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REASONABLE PERSONAL PRODUCTION REQUIREMENT
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This is very important. If your personal production requirement is high you will find a very high dropout rate. Many companies try to force you to have a high personal production requirement in order to earn commissions on your teams sales. This is not fair for you nor for your business builders. Remember what I said before. The #2 reason people drop out is because people simply run out of money. I imagine it's because of some companies that make you buy large inventories of product to sell.
If some of the people you enroll are your friends and family, I'm sure you would not want them to get hurt.
Large production requirements are I believe one of they main reasons people get hurt financially in this industry and give it such a black eye. Many people call these opportunities scams because the only people who win are those at the top and the ones at the bottom who are the far majority are the ones crying their misfortunes to everyone they know. Bad news travels faster than good news.
No personal production requirements are equally bad. They do not promote people to be product centered nor do they promote loyalty. If all you are trying to do is to get people to stop shopping at their store and buy at yours, they will find it too easy to keep buying from the same store they have bought from their entire life and never buy from your company. This creates no residual income because commissions and bonuses are paid only on products sold.
A small personal production requirement is good for the following reasons.
1. No new money is needed. You are just shifting people's expenditures from the supermarket to your store. People benefit from getting better quality products and/or a lower price. This provides a value and customers won't drop out and stop buying.
2.There is no inventory. People don't get stacks of unsellable product stacked in their garage.
3.Customers become product centered. They personally use the products they promote. This created credibility.
4. It is duplicatable. People hate selling and hate collecting. Most people that do sell, do it at their cost without making a profit. Therefore, its better for people just to order direct from the company, who typically can take payments by check or credit card, so its more convenient.
5. The business is buildable to last a lifetime because growth is from the sale of product, not the compensation plan.
6. A high percentage of people enroll making it easier to grow and make money. Large upfront investments will scare people away thinking they must resell product and collect payments.
7.Nobody gets hurt since if the customer doesn't like the products they can get a refund from the company. This means you can offer them to anyone. A plus since many of the people you enroll will be friends, family, and busines associates.
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