There are a ton of different direct sales companies out there. Pampered Chef, LuLaRoe, Scentsy, etc. and they all promise to help you bring in some income.
One of the direct sales mantras is “part time work for full time pay.” And you always hear “It’s so easy, anyone can do it.”
Well, as someone does actually make money in direct sales, I am here to tell you that there is a right way to do it and a wrong way. Yes, you can make money with multi level marketing (MLM) companies, but you have to know what you’re doing.
Multi Level Marketing and Direct Sales are two terms to describe the same kind of business. It’s usually a home-based business where you can build a team under you and make money based on what they sell each month.
The first thing you need to know is this: It’s going to take work to make money in direct sales.
Yes, it’s work you can do from home, and yes it’s work that you can do with children under foot, but it does take work. If you don’t have time to hustle, then you will not make money with direct sales.
How much do you need to work?
That depends on how much you want to make. If you want to make a real full time salary, then expect to work full time hours. At least at first, when you are building your business. That is, if you pick the right kind of direct sales company.
Which leads me to something else VERY important. You have to pick the right direct sales company. If you want to make actual money working in from home with direct sales, then you have to choose the right mlm.
Here’s what you are looking for when choosing a direct sales company:
Low Startup Cost
When you join a direct sales company, you want to find one that costs less than $100 to join. This is important not only because it shouldn’t cost you an arm and a leg to join the company, but because if it costs more than that, it will be much harder for you to recruit other sellers onto your team.
Remember, when it comes to multi level marketing, a team is very important.
Work With A Direct Sales Company That Doesn’t Make You Keep Inventory
If a direct sales company requires you to keep their inventory on hand, then RUN AWAY. You should be able to do all of your business by having the company ship out products to your customers.
This also just makes everything easier. You aren’t shipping things to customers, you don’t have inventory cluttering your house, and all customer service issues can be directed towards the company, not at you.
This is HUGE. If you have to keep inventory on hand, and buy more of the product in order to sell it, then you are stuck putting your money into a company and not knowing if you will ever make it back.
Why would you do that when you can work with a direct sales company at no risk? It just doesn’t make sense.
A Compensation Plan Without “Legs”
When you’re looking for the perfect direct sales company, you need to find a company that doesn’t make you have a certain number of legs in order to get bigger compensation percentages.
What does that mean? It means that you can just worry about the people you recruit to sell, and not be worried about them recruiting people in order to make you get a higher percentage of everyone’s earnings. (I only know of one direct sales company that doesn’t require legs. It’s the one I am in. If you want to know more about it, you can join this Facebook group here.)
A Small Monthly Purchase Requirement
One of the things that most direct sales companies have in common is that, in order for you to make a commission check off the people you have recruited to sell, you have to make a monthly purchase.
You are looking for a direct sales company that requires you to spend a hundred dollars a month or less. (The direct sales company I am in actually only requires a monthly purchase of $40.)
Something That Will Make People Need To Rebuy Monthly
This one is a HUGE deal. You need to join a company that has your customers need to buy more every month. This is usually something like happy coffee, that customers buy a month supply at a time and need more each month.
If you sell a product like wax melts or makeup, customers won’t need more at the end of the month. You want to sell something consumable.
A Product That People Can’t Get Elsewhere
If you’re selling something that you can get from any store like makeup, skin care, clothes, etc. then it’s going to be way more difficult to be successful in direct sales.
Find something that nobody else has. Or a product that is an entirely new take on something else. You aren’t going to make money selling stellar skin care when anybody can walk into any Ulta and get the same quality of products.
A Company That Is Okay With You Doing Your Business Online
In home parties like your mom used to attend are no longer the way to be successful in direct sales. They just don’t put your products in front of enough people.
If you are going to make bank in a mlm, the only way to do it is on social media. If the company you are considering joining isn’t okay with you selling your stuff online, then skip it.
A monthly auto ship is, perhaps THE most important thing you are looking for in a direct sales company. Hands down. This is guaranteed income for you every single month. This is how you can be in direct sales and have a stable paycheck.
What is a monthly auto ship? That means something that your customers sign up for that they pay for and get shipped to their house every single month.
If you’re looking to join a direct sales company, to make some extra money for your family and offer that stability, I would love to have you on my team. Just join my facebook group here, and we can chat. 🙂