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When a friend or a cousin you haven’t heard from for so long
suddenly calls you at the office and invites you to a “business
opportunity” meeting, do you:
a) bump off your scheduled meeting in her favor?
b) think of an excuse not to go?
c) tell her to bug off?
Our personal finance feature today from MoneySense says there
are around two million Filipinos currently in the network
marketing business, based on figures from the Direct Selling
Association of the Philippines.
There are several variants in this business – network marketing,
direct selling, and multi-level marketing. Due to unscrupulous
practices of many companies in this business, there is a lot of
confusion on whether network marketing is a scam or not.
I have personally seen several friends and acquaintances make
good, legitimate money from this kind of business. But whatever
you do, when talks of checks and commissions come in, don’t be
led into thinking that network marketing can make everybody rich
— quickly.
The truth is that network marketing is a good model for removing
the middle man and distributing what he earns among consumers.
But if you are not careful, you can fall for a lot of cons in
this business. So, choose carefully.
This article gives some tips for those who are considering of
getting into network marketing or direct selling. Here’s an
excerpt:
1. Figure out if you fit the profile
There are probably millions more who have tried their hand at
the MLM business at one time or another. Not many succeed,
usually dropping after a few months. It may be easy to join but
it’s certainly difficult to stay for long. You need to have a
certain mindset to succeed in network marketing. “
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2. Choose the right company
Investigate the company. It should have a long and proven track
record in the industry it operates. Companies like Avon,
Triumph, Tupperware, and NuSkin have been in the industry for
years and have been providing people with good products as well
as good income for its distributors. Newbie like Girlush has
also set its legitimate presence in the direct selling industry,
which according to its president, Maricris Monzon, “could give
everyone an opportunity for financial freedom.”
3. See if you like the products
The most successful network marketers are those who truly
believe in the products they are selling. It certainly makes it
easy to persuade other people if you love to use the products
yourself.
4. Make sure you earn not mainly from recruiting
One, the company should have a product. Scams like FrancSwiss
offer huge interest for your investment and yet they don’t have
a product. Two, the product should be unique and is exclusively
made by the company. If not, then most likely, the business is
being run from joining fees.

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