SHIFT Magazine - Page 39

ADVANCED LIFE DESIGN SHIFT: What are the criteria for a good MLM? SHIFT: Is a company's Income Disclosure Statement important for someone considering joining an MLM? EV: If the money you make is based on your sales to the public, it may be a legitimate multilevel marketing plan. If the money you make is based on the number of people you recruit and your sales to them, it’s not. EV: It is very important. You need to know what people are actually making at all levels in the compensation plan. If nearly everyone is losing money, you need to avoid the business opportunity. Here are some key things to look for in a good MLM: A very low cost to join. All expenses for the MLM should be clearly disclosed. Theirs is a retail focus. The compensation plan should be clear and understandable by the average person. Commissions should not be paid more than 4 levels deep in a downline. Income from your downline should be mainly from retail sales to people outside the MLM. No recruitment should be required to take advantage of the commissions available in the compensation plan. No income claims should be made that are beyond what the income disclosure says people are making on average. They offer a valuable and competitive product for you to sell. SHIFT: Can you suggest 3 things that someone should do when researching an MLM before joining? EV: Find out the business backgrounds of the people that are running the MLM company. Contact people that have left the MLM and find out why they left. Ask a lawyer, accountant, or business advisor to read the compensation plan and IBO agreement before you sign. 39 Ethan Vanderbuilt Website