Direct Selling Comparison Worksheet 1

Direct Selling Comparison Worksheet

Start up cost should be minimal. Set up cost in immediate selling and multilevel marketing companies are usually moderate and mainly to hide the cost of the sales kit. What’s their set-up cost? What comes in the kit? Some companies need a regular purchase. Is there a monthly minimum purchase requirement and if so, how much is the monthly investment?

Most companies post the local state sales taxes, however, there are many that do not. AM I GOING TO be asked to submit my very own state sales tax? Talk with each company regarding their return plan. This will be essential to your business. Can I return damaged or unwanted products and if so, what is the return plan?

Do you have a “buy-back” plan? Some companies offer to “buy-back” unsold marketable products purchased within the year prior, should you decide to give up the business enterprise for 90% of the purchase price you originally paid. Do they offer a “buy-back” policy? Some ongoing companies require Individual Associates to cover portions of the Hostess gifts, etc. You have to know upfront whether part of your payment earned should go to pay these costs. This will certainly reduce the real amount of commissions gained.

Am I necessary to cover the area of the Hostess Gifts, or pay admin fees, etc.? It will always be best if you compare catalog and supplies cost as they differ by company. What do your paperwork and catalogs cost? Customer shipping charges are important to your business and can vary greatly from company to company. What exactly is the customer delivery charges? It is customary for companies to truly have a regular monthly or quarterly sales necessity to stay active and/or receive overrides. What is the monthly/quarterly requirements? Many companies provide Representatives with a company approved website.

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If you plan to advertise your business online, this will be essential to your success. Does your company provide a website and if so, what’s the cost? If they do not, can I design my very own? Some companies authorize Representatives to deduct their commissions prior to turning in the Show Order, while others require all monies collected forwarded to the office at home and then commission assessments are issued once a month or twice monthly. How are you required to post payment for a show?

How often are percentage checks issued..Monthly, monthly, or weekly twice? My experience has been that a lot of issues monthly. Be sure to ask as there are some that offer monthly and weekly twice. Many companies ship their products right to the consumer or Hostess now, however, there are few that want Representatives to delivery a Show or products.

Am I required to delivery products? With some opportunities, Representatives are encouraged to stock products to have on hand for eager customers. Will I be required to stock or bring inventory? Most companies allow their Representatives to buy display or products items at a special discount. Are Representatives allowed to purchase products at a discount and if so, what is the discount? Have them clarify the commission levels and structure of achievement as it varies greatly by company. What’s your commission structure? As with any business, finding what works for you as well as your lifestyle shall be the key. Remember to research opportunities and consider if the business and support team are a good match for you.