Economic turmoil points to residual income as solution to financial Stability
For most of us, growing up we heard the same encouragement: work hard in school, get good grades, and then you’ll get a good job that you’ll keep the rest of your career. The truth is that this model has broken down and simply doesn’t offer any security. Today’s economy is much more complex, meaning that the prospect of having a life-long career-defining job is a thing of the past.
Interest and Investment Earning Now Broken
As a result, many people are exploring other options to secure additional income. One way is through interest earning. For decades, interest earning from investments and retirement savings has been a primary way people have built their wealth and created security for retirement. And while interest earning still remains a viable option to create wealth, our modern economic turmoil makes it much less certain.
Over the last several years, tens of millions of people worldwide have lost their retirement, other savings, and equity in their homes, as well as their jobs. And earning potential has decreased as well. Stagnant wages combined with rising health care and cost ofliving have created a situation where people simply have less available money to invest and save.
For instance, if you wanted to earn $600 a month, you’d need to have more than $360,000 in a savings account earning 2% interest. Unfortunately, most people simply don’t have that kind of available cash. So is there a solution?
Residual Income Provides Promise
Yes, there is a solution, and it’s called residual income, which is passive or recurring income that continues to be generated after the initial effort has been expended. There are several ways to build residual income. These include real estate and the purchasing of a franchise-like business. But these come with significant problems and risks. Again, to purchase real estate or a franchise requires significant sums of cash up front, often hundreds of thousands of dollars or more. This is a luxury that few people enjoy in today’s economy. And even if you could, we know that earning consistent profits without the risk of losing your investment is simply not a sure thing these days.
There is another form of residual income,however, that can provide significant,long-term earnings and requires very little investment and risk. This residual income is the result of building a successful, home business based on direct sales.
Direct Selling Offers Low-Risk Residual Wealth Direct selling refers to the distribution of products and services directly from the parent company to customers without the use of a traditional “retail” format. Instead, direct selling companies use normal, everyday individuals like you to do their “selling” for them. Often referred to as “referral marketing,”direct selling comes naturally for most people because we refer products and services we enjoy to our family, neighbors and friends all the time. This model also works well because it allows companies to save money in advertising and marketing that it would normally have to spend in the retail model.
The best part is that many direct selling companies provide significant financial and other incentives to its associates to promote its products. This is where residual earnings come in. Typical compensation plans in this market not only include the potential for quick and big bonuses, but most importantly offer you the ability to build substantial streams of residual income that you’ll continue to earn month after month for years to come-even if you stop actively working. This is done through building a networked organization.
And what about the risk associated with a direct selling business? It’s extremely low, as the only requirement to start is generally an enrollment fee that is less than $50. From there, as you build your business, you can invest a little of your earnings in more products and tools to continue that growth and success. What’s more, there’s no inventory, no employees, and no overheadassociated with a traditional business. In short, a direct sales business is by far the most accessible form of residual income.
A Viable Model for Tremendous Success
You may wonder if direct selling is truly a viable business model, or why there aren’t more people doing it. The truth is, millions of people are doing it. In fact, experts estimate that more than 70 million people worldwide (approximately 16 million in the U.S.) are operating a successful direct sales business. And they’re not the only ones who would tell you how great a home-based business can be.
Business icons such as Warren Buffett, Stephen Covey and Robert Kiyosaki have all endorsed direct selling, stating that this model offers security and opportunity in today’s tumultuous economic climate. And if that’s not enough, perhaps understanding just how big the direct selling “pot” is can help you comprehend the viability of direct selling. Global sales in 2011 were about $153 billion. Who wouldn’t want a piece of that pie?
Beyond the financial potential of a home business, direct sellers enjoy other benefits, including more business training, personal growth, travel opportunities, and more.
Change Your Life Perhaps Alessandro Carlucci, World Federation Direct Selling Association chairman, puts it best: “Around the world,the stories of the incredible journeys many people have taken to success through direct selling tell a poignant tale of individual achievement. It is through our global statistics that we can begin to paint a picture that conveys the economic and social benefits direct selling provides.”
Looking for more from life and for a better opportunity to create financial security while enjoying more flexibility and freedom? You can-with direct selling.
Today’s reality is forcing people to find additional streams of income. In fact, 77% of Americans admit to living paycheck-to pay check. In addition, an estimated $3.4 trillion has been lost in retirement accounts during the recent recession. It’s no wonder then that people around the world are seeking financial security by building homebased businesses in order to supplement their income.
