Literally 1000’s of Network Marketing companies are birthed every year. Choosing the right Network Marketing company is not easy and deserves a glimpse into the past to help discern the profile of a long term, sustainable, quantifiable company.    I wish to share my opinions and experience in this very important topic.

As I stated in my blog titled, MLM Marketing Revealed it really depends on 5 key components required for success in the Network Marketing industry.  1.  Company  (which we are writing about in this blog 2.  Products 3.  Trends and Timing  4. Compensation Plan  5. Training and Support.

Below I will list what history has shown are key indicators and or profiles of  the “DNA” of successful long term companies

First: Let me tee this up with the surreal statistic that somewhere north of95% of all businesses fail in the first 3-5 years. Business is tough so one of the first indicators when choosing a sustainable, quantifiable and verifiable business opportunity is the question, “ Is the company a start up?”  When you have a 95% chance a new company will NOT be in business, it begs the question, “Why do I want to risk choosing this company when there is a 95% chance it will not be around 3-5 years from now?  Does that sound like a good business decision?   Do I want to put time, effort, money, capital, relationships at risk with a less than 5% chance?  Second: What is the Vision of the company?  What is their objective?  Where do they want to go?  Be? Achieve?  Are they starting up just to go public and make a few insiders + the founders a lot of money and then cruise around on their yachts leaving a bunch of distributors wondering what happened to THEIR dream?  Third: Do they have the financial strength to bring new products to market and give  the distributors new opportunities, new market niche’s and provide ongoing opportunities with real, viable, and needed products?   Fourth: What is the experience of the founders/owners of the company?  Do they really understand Network Marketing Business?  This is a very unique dynamic business model but if the owners/founders of a Network Marketing business do not like the distributors, the personalities of a large group of distributors or partnerships with Company/Distributors…..then it will be a company that will continually be at odds with their distributor force!  Fifth: Is what commitment do they have to being innovative from a product perspective?  What commitment do they have to bringing proprietary products to market?  Is it just another “ME TOO” kind of company just jumping into the business to take advantage of an industry of growth?

These are 5 key questions or profiles of a company to look at as you do your due diligence and deciding if you want to participate in the Network Marketing business.

1.  Is it a Start up?

2.  What is the Vision, Objective of the company?

3.  Are they financially viable?  Financially prudent?  Fiscally responsible? (Not flamboyant and playing money games!) Debt Free?

4.  What is the experience, resume and background in the Network Marketing industry of Owners/Founders

5.  Is the product offering Unique, Proprietary with broad mass market appeal?

When Cindy, my wife, and I went in search of a Network Marketing company to join after 16 years and many great experiences in the Network Marketing industry with 2 other companies we used this criteria to anchor our belief, trust and confidence in Xango.  Xango is that type of company with nearly 8 years worth of business track record proving that they can manage the growth, finances, and bring new products, significant products and opportunities to market. The company was founded by 6 Visionary men with over 100 combined years experience in the MLM industry working both sides of the equation,  some from the distributor side and some from the corporate side.  Seasoned Sr. Management who have already managed companies or divisions doing 1 Billion in sales.  They know what a billion looks and feels like and I like that.   1 million sq feet in distribution and warehouse space, 300,000 sq feet of office space on a 30 acre corporate campus that they OWN, not rent.  Some MLM companies (in fact MOST)  show pictures of their  corporate high rise offices with their name on it, BUT they lease them. They could close the doors and be gone over night.  Not Xango.  They are investing for the future.  Now doing business in 34 countries with on the ground operations in 8 of those countries with a total of 600 employees worldwide. Xango is just getting started and their goal is to be the largest Wellness Company in the World.

In summary, pay attention to all five components, 1.  Company, 2. Products, 3.  Timing and Trends, 4. Compensation plan 5. Training and Support..  they are all very important and next I will write on the importance of Products.  How to evaluate products in chosing your Network Marketing company.