Let’s start with compensation plans. You need to research any companies compensation plan before signing up period! Some companies have such complex compensation structures with unrealistic sales volumes in very short time frames, and if you don’t match it the following month, you lose your ranking no matter how tenacious you may be. This is the first step in succeeding with an MLM. I personally prefer the binary compensation plan, because it’s easy and straight forward. You sponsor 2 people and that’s it. Any body else you sponsor gets placed under your 2 original people. It’s very easy and also helps and encourages your down-line because you are developing their business as well as yours!!

Another very important part in having success in an MLM is to figure out what you want to sell! This may sound a little redundant, but it’s really not. If you decide to go with a company that sells products, is it a product(s) that you would actually use. Also, what is the competition with the product? How many vitamin companies assure you that theirs is by far the best on the market! I believe this is one reason that most people fail to succeed. Ridiculous competition for certain products. How many times have you heard,”I am already taking that kind of supplement, or I like the lotion and hair products I use already”.

I prefer the “new wave” of MLM businesses that do not have any products at all! For instance, there is a travel company that has the best deals for travel available. All you do is pay a small monthly fee (auto ship) to be a member. You tell people about it and if they become a member, you get residual income! It also has a binary compensation plan. So you tell 2 people, and they tell 2 people, and so on, etc. There is also a coin collection company that does the same thing. As a member you get a valuable coin from around the world each month. It is also a binary pay structure. Both of these type of businesses have very little competition, which I feel is much more appealing!

Even if you take these steps to start your business, still only 3% succeed. Even if you pick one of the”new wave” of MLM’s which I recommend, you need to do one of two things to succeed. The first is the traditional way; talk to family and friends about the MLM you are involved with. You must be tenacious, very consistent, and do not take it personal if someone is not interested.The second is to pay a company to build your business for you. This is what I personally do. If you have a little money to spend on your business this what I recommend because they send mailers out to pre screened customers interested in MLM’s along with other marketing strategies to really give your business a big boost. It works really well. They are tenacious and consistent because it is their business!

Lets say you start or join a product driven company. You can write off all products and personal care items purchased throughout the year to start this company. That means all hair care products, cosmetics, weight loss, etc. You can basically buy all your health care and house hold products from yourself, and write them off your taxes as well. This creatively helps you turn your personal expenses into business expenses.

There are many product driven companies out there to become part of that can do this for you. Take your pick! They are almost always network marketing companies, which allow you to get started without a ton of overhead and stocking of product.

An alternative to the product driven companies are now becoming available in the network marketing world. There is a coin collection company where you buy silver and gold coins monthly, and get residual income from people you tell that sign up. No product to sell. You get a coin collection which has value and benefit from telling other people. It seems to work well in this economy because of the deflated dollar and the rise in gold and silver.

Travel companies have now joined the network marketing world. Here you pay a monthly fee, and have access to some of the best travel deals available. All you do is tell people you know about it and if they like it and sign up you get credit and make a commission from it. A very interesting opportunity if you think about it; stay at the best resorts in the world and get paid for it. Sounds good to me.

The bottom line is that a home based business can save you a substantial amount on your taxes, and have the freedom to work from home.

Some of the tax benefits from a home based business write-offs are as follows:  A portion of your rent or mortgage; a portion of your utilities and insurance; your internet service; your cell phone; all of your home office supplies (computer, printers, etc); all of your medical and dental for you entire family; up to 3 cars; costs of vacations if you combine with business, especially if you are part of the travel MLM business!!

This is a great month to start a home based business!!