase the number of hours of work effort on which you can be paid by sponsoring other people and earning a small income on their efforts. J. Paul Getty, who created one of the world’s greatest fortunes, said “I would rather make 1 percent on the efforts of 100 people than 100 percent on my own efforts.” This very basic concept is the cornerstone of network marketing. This is very important for homeschoolers and those who are building their business around a full-time job because we already have busy schedules.
Financial and Tax Advantages of Network Marketing
With network marketing, there are no big capital requirements or geographical limitations. Network marketing is a low-overhead, homebased business that can actually offer many of the tax advantages associated with owning your own home business. In Ron Meuller’s book, It’s Not How Much You Make - It’s How Much You Keep! he discusses why for the tax advantages alone, everyone should have a home business.
