What follows is from my good friend Peter Arnold.
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More distressing news for our Network Marketing industry….
Reading through my good friends – Rod Cook’s M/L/MWatchdog.com and Lou Abbott’s M/L/MTheWholeTruth.com – I see some disturbing revelations – - –
‘Fruta Vida’- GONE – Nutritional Wellness (M/L/M) company CEO, Anthony Shaw. sent out a brief but heart-stopping letter, where he simply said – “Due to economic issues at this time, it has come to my realization that we are no longer able to offer the Network Marketing compensation model for our distributor family.” BAM!
Our hearts go out to all those Affiliates who will see their checks stopped in a heart-beat. Many have ‘invested their lives’ into building an increasing cash flow (with hopefully, a retirement income at some point) – only to now see it all “go up in flames”. It’s gives us a sickening feeling in the pit of out stomach, not only due to the financial turmoil it brings – but also, the emotional toll it takes on Affiliates and their families.
DRA – We on the Board Of Directors of the Distributor Rights Association see this happening all the time in our industry, sadly – along with (wrongful) dismissals, needless lawsuits and other major disputes. It is a real tragedy. We try to educate Distributors ‘ahead of time’ to the minefields they should be aware of – it’s an important part of our global mission.
Just look at what has happened recently with – YTB – Univera – Qivana – Zrii (and many more) – these are just the ‘tip of the iceberg’ when it comes to upheavals in our industry. These events can happen with ANY company in our industry – ANY company.
The REALITY - Whenever Home Biz entrepreneurs simply “join an M/L/M” – they put themselves at immediate risk. I have written about this on Forums for years. The problem is – as good as Network Marketing is (and it is) – the fact remains – they have all the control – they make all the decisions – they have all the the power and they own all the assets ((including our own downlines!)).
Policies & Procedures (P&Ps) - This Legal Agreement, which we all sign when we associate with any M/L/M company is (amazingly) seldom ever “read” – let alone “studied” first. It contains the language that truly “sets the tone” for the whole company. In addition to setting out their rules – this document tells a great deal about the company owners – their mission, their integrity, their heart. Of all the (many) critical factors to consider when ‘evaluating’ ANY Network Marketing company => the P&Ps are #1 – period – period.
It is also important to realize that these documemts are drawn up by the company’s bank of attorneys – to protect the COMPANY – not the Affiliate. Not that this is a ‘bad’ thing ((we want the company to be protected, because that helps all of us)) – but it’s entirely “one-sided” in my opinion (having studied a great many P&’s).
And hence, the crucial need for us to “position” ourselves in the correct way – not only to ‘protect’ ourselves from these pitfalls – but to ‘empower’ ourselves for real success and prosperity in our businesses.
Home Business OWNERSHIP? - When we “join an M/L/M” – and agree to their P&P, we become what they label as ICs (Independent Contractors). Let’s not be fooled – this is strictly for “income tax purposes” – so that we are not treated as “employees” (where tax is withheld at source). It’s impotrtant to understand that we are strictly “commissioned Sales Reps for that company’s products and services” (again, this is not a ‘bad’ thing – it’s just the reality).
We are not IBOs (Independent Business OWNERS) – not until we take the steps to position ourselves for that – which includeds – SELF Branding + building our OWN lists + developing MULTIPLE income streams as taught by Ann Sieg and Mike Klingler at Renegade University/Professional – Mike Dillard at Magnetic Sponsoring – Joe Schroeder at Starlink Nation – and other leaders who are teaching Online + Offline Attraction Marketing.
As a Financial Advisor, a Business Consultant and a Home Biz Coach – I still feel that Network Marketing offers the asbsolute finest ‘business model’ on the planet – bar none. But we need to be careful to treat our involvement in it – as simply one (important) piece within our overall “business infrastructure”.
Anyway – just needed to get this ‘off my chest’.
Here’s wishing you much success, prosperity and happiness ahead.
Sincerely / Peter
See the original post:
http://best-mlm-resources.blogspot.com/2009/06/urgency-to-brand-y-o-u.html
Marketing, Network marketing, Other
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