MLM Selection Criteria
14 Unique Direct Selling Filters



MLM Selection Criteria....

Whenever examining network marketing opportunities, you need to take into consideration financial risk along with emotional, psychological, relationship, material, physical and time risk. In any economic activity, you should examine these risks and take the most effective steps to lower them.

Most people do not consider such risks resulting in 80% of the population retiring broke! Is there any wonder?

In this vital page you will find information on super effective filters that you can use to examine the Network Marketing Opportunities available in today's market...


MLM Selection Criteria # 1

The network marketing opportunities has to provide passive and leveraged income, as opposed to linear money for time opportunities. Swapping hours for dollars simply doesn’t work. By any other name, such a process is a job and a job was never meant as a medium for wealth. It was only ever a medium for the basic requirements of a modern day life. We only have to look at previous generations who followed this pathway to know that jobs don’t create wealth. Yet, despite evidence to the contrary, we’re still sold the notion of the 45-year plan of hard work as being the pathway to financial freedom in retirement. What people really get is a 45-year lifestyle of never being able to afford the things they want and never being able to afford their dreams. When I think of conventional wisdom, I think of the colloquial term ‘con job’, a confidence trick! Once you’ve established this filter, it’s a matter of seeking out those who are currently earning the amount of income you want to earn. Get into their energy orbit and learn everything you can from them.


MLM Selection Criteria # 2

Network Marketing Opportunities must have huge and expanding market potential despite prevailing economic conditions. Even in a recession, those who can afford it, still spend money on things they need and things that improve the quality of their lives. Think in terms of anti-aging and optimal wellness and you’ll quickly discover one of the industries that’s about to boom over the next ten to fifteen years. It’s been estimated that people spend upwards of 90% of their available income just trying to stay alive towards the end of their life or in the last year of their life. Such expenditure has been termed ‘reactive’ expenditure. However, the group of people referred to as the Baby Boomers are rapidly changing from ‘reactive’ expenditure to ‘proactive’ expenditure in order to prevent deterioration rather than trying to remedy it after it’s happened. The idea is to ascertain where the greatest spending power will be directed over the coming years and which network marketing opportunities are aligned with this.


MLM Selection Criteria # 3

Network Marketing opportunities must be low financial, emotional, time, relationship and psychological risk with high potential upside. Risk means ‘the probabilities of making ineffective choices’ in each of the areas mentioned above. For most people the probabilities of making ineffective financial choices are high. The only way to lower the probabilities in any given situation is to increase your knowledge and skills within that situation. Following the herd through the corridors of conventional wisdom is an extremely risky strategy. Success means operating via a different wisdom and medium which network marketing opportunities present.


MLM Selection Criteria # 4

Network Marketing Opportunities must add value to the lives of people and be based on a genuine human need as opposed to a want, desire, wish or fad. One of the greatest achievements I can manifest in life is to give something back to society and leave it a better place than when I found it. There are many ways of doing this. In terms of creating wealth, more than a few mediums depend on the exploitation of the uninformed masses. Then you should simply be not interested in them. If you can find a way to genuinely add value to the life of another human being, then pursue it with a passion. Only a few Network marketing opportunities present this chance.


MLM Selection Criteria # 5

Network Marketing Opportunities must have a direct reward for effort remuneration model. The 45-year plan offered by conventional wisdom is one of the worst remuneration models around. People who swap time for dollars on a weekly, fortnightly or monthly basis are caught in the downward spiral of continually being encouraged to spend approximately 115% of what they earn on a weekly, fortnightly or monthly basis. Remember that most people seem to have surrendered their ability for critical self-reflection and their ability to connect the dots. When will people understand that the 45-year plan simply doesn’t work? You must find a remuneration model that pays you what you are worth. Jobs mostly pay what the job is worth, not what you are worth. However, there is a paradox here, if you accept the wage, then you’re accepting that as the value for what you’re worth. The idea is to look for remuneration models including network marketing opportunities outside of wages and look for models where the sky is the limit because such models have fantastic leverage opportunities. Within these models you are able to set your own worth. You can set your worth at tens of thousands, hundreds of thousands or millions. It’s all up to you.


MLM Selection Criteria # 6

Network marketing Opportunities must have low entry costs combined with low overheads and running costs. Many opportunities require a large, up front capital outlay. They also have high financial overheads and running costs. Great if you own commercial spaces but not so great if you’re leasing them. Many contemporary opportunities have people working for tens of years just to earn back the acquisition costs or to pay the interest on their borrowings. Many proprietors can never take a break because in order to keep their economic heads above water they have to keep the hamster’s wheel turning. They work 4 to 6 months per year just to raise the money to pay their taxes. Another two months to keep their transport on the road, another two months for child care costs and lease fees, and another one or two months for interest payments. It happens year in and year out, generation after generation. When you take away all the costs involved in earning their income, you quickly discover that they’re living on less than an old age pension. It’s just plain crazy but that’s conventional wisdom for you! You should look for network marketing opportunities that have low financial entry and running costs so that the time I devote to skill development is directly reflected in the income I generate.


