MLM Success – MLM, Network Marketing, Direct Selling News, Videos, Articles, Legal Updates, and More.

Why do MLM Companies have to Pay Sales Tax?

Charity — Fri, 26 Jul 2013 16:44:53 +0000

This is a long complicated story and not without ongoing legal dispute. Unlike mail order firms which are immune from sales and use tax, direct selling companies are viewed by state officials as having “nexus” (sufficient contacts in a state for sales tax purposes). Their reasoning is based on the fact that distributors of direct selling companies actually promote the product and opportunity and conduct opportunity meetings and training meetings in the states in which they live.

Consequently, their sales are not considered to be in the same category as mail order sales. Distributors must either obtain resale tax licenses or take care of the taxes themselves; or, the company will collect and remit sales and use taxes.

Visit MLMLegal.com and MLMAttorney.com for much more information about the direct selling industry.

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Our next Starting and Running the Successful MLM Company Conference takes place October 24th & 25th, 2013 in Las Vegas. Call Charity before September 1st to receive a discount! 503-226-6600 or 800-231-2162.

Visit us at www.mlmlegal.com to learn more.

MLM Distributor Success – Knowing the Basics

Charity — Fri, 29 Mar 2013 18:11:34 +0000

This blog post is the companion post to the video: The Major Players – Successful MLM Companies, in which MLM Attorney, Jeffrey Babener, discusses what makes distributors successful in the MLM industry.

There is no question that, over time, the MLM companies that have been the most successful in the MLM industry have involved distributors who have had a passion for the product, service and for what they are selling. A distributor shouldn’t join a direct sales company unless, number one, he or she really believes in the product. The distributor should be actively using the product. Distributors should feel a great sense of ease when explaining and sharing her product with others. Successful distributors should feel that they are doing their customers a favor when sharing the product/service rather than feel as if they are encroaching on customers’ space or friendship.

Most importantly, a distributor must be realistic about their expectations. Keep in mind that in the direct selling industry, 90 percent of those who are involved are only involved part time, working less than 20 hours per week. Very few people leave their primary jobs to join the MLM industry full time. In fact, in the direct sales business in the United States today, which is about a 30 billion dollar a year channel of distribution, there are about 13 million people involved. This translates into perhaps one in ten households involved in MLM, according to studies done by leading trade organizations. And, 90 percent of these folks are working in direct selling on a part time basis.

When MLM companies seek out distributors to sell their products and services, in reality, they are competing for each individual’s time. People have other distractions that occupy their lives and time. Life changes occur. They get a salary raise. They start coaching little league. They move. Distributors tend to flow in and out of the direct selling business, not necessarily because they don’t like the product or the business, but because it is a part time endeavor.

The most important thing distributors should remember when they go out and speak to other people about the company and opportunity is that they should remain positive about the product and the opportunity.

However, even more importantly, distributors should be realistic about what they are communicating. Be realistic about the claims being made about the product and the opportunity. This only makes common sense. In fact, common sense is a prevailing factor in this type of business.

Above all, distributors should be positive, realistic and exude common sense. If you are successful in these areas then you’ll likely be very successful in your direct selling business.

For more information, visit our websites at www.mlmlegal.com and www.mlmattorney.com. Or, visit our blogs at http://mlmlegal.com/MLMBlog/ and http://mlmattorney.com/blog/.

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And, as always, visit MLMLegal.com, the best MLM resource on the web. The next Starting and Running the Successful MLM Company Conference will be here before you know it! On May 16^th and 17^th, 2013 we are hosting the MLM Conference for the 25^th year! This is now our 64^th annual conference (held almost consistently three times per year over the last 24 years). All executives/owners of MLM, direct selling, network marking, and party plan companies are welcome to attend. This is the original MLM Startup Conference, hosted and perfected by direct selling industry expert, MLM Attorney Jeff Babener. Call 503-226-6600 or 800-231-2162 to register. (Can’t make this event? Keep an eye out for our October and February conferences as well.)

Visit us at www.mlmlegal.com to learn more.

Jeffrey Babener’s Youtube Channel Reaches 60,000 Views

Charity — Mon, 21 Jan 2013 18:43:56 +0000

Jeffrey Babener’s – Editor of MLMLegal.com and MLMAttorney.com – Youtube channel has reached over 60,000 views. As the leading MLM expert, Jeff Babener has launched nearly 60 educational and informational videos for MLM, network marketing, direct selling, party plan executives and distributors (consultants, representatives, members, etc.). The videos cover topics from pyramid schemes to recruiting, to MLM success to finding the right product, to legal opinion to compensation plans, etc.

