Five Roadblocks to MLM Success

Getting started in MLM is fun and challenging. New associates need you, as their sponsor, to step forward and help them through the initial stages of building their business. They will often face a few roadblocks in the beginning as they are getting started.

If you are just beginning your MLM business, focus on these things and develop a plan for addressing each one now.

These five roadblocks are pretty common knowledge, and are discussed and rehashed a lot. However, they can't be emphasized enough because of their impact on your business. Work with the ones that apply to you or your new downline associates.

Is Your Business Really a Business?

It is very easy to get involved in MLM and network marketing. Start up costs range from $29 to $250 in most legitimate opportunities I've seen. This initial investment, along with the cost of products you may purchase for consumption or resale, and you're in business.

Because of the ease of entry, some people have a "let's try it out" attitude when they sign up. It can be really easy to quit at the first sign of discouragement, since so little is invested. This is why it's important to make some money quickly, and help your new downline associates do the same.

When you first start your business, most money will likely be made through sales of the product to consumers. Some opportunities offer bonuses that are paid when people join with product assortments - these are typically called "fast start bonuses". Once you see some money coming in from your efforts, it is much easier to hang in there for the long run.

How Much Planning is Required?

Starting your MLM business doesn't require writing up an elaborate business plan. This is not a franchise or traditional retail store - it is a home based business. Coming up with a business plan IS important, but keep it simple and practical.

Focus on determining what you want from your business (your goals), and what it will take to get there. Consult with your MLM upline leaders to help plan the best way for you to achieve this.

For example, if you want to make $2000 per month after one year in MLM, you need to plan how you will make that money. How many downline associates who do an average of $100 a month in volume will you need to achieve your $2000 per month figure? How much profit from personal sales, if any, will figure into this? Are there additional payouts available as you advance in the compensation plan? Consider all these things and get a clear picture. Help the people you sponsor do this, too.

Does it Really Take Money to Make Money?

This is an old cliche....but it's true. There is one exception - if you work your MLM business strictly locally while going about your everyday business, you may be able to build an income with little expense for advertising and promotion. It takes a serious effort to do this, but some of the best have started this way.

The bottom line is, understand that you will normally need to allocate money for advertising and promoting your MLM business. It is hard to build an income without investing money to do it. If you have a new prospect who wants to sign up, but says they have no money, please encourage them but be realistic. Discuss this and make sure they know what it will take.

Are Prospects Beating Down Your Door?

You'll need prospects. After you get started, the burning question is "how do I get people to sign up"?

How are you going to work your business? If locally, are you prepared to meet people and present your business? Do you have business cards and materials that prospects can review?

Tip: print some business cards with a summary of the benefits of your business on the back. Your company or upline group may have these available for a reasonable cost.

If you are working online, advertise and attract people looking for a home business, or to make more money. As soon as you sponsor someone, work with them and help them sponsor their first as well.

The important thing here is to get moving and start taking action quickly. It is SO easy to sign up and spend too much time planning and procrastinating. Don't let that happen. Encourage and help the people you sponsor to start prospecting quickly.

Do You Know Your Business Inside and Out?

Study and learn your products. What is special about them? What makes them a unique value? If they are nutritional products, is there scientific research to back their effectiveness? What about testimonials? Why should someone try your products? What are the benefits?

Know your business. Understand how you make money and what it takes. You don't have to know everything - some of the most successful network marketers have started up with just a basic knowledge and a LOT of enthusiasm. Just learn the basics and don't be afraid to say "I don't know, let me find out for you".

Keep these things in mind, work on them, and you'll have a great shot at success in MLM!