When Is the Best Time to Join a MLM Company?

When is the best time to join a MLM Company? This might just be a million dollar question. Fortunately for you, I think I know the answer.

After spending nearly 17-years in this amazing industry, I think I figured it out. In the rest of this post, I’m going to explain WHY I feel the way that I do.

Best Time to Join a MLM Company

The Best Time to Join a MLM Company

I believe that the best time to join a MLM Company is after it has been in business for at least two years AND before it becomes known to the masses.

Most MLM Companies that make it for the long haul in our industry have a critical growth phase sometime between their fifth and twentieth year of business.

When you study companies such as Amway, Nu Skin, Mary Kay, Shaklee, Forever Living Products, and Herbalife, you will see that most of their company’s top earners joined the company when the company was in its critical growth phase, or before that growth started.

In other words, these people joined their company at the right time. Yes, they still had to roll up their sleeves and do tons of work, but the timing helped a lot.

These companies still offer a great opportunity today, but the opportunity isn’t anywhere near as lucrative as it once was, because of the timing.

If you tried to join any of these same companies today, you would have to work two to five times harder than the successful distributors did who joined at the right time.

Don’t believe me? Go to each one of these company’s websites. Make a list of their top 10-20 earners.

And then find out how long each distributor has been with the company. That should settle the case in point. You will quickly discover that most (but not all) of the top earners joined right before or during the critical growth phase.

Avoiding Start-Ups

I also believe it’s much safer to partner with a proven company than it is to work with a start-up company.

In fact, I am not a big fan of start-up MLM Companies at all. Like any other industry, most businesses fail. This applies to MLM Companies as well.

I couldn’t imagine working hard to build a successful business with a start-up MLM Company only to see if go out of business within a year or two. That would be heart breaking.

That’s why I recommend waiting until a company is at least two to three years old before you join it. Five years is even better, but only if the company hasn’t hit critical mass yet. Companies that survive that long will typically be around for many years to come.

The Trouble with Established MLM Companies

The Trouble with Established MLM Companies

I also believe that it’s difficult (extremely) to build a large and profitable downline if you join the company AFTER it has gone through its critical growth phase.

If you were to join any of the companies mentioned above in this post, you would have already missed the boat. That’s just my opinion….

I’m not saying you couldn’t achieve success with any of these established companies (you could), but I am saying that it would be MUCH more difficult to become a top earner with a company AFTER it went through the critical growth phase than before or during its critical growth phase.

Why? Because everyone has heard of it before and most people will have preconceived notions about the company, whether true or not.

An Example

Let me give you an example to put things in perspective.

I spent a few years in Amway. During my time in Amway, we did not have ONE new “Diamond Level” distributor who had joined the company within the past five years (in my line of sponsorship).

Of all the other Diamonds in my line of sponsorship, most of them joined the company in the 1970s, 1980s or 1990s and were still reaping the rewards of joining the right company at the right time.

Think about that for a minute. This trend does not apply exclusively to Amway either. It applies to most network marketing companies.

What to Look for

If you are looking for a MLM Company to join, you want a company with great products, great company leadership and a fair compensation plan. Also, you want a company that is at least two years old and is positioned for long-term growth.

You want to join the company BEFORE it hits critical mass. You want to join a company BEFORE everyone has heard of it.

How do you determine all of this? The easiest way to determine the growth phase is to look at the company’s annual revenue and number of distributors.

When you start seeing 20% to 100% yearly growth (after the first two years) you know the company is in its critical growth phase. That’s the perfect time to get involved.

The Facts

Just to clarify, you can be successful (or fail) with any network marketing company at any time. Ultimately, your success is in your hands.

However, if you want to be successful and work smart, it definitely helps to join the right MLM Company at the right time. That way you can ride the momentum!

Final Thoughts

In summary, joining the right MLM Company at the right time is paramount to your success in our industry. If you don’t join the right MLM Company at the right time you will miss the boat and not get anywhere near the results that you could get.

Yes, you can work hard and become successful in any network marketing company at any time, but if you want to be smart about it, timing is everything.

What are your thoughts? When do you think is the best time to join a MLM Company? Why? Leave a comment and let me know what you think. I look forward to hearing from you.

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13 thoughts on “When Is the Best Time to Join a MLM Company?

  1. So I joined Amway 8 months ago (Sept 2017). I wish I knew about this timing strategy you’re talking about. I joined to get some business experience. I haven’t really made a dime yet as I’m still learning about the products and working on my skills.

    I really want to leverage. Mentally I’m invested in Amway. Do you think I made a mistake and should just move on after a year? I promised myself to take this business seriously and be in it for at least 3-5 years to gauge results.

    But, from what you’re saying I think this is going to be harder to succeed than I thought it would be.

