Treating your business like a business

Success in network marketing begins with the belief that your business is truly a business. Not a hobby, not another affiliate program to promote on your home page, not a game, but a real, honest-to-goodness business that can produce a full time income and beyond.

But what does "treating it like a business" mean?

Well, stop for a moment and think about what you would do if you were buying or starting a business that cost $500,000 instead of $500? Imagine what it would be like to have your life's savings at stake. That's how you need to approach your $500 network marketing business.

If you were investing $500,000 in a business, you would do your homework, wouldn't you? You would

• Research the company and the people behind it
• Look for products/services that provide good value
• Evaluate demand for those products/services and the potential for growth
• Consider the competition

Once you made that $500,000 investment, you wouldn't leave anything to chance. You would do everything in your power to make your business a success. You would

• Study the marketing systems and commit to mastering them
• Ask questions, learn everything, be coachable
• Attend all training events/conference calls
• Equip your business with inventory and tools
• Open for business every day and put in as much time and energy as possible
• Continue to improve your skills
• Promote your business in as many ways as you can

In other words, you would treat your business like a real business.

Why is it that people don't treat their network marketing businesses like real businesses. Because they aren't investing $500,000. A few hundred dollars is easy to walk away from. When you invest $500,000, it's different. You have a genuine (and healthy) fear of losing your investment, and fear of loss is one of the most powerful motivations there is.

Another reason people don't treat their network marketing business like a real business is that they don't see the potential. It's easy to get started and just as easy to walk away. Ironically, a network marketing business often has more potential than a $500,000 business. That's hard to see for some folks. Sadly, they associate a small investment with a small return.

But not you. You know better. And you will treat your network marketing business like a real business, won't you? Great! Here are things that will help you do that:

1. Pick the right company for you.

In the traditional business world, my first career choice was to become an attorney. This was a good fit for me. I was interested in the law, I wanted to help people, there was good income potential, and it allowed me to use my communication skills. I would not have done well as a building contractor, a restaurant owner, or owning an auto dealership. No interest or aptitude in these areas. Not a good fit.

My first couple of network marketing businesses weren't a good fit for me. Yes, people were making money in them, but so what? People make money as building contractors, restaurant owners, and in auto dealerships. If there isn't a good fit, you must choose something else.

Choose a company that has products or services you are excited about. Look for a management team that shares your values. Find a company with systems that are in sync with your "style". If you do this, your chances of success will be much greater than if you choose something merely because others are successful in it.

2. Focus. One business, not multiple streams of income.

Mark Twain once gave this piece of business advice: "Put all your eggs in one basket and then watch that basket." I agree with him. There's only so much time and energy to give to your business and anything else you do will only dilute that. You wouldn't open a shoe store and a restaurant at the same time, would you? So why start more than one network marketing company? At best, you will have mediocre results in two companies, but never reach the top in either one. In fact, I've never heard of anyone becoming successful in two network marketing businesses simultaneously.

Even if you could be effective in two companies, most people cannot. When your prospects and team see you building two businesses, they will either try to do the same and fail, or they won't even try. They'll go find someone who is committed to building a single business and taking it all the way. No matter what your business or profession, people prefer to work with specialists.

3. Adopt a long term view. Five, ten, twenty years.

Once you have chosen the right company for you (and only one company), the next thing to do is commit to it for the long term. You wouldn't buy a Krispy Kreme doughnut franchise (for two million dollars, thank you) and "give it a try". You wouldn't open any kind of business with a time line of thirty days or 90 days, or even a year. It takes years to build most businesses to the point where you can either sell them or retire and live off the cash flow. You can usually build a network marketing business much faster than a traditional business (because of compounding and other factors) but I encourage you to think and act for the long term.

If you think in terms of ten years, you won't start looking for a better opportunity in six months or be thrown off stride by small setbacks. You'll focus on building your business the right way, not recklessly, not focused on the quick buck, but for the long term. Build it right and build it once. Build it for the long term.

4. Invest time in your business.

No business grows by itself. Even though it is a part time business, you must regularly invest your time in building it. Consistency is more important than quantity, but it does take a certain quantity of time to generate momentum. Five to ten hours a week, at least.

