Ground Floor MLM Warning

Think you need to get in on the “ground floor” of an MLM to make money?

Think again.

When you are evaluating an MLM opportunity, the last thing you want to do is get in on the ground floor.


Two reason:

1. Stability

The last thing you want to do is spend 2 or 3 years pouring your effort and marketing dollars into a company that is going to go up in flames.  Just ask the distributors of Burnlounge.

When you invest your time and money to promote a network marketing opportunity, you want the company to be around to pay you residual income for a long, long time to come.

Residual income, by definition, means you get paid tomorrow on the work you do today.  It’s a delayed gratification model, and you want the company to be around to provide that gratification.  Otherwise, your time and money has been one big tax write off.

2. Doesn’t Change Requirements

Just because you get in on the “ground floor” of an MLM doesn’t mean you don’t have to work.  You still have to build a distribution channel, whether you are at the top or the bottom.  You still have to develop a team of motivated distributors.  Getting in at the top only allows for “spillover”, which is a rare benefit when a company has too many reps.  It’s certainly not a sustainable model for growth.  If you bet your entire business success on “spillover”, then you’re gambling.  You might as well throw your money into the lottery and hope for the best.

If you’re a gambler, go for the ground floor opportunities.  If you’re a marketer and business owner, get involved with a company that is stable, reputable, and offers a product that you can get passionate about.

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