    • No matter what type of business you start or join, you will go through a learning curve. In most businesses, the goal the first year is simply to survive. It takes time to learn the skills and get your name out there. Many traditional businesses invest six figures just hoping that they will break even after five to seven years.

      When it comes to Amway, just sticking with it is not the key to success. That’s where most people mess up. You need to learn the skills and take massive action. You need to focus on retailing, recruiting and team building. You need to talk to a lot of people.

      This advice applies to anyone, in any network marketing company, not just Amway. Trying something for a year is like trying marriage for a year. It is almost a 100% commitment to fail. You need to draw a line in the sand and jump in with both feet.

      Even if you switched to a ground floor opportunity or younger company, you would still have to do these things. The company is only one part of the equation. The other part is you.

  2. Hi Chuck,

    I’ve been thinking about joining a MLM distribution team. They sell Enagic products.

    I was wondering if you have heard of this and if so, is this a smart business opportunity?

    I’ve heard conflicting truths about it and it seems that the only buyers are the distributors, when you initially join.

    I’m happy to give you more information needed.

    Thanks so much for your time!

    Duncan

    • I don’t really know a lot about that company. I would ask a few questions and do your research. For example:

      1. How long have they been in business?
      2. How many reps are there?
      3. How do people not involved with the company perceive the company?
      4. Does the product or service offer a real value, even at the retail price?
      5. What do you know about the company’s leadership team?
      6. What type of training and systems do they have available?
      7. Is the company properly financed?
      8. Does the company have real customers, or is it only distributors buying the products?
      9. Is the compensation plan a good deal, even for the part-timer?
      10. How will I find leads and build my business?

      Do your research, get answers to these questions, and follow your instincts.

      And, make sure you compare it to at least one other opportunity, so you can put things in perspective.

  3. This is so interesting. My first thought would be to think how exciting it would be to get in on the ground level, but as I write this, isn’t that an approach so many of us have heard so many times? Although, isn’t that how so many Diamonds were made in Amway? By being some of the first to join the company? Maybe it was also because MLM was such a new concept then. What are your comments on that, Chuck?

    I have been part of a company where I was doing so well and making money and then the company was shut down. It was a shock to all of us. We didn’t see it coming. That was quite a long time ago and I never did get the full story, but I think it had to do with unfortunate decisions made from the top. As I have matured, I know now the value of researching a company and not to join in on the parade of hype. Research. Investigate. Use discernment. Talk to people that have been with the company and people that are with the company before making your decision. Your time is valuable!

    • Sadly, many MLM Companies do go out of business. Even if you do your due diligence and research, you could still end up with a lemon. That is a risk that comes with being an entrepreneur.

      Even a good company can fall on tough times like changes in leadership, financial troubles or lawsuits. However, doing your homework upfront can help minimize these challenges.

  4. It’s funny: Amway was also the first MLM company that popped into my mind when I was reading the first couple of paragraphs of this post. I know that they are a huge company, but I don’t even run across distributors any more.

    Companies like Mary Kay are great, but the market is saturated by that company that you have to realize that there are not many new customers who have not been exposed to the product. You are likely just going to be taking another distributor’s customer, and that doesn’t make for a very loyal customer.

    I am with you: if you do your homework and can find a company that has been around for a few years, but seems to be on the rise with a non-saturated market, and has a great product; that would be the MLM company to pick.

    • Good points.

      I’ll tell you something funny. In the past 10-years, I have only been prospected ONCE face to face for a network marketing company. Just once. Yes, I get bombarded with emails, auto dialers and even some direct mail, but no one has prospected me while I was out and about living life.

      Even though some of these companies have MILLIONS of distributors, I don’t believe it’s totally saturated, because only a very TINY percentage of those distributors are actively building the business and talking to new people.

      Amway and Mary Kay are both HUGE, multi-billion dollar companies. Great products. Great leadership. Yet, many consumers have preconceived notions about these companies based off previous experiences.

      That can be really hard to overcome.

    • I believe that Amway goes through stages where they push growth more and more. As of late, I have been running across many Amway distributors. I think that they go through strong growth stages and then fade off for some time. I believe adding new products is a important aspect of how MLM companies can keep growing. I believe Amway and others do add new products which helps enliven people and sales.

      • Amway is really growing big internationally. I haven’t personally been prospected by anyone in Amway, face to face, in close to 7 or 8 years. Hard to believe but true!

  5. This is a good point. Its best to do your research before you join a company because they could easily bottom out as soon as you join if they are new and have not built a strong foundation. And then there are the companies like Amway and Mary Kay where you can earn but you have to realize that more than likely the market is saturated.

    • Even if the big MLM Companies aren’t saturated, there is a perception that they are. And that is hard to overcome.

      Having been in this industry man years now, I still believe in the advice I gave in this article. Established companies are saturated and harder to grow, start-ups are too risky, but young MLM Companies that are a few years old are probably your best option.

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