4 Important Questions to Ask When Evaluating a Business Opportunity

Question 1. What lights you up?

We all have things that light us up on the inside…if you are looking at a network marketing company, choose one with products or services you love to use.

  • Would you use these products/services anyway?
  • Do they align with your values in life?
  • Do they fit in to your family life?
  • If you have an existing business do the products/services make sense to add what you are doing?

So, you have found something that lights you up. That’s great…now spend a little time to consider the products or services from a business perspective.

Remember, growing a network marketing business may not require a huge investment of cash to get started – you are going to invest time and energy to grow the business & it’s worth taking the time to analyse if the company and products are a good investment.

Question 2. How stable is the Company
?

Did you know 90% of all start-up companies fail in the first 5 years?

If you are going to invest your valuable time and energy into building a network marketing business, do your research and make sure the company you are partnering with is built on a solid foundation. I have so many friends who have been in this industry a long time and have put countless hours (along with their heart and soul) into building network marketing organisation based on their belief in an incredible product, only to have the business go bust or the company go into decline through poor management.

Some questions to ask:

  • How long has the company been in business?
  • Who are the people behind the company?
  • Do they have any debt? If they do is it being paid down from growth in sales?
  • Are their sales growing?
  • What is their Ethos, Culture and Values? Do they align with your personal values?

Question 3. Are the products unique (& do YOU love them)?

Do the products/service meet the needs of a large & expanding market?

  • How many people need the products/services?
  • How much potential is there for market growth?

Does the company offer unique and consumable products?

  • If you don’t have a unique product then you compete on price and convenience. If you have something unique, people must come to you.
  • If you have a non-consumable product you are unemployed until the next sale. You want repeat sales of consumable products for business sustainability and true residual income.
  • Does the company control the supply and manufacture of their products or is it outsourced to a third party?

Timing: Get in front of large trends and study what creates them

  • Health and anti-ageing..this is a huge and growing industry
  • Retirement issues…the baby boomers are powerful in economic trends are coming up to retirement.
  • Efficiency…things that make life easier.

Leverage – you must create a situation where everyone has the same amount to gain. 

Check the compensation plan, some good questions to ask:

  • What ‘depth’ does the compensation plan go to?
  • Are there any ‘breakaways’?
  • Does it reward width and depth? (both are important)

Question 4. Does the team culture align and resonate?

Most of us don’t join a network marketing company directly through someone who has already had a high level of success. Due to the very nature of this style of business, many people are introduced through a friend or acquaintance. Many times people may just join to experience the products.

If you are considering a business ask to be introduced to the upline leadership team before you commit. The fact is these people are going to be a big part of helping you grow a business.

  • Do you resonate with them?
  • Can you see yourself working with them?
  • Would you like to hang out with them and be friends?

I hope this is useful and has given you some ideas to set yourself up for success if network marketing is a style of business that calls to you.

If you are interested in Building a Thriving Business please reach out and I can provide you more details about how my business addresses these 4 questions.