The Business Economics

Not understanding this one key point is a major reason why many network marketers don't make it.
So many get into their first business full of high hopes and an open mind and are quickly given some of the worst advice imaginable.

It happened to me.

What was that advice?

"Go out there and let's get some leads so you can get a team under you as fast as possible to cover your costs.:
This advice cost me over $7,417 over the course of seven months which I never recouped in any way shape or form.

Bad advice on two points:

1. Buying leads takes a major point of control in your business away from you as a marketer. You're paying someone to give you leads, and you have no control over where they come from, how they are delivered, or how many people those leads are distributed to. This is bad.

2. Trying to recruit your way to a situation where your costs are covered in full is not something that can or will happen quickly. The money you earn in your network marketing business is cut up into 100s of different little pieces to suit your compensation plan. Of the money you bring into you company you really only get a small portion of it. This is not necessarily a bad thing, because this leverage swings both ways. Once you have a big team under you, those little pieces start to add up into something significant. You're just not going to make much money quickly trying to recruit your way to covering your costs.

That's what most network marketers are taught is a favorable economic situation - Recruiting your way to the break even point.

It can happen, but only the strong survive.

What happens to most is what happened to me.

You spend hundreds on leads and get no results. The next month you do it again. The next month you do it again. Etc.

Now you not only have your company's membership cost to recoup you've also got this big advertising debt to recoup AND to make matters worse you're trying to do it with recruiting.

This is a situation that's literally going to take you years, if ever, to recover.

It's like trying to dig a hole and every time you dig out a scoop of dirt someone else with a shovel twice the size of yours fills in your hole and adds another scoop of dirt for good measure.

Now you got a little hill growing in front of you where you started with flat ground.

You look over at your sponsor and say, "hey this doesn't look like it's going to work."

He says "just keep digging, that's how it works. If you dig long enough and fast enough you'll make it work."

You keep digging and that, once, flat ground is now a full grown hill.

You look at it in disgust and realize you've only made the problem worse. Either you did something completely wrong or you were not told the most effective method for handling the issue of digging a hole.

You didn't do anything wrong.

You just used one of those yellow plastic shovels children use at the beach when you should have used heavy artillery!

Favorable economics occurs when you have a flow of leads that pays for itself and will continue to pay for itself forever NOT exclusively when you have covered those costs with your company's check.

There is a much faster and better way to get past that break even point in your business.

You want to attack the situation head on.
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