The Four Greatest Fears of Starting Your Own Business ......AND HOW NETWORK MARKETING BLOWS THEM ALL AWAY
| Category: Networking(MLM) | Date: 2001-05-16 |
Nearly ten years ago, my research firm, MarketWave, Inc., conducted a survey of over 6,000 people who were not (and had never been) business owners. The question was simple:
If all obstacles were removed, would you like to own your own business?
Eighty-five percent said yes, they'd prefer to work for themselves - which means that 15 percent misunderstood the question.
Think about it: if whatever concerned you enough to deter you from attempting a business venture suddenly vanished, then you'd have no basis to fear doing so, right? I mean, who wouldn't want to be in control of his own life? To have the freedom to make your own decisions, work your own hours, and write your own paycheck?
But let's go ahead and use the conservative 85 percent figure. That means about 200 million Americans want to start their own business but have never even attempted it! There must be some pretty compelling reasons; we set out to find out what they were.
The Four Most Common Fears
To nobody's surprise, it was never about preferring to work for someone else's business; it was all about the incapacitating fears involved in the idea of starting one's own. And it was the same four fears, every single time.
It takes too much money. I don't have the tens (or hundreds) of thousands of dollars to invest in a business.
It takes too much time. I don't want to work 80 hours a week for the first year or two to get my new business going.
There's too much risk. Over 56 percent of all businesses fail in the first two years - and I'd need to quit my job, so there's no safety net.
I don't know how. I've never taken any business courses. I have no business experience. I don't know anything about taxes, accounting, marketing, and the myriad other skills a good entrepreneur must possess.
Not all responded with all four objections; most did respond with more than one. Interestingly, Reason #4, "I don't know how," was the most common response.
A lot of folks said they wished they had taken the plunge earlier in their lives, but they just were no longer the mavericks they once were. They had a mortgage to pay and a family to feed ... it was simply too late.
What If...?
Now comes the fun part - we get to start with those four fears and play "What if ...?"
Would you ever consider going into business for yourself ...
If the total start-up costs were under $100;
If the total time investment could be as little as 5 to 10 hours a week;
If you could continue to work in your present job until the income from your business was sufficient to earn you at least an equal income, so you'd have little risk;
If there were numerous experts available to you as consultants, who would train and advise you personally for an unlimited number of hours for the entire life of your business, absolutely free?
If there were another company that would take care of all your research and development, labeling, inventory, shipping, payroll, payroll and sales taxes, most legal questions, and all the other nitty gritty logistics ... and -
If this company would do this for you every month, for the life of your business, for around, oh, $25 a year?
Sound too good to be true? Okay; humor me: hypothetically, if all this really were true - would you consider it?
Of course you would.
And of course, with a good network marketing opportunity, all of these conditions are true, to the letter.
Think about it: if whatever concerned you enough to deter you from attempting a business venture suddenly vanished, then you'd have no basis to fear doing so, right?
Telling the Truth
Network marketing is a serious business, no less than any other in which you might consider earning your living for the rest of your life. The reality is: network marketing is hard work; it takes time; and you'll probably lose some money in the beginning.
The difference is: most of the hardest work is done by someone else; you do your work when you choose to do it; it typically takes a few months at most - not a few years - to turn a profit (some accomplish this in the first month); and the amount you might lose at first has one, two, or even three fewer digits compared to the start-up losses of most conventional businesses. Yet you can still reap the tax benefits of operating your own business, and you have just as much income potential as in most conventional businesses - if not more.
Imagine becoming financially independent in one to three years:
without having to spend thousands of dollars each month;
without having to work long hours seven days a week;
without even having to quit your job during the development stage;
and without having to get a business degree or hire someone who has one.
If you are considering starting your own business and you've got access to, let's say, $50,000 in start-up funds (a modest assumption), imagine how profitable you could be and how quickly...
if you didn't have to hire employees;
if you didn't have to lease an office and/or storefront and/or warehouse;
if you didn't have to pay payroll taxes;
if you didn't have to spend one penny on R&D, graphics design, or development of promotional material;
and if you didn't have to hire any accountants, lawyers, or business consultants.
And imagine how much more money might go into your pocket if you didn't need business partners to help you finance and run the business. Think about it - and try not to become giddy.
Now for the really fun part.
