Are you one of millions who have worked in regular employment perhaps for many years and are now searching a way to find more time. How can you replace or increase your current income without sacrificing more of your valuable time?

A global trend has moved people to seek ways to work in what are called home based businesses. This does not necessarily mean literally staying at home although that is true in some cases. It can mean setting up your own business where you operate from your own home. Some of the advantages are :

No commuting.

No premises to buy or rent.

Ideal for stay at home parents.

Work hours to suit.

Many people who decide to work from home have chosen Network Marketing as their prefered route. Network Marketing may sound like something that requires qualifications or years of experience but not so. In fact, it’s a method of earning an income that is used by people from all walks of life from housewives, construction workers, doctors, window cleaners and so on.

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WHAT IS NETWORK MARKETING?

Have you ever been involved in Network Marketing? If your answer is no, think again! Have you ever recommended a product or service to another person? We all have. However, the likelihood is that you received no financial reward for making that recommendation. You received a product or service you were happy with and happily passed that on to a friend or relative so that they could benefit as you did. That’s Network Marketing for FREE! If you treated Network Marketing as a business, you would rightly expect a financial return for your efforts to direct others to this product or service.

How does it work?

Let’s say you join a company that sells products or services. They may use a catalogue or website as a base for their sales and they offer you the opportunity to become an affiliate or distributor. The basic principle is that the distributors or affiliates actively sponsor others into the business which means the company do not spend a fortune on advertising costs. Some of the profit can then be passed on to the distributors.

While you can earn a substantial income from simply selling the product or service (retailing), the basic concept of Network Marketing is to build a team or network, large or small, that will earn you group bonuses and bring in an ongoing residual income. Network Marketing compensation plans vary from company to company but all are designed encourage team building where a group will share bonuses depending on turnover. Obviously, the more people who join your group, the greater yout reward. That’s how you benefit from Network Marketing. How many can you introduce into your personal group? There is no limit. A common plan in Network companies is that a person can sponsor as wide as they please on the front level and can benefit from a group going 5 levels deep.

Is this a Pyramid Scheme?

This is a commonly asked question. Pyramid Schemes (which are illegal) have given Network marketing a bad name in the minds of some who confuse the two. Pyramids are basiclly schemes where often there is no product or perhaps a very dodgy one and people request money from others who will in turn make the same request and so on down the line. Those at the top of the pyramid win and those at the bottom lose. Network Marketing is entirely different.

In contrast to pyramid schemes, Network Marketing could be described as a system where team members share bonuses. In reality, a person who joins you as part of your downline, could become a higher earner as a result of building a larger and more productive team. While they will always be part of your downline and you earn as a result of their efforts, they could develop a team that goes well beyond the levels on which you earn, usually five.

Network Marketing Versus Franchise.

Franchises are a popular way of building a business of your own and many people have become successful as a result of buying one. This publication in no way downgrades the franchise arrangement but merely raises the subject by way of a comparison for the benefit of people seeking a business of their own. Buying a franchise usually involves purchasing a complete business package from an already established company giving you the right to trade under their name, use their company logo and perhaps be provided with equipment and premises to allow you to operate.

Buying a complete package such as this can cost thousands of pounds. You are in effect buying a complete ready to run business. This may involve finding a business loan or using your savings or redundancy payment in order to establish your franchise business. Many of course are not in a position to or do not have the desire to spend large sums of money in starting their own business. This is where we see one of the real advantages of Network Marketing.

In most cases, the start up cost of joining a Network Marketing company is minimal. Because you are effectively becoming a distributor or affilaite to the company, you are given the right to sell their goods or products and receive a commission on such sales. As an affiliate, you can also sponsor others into the business and be rewarded for doing so by receiving bonuses on the performance of all those in your personal sales group.

Examples of Network Marketing Companies