The payback from working with a qualified MLM consultant can mean the difference between success and failure. The incidence of failure of a new MLM startup closely follows the success / failure rate of small businesses across the USA.
According to the US Small Business Administration, 8 out of 10 businesses fail. It breaks my heart. The trend in startup MLM companies is the same, if not even slightly higher in failure rate. At surface level the primary reason the new MLM startup fails is that it simply runs out of cash. But the cracks in the foundation start well before the heartbreaking day of financial collapse.
An amazing thing seems to happen when an entrepreneur identifies the great opportunity for a direct selling business: they retreat to a cave! Some are not in touch with distributors (and their wonderful, quirky demands and needs). Yet the distributors and consultants (in home party companies) hold the key to success deep in their dreams, behaviors, and values.
Of the best solutions, one is dialogue and the other is a qualified MLM consultant. From our many years in and around distributor service systems, we are reminded of the question asked by Nathan Furr and Paul Ahlstrom (co-authors of the book Nail It, Then Scale It): “Which would you rather do – talk to customers now and find out you were wrong or talk to customers a year and thousands of dollars down the road and still find out you were wrong?”
The other solution is a relationship with a qualified MLM consultant. In our circles, there are several MLM consultants that seem to float to the top in qualifications. This doesn’t mean that those in top web search positions are necessarily the most qualified. In fact, we have found that some of the very best resources are quite difficult to find because they are in the trenches with their sleeves rolled up.
When looking for a qualified MLM consultant, start with the simple, intuitive questions such as these:
- Where did you get your start in the world of direct selling?
- How can I be sure that you are qualified to guide me as an MLM consultant?
- How many of the global top 100 MLM companies and home party companies have you served?
- How many MLM startups have you helped, and of those, how many are still in business?
Be encouraged, and move and think quickly. Nail your business model with the help of a qualified MLM consultant. Otherwise, you’re in the 80% statistic crowd.
Terrel Transtrum is Founder and CEO of ServiceQuest, a global consulting and training firm specializing in MLM and direct selling. firstname.lastname@example.org