Here are the videos Attorney Babener offers for free on his website(s) and at his Youtube channel:

Earnings Claims and Consumer Protection Laws
Short Course on Network Marketing: Q&A with Jeffrey Babener on Pyramid Schemes NEW!
The Difference Between MLM Earnings Calculators and Earnings Claims
From a Legal Perspective: The Difference Between a Pyramid Scheme and Legitimate MLM
Compliance Guidelines for Direct Selling Companies and Network Marketers
Factors that Make a MLM Company Successful
A View of the Direct Selling Industry: Past, Present and Future
Why Choose the MLM Model for Your Business? – A CEO Interview
MLMlegal Releases New Film on MLM Startup Conference – Produced by Networkingstar.com
The MLM Startup Conference in Las Vegas
Jeffrey Babener: Company and Distributor Training on the MLM Industry
U nderstanding the Basics in Order to Succeed In Direct Selling
Recruiting Advice from an Industry Expert
H ow to Tell if a Company is a Pyramid or a Legitimate MLM
Profile of a Leading MLM Law Firm – Babener & Associates
In Order to Achieve Success in MLM, One Must Have Passion, Patience, Persistence
R aise Capital in Order to Recruit Key Distributors
Creating Clear Agreements Between Company Owners
Role of Compensation Plan in a Successful Direct Selling Company
MLM Startup Conference – A Must for Executives of Startup and Existing MLM Companies
Choosing the Right Product for Your MLM Company
You Must Possess or Buy MLM Experience
Choosing the Right MLM Software and Technology for your Direct Selling Business
T he Legal Issues of Starting and Running a MLM Company
MLM Startup T ips, Educational Resources, Answers to Network Marketing Questions
L earn What is Needed to Recruit Top-Selling Distributors
H ow Important is Your Company Name? Learn about Trademarking Your Company Name
An Introduction to Direct Selling and the Basics of MLM
The Major Players – Successful MLM Companies
The Legal Issues of Starting and Running a Direct Selling Company
Success Stories in the MLM, Direct Selling, Network Marketing Industry
T echnology’s Impact on the Direct Selling Industry: The History of Technology
Not all Direct Selling Companies are Pyramid Schemes
Debunking Direct Selling Industry Myths
The Internet ‘s Effect on Direct Selling and the Future of MLM
Is the Compensation Plan the Driving Force of Success?
What are the Top Two Reasons why MLM Companies Fail?
How Important Is Recruiting to MLM Company Success?
What is Importance of Merchant Account/Payment Solutions Processing?
Who are the first key Hires for a MLM Company?
Do We Start Local or Go National Immediately?
What is the Driving Force of Success for a MLM Company?
Why Do Distributors join MLM Companies?
Why Do Distributors stay with MLM Companies?
Has Corporate America Discovered the MLM?
What is MLM History with the Government?
Should a MLM Company go International immediately?
Is the MLM Industry “for real” in the Business World?

You can find these videos as well at MLMLegal.com and MLMAttorney.com.

Followers of Jeff Babener and his websites (MLMLegal.com and MLMAttorney.com) have often asked if we record video of the MLM Startup Conference (a conference we’ve been hosting for over twenty years; which brings together the executives of direct selling companies and MLM industry experts to assist in the starting and running of MLM companies). Mainly because many people are not able to attend the in-person event. Well, for the next MLM Startup Conference taking place February 2013, we plan to film the event and offer clips of the conference online!

We are sure that many people will be happy to hear about this; however, nothing will compare to quite the same to actually attending the event in Las Vegas. Attendees get to spend one-on-one time with each speaker; a priceless opportunity for anyone who is looking to start a MLM company. We hold the conference three times per years; February, May, and October in Las Vegas. Call 800-231-2162 or 503-226-6600 to register. And, visit our blogs‘ “conference” categories to learn more at any time.

Be sure to check MLMLegal.com and MLMAttorney.com often as we are continuously adding valuable information about the direct selling industry to our websites.

Visit us at www.mlmlegal.com to learn more.

Four Factors that Make a MLM Company Successful

Charity — Tue, 11 Dec 2012 18:27:43 +0000

What are the factors that make a MLM company successful? According the Jeff Babener, in the video Factors that Make a MLM Company Successful, there are four major factors to the success of a direct selling company:

1) Compensation plans must be fair. Companies often raise suspicion if they tout a “sizzling” compensation plan.

2) Quality products and service. Both customers and distributors must be able to bond with the product.

3) Company management. The leadership of the company must have a vision that brings greater meaning to distributors and customers.

4) Training. Distributors need to bond with each other and bond with sales leadership. Any investment in developing leaders is a good investment.

For more details, watch the video: Factors that Make a MLM Company Successful. Or, visit www.mlmlegal.com and www.mlmattorney.com for more information on the direct selling industry.

Visit us at www.mlmlegal.com to learn more.