Business Model As one of the premier business leaders of our time, Dr. Stephen R. Covey cites network marketing as an inspiring business model in today’s modern economy and has identified two compelling reasons why it is a viable option for anyone-even those with little to no experience in sales or business.
First, in network marketing everyone starts on a level playing field. You are not judged by age, background, race, education or financial condition, and as you help lift others to new levels, the industry rewards you. Network marketing is a business model Dr. Covey finds rousing amidst the stream of corruption and scandal that has been so rife in corporate America.
Second, while network marketing offers ample opportunity for professional or financial success, the opportunity for personal growth and fulfillment is just as pronounced. It is a medium that allows you to literally create your own future through effective, consistent action-all the while- improving and renewing your personal self.
The Business of the 21st Century Taking control of your fi nancial future with Robert Kiyosaki
“By its very nature and design, network marketing is a strikingly fair, emocratic, socially responsible system of generating wealth.”
It’s no secret that recently our economy has been in shambles. Layoffs, cutbacks and foreclosures are words we have become far too familiar with. Unemployment has been at an all-time high and outsourcing and underemployment have made it extremely difficult to find and maintain gainful job security. While this has been our reality over the last several years-it doesn’t have to be our future.
The Silver Lining The truth is, these times of recession have proven to be fertile breeding grounds for innovation, initiative and old-fashioned American entrepreneurialism. In fact, more than half of the corporations that make up the Dow Jones Industrial Average got their starts duringa recession. And it’s no different today.You have to take control of your financial future by taking control of your income source-start your own business.
For numerous reasons, Robert Kiyosaki cites network marketing as the business of the 21st century. While employment isn’t a bad thing, the future of generating genuine wealth lies in pioneering ways of doing business that elevate the financial well-being of humanity. Thus, a network marketing system is set up to make it possible for anyone to share in the wealth and turn interest income into residual income.
Developing the Mindset of an Entrepreneur Today, there are millions of people who dream about quitting their jobs and seeking success in an entrepreneurial world. Unfortunately, most of these people trade their dreams in for the lackluster routine of security and financial mediocrity. These people often don’t understand what it takes to develop an entrepreneurial mindset. Kiyosaki points out that most people think it takes a certain person or a certain magic to become an entrepreneur, while in reality, becoming an entrepreneur is not that big a deal-you just do it.
Due to economic uncertainty, becoming an entrepreneur and owning a home-based business has become the business model of the future. In his book The Business of the 21st Century, Robert Kiyosaki says, “By its very nature and design, network marketing is a strikingly fair, democratic, socially responsible system of generating wealth.”
Women Want More with Direct Selling Economic turmoil points to residual income as solution to financial stability A home-based business allows women the best of all worlds
In the world of direct sales, women are at the center of success. In fact, more than 75% of all direct sellers are women. And more women than ever are starting successful home-based businesses. Why? There are several good reasons that a direct selling, home business makes perfect sense for women everywhere. Like anyone considering a home business, women are searching for more-more time, more freedom, more income, more flexibility, and more quality of life than what is offered in the “9-to-5” world.
Women a Majority of Direct Sellers At the heart of the influx of women into the direct selling world is the fact that women are social creatures and natural networkers. Often called “relationship marketing,” direct selling is done most successfully by building relationships with others-something that women are usually very good at. And women also love to give referrals for just about anything-the clothing, food, services and other products they purchase. So referring or sharing a product or service with those they know-the best way to build a direct selling business-comes naturally for most women.
Part-Time Hours, Full-Time Earnings The biggest reason women are so attracted to direct selling is because of the ability to supplement the family income-often significantly. A few hundred dollars can go a long way towards keeping up with bills, paying off the mortgage, saving for a child’s college education, and making regular contributions to a retirement fund. And the best news is that for many women, the part-time hours of a home business can soon turn into significant full-time income that lasts for years and years.
Doing It All Many women love being a stay-at-home mom, caring for their family and home. But they also may want to “branch out” and make contributions in other ways. A direct selling business allows them to be the mom they love to be while also earning income and enjoying new relationships and personal growth. With all the uncertainty of our job market and economy, there has never been a better time for women everywhere to step into entrepreneurship and take control of their destiny.
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