For those of us who have passed the big Five-0, at the best of times finding a means of increasing or replacing one’s income is not easy. In the current economic climate, it can be even more difficult with less traditional jobs being available and more competition for those that are. At the same time, income can be shrinking with negligible interest rates for savings, children to support through higher education and possibly redundancy or reduced earnings from employment. And do I need to comment on Pensions!
A recent report from Age Concern states: “Workers aged 50 plus are facing a recession double whammy: afraid they will be forced out of their jobs due to their age and worried that their retirement incomes will be decimated by the recession”.
So, what are your options if you need to increase or replace your current income?
One solution that I think is greatly underrated is Network Marketing.
What is Network Marketing?
In simple terms, network marketing is a form of direct sales whereby goods or services are distributed from the manufacturer to the consumer through a “network” of independent distributors or Representatives, thereby cutting out the numerous “middlemen” found in most industries all of whom add to the cost of a product or service. Distributors/representatives earn income from retailing products/services to customers and from introducing other people to the company. The company pays a bonus on the purchases of these introductions as a thank you.
Why Network Marketing?
You are starting your own business but normally for a fraction of the cost of setting up a traditional business which can run into many thousands of pounds.
– You don’t need to have any experience in the industry as reputable Network Marketing companies have well established training and support systems in place.
– Your background is unimportant, your commitment to succeed is what brings results.
– Your business can normally be run from home, cutting out the expense associated with having business premises.
– Start Part-Time and Work to Full-Time – Network Marketing can be started along side your other job until your income builds up to the full-time level.
– Your business will often include products and services you can personally use.
– Residual Income/Royalty style income – Network Marketing offers you the opportunity to leverage your time by earning from the efforts of others. This is called residual income. Is this any different than the owner of a company earning from the efforts of his employees? Actually, Network Marketing is the only business model I know of where you can earn more than the person who introduced you.
– Flexibility – you can work your business around your other commitments.
Where to start?
Here in the UK, there are a number of companies in the Network Marketing industry. Like any business, you need to carry out your due diligence thoroughly to ensure that the company meets your requirements and has nothing to hide. My suggestions as to what to look for in a Network Marketing company are:
- How long has the company been in existence? New companies often go out of business in the first couple of years and you can be left with nothing.
- The background and stability of the owners and management. People with a solid corporate background know best about the world of business.
- Does the company have sufficient cash and assets behind it?
- What does the sales history look like? Has it continued to grow year on year?
- Products/services offered by the company should be: Something you can get passionate >about, Consumable so that you can generate repeat business and be in a growing marketplace, so that demand will continue to increase.
- Only selling their products through individual representatives and not through their own shops as well.
- The opportunity to sell their products online as this is a growing trend and gives you more options for building your business.
- Exceptional training, mentoring, backup and support so that you are never alone in your business.
- One that can offer FUN as well as income!
In the UK, look for companies that have the backing of the following organizations:
Direct Selling Association (DSA)
Investors in People (IIP)
Office of Fair Trading (OFT)