Imagine buying a McDonald's franchise for the modest sum of one million dollars. The business fails. You call up McDonald's corporate and ask for a "Return Authorization Number" so you can get your franchise fee back along with a reimbursement check for your unsold supplies and stock.
While you're imagining this scene, also imagine the sound of sirens wailing in the background. That would be either:
a) the paramedics coming to assist the poor corporate officer whom you've just induced into a fit of hysterics, or
b) an ambulance coming to take you to a really nice, soft room.
In network marketing, not only is this not an absurd scenario, it's the law! A legitimate, network marketing company is bound by law to give a quitting distributor a full refund (usually less a 10 percent restocking and processing fee) on all product and marketing material in resalable condition. If pursued conservatively and intelligently, there is a monumental reduction in risk relative to conventional business start-ups - yet with a comparable or even greater profit opportunity.
The Point
If you are already an active network marketer:
Be aware that the vast majority of your "outer circle" prospects (those who've never been involved in network marketing) do have the desire to own their own businesses. You don't have to talk them into the benefits of something they're already dreaming about having.
They also have some legitimate fears about starting their own businesses. You first need to open their minds to the idea that there is a realistic way to achieve that dream and explain the concept of network marketing. Lay that groundwork first - then introduce the benefits of your particular network marketing program.
Think of it this way: before you can pour fresh, hot coffee into a thermos, you must first open it and pour out the old, stale coffee, right? Think of your business-phobic prospect as a sealed thermos full of cold-coffee fears and concepts that need pouring out.
If you are considering starting your own business but are apprehensive:
Open your own mind to network marketing. Think it's too good to be true? I challenge you - find the catch! If you've never pursued a network marketing venture, it must be for one of these two reasons:
You just didn't know about it,
or
You have a prejudice against it. "Prejudice" literally means "pre-judge" - to make a decision before you know the facts. Perhaps you have prejudged this business based on what someone else has told you about it (usually someone who has failed at it or even someone who in turn has pre-judged it and never actually done it him or herself).
Don't let other people do your thinking for you. Make your own decision based on your own evaluation. I dare you to look - and not be intrigued!
About the Author
Len Clements
Mr. Clements has been involved in the MLM industry for sixteen years and is a successful distributor for a prominent MLM program
:To contact see details below.
lenc@network-marketing.com
http://www.network-marketing.com
If all obstacles were removed, would you like to own your own business?
Eighty-five percent said yes, they'd prefer to work for themselves - which means that 15 percent misunderstood the question.
Think about it: if whatever concerned you enough to deter you from attempting a business venture suddenly vanished, then you'd have no basis to fear doing so, right? I mean, who wouldn't want to be in control of his own life? To have the freedom to make your own decisions, work your own hours, and write your own paycheck?
But let's go ahead and use the conservative 85 percent figure. That means about 200 million Americans want to start their own business but have never even attempted it! There must be some pretty compelling reasons; we set out to find out what they were.
The Four Most Common Fears
To nobody's surprise, it was never about preferring to work for someone else's business; it was all about the incapacitating fears involved in the idea of starting one's own. And it was the same four fears, every single time.
It takes too much money. I don't have the tens (or hundreds) of thousands of dollars to invest in a business.
It takes too much time. I don't want to work 80 hours a week for the first year or two to get my new business going.
There's too much risk. Over 56 percent of all businesses fail in the first two years - and I'd need to quit my job, so there's no safety net.
I don't know how. I've never taken any business courses. I have no business experience. I don't know anything about taxes, accounting, marketing, and the myriad other skills a good entrepreneur must possess.
Not all responded with all four objections; most did respond with more than one. Interestingly, Reason #4, "I don't know how," was the most common response.
A lot of folks said they wished they had taken the plunge earlier in their lives, but they just were no longer the mavericks they once were. They had a mortgage to pay and a family to feed ... it was simply too late.
What If...?
Now comes the fun part - we get to start with those four fears and play "What if ...?"
Would you ever consider going into business for yourself ...
If the total start-up costs were under $100;
If the total time investment could be as little as 5 to 10 hours a week;
If you could continue to work in your present job until the income from your business was sufficient to earn you at least an equal income, so you'd have little risk;
If there were numerous experts available to you as consultants, who would train and advise you personally for an unlimited number of hours for the entire life of your business, absolutely free?
