Top Network Marketing Questions You Need to Ask Yourself before Joining Any MLM Company

Are you planning to join a multi-level marketing company? Listed below are some of the few questions you need to ask yourself before deciding to become a member or a distributor of any networking organization.


However, before going to these questions, let’s first dig into the basics of MLM marketing:

What is Multi-level (MLM) marketing?

MLM or multi-level marketing refers to a network marketing strategy used by companies to sell their products directly, thereby lowering its cost. Members of MLM companies make money via commission from the sale of products as well as from the sales of members recruited by you to the company.

Pyramid schemes and multi-level marketing: Is there a difference between these two terms?

Pyramid schemes and multi-level marketing companies are different in the sense that the former is often illegal and the latter mostly legal. Also, members of pyramid schemes can begin earning only via new member recruitment and not via direct product sale commissions.

Now for the top MLM Questions…

Some of the top network marketing questions that you may ask yourself before joining an MLM company are discussed below:

 Can I afford the startup cost and membership?

The top marketing companies often have a large membership signup fee. Check this cost as well as other costs such as travel expenses, utilities, etc. Once the cost is known, make a decision as to whether you are ready to lose the investment in case you are not able to make sales or recruit members.

 Is the MLM Company legal?

Check whether the MLM Company is legal; whether it is a registered company authorized to do network marketing, has a physical main office address with other branch offices, etc. Also check the history of the company and if it has any pending litigations against them, etc.

 Does the compensation plan make sense?

Understand the workings of the compensation plan. The first members should not be the ones who make the most amount of money. Members who continuously generate increasing sales along with increased sales from the members who they recruited should be the ones who get a large chunk of the company’s earnings.

 Do I need to keep buying their products to earn commissions?

In a majority of multi-level marketing companies, members will get paid only if they continue to buy their products. Check whether you need to keep buying products so as to be able to get commissions from their sales. If yes, then verify if you can afford to keep buying the products in case you cannot recruit members or sell the products. Some MLM companies may need members to buy a large stock of products in advance, which may then need to be stored at your home or some storage facility. Do you have the funds for such additional investments?

 Are their products easy to sell?

Products sold by top network marketing companies are usually luxury items. Check whether the products are easy to sell, are consumables, and are better than other similar quality products in the market, etc. Check if the cost of these products is not that far off from the membership fee. Also, check the reviews of the products to get an idea about its popularity. Do not join if both the products and the MLM company has bad reviews.

 Are they offering trainings and seminars to their members?

Does the multi-level marketing offer training to new members as well hold regular seminars about motivation, leadership, and different marketing techniques? Are these seminars and training sessions free or is there a nominal fee to attend. They should be free and often are free! Also, does the company help members to generate leads of new potential members and provide other kinds of help to grow and thrive?

Besides the above points, do additional research about the top network marketing companies before joining one. Best of Luck!

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