What is MLM? Understanding MLM Before Starting!

Written by Jamal Aldein

What Is MLM Anyway?

MLM stands for multi-level marketing. This type of home business opportunity is based on the very powerful idea of building a strong network of customers and product distributors and earning commissions on the buying and selling activity of everyone in this network.

For example you will find customers to buy your products, and distributors to help you sell your products. Obviously you will profit when your own customers buy, but you’ll also get paid when the distributors you refer make sales!

This business model relies on interpersonal network building to move product from the manufacturer to the end user. For this reason MLM is also referred to as network marketing, and these terms will be interchanged within this article.

MLM can be traced back to the 1940’s, when a company called Nutrilite began distributing vitamin products and health supplements via network building. It is worth mentioning that the founders of the original Nutrilite company were also involved in the founding of the vitamin/health supplement industry in the 1920s.

It is therefore far from coincidence that so many networking opportunities focus on wellness products. The popularity of MLM opportunities grew steadily during the 1960s. This market enjoyed tremendous growth in the 1970s, and saw another strong surge in the 90s.

By 1998, just three years after the mainstream inception of the worldwide-web, the “Internet gold rush” began. By the year 2000, the revolution was in full swing. Network marketers hailed the coming of a new age of personal prosperity and MLM success.
Web-based network marketing systems can be found in various formats and structures, but the overwhelming majority of these programs are based on the concept of moving product by networking and referring others to a potentially lucrative business opportunity.

Many six figure earners, and even millionaires, have been created by the multilevel/network marketing industry. Network marketing can be a viable way to achieve real wealth and financial freedom for those who choose a good
company, get plenty of support from their sponsorship team, and are willing to work hard toward their own success.

But there are a few problems. Listed below are the three primary hurdles involved with succeeding as a network marketer:

  1. First of all, you have to be careful that you are joining a valid opportunity
    and not a scam that is designed to take your money and vanish.
  2. Second, you need to be sure you will get real support and training from
    your upline (the person who referred you to the business and the folks
    who referred them).
  3. Third, you have to NOT believe all the hype about making loads of cash
    with an “automated home business system” – this business takes real
    work and it requires you to build real relationships with other human

It is utterly false to assume that anyone with a computer and $100 can simply jump on the bandwagon and start making a fortune. Contrary to what many companies claim there is a great deal to learn before an individual can achieve any real success with MLM. Like any business there is a right and a wrong way of doing things.

According to the Direct Selling Association, a Washington D.C. based organization with the mission of supporting and representing the direct sales/network marketing industry, retail volume in the U.S. network marketing community has reached an excess of $178 billion dollars a year in goods and services. It is estimated that over 26 million people in the U.S. are MLM distributors or network marketers.

These figures can easily be compounded in view of the global participation network marketing is currently enjoying. According to John Milton Fogg, author of The Greatest Networker and publisher of The Network Marketing Magazine, an average of 90,000 people worldwide join a network marketing opportunity each day.

Today, there are literally thousands of MLM companies to choose from. Some are built on a solid foundation. Others are poor models that are doomed to fail. Still others are outright scams. How does the new or intermediate entrepreneur select an opportunity that is both honest and profitable?

There is the trusted method of trial and error. Hundreds of hours and thousands of dollars can provide quite the learning experience, and many successful marketers have undergone just such a curriculum.

Diligent research is also highly recommended. Reference a potential opportunity through the better business bureau, and see what you can find out about the company behind the opportunity.

And of course you can read this article to find out what makes a good company vs. what makes a bad company!

What You Should Know Before You Even Start,
(Or Before You Keep Going If You’ve Already Started)

There are a few things you need to understand about legitimate MLMs before you seriously consider getting started in this industry. And if you have already gotten started please read this section carefully before you spend another minute in the business.

Something for Nothing Is Just A Fantasy
“You can do it all for FREE!” This is a pretty popular catch phrase online.
But I’m afraid it’s just not true.

MLM is a business. It’s going to take a little money to make good things happen for yourself as a network marketer.

There will be registration fees, promotional costs, and of course product expenses. There’s really no way around this fact. And Today there are a digital products a currency exchange that all related to MLM and IT MLM as Well.

The good news is it generally takes only a little money to get rolling. Most companies will charge a nominal fee of $50 to $100 or so to register as a distributor. This is nothing in terms of a start-up investment for a real business!

And most companies will provide you with flyers, cards, and other great promotion tools at really low pricing. And most they never charge you anything for promotion tools all based on online marketing. I recommend investing in some quality marketing material to help you start building your business right away.

But what about “product expenses?” Well here’s the deal: If you’re going to be a success with MLM you must use and believe in the company’s product/services– period. If you can’t handle this fact you need to find something else to do because you’re only going to waste your time and the time of the people who are trying to help you make money.

I meet a lot of people online who are looking for a “free opportunity”. At the risk of sounding harsh and uncompassionate, these people really need to find a job and stop looking for a handout in the business world because this simply does not exist.

We only deserve what we create for ourselves. It doesn’t matter how broke we are, or what kind of tough luck we have had over the past six months, no one owes us a single thing unless we earn it!

I want to help you make money, and lots of it. On that note I’m not going to spend a load of time on negative commentary. I will be providing only the legal MLM Opportunity for you if you want to join any one of them then you can also contact me anytime, find me on Facebook, you can subscribe to our newsletter so you will get notify for our latest news and updates, and same cool tips to do a very profitable online business.

For your Success 🙂

About the author

Jamal Aldein

Jamal Aldein is an entrepreneur and a personal development coach, has been in personal development field since 2011 , and started his online business journey in 2013.. It's not very long time but it have changed his life from up ground. Jamal Aldein  is a passionate person and love to help others as well, give him the chance to help you and you will get addicted to learn from him. Discover My #1 Legit Work At Home Opportunity That Took Me From Earning Pennies To A Full Time Income Online!


  • This post gives me the best understanding about MLM. I was interested working at home and they say MLM is good for me and I did a research before learning the actual process.

    • Good To hear that from you Sarah, and sorry for my late reply, was travelling to 3 countries , and Yeah some MLM is pretty good and some are not, so the good MLM is when you have a real team that can help you and help each other from up ground.. I have written about some good MLM opportunities , you can find them out in Opportunities page.. Happy New Year and wish you a very successful years..

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