Today, I want to educate you about how to use a funded proposal to grow your MLM Business.
I want to teach you the ins and outs of what one is, why you should use one, a hypothetical example, how to get started and much more.
Let’s get started.
What is a MLM Funded Proposal?
A MLM Funded Proposal is simply a way to offset or reduce your advertising costs while you market and promote your network marketing business.
Basically, it allows you to generate leads for free (or at a really low cost).
Rather than promoting your business opportunity on the front end, you would promote a low-cost training product such as an eBook, lead program or system.
You would send someone to a lead capture page so they can become a lead, and then you would redirect them to your affiliate program.
This is known as a one time offer.
Sales from this affiliate product provide immediate commissions, which you can use to pay for your advertising costs.
The money you make allows you to keep advertising so you can keep generating more leads.
Why Should You Use a MLM Funded Proposal?
Every network marketer should use their own MLM Funded Proposal when they are building their network marketing business.
When you are trying to build a MLM Business online it takes time to build a substantial income (normally several years).
What you need is immediate income, so you can afford to keep advertising, build your list, and build your team.
If you only have your MLM Income you will go broke fast.
Another benefit of using a funded proposal is that you can appeal to more people.
When you lead with your business opportunity, you really limit yourself.
Most people in your target market (other networkers) already have a business opportunity, so they aren’t looking for a new opportunity to join.
On the other hand, most networkers are struggling in their business and they need a system, lead program or training.
By offering one of those things (a solution to their problem) you can appeal to more people.
As a result, you can make more sales and more commissions.
Even better, you can “back end” many of these folks into your MLM Program within a few months.
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- 26 Instant Marketing Ideas to Build Your Network Marketing Business by Big Al Tom Schreiter – Book Review
Hypothetical Example of a MLM Funded Proposal
- You promote an affiliate product (MLM Training Course) that pays you $30 per sale
- You send 1,000 visitors to you capture page to get their name and email and then redirect them to your affiliate offer
- Of the 1,000 people, 300 people give you their name and email, so you have 300 leads
- Of the 300 leads that were redirected to your affiliate sales page, 2% purchase it, which equates to six sales at $30 each, for a total of $180
- You paid $.40 per click, so you spent $400 on traffic
- You recouped $180 of that $400, so it only cost you $220 out of pocket to generate 300 leads
- Therefore you only spent ($220/300 leads) about $.70 per lead.
- You now have 300 people to market your business opportunity and other affiliate products to
- You will easily recoup the remaining $220 out of pocket expense in the months to come by recommending additional products, and recruiting some of these folks into your business opportunity
- You will grow your business on complete auto-pilot
This is the beauty of a MLM Funded Proposal.
If you do it right, you can offset most or all of your advertising expense so you can essentially generate leads for your network marketing business for free.
In essence, you really have two choices.
You can create your own funded proposal or you can use someone else’s.
The best course of action is to have your own unique funded proposal.
However, for most people that is not a viable option.
It could take a year or two to create your own funded proposal.
Plus, it would probably cost you thousands of dollars and hundreds of hours in time to get everything set up.
The best option for newbies is to use someone else’s funded proposal.
I’ve been using Magnetic Sponsoring for a few years now and have achieved great success with it.
Ultimately, you want a product that offers real value and provides a nice commission.
I suggest you try out the product or service first to make sure it is worth promoting.
In summary, whether you are trying to build your network marketing business online or offline, you need your own MLM Funded Proposal.
That way you can offset or eliminate your advertising expense, while you build your list quickly.
Remember, the money is in the list.
As people join your list, you will make a few immediate sales.
You can then take this money and reinvest it back into advertising, so you can keep getting leads.
What are your thoughts about funded proposals?
Please share any tips or comments about your experience using a MLM Funded Proposal to grow your business.
I look forward to hearing from you.