“Home Based Business” will pull millions of hits in an internet search. There are thousands of companies with millions of distributors looking for customers and distributors of their own.
Home business opportunities universally promise substantial income and display the elevated lifestyles of their top achievers to prove the point. Most of these presentations are exciting and inspiring as example after example of ‘ordinary people’ making it big raise our belief that we too can find financial freedom.
The challenge for opportunity seekers comes when they learn it will cost them tens of dollars to thousands of dollars to get started in a work from home business opportunity. Many begin looking for an opportunity seeking one where they can start for free.
Some companies pay their distributors to recruit new prospects and some don’t, but you can universally expect to be asked to pay for the privilege of joining their company.
Is it possible to find a legitimate home based business that is free to start? Probably not, unless you plan on bending the rules a bit.
Here are my suggestions to starting a home business without paying for the privilege:
Do Your Homework
Whether you are approached by a particular company or you are searching for an opportunity you should do your homework. Avoid the forums and reviews by individuals. The sad truth is that most people at too lazy to get out of their own way and too proud to take coaching so they fail. When they tank, they look for someone to blame which usually ends up being the company or their mentor.
Instead, look at the business press. Is the company well established, growing (especially in mature markets) and innovating? It is common for a new company to post impressive growth numbers when it first starts, or opens new markets. The true indicator is how much the company is growing in mature markets, places where they have been for years.
One of the sweetest allures of the network marketing industry, which makes up the overwhelming majority of home based business opportunities, is “Getting In On The Ground Level” which is synonymous with investing your time, effort and resources into a company that is unproven. Like any business, most companies never make it past the five-year mark. Look for a company with some time, about five years, under its belt.
Building a business is hard work. Choose a solid company to invest your time and energy with.
Once you have chosen your company, done your homework, and are ready to get started, you’ll need a sponsor.
How To Get Sponsored For Free
Years ago I wanted a job with a paper company as a sales rep calling on printers for their needs. I had no real experience in this area, but I knew I could do it. My background was in printing plus I could see that these guys made good money and I wanted in.
The company I interviewed with was luke-warm about hiring me. They had a formula for new hires and I didn’t fit their program. I decided to go all out and I made them an offer: If they would hire me and put me on the street I’d work on straight commission. That way I wouldn’t cost them anything.
We finally came to an agreement and I had a great 20-year career. I made lots of money for them and for myself. It was a win-win.
When you decide to start your home business, you are going to need to pitch yourself in a similar way if you want to work around the several hundred dollars it will probably cost you to start with a legitimate company. You need to create that win-win to get them thinking outside the box.
Every distributor wants new customers and distributors. That’s how the business grows and you become one of those people in the videos living the good life. Prospecting is where you will spend most of your time in your business as well as most of your money. When you factor in time, advertising cost and other resources you will be spending a hefty sum for each new person who becomes a customer or joins your business.
Since you are going to have to do it any way, why not start prospecting before you join the business?
If you’ve decided that you want to join ‘Widgets International’ and you have found John Doe, a Widgets International Independent Distributor, then instead of telling him you’ll pay his $250 sign-up fee (hypothetical…varies by opportunity) tell him you’ll put him in front of 10 of your acquaintances for him to make a Widget Demonstration.
All you ask is that the first $250 he clears from any sales go toward your sign-up fee to become a Widgets International Independent Distributor yourself, and that those customers you brought to the presentation will be yours as a distributor.
If you don’t crack the nut in the first go around, meaning you don’t sell enough to cover your distributorship, you simply repeat the process until you do.
How You Sell The Idea: It’s A True Win-Win For Everyone
Your up-line distributor gets to present to a group of people he did not have to spend time or money to assemble. He potentially gets a new, motivated distributor (you) and even if you flame out he now has the people you brought to the table as prospects who he can stay in contact with and convert to customers.
You get a distributorship without writing a check or swiping your card. You even have some new customers and a repeatable model you can use to bring other people to your new business.