Start a Home Business - How to avoid scams - Become a Welathy Marketer

The home business industry is immense. The allure and attraction can be overwhelming. Who doesn't want to make a great living form the comfort of their own home? Here are a few tips to avoid the traps and zaps of the home business industry. There's still a chance you could become a wealthy marketer.

MLM – Multi Level Marketing or as I like to call it, Many Losing Money. These are companies like Amway and Melaluca. Their appeal is the residual income carrot. The idea is to create an almost infinite downline. This means when you sign someone up and they sign someone up and so on, you would get a small piece of the revenue for ALL of them. The percentage gets increasingly smaller as you go further down the signup ladder. The only problem is that most of the products these companies sell are over priced. it's hard to quit your day job when your toliet paper sale nets a .$70 cent commission. The only people that generally get wealthy in MLM are the founders and a few "key" people directly under them. The profits are just so tiny, that you would literally need thousands and thousands of people to join to ever realize any good profit potential.

Gifting Programs – For starters, gifting programs are illegal. It is known as a pyramid scheme with the promise of fast cash. The idea is to give someone a $1,000 or so and to sit around and wait to climb to the top of the pyramid so that you can end up being gifted 8 times as well. In this example, you would end up with $8,000. The problem is that the pyramid board often gets stuck when people can't find new signups. Most people in this plan end up holding the bag.

Business Opportunities by Phone – Be very careful about these successful call centers that call you up and claim to have cornered the industry. The allure can be very attractive They will talk about doing everything for you and maybe even making your sales for you too. If it sounds too good to be true… The main problem is that these companies have big overhead. They have to pay for the office space, customer service, and hefty sales commissions. By the time everything is said and done, there is typically very little money left to go around for any effective marketing. They can set you up for a few hundred to a few thousand dollars. They will encourage you to advertise at your own expense and to use their toll free number in the ad. They will make the sale for you, but the problem is they will keep the commission for you too. Their sale tracking is conveniently under their control. And you have virtually no way of proving you had any sales. I know many people who have got sucked into this. They had spent thousands to receive a return of only a few hundred dollars in a 6 month period. They became unwealthy marketers.

Aussie 2-up plans – A few companies would be EDC Gold, Passport2Wealth, and Roadmap to Riches, These opportunities are a better solution and some people have made good money with them. Their products sell from $500 to $1,500 on average. Once you buy it from a "sponsor", you receive the right to resell the product and make the same commission your sponsor did for selling it to you. These programs have two serious major flaws though. The first two sales you make go to your sponsor. Naturally, this motivates your sponsor to help you get your first two sales. But, once that is done, your sponsor ends up becoming your competitor. He has NO motivation, and NO more compensation potential from you. So, you lose the money on your first two sales, and your sponsor becomes impossible to ever reach because he is off trying to make other sales. He hopes you never call him again because you are now financially useless to him.

0–up plan – This is the best type of home business we have found. These compensation plans are brand new to the industry and offer greater chances of success. These plans have a product which sells for $500 to $2,500. Once you buy the product from your sponsor, you have the right to resell the product as well. You would make money from the very first sale, not the 3rd sale in these plans. Also, there is typically a 2nd and 3rd tier to these plans. For example, when your sponsor signs you up, and you make your first sale, your sponsor will typically make a few hundred dollars on that sale and every sale you make in the future. When your signup makes a sale, your sponsor still makes a hundred dollars or so on that sale. Those are the two tiers. This is a good thing and encompasses a small degree of multi level marketing. Since there are only two tiers, the commissions are still good. When your sponsor has the opportunity to make $200 or so off of ALL of your future sales, he/she is truly motivated to continually help you and support you. This is vital because when you're new to a home business you will need all of the help you can get especially when it comes to advertising your business. You can become a wealthymarketer in these types of businesses.

People from all walks of life have found success in these programs. Top earners in this industry make over $100,000 a month consistently. Don't expect to do that coming out of the gate, but with time you can build a work at home empire. Making $3,000 a week or more is not uncommon in this industry. Picking the program with the most benefits is in your best interest. You want to have the best compensation plan and a real product to market. You also want to have as many things in your favor when you get started.

Great Compensation Plan + Good Product + Large Market + Effective Advertising = Success plan for a wealthy marketer.