I suggest you decide in advance what those hours will be and calendar them. If you owned a retail business, you would have hours when you were open for business. You should do the same with your network marketing business.

5. Invest money in your business.

Every business has expenses beyond the start-up costs. Those expenses are dramatically less in network marketing, and you have more control over them, but they exist nevertheless. If you want your business to grow, you must continually invest in supplies, tools, training, personal development, travel, and advertising.

6. Don't re-invent the wheel.

In every business, there are proven ways of doing things. In retail, location is essential. You would be making a big mistake opening your hamburger stand in a poorly trafficked area. In a law office, we used forms because they saved time and had been tested in the courts. We used checklists when signing up new clients, so we wouldn't forget something important. When you buy a franchise, there are procedures for everything–the hours you must be open, the number of employees per shift, how to train them, where to order supplies, and so on. In fact, in a franchise, you are contractually bound to follow the companies policies and procedures. They do that because they have a system that works and they want customers to have consistent quality and they want you to make a good profit for yourself and for the company. Follow the system that others have tested and it will work for you just like it did for them.

The same is true in network marketing. There are systems your company and your upline use that work and you should use them. Although you aren't contractually bound to follow the systems like you are in a franchise, you deviate from them at your peril. They work, so use them.

That doesn't mean you must do everything exactly the way your upline does it. But stick with the basic system you are taught (and were probably recruited with). You may have some ideas for improving the system, but in the beginning, keep them to yourself. Follow what is already working and when you are successful, you can discuss your ideas with your upline (not your downline).

7. Serve others.

All successful businesses are built on a foundation of service. You serve your customers or clients, provide value, deliver benefits, and if you're smart, you go the extra mile. You want your customers to be happy so they will continue to be customers and refer others. The same is true in network marketing. The more people you serve, the more success you will have, and that's true both customers and distributors.

Our company publishes a book with profiles of the top distributors. Whenever I am asked to sign my page, I write, "How many people did you help today?" I suggest they ask themselves that question at the end of every day because serving others is the key to success in business.

8. Accept that it's not easy.

It's hard to build a successful business, no matter what kind of business it is. Just because network marketing is a simple business doesn't mean it's easy. If it were easy to get rich, everyone would be rich. What's more, you don't want it to be easy. If everyone said yes to your opportunity, there would be no opportunity. It's because most people say no that there is an opportunity. Everyone has the potential to make it to the top, but only those who do the work and give it enough time will make it. It's hard, but worth it.

9. Decide that quitting is not an option.

Most traditional businesses fail because they aren't making money. If revenues aren't keeping pace with expenses, it's only a matter of time before the owner has to pull the plug. But that's not true in network marketing. Expenses are much less and they are under your control. In addition, most people are part time; they aren't depending on their business to support themselves. Therefore, you can keep going in network marketing even if you aren't yet profitable. "Staying power" is one of the big advantages to this industry. Therefore, it is literally true that the only way to fail in network marketing is to quit.

10. You must have a strong reason for not quitting.

Every business has ups and down. There are setbacks, disappointments, and losses. Things will frustrate you and you will feel like quitting 100 times before you are successful, and even then you'll consider it. In a traditional business, you weather those times because you have a large investment to protect. But what keeps you going in network marketing?

It's your "why".

Your "why" is your motivation, your reason for doing the business, and it has to be strong.

If your "why" is to make some extra money, you'll probably have a hard time getting out of your comfort zone, facing your fears, and dealing with rejection. "Extra money" isn't enough to get you past that. It's okay when you start, but not strong enough to keep you going later on when you feel like quitting for the sixteenth time.

On the other hand, if your "why" is to pull yourself and your family out of crushing debt, to allow your spouse to quit work and stay home with the children, or to retire your hard-working parents you love so much, that's different. When you hit a rough patch, you'll tell yourself, "yes it's hard, but it's worth it" and you'll keep going.

Someone once said that if your why doesn't make you cry, it's not strong enough. Take some time to examine what you want out of your business. Go beyond the money. What would the money mean to you? What would you be able to do? Whom would you be able to help?

Once you understand your "why," write it down and think about it every day. Design your goals around it. And tell your mentors what it is so they can remind you of it when you want to quit.