If there were another company that would take care of all your research and development, labeling, inventory, shipping, payroll, payroll and sales taxes, most legal questions, and all the other nitty gritty logistics ... and -
If this company would do this for you every month, for the life of your business, for around, oh, $25 a year?
Sound too good to be true? Okay; humor me: hypothetically, if all this really were true - would you consider it?
Of course you would.
And of course, with a good network marketing opportunity, all of these conditions are true, to the letter.
Think about it: if whatever concerned you enough to deter you from attempting a business venture suddenly vanished, then you'd have no basis to fear doing so, right?
Telling the Truth
Network marketing is a serious business, no less than any other in which you might consider earning your living for the rest of your life. The reality is: network marketing is hard work; it takes time; and you'll probably lose some money in the beginning.
The difference is: most of the hardest work is done by someone else; you do your work when you choose to do it; it typically takes a few months at most - not a few years - to turn a profit (some accomplish this in the first month); and the amount you might lose at first has one, two, or even three fewer digits compared to the start-up losses of most conventional businesses. Yet you can still reap the tax benefits of operating your own business, and you have just as much income potential as in most conventional businesses - if not more.
Imagine becoming financially independent in one to three years:
without having to spend thousands of dollars each month;
without having to work long hours seven days a week;
without even having to quit your job during the development stage;
and without having to get a business degree or hire someone who has one.
If you are considering starting your own business and you've got access to, let's say, $50,000 in start-up funds (a modest assumption), imagine how profitable you could be and how quickly...
if you didn't have to hire employees;
if you didn't have to lease an office and/or storefront and/or warehouse;
if you didn't have to pay payroll taxes;
if you didn't have to spend one penny on R&D, graphics design, or development of promotional material;
and if you didn't have to hire any accountants, lawyers, or business consultants.
And imagine how much more money might go into your pocket if you didn't need business partners to help you finance and run the business. Think about it - and try not to become giddy.
Now for the really fun part.
Imagine buying a McDonald's franchise for the modest sum of one million dollars. The business fails. You call up McDonald's corporate and ask for a "Return Authorization Number" so you can get your franchise fee back along with a reimbursement check for your unsold supplies and stock.
While you're imagining this scene, also imagine the sound of sirens wailing in the background. That would be either:
a) the paramedics coming to assist the poor corporate officer whom you've just induced into a fit of hysterics, or
b) an ambulance coming to take you to a really nice, soft room.
In network marketing, not only is this not an absurd scenario, it's the law! A legitimate, network marketing company is bound by law to give a quitting distributor a full refund (usually less a 10 percent restocking and processing fee) on all product and marketing material in resalable condition. If pursued conservatively and intelligently, there is a monumental reduction in risk relative to conventional business start-ups - yet with a comparable or even greater profit opportunity.
The Point
If you are already an active network marketer:
Be aware that the vast majority of your "outer circle" prospects (those who've never been involved in network marketing) do have the desire to own their own businesses. You don't have to talk them into the benefits of something they're already dreaming about having.
They also have some legitimate fears about starting their own businesses. You first need to open their minds to the idea that there is a realistic way to achieve that dream and explain the concept of network marketing. Lay that groundwork first - then introduce the benefits of your particular network marketing program.
Think of it this way: before you can pour fresh, hot coffee into a thermos, you must first open it and pour out the old, stale coffee, right? Think of your business-phobic prospect as a sealed thermos full of cold-coffee fears and concepts that need pouring out.
If you are considering starting your own business but are apprehensive:
Open your own mind to network marketing. Think it's too good to be true? I challenge you - find the catch! If you've never pursued a network marketing venture, it must be for one of these two reasons:
You just didn't know about it,
or
You have a prejudice against it. "Prejudice" literally means "pre-judge" - to make a decision before you know the facts. Perhaps you have prejudged this business based on what someone else has told you about it (usually someone who has failed at it or even someone who in turn has pre-judged it and never actually done it him or herself).
Don't let other people do your thinking for you. Make your own decision based on your own evaluation. I dare you to look - and not be intrigued!
About the Author
Len Clements
Mr. Clements has been involved in the MLM industry for sixteen years and is a successful distributor for a prominent MLM program
:To contact see details below.
lenc@network-marketing.com
http://www.network-marketing.com
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