3 Mistakes That Could Cause You to Go Broke in Your MLM Business

Starting a business is a daunting task. It takes a lot of capital, a lot of willpower, a lot of failure, and a lot of persistence. Most people have a little bit of one of these things, but very few have enough of all of them to get going. And even when they do, it’s rare for them to be successful – people typically make a handful of crucial mistakes that really interfere with their success. The best way to learn is to make mistakes, but the best way to do business is to avoid them. And, of course, the best way to avoid them, is to know them. Here are three of the biggest mistakes that people make when starting an MLM business.

 

3 Mistakes That Could Cause You to Go Broke in Your MLM BusinessPutting Everything Into It

 

Now, we don’t mean to be pessimistic, but it’s a little bit foolish to put all your eggs in one basket. As much as we’d like to assure you that your operation will be successful the first time, we can’t. Maybe it will be. But, the simple fact of business is that it takes time. Amazon was unprofitable for seven years – sometimes, even great ideas need to incubate. This isn’t a bad thing: it’s just business. So, when you start one, make sure to invest what you can, not everything you possibly could.

 

Always Going for the Hard Sell

 

People like to buy. They don’t like to be sold to. So don’t sell to them. This sounds paradoxical, but it works. You can’t just push your product in people’s faces – that’s a great way to turn the customer off to you, your product, your service, and MLM in general. So, try instead to get to know your customers, through social media marketing schemes and the like. This way, you’ll know exactly what they want, what they need, and what they want you to do for them. This means they’ll trust you, which, in turn, means they’ll be comfortable buying from you or opting in to your opportunity. This makes money for you and makes the whole process a whole lot easier.

 

3 Mistakes That Could Cause You to Go Broke in Your MLM BusinessGiving Up

 

The final common mistake that people make in MLM is giving up. You know it’s hard to make money in today’s day and age – business isn’t easy, after all. But just because success isn’t guaranteed to be immediate, there’s no reason at all to give up after one, two, or even three hundred tries. Every mistake made is a lesson learned, and MLM takes work. As long as you avoid the above two problems, keep learning, and keep doing what you’re supposed to be doing, you will make it. Remember – success is about persistence. Some people have innate talent, and others have a whole lot of luck, but what makes the difference between the top dogs and the little guys is this: The top dogs kept on barking. So keep barking, and incorporate this knowledge today!

 

Now it’s your turn!

 

Have you made any mistakes that you caused you to lose a lot of money?  What mistakes have you made that you wish you can take back?  Please leave your feedback in the comments section and I look forward to reading them!

 

To Your Success,

To your Success,

Nate Leung

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    Nate Leung

    Nate Leung

    CEO & Founder @ NateLeung.com at NateLeung.com
    Nate Leung is the CEO and Founder of NateLeung.com, and author of "Virtual Entrepreneur: Live Free With the Business of Your Dreams". He has been an Internet Network Marketing professional since 2001. Nate specializes in blogging, generating highly targeted leads, prospecting, social media and driving traffic. You can find out more from Nate by connecting with him over at Google +. There is no greater passion he has than helping people to succeed in their business. He teaches people how to use the Internet to build a successful Network Marketing business. If you're struggling and or looking for help, contact Nate here.
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    Nate Leung

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    10 Responses to “3 Mistakes That Could Cause You to Go Broke in Your MLM Business”

    1. Luke Blower

      I think one big problem is that some people just don’t view their online business as a real business, therefore they don’t keep proper tabs on where their business is going and how much omeny they are using.

      [Reply]

      Nate Leung Reply:

      They don’t. I agree with you there. Most will treat it like a hobby as opposed to a real business. Thank you for the comments!

      [Reply]

    2. pam schmidt

      You have covered some important key points to keep an entrepreneur on track. And getting to know our customers helps us to meet their needs instead of forcing the product on them.

      [Reply]

      Nate Leung Reply:

      Exactly. Thank you for the comments Pam!

      [Reply]

    3. Sherman Smith

      Hey Nate,

      We need to hear this over and over again until it’s really imbedded in our brains. Never go for the hard sell, never put all your eggs in one basket and never give up.

      The worst thing I’ve done in my business career is go for the hard sell.. people will look at you as greedy and selfish. At least in my experience.

      I also agree with Ryan in opening up multiple ventures to avoid going broke. There ain’t nothing like having a backup retirement plan when you have more than one income stream. I have to give him props for having 13!

      Thanks for sharing Nate!

      [Reply]

      Nate Leung Reply:

      Hey Sherman!

      Yes, we’re in agreement that the hard sell does not work. It will only scare people away.

      Appreciate the feedback!

      [Reply]

    4. Kelly

      Good advice, Nate. I’ve been an Amazon affiliate for years, and have used niche blogs as well as free sites like Squidoo to build my business. Now that I’m involved in MLM, I’m also continuing with those, as well as being an affiliate of programs that work in conjunction with my MLM… always a good idea to have multiple streams of income.

      [Reply]

      Nate Leung Reply:

      Hey Kelly!

      It’s always nice to see a new visitor. Welcome to my site. :-)

      MLM is a great avenue for creating residual income. I’m glad that you believe in the industry to give it a whirl in addition to the other income streams that you’re currently generating.

      Thanks for stopping by!

      [Reply]

    5. Ryan Biddulph

      Hi Nate,

      NEVER put all your eggs in 1 basket. Mistake made, and terrible failure was the result for me.

      Now I have over 13 income streams online. I am adding retirement accounts as we speak – thanks Fidelity 😉 – and always thinking about new ways to open multiple streams of income.

      Devote your energies to growing multiple ventures to avoid going broke. This is the quickest and easiest way to rock it out online.

      Nate, you nailed all the basics here. Thanks for sharing dude!

      Ryan

      [Reply]

      Nate Leung Reply:

      Hey Ryan,

      Yes, we make mistakes and we learn from them. Never spread yourself too thin and always develop income streams that work in your favor that work on auto-pilot.

      Thanks for the comments Ryan!

      [Reply]

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