Hey, it’s Alexander Seery, founder of Shifts to Success and best selling author of Police Officer to Entrepreneur…
So now and then I get a people in the police service reach out and ask me about going into MLM and what my thoughts are…
So I thought I’d share my take on this and explain 3 reasons why MLM are NOT entrepreneurs…
But Before I begin… This video is not to offend anyone at all, I’m not a hater and there is no hierarchy on each individual… Its my duty to educate you in business and entrepreneurship…
So the first reason why Multi-Level Marketers are NOT Entrepreneurs is: Control
You see Entrepreneurs own their businesses, they own the Intellectual property, they own the product, they own the assets, then have business equity and they control their businesses….
You see the only Entrepreneur in a Multi-Level marketing scheme, is the actual owner of the scheme, the person at the top of the Pyramid… And if that individual decides to change the commission structure or the product, or anything else in his or her business, then the people who distribute their products, which is the multi-level markers, don’t really have a say. Which could impact their business and in all fairness lives… This is a flawed business model because it can affect sustainability, simply due to a lack of control and the last thing you want is to build your business, leave the police service and then get hit by some changes that your Multi-Level Marketing company makes.
The second reasons why Multi-Level Marketers are not Entrepreneurs is: Risk
When you decide to become a Multi-Level Marketer, the element of risk you take is different to that of an entrepreneur, because you’re selling other peoples products, which means you spend less money than someone starting an entrepreneurial business…
As an entrepreneur, you build your business from scratch, you take a risk on your ideas, your business model, your branding, your strategy and the growth of the company. With multi-level marketers, this isn’t the case. In most cases, the only investment required is to buy the products the multi-level marketers sell and if you cannot sell that stock, well again in most cases the multi-level marketing company will allow you to sell it back to the company. You can back out of your multi-level marketing business at any time.
Being in Multi-Level Marketing, you are equipped with the tools to sell your products. You have a team of people to work with that can give you advice. You have marketing materials provided for you to use. You don’t have to start from square one in selling your product. In fact, many people you’re selling to might already know a little bit about what you’re selling. You’re at an advantage!
An entrepreneur does not have that same advantage.
And Last reason why Multi-Level Marketers are not Entrepreneurs: Is the Journey.
One of the most amazing things about being an entrepreneur is the process of building your business. The entrepreneurial journey.
You see Entrepreneurs, solve problems, they start with the customer, they innovate, they design, they pay their teams salaries, they have more responsibility and typically entrepreneurs are not always driven by the money, although very necessary, we are driven by solving problems, through our creations, our products and our services.
Multi-Level marketers on the other hand never really go on that same journey, However, they are great distributors and salespeople who push products for the entrepreneur who owns their Multi-Level marketing company… But never go on an entrepreneurial journey themselves.
Again this video is not to put anyone down in the slightest, it is to educate you on the differences, because people get confused with the terminologies, mainly due to Multi-Level Marketers being enticed to join their scheme, by using the word: Entrepreneur and unfortunately the dream of becoming rich fast. This is incorrect and a form of false advertising and any real entrepreneur will tell you this. MLM don’t really have the power to make their own decisions, as you have to stay within the guidelines of the MLM company.
If Mult-Level marketing is the type of business you want to get into, great go for it! I know it works for a lot of people and they make great money. I am all up for people achieving success and doing what makes them happy. But please don’t explain to other people you’re entrepreneurs because you’re not and that’s okay! No one is better than the other. You are great salespeople and distributors, but not entrepreneurs.
I hope this has helped and if you’re an ex or serving police officer who wants to build a business but doesn’t know how then please do check out our business accelerators by clicking HERE