In 1992, he was introduced to the Network Marketing concept. That's when I graduated from business administration and finance. I grew up in the world of linear income. If you work, you pay. If you do not work, you do not.
Network Marketing was a foreign concept for me, and while studying the principles, it became clear that this is nothing more than a marketing and sales channel for companies to be able to bring their products and services very effectively to the end user.
With a regular company, they advertise and sell their products or services with ads that are inconceivable without cost, whether it's selling and revenue. In the event that I'm in my business, the wireless industry, Sprint or any of the big 3 companies spent millions of dollars on their budget to generate television, print and radio ads to involve customers and generate revenue.
At Network Marketing, marketing costs are paid at the point of sale by the rep or the distributor. All replanting is 1099 employees who have no benefits and are considered to be all small contractors. The company wins because it does not need to hire thousands of sellers of 401, health insurance and other benefits. Rechargers are gained because they can take advantage of their own small business and pay taxes after all the revenue is deducted from their business income. Costs like mobile phones, meals, vacations, business, computers, internet, cable, small office discounts, car costs, etc.
This is Robert Kyosaki's book, Rich Father, Poor Father. In his book, he describes four quarters of earning money: earned or employee income / business income / passive income / portfolio income.
The earned or employee income has a fault. Taxes are deducted and earnings are linear, you pay when you work. The income earned does not leak.
Business income is better because you pay taxes after you deduct costs. These expenses can be paid from a number of standard editions.
Passive Income is even better if you take advantage of your time and effort. A good friend sold his chemical business for only $ 1 million. There was a sales team who sold their business and paid a 10% commission. Large quantities of chemicals were sold to their customers in the oil business. He advised them to hire people personally to sell chemicals and pay 5% and keep the other 5% themselves. This concept would take advantage of their efforts and still allow them to search for 10% of their own customers. An example is direct sales, and some professional sales people sell large quantities of products.
Network marketing involves many people who are not professional sellers. They are people who are looking for extra income and who understand the concept of network or referral marketing. In the Network, you build a lot of people who buy the product or service and then visit others to do the same or sell the product or service to your customers. When you use products or services every month and build a large team, you take advantage of your time and effort and the flow of residual income.
There is a direct sales team selling a few large quantities. In the Network, many people sell small quantities according to their own drive and desire for success. In the case of direct sales, if it does not produce, it will be fired. In the Network you never have to be rid of, you can work as much or as little as you like and work around your business around your life and other activities.
There are many who scare you and tell you it does not work and I totally agree. I met many people who made millions of dollars in Network Marketing. I have two things to do in my business, who made millions of dollars of income and started a small investment (a few hundred dollars) and the desire to create a better life for themselves.
I started unknowingly, I did not get much money and no benefits from mobile phones, the internet, or the computer, and I built a team of 1000 people back in the early 90's. I warned the monthly net $ 3,000, which at that time was almost my salary as a Navy FA-18 fighter pilot.
If you are looking for a business that you can be proud of, please look at Network Marketing seriously to nourish your financial freedom and your life.