When Is the Right Time to Join a MLM Company?

When is the right time to join a MLM Company? This might just be a million dollar question. Hopefully, I have the million dollar answer.  I believe that the right time to join a MLM Company is after it has been in business for five years AND before it hits critical mass. Most network marketing companies that make it for the long haul in our industry have a critical growth phase sometime between their fifth and fifteenth year in business.

When you study some of the large and successful companies such as Amway, Nu Skin, Mary Kay, and Herbalife, you will see that most of their top earners joined the company before or during the critical growth phase. Distributors that joined the company after the critical growth phase missed the boat.

best time to join a MLM CompanyThese companies still offer a good opportunity, but it isn’t anywhere near as lucrative as it once was. Three years ago, MonaVie was the fastest growing company in our industry. Now it has flattened out. The same things holds true with Visalus.  In 2011-2012 it was THE company to join.  Today it has flattened out.

The same holds true with Herbalife during the 1980s. In its first 10 years Herbalife was THE company to join. It’ still a good company, but the timing is long gone. I could give you countless other examples with companies such as Amway and Nu Skin.  Once again, I am not KNOCKING these companies.  They are all great companies.

I do 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 too. I couldn’t imagine working hard to build a successful team of distributors with a start-up MLM Company only to see it go out of business. That would be heart breaking.

I also believe that it’s difficult to build a large and profitable downline with a company AFTER the company has gone through its critical growth phase. If you were to join any of the companies mentioned above TODAY, you would have missed the boat. I’m not saying you couldn’t achieve success with any of these companies, but I am saying that it would be very difficult to become a top earner with a company AFTER it goes through the critical growth phase, than before it.  If you don’t believe me, just study some of the top earners from each of the companies mentioned above and find out WHEN those top earners joined the company.  That will validate what I am saying.

Sure, there will be a couple of exceptions to the rule, but I’d bet it’s safe to say that AT LEAST 80% of the top earners in each of these companies joined before or during the critical mass phase.

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 at the right time. Also, you want a company that is at least five years old and is positioned for long-term growth. And you want to join the company before it hits critical mass.

The quickest way to analyze a company is to look at the total amount of distributors, the total company revenue and the total number of countries it does business in. Try to look at 2-4 years worth of numbers and you will get a good idea about whether or not the company is in its growth phase.  If the company is growing 50% or more each year, it’s in its critical mass phase.

Final Thoughts

In summary, joining the right network marketing company at the right time is key. 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.  If you want to work smart, and not just work hard, make sure you find a company that it established AND is about to take off and explode. If you can find that company, get on the boat and swim with the tide.

What are your thoughts?  When do you think is the right time to join a MLM Company?  Leave a comment and let us know.

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4 thoughts on “When Is the Right Time to Join a MLM Company?

  1. Greg Boudonck

    This is a very wisdom filled post. I believe that you have made a correct assessment. I think some MLMs do react slightly differently, but for the most part, joining in the 4-5 year window sounds like the most profitable timing.

    If a person has a “crystal ball” there may be ones you would want to join the minute they start, but for the biggest part, it is better to give them some time to see if they will even survive, and to get any “bugs” worked out of the system they have in place.

    Reply
  2. Tee

    Eventhough Arbonne has been in business for 30+ years, I believe it hasn’t hit that momentum yet. There’s Only a 1% brand awareness in the U.S and it’s in the early stages of global expansion to other countries. I just need to get down to the numbers, but that kind of info should be provided on the site, I hope. You mentioned u were with Amway in the past. Did you leave because of this particular issue? Hope u don’t mind me asking.

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    1. chuckholmes Post author

      I left Amway because of the tools business, which is why most people get frustrated with Amway. You can do a Google Search about the tools business or motivational organizations and there are literally MILLIONS of pages about this problem. Bottom line is the leaders were making more from their systems than they were from Amway, and they were very deceptive about it.

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