Every successful person in Network Marketing or Direct Sales knows that their success is a direct result of leverage in their business. When team numbers grow rapidly, it is because of leverage. When income levels go through the roof and skyrocket, it is because of leverage.
There is only so much that one person can do when it comes to building a successful Network Marketing business. After all, there is only 24-hours in each day and that has to be balanced with the happenings of life, too.
Here are two scenarios to really explain the power of leverage in Network Marketing:
1. Mary works her business about 10 hours per week. She has a PRS (personal retail sales) of $3,000 each month and no team members. She will only ever get paid her commissions on the time that she has worked her business, nothing more, because she is a team of one. Her paycheck will only reflect her 10 hours that she worked. If she wants to advance to the next status, she will have to put more work into her business.
2. Karen works her business about 10 hours per week. She has a PRS of $500 each month and has 5-team members. Each of her 5-team members puts in 10 hours of work per week, just like Karen does. Karen’s paycheck reflects 60 hours per week’s worth of work because of the leverage her team members provide, even though she only worked 10 hours.
Which scenario would you rather have in your business?
In the above examples, Karen works her direct sales business smarter. She may have less personal retail sales, but she knows that the big money comes with promotions to the next status. Karen is able to work less, but reap more rewards because of leverage. Chances are, she is already at the next level because her team sales are greater than Mary’s team sales are.
And this is the beauty of leverage in the Network Marketing industry.
When you learn to leverage other people’s time and efforts, you are able to work less and earn more money. Leverage allows you to work smarter, which results in true wealth because you are not tied down to anything. Your business runs more on autopilot than depending on you to put in hours at a time. This creates time freedom. Look at the owner of a chain restaurant, for example. She physically cannot be at all ten locations at once, nor does she want to, so she has other people working there for her, yet she gets the big paycheck. Her employees are putting in their time and efforts to create her lifestyle for her.
Again, there are only 24-hours in each day and leverage creates more hours because of your team’s efforts. You might only work 10-hours, but you are getting paid for a lot more.
Here is another example of leverage in a Direct Sales company:
Sarah starts her home-based business and immediately has a party that results in $500 in PRS. She knows the true value of leverage, so she goes out and gets five team members. She teaches all of her team members to have a party and get at least $500 in PRS, just like she did. Even though her sales are only $500, her company sales are now at $2500.
If all five of those team members do the exact same that they were taught, Sarah’s company sales will jump to $15,000. She is able to earn more money, even though her personal sales are still at $500. She also now has 30-team members, even though she has personally sponsored only five people. And then the numbers just keep on growing from there.
This whole industry is a numbers game; so recruiting is key to growing a large and successful Network Marketing business. Leverage is how you advance statuses quickly with promotions. Leverage is how you earn more money. Leverage is how you grow a big team. Leverage is what gets you time freedom. There are no excuses in this industry. You simply teach your team members to do the same thing that you did and watch your business boom with that leverage.