Tuesday, December 30, 2008
Met up with a friend yesterday to discuss about business stuff. Essentially an MLM / network marketing model.
I personally have been to many MLM talks. And frankly, the first MLM talk that I went to spurred my interest in fiance.
The thing I like about MLM is the education behind the system. They always educate the 'downlines' about financial planning, encourage them to read widely on financial stuff, plan their financials early and to have passive income .Hence the need to work in MLMs to create this passive income. Such companies include Amway, Sunshine empire ( scam company) etc.
However, most of the time they do not teach their downlines how to do business. The system of how your earnings is generated is important. However I believe how to go about doing this business is more important. Recruiting people to be you down line is one way, however in my opinion, for such a business to succeed, the products that they are selling have to be good. Or at least comparative to those presently on the market. I.e. the ability to sell the products is very important. Without sales, there will be no commission, and hence no income.
Therefore, every time I think of a business plan, I will always feel that the point where the money is transacted is crucial. You can have a wonderful business plan, but if there is no one to buy your products/services, it is a lousy business plan. Great care and effort has to be made on this part of the business plan.
We also talked about many other stuff that are related to investment and finance. And I suddenly realized that by setting up this blog, I myself have learned a lot. Though this blog is only around for few months, I have learned much due to the need to read widely to do my posts.
Finally, I hope that everyone who comes to this blog learn a little a day. Remember, every little bit counts! =)