MLM Selection Criteria # 7

Network Marketing Opportunities must be recession proof and be able to take advantage of economic cycles either up, down or sideways. Research of past recessions provides some interesting business models that do well in recessions. However, because they are not traditional businesses, most people’s belief systems will blind them to new and emerging network marketing opportunities. In terms of financial predictions, one of the views spanning the next ten years that has me excited is a view supported by Paul Zane Pilzer, one of the world’s most recognised economists and financial forecasters. According to Pilzer, over the next ten years we’re in for a millionaire population explosion, both in Australia and America. (More about this later).


MLM Selection Criteria # 8

Network marketing Opportunties must be at the beginning of a trend that has many years to run. It’s a case of following the money trail. What trends are about to boom now and in the foreseeable future? Where will the money be spent over the coming decades? Is this money going to be spent differently? For example, are shopping habits going to change? Will more people use the Internet? Will Boomers and others, who cash up their assets before their values decline, mainly spend on lifestyle, anti-aging and optimal wellness needs?


MLM Selection Criteria # 9

Opportunities must be based on consumable products and services that are the highest quality examples in the industry they serve. People follow predictable buying patterns over their lifetime. Initially buying patterns begin at the quantity end of the scale and move through to the quality end of the scale. This means that over time, buying patterns migrate towards quality products and services at whatever level they can afford. As such, in any marketplace, there are products that service the lowest end of the buying spectrum and products that service the need for the highest quality. Every other product in the same range will fit somewhere in between. The more people earn the better quality they demand. If you’re in a business that provides consumable products at the highest level, eventually customers will find you. If you service your customers well and if you give them what they want, they will continue to buy from you. If your products number among what I term ‘unconscious consumption products’ then you’ll do extremely well. For example, when people turn on a power switch, or a water tap, or a gas burner, they’re generally not conscious of the fact that they’re buying a product and they’re generally unconscious of the consumption of that product. There are many other examples of unconscious consumption that you might wish to investigate.


MLM Selection Criteria # 10

Network Marketing Opportunities must provide the chance to establish your own business. Many established businesses offer leveragability to anyone with an entrepreneurial perspective on life. If I am to enter an established business, there needs to be a strong management team in place with a long history of success. The less history, the greater the risks involved. There must also be a shared vision to which I can apply my energies. If it’s not something that I can get passionate about, then I’m not interested.


MLM Selection Criteria # 11

The income generation of the network marketing opportunities must be fair and equitable for those who skill themselves to the appropriate levels. Many people enter businesses, traditional or otherwise, and fail to make money. In part, this can be the fault of the business model itself or the distribution of income within that model. However in most cases the reason why people don’t make what they thought they’d make is because they don’t adequately resource themselves to the levels necessary for the generation of the income they want. Trading is a classical example. Those who adequately skill themselves, and have the right emotional and psychological makeup, do well. But they’re an absolute minority. That most traders lose money over the long-term suggests that most of them do not skill themselves to the necessary levels. This is the same with other opportunities. Most people enter opportunities on an ill informed basis because they’re seeing what they want to believe, rather than what’s actually there. As such, most fail to skill themselves to the required levels. Subsequently they blame the vehicle rather than accept responsibility for their own shortcomings. Remember that risk, for me, refers to the ‘probabilities of making ineffective choices’.


MLM Selection Criteria # 12

Network marketing opportunities must be flexible in terms of its time commitment. Most people starting out in business do not have business experience - they have employee experience. For most of their working lives they have been working under the instructions of others and have little in the way of administrative, management, marketing, production, accounting or planning skills. So time flexibility is extremely important. If you’re reliant on a regular income and if you’re making a move from the employment world to the entrepreneurial world, it’s important to do this move gradually. It’s critical that you build new skills through experience over time. It’s like running a relay race. At the moment, the financial baton is being carried via your job so it’s important that you find something flexible enough to allow the handing of the financial baton over to your new enterprise when you’re ready to do so. This way, you won’t place yourself under too much financial distress if the opportunity doesn’t work out for you. Start your new adventure on a part time basis and then build it into the financial freedom vehicle you want it to be without compromising your regular income.


MLM Selection Criteria # 13

Network Marketing Opportunities must have access to a sophisticated tracking/administrative system. You do not want to have to reinvent the wheel for your new endeavour. Being involved in a successful business requires as much automation in your administrative and tracking system as you can possibly get. Whether you’re tracking orders, cash flow, referrals, sales, commissions, tasks, payments or stock, today more than ever, you need access to sophisticated software to help you keep on top of your business. There are a myriad of companies that have already developed such systems and gaining access to them is part of what you get when you conduct business through them. This is professionalism at its best because it leaves you free to concentrate on the business of the business without having to worry about the important administrative functions of the business.


MLM Selection Criteria # 14



Network Marketing opportunities must be potentially saleable for multiples of its income stream. I love business models that provide residual cash flow while at the same time allowing me to build the asset value of the business. A successful business can be sold for multiples of the residual income that it generates and this should be a major focus as you contemplate your future.

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