(Bionovix) Bites the Dust - A Warning to Network Marketers…

And another one bites the dust…

The Collapse of another MLM has shattered the hearts of thousands of distributors who worked so hard to build downlines, promote products and give so much of their time, love and energy to a company that, due to tough economic times, had no other choice but to “Cancel all their distributor contracts’.

Bionovix, a barely 3 year old company, closes it’s doors to it’s distributors and shuts it’s website down.

http://www.bionovix.com

This is a Wake Up Call for ALL Network Marketers in the MLM Industry.

MLM is an amazing industry, but one must remember, that at the end of the day, you cannot control what the company does, or what happens to the company.

1. Comp Plans Change
2. Administration Changes
3. Rules Change

And what can you do about it?

Zippo.

You do not control the decisions that are made, the pricepoints or the compensation plan.

In short, without a VIABLE, sensible Business Model, one wrong move, one blip on the radar, and you are out of income overnight.

Here is a small snippet of the company’s notice to it’s distirbutors:

“we are writing to notify you that the Company hereby terminates all of its Distributor Agreements, and all Independent Business Consultant Agreements, effective immediately.  Please note that distributors will no longer be able to access their back office information within Exigo either, as this system will no longer be used in our new business model.

We know the quality of our product and the impact on the health and well being of our customer has been fantastic!  We will continue to offer our products to you as a former distributor or preferred customer.  Because we will not be paying commissions on these sales, we are able to offer you these products at a significantly reduced price. “

“…and hope we have not caused anyone serious inconvenience. “

(Well, atleast they were “gracious” enough to offer discounts on their product line to their ex-distributors, now  known as Preferred customers! - how generous

And So it goes.

Where are the distributors left on the grand scheme of this company’s demise?

They Have No List…

No Product…

No Downline…

No Income…

The Myth and the Mistake…

The line is blurred in MLM between Business Ownership and Distributorship. There is a false illusion that when you join and MLM Company, all of the Sudden, it’s Your Business.

Upon further examination you will realize that it is not your business, but merely, you are a contracted marketing representative for the company. The only difference between and MLM Distrubutor and an inhouse marketing rep, is that one gets a W-2 and the other gets a 1099.

Both can be let go in a matter of minutes.

The only sure way to protect yourself is by claiming ownership of your business.

• You must control the leads.
• You must Generate your OWN leads
• You must generate Cashflow upfront…

And should you change your mind about your affiliation with your company, or should the company collapse, you can still take “your list” with you.

If you can’t Take it With You, it’s Not Yours…

If you don’t control the leads, the money or the list, the business is not yours. Again, MLM is an incredible industry and there are people making gobs of money in top positions of the company, but I have also heard stories of people walking away from $1.2Million Dollars of Residual income because they were no longer congruent with the Business and how they were running the company.

Now of course, if you have a top position, your tribe is likely to follow you wherever you go, but what about the little guy?

What does he do?

Your Own License to Print Money at Will

When you have a system that enables you to generate and capture your own leads, you position yourself to be able to market to these leads and generate dollars by virtue of recommending other products, outside of your MLM that will ultimately help these people become better marketers.

For Instance, you could be recommending tools, or training courses, etc, and whether these people join your MLM or not, you are positioned to make money.

80% of people will NOT join or promote your company.

Seeing this statistic as an opportunity awakens the giant within the savvy Entrepreneur.

En`tre*pre*neur”\, n.  (Polit. Econ.) One who creates a product on his own account; whoever undertakes on his own account an industrial enterprise in which workmen are employed. –F. A. Walker.

If you look closely, the majority of people who are in MLM and are making serious money have all created their own product line and then “hide” or backend their MLM in the sales process.

These individuals have taken FULL Ownership of their businesses.

If the MLM Company collapses, or they change their mind and decide to move to another company, they already have a LIST and a product that they Own, and their own Army of affiliates,  that they will continue to make money with.

But what about the Little Guy?

So what happens to the “distributor” who doesn’t want to create his own product, but doesn’t want to risk being MLM Company Roadkill?

Affiliate Marketing - You promote existing courses and training that generate a handsome commission and fund the advertising for your MLM and enable you the skills and training you need to build a list.

A Serious Lesson to be Learned

At the end of the day, you truly do not own your business unless you create your own product line… but in the meantime, by plugging into a system that positions you as a leader, has an affiliate structure built into it, and fully comprehensive marketing training, you are definitely ahead of the “contracted distributors” who can receive their walking papers in a moments notice.

How is that different from holding a job?

Comments? Feedback?

Go ahead and enter them below…

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Barbie Figueroa - Offers Marketing Solutions to Small Business Owners and Network Marketers. Please visit her Marketing and Design Website at: http://www.5MinuteMarketingMakeover.com

To Test Drive our Generic Marketing System Designed to Help YOU take more control of your business visit: http://tr.im/gzTu

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