Which Company Should You Join?
There are lots of companies offering network marketing schemes. Each one has a different approach, and each has its own jargon. So it can be very difficult to evaluate whether any particular scheme will suit you.
We have developed a checklist of questions to ask the company or the person trying to recruit you. You can use this checklist (we call it Our Criteria) to evaluate and compare company schemes. We intend to update the criteria periodically so, if you have any suggestions please tell us.
We also intend to ask big name NM companies to send us their answers to the checklist questions. (We'll reserve the right to annotate their answers if we have conflicting information from other sources.) The companies' answers will be published in the Company Assessments section (not built yet).
Any companies that want us to publish their answers please contact us.
The Company
Watch the television and newspapers.
You can often pick up useful little snippets of information about the company.
You need to know whether you can trust this company, so:
How long has the company been trading? In UK? Elsewhere?
How much did it sell last year? In UK? Elsewhere?
How much of this was sold by network marketers? In UK? Elsewhere?
Is the brand name well known? In UK? Elsewhere?
How many network marketers does it have? In UK? Elsewhere?
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The Products
Try out the products for yourself.
If you don't like them, neither will the people you sell them to!
If you think the products are great, your enthusiasm will come across much better than any sales patter.
You need to be satisfied that the company's products are good enough to attract customers - and keep them coming back for more, so:
What do UK customers say about these products? Do they like them? Do they think they're good value?
What percentage of customers make a second purchase?
What percentage of customers sign up as network marketers?
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Competitor Comparison
Check out the competition yourself.
Your views and those of your customers will probably be very similar.
You want to be confident that the company and its products and services stand up to comparison against the competition, so:
Who do customers think of as the main competitors?
How do customers rate this company's products against the strongest competitor's products?
How do this company's products compare for price against the competitors?
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The Scheme
Check the small print.
Make sure it matches what the company is telling you.
You must understand the key features of the scheme, how you will make money, and what restrictions apply, so:
What is the minimum level of sales must I achieve before I receive commission?
What percentage of my sales will I receive as commission?
What percentage of my downline's sales will I receive as commission?
Which items, if any, are excluded when calculating sales? (eg. VAT, delivery)
What restrictions are there on who I can sell to? (eg. territories)
What restrictions are there on how I sell the products? (eg. party plan only)
What restrictions are there about selling products for other companies?
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Initial Investment
Check the price list.
Make sure it matches what the company is telling you.
You need to know how much money you will have to pay out to get started - before any money starts coming in, so:
What fees, if any, must I pay to the company? How much? How often?
What initial product stock do I need to buy? How much do they cost?
What sales materials do I need to buy? How much do they cost?
Are there any other hidden costs?
Can I pay by credit card? Or by cheque?
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Ordering & Delivery
Check the order form and terms of business.
Make sure they match what the company is telling you.
You must understand how the customer will place orders and how these will then be delivered to them - and you need to be clear about your role in this process, so:
How do customers order products from the company? Direct? Or via me?
How do customers pay for the products? Direct? Or via me?
Do I have to pay the company and collect payment from the customers?
How do the company deliver products to the customers? Direct? Or via me?
How do customers return unwanted or unsatisfactory products back to the company? Direct? Or via me?
How do customers receive refunds from the company? Direct? Or via me?
Do I have to refund their money and claim it back from the company?
What postage or delivery costs do I have to pay?
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Training & Support
Ask another network marketer what they think of the training and support from this company.
Your ability to sell the products depends on the training and support you receive - especially when you first get started, so:
What training and support does the company provide to help me get up to speed?
How much, if anything, does the training and support cost?
Who delivers the training? Professional trainer? Another network marketer?
What training materials are provided for me to keep?
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Information & Queries
Read through the paperwork carefully and browse the website.
Ask the company some questions to see how well they respond.
You need the company to be informative, helpful, and easy to deal with, so:
What's included in the networkers' information pack? What else is available on request? Is it easy to understand?
What information is on the company website? Is it easy to find what I want?
If I have a query, how can I get the answer? By telephone? (Freephone or charged?) By email? By fax?
How much of this information is available BEFORE I sign up?
What is the contract like? Is it in plain language? Or do I need a law degree to understand it?
How easy is it to sign up? Can I sign up online? Or by phone?
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Version 2 - 24th August 2000
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Our Criteria Which Company?