As I write this article the entire country is waiting for our president to address the nation and tell us what steps will be taken in South Africa to combat the COVID-19 problem the world is facing. Many people are calling for and expect a total shut down of the country. I can not even imagine what a difficult decision this must be for our president.
The Coronavirus has affected the income of millions of people around the world and I fear that a significant loss of income for many South Africans is about to become a reality. I can confidently say that if the Coronavirus has not yet affected your income, there is a very good chance that it will in the very near future. But lucky for you, one of my passions is building additional streams of income from home. And one of the side income options I came across is through a company called Duepoint. But is it right for you?
How can you earn some additional income during a lockdown?
The opportunity that Duepoint offers is based on something called Multi-Level Marketing (MLM). I am going to quickly explain what MLM is for those of you who do not know. I will also give you a few examples of other MLM companies, and describe how they operate.
So what is MLM?
MLM is a form of business where an independent representative sells a companies products or services to an end consumer. These independent representatives are not employed by the company, instead, they would generally consider themselves to be self-employed running their own business.
These reps will earn a commission on any products they sell, however not only will they sell the companies products they may also recruit and train other individuals to repeat the process. The earning power from an MLM scheme is the fact that the representatives not only earn commission on their own sales, they also earn a commission on the sales the reps they have trained make.
The best independent representatives treat their MLM business as a business. They understand that it is not a get rich quick scheme and put a great deal of effort into growing their own business.
Is MLM Legal?
This is a common question that I get asked and the answer is yes. MLM is 100% legal provided the company meets three requirements;
- They must offer a quality product.
- Commissions must be earned off of the sale of products or services
- The focus of the company must be on the supply of quality products, not the recruitment.
Never work with an MLM company that has a low-quality product or pays per recruit. This would be considered a pyramid scheme and is completely different to MLM.
Below are some of the better known MLM companies operating in South Africa and the products they sell. I personally would not recommend any of these. This is, of course, a personal opinion which I will explain later.
This is probably the largest MLM company in the world. Amway is quite well known in South Africa and its products range from nutrition to cleaners.
If you have a Facebook account I can almost guarantee you that you have seen someone advertising Herbalife. They are an MLM company that has good quality products and are well respected in South Africa.
Avon is another household name in South Africa. They offer a range of personal care and cosmetic products.
Tupperware deals with kitchen storage products. The company was formed in 1948 and is still going strong. This is a great example that an MLM company can stand the test of time.
I am sure that you have heard a few of these company names before. You might not have realized that they were MLM companies though. As I said earlier I would personally not recommend any of these companies, especially during a lockdown. The reason for this is very simple. Your income relies on your ability to continually sell products. This generally relies on face to face selling which is about to become impossible. Duepoint is a MLM company that can be run completely online from home, they require you to sell a financial service once and this allows you to earn a recurring income month after month from that one sale.
A MLM Company that allows you to work from home. (Duepoint.net)
Below is a summary of what Duepoint has to offer.
- They offer decent products in the financial services sector.
- They pay good commissions, and the best part is the services work on debit order. So debit order goes off, you get paid.
- They offer free training to anyone wanting to start a business with them.
- They claim that they do not require you to sell the service. All you need you to do is connect interested individuals to them. They will then do the selling.
- You can easily connect people to the company from the comfort of your very own home.
Right so this all sounds great, and you are probably asking why I am not a member of Duepoint. This is a great question which I feel I do owe you an explanation on. The truth is I am not particularly fond of MLM businesses personally. I have tried to run a Duepoint business, however I get frustrated with the over saturation of the market quickly.
In other words I find that MLM businesses pop up very quickly, especially when there is a successful agent promoting his business. The inevitable result is an over saturation of potential people to grow your channel with. In my experience this comes in waves, and at the point of writing this article the Duepoint saturation levels are exceptionally high on social media sites due to the Lockdown.
Duepoint is a legitimate company with decent (although slightly over priced) products. Just because I do not find the idea of MLM appealing does not necessarily mean that you will not succeed. If you are considering joining a MLM company, make sure to research their products and the actual company itself. Although MLM is completely legal many pyramid schemes masquerade as MLM companies.
And be sure to check out my article on affiliate marketing for another great way to make an income at home.