MLM Organizations – How to start a home business with MLM

One of the aims of EOL is to teach people about multi-level-marketing (MLM).  Not only is that, but also to help people start a home-based business. That is why few weeks ago I wrote an article as to which business ideas to start from home. Access that article here best-business-ideas-to-start-from-home-in-2021.

Here is what you will learn from this article:

  • What is MLM business
  • MLM organization
  • How does MLM business work
  • How many MLM companies are there in Lesotho?
  • How I found out about MLM
  • How much does it cost to join MLM?
  • Which products do you get when joining MLM company?
  • How much money can you make from the initial products?
  • Which is the cheapest MLM company in Lesotho?
  • Things they don’t tell you when you first join MLM business

What is Multi-Level Marketing Business?

Multi-level marketing is a distribution model companies use to get their products to consumers.

Instead of directly offering their products to consumers online or in brick-and-mortar stores, they use sales representatives to distribute and sell their products.

Sales representatives typically work from home and buy inventory to sell those products to people through word of mouth or online parties.

They aren’t considered employees; instead, each sales representative owns their business. It is up to you as an individual to work hard to create success.

The multi-level aspect refers to each representative’s ability to recruit and train other representatives to start their own business. As recruits make sales and recruit their own representatives, each person above them earns a commission.

Income earned in MLM comes from the commission earned on personal sales and a percentage of the sales earned by other reps recruited by you.

Multi-Level Marketing Organization or model

This type of business model works in such a way that people are recruited by someone who’s already in the business. You may have attended one of their sales events and enjoyed the products.

Once you show interest, you may attend a meeting to learn more about the business. You’ll be asked to sign a contract and buy inventory. Once those steps are done, you can get started.

How does MLM work?

To understand how MLMs work, you will need to understand some of the terms that are being used in this type of business:

  • The plan: This is the overall program, including the company’s marketing and compensation plans.
  • Sponsor:This refers to the representative who directly recruits another person into the business. For example, MLM member A recruits member B into the business. Member A is the sponsor and is responsible for training member B.
  • Recruit: Also referred to as a team member, this is a person brought into the business by a sponsor as a new member. Recruits are trained by their sponsor or other more experienced representatives.
  • Downline:These are the recruits brought in below you. This can include members you’ve recruited as well as those your recruits have brought into the business.
  • Upline: This consists of the sponsors who came in before you. For example, if representative A recruited representative B, who recruited representative C, who recruited you, your upline is C, B, and A.
  • Compensation plan: This outlines all the ways representatives earn money. Along with commissions on sales made by you and your team, many companies pay bonuses and increase commission splits based on sales volume.

How many MLM companies are there in Lesotho?

In my country being Lesotho, there are so many companies which offer multi-level marketing products. Some of these companies offer food supplements, and some food products. Not only is that, some provide cosmetics and utensils and many products.

Here is a list of MLM companies I know in my country:

  1. Dynapharm International

2. Herbalife Nutrition

  1. Amway
  1. Tupperware
  1. Forever Living Products
  1. Avon Products
  1. Lavita
  1. Greenworld
  1. Elamant
  1. Superlife

Amongst all the above MLM companies, I chose the first one being Dynapharm International. If you want to know how this company was founded, please visit this link how Dynapharm was started.

How did I find about MLM business?

At first, I didn’t know at all about network marketing also known as MLM. I found about it through a colleague. After I graduated, I spent 3-4 years still struggling.

One day as I was sitting at home, I saw a Facebook message notification from my Colleague. She told me that she had a business opportunity that she wanted me to try. By so saying, she was inviting me to a training.

I went to that training to find out what that business was all about. I had no money with me at the time, the training started. Along the training, it was asked if anyone has invited a person on that day. My colleague who is currently my sponsor, raised her hand.

I was welcomed with an applause. My sponsor was given a packet of a product being Instant coffee mixture with ginkgo and ginseng powder. This product contains 20 sachets in 1 packet.

The sachets were divided into 10s, she was given 10 sachets and I was given 10 sachets. Wow, by just going to a single training I got products to sell.

I realized from that day that my company does care for other people’s financial freedom.  I managed to sell those products, but I was not motivated, and I ended up stopping. This was my biggest mistake ever! You will find more on it in the part where I talk about things, they will not tell you about MLM business.

If you want to know the benefits of a product I was given, please access it here benefits-of-ginseng-how-you-can-improve-your-health-by-frequently-consuming-of-ginseng/.

How much does it cost to join MLM company?

As far as I know, my company being Dynapharm International is the cheapest MLM company to join in Lesotho. I don’t exactly know the correct figures it cost to join other MLM businesses, but I know that my company is the cheapest one.

 I won’t go in detail to publicly tell the price, I don’t want to violate the company rules and regulations, but it doesn’t reach M1k or 1,000ZAR to start a business at my company.

If you want to find out all about this, please contact me on this page here our contacts. On that page you get a chance to talk one on one with me.

Which products do you get when joining MLM company?

I do believe that when you join an MLM company, a person is given a sales kit; it contains products to start selling. My company is of no difference. However, I think I have heard of one company which doesn’t give a sales kit. But that is not my focus today.

Now, which products do you get when Dynapharm Company?

When you join, you are given 3 products being chlorophyll Plus Guarana, Instant coffee mixture with tongkat Ali, and Dyna C vitamins.

How much can you make from the initial products?

When you sell these products, you can make a lot of money. With tongkat coffee you can make 600ZAR with vitamins 170ZAR and 330ZAR. I have given you all the information you need to know about MLM business, I would be glad if you join my business or rather buy from me.

Things they don’t tell you when you first join MLM business

When you join the business, they don’t tell you how hard it is to make sales. They don’t tell you that you need to be motivated so that when you get rejected you don’t give up. They also don’t tell you that you must be persistent and patient. The business world is a volatile world you need to learn new ways of marketing.

Please do comment below this article and tell me what you think of it. Until next time, I am Marenyane Mokhethi from Earn Online Lesotho. Bye!

References:

RANDY DUERMYER

https://www.thebalancesmb.com/mutli-level-marketing-mlm-1794427