Here is answer: YES.

How and why does it qualify as a business? Every business has certain traits and functions that are needed to do business and stay in business. We have developed what we call "7 Business Factors Test", and you have to ask these questions to see if it qualifies as a business. All businesses, no matter whether it is a traditional business or a non-traditional business, (such as MLM), answer these questions in affirmative.

What are "7 Business Factors Test" Questions?

1) Does MLM Business distribute goods and services of some type?

Answer: Yes.

In MLM, there are goods and services that are distributed through personal distribution methods, and they are distributed directly to customer, with no middle man. These goods and services can be manufactured by MLM company, but usually are not. The goods and services many times are manufactured by an outside source, and then shipped by MLM Business to customer or distributor. Then distributor can take goods, and re-sell them to their customers as well.

2) Does MLM Business have an official Office, headquarters, or structure that business is operated out of, and with an address of some type?

Answer: Yes.

All MLM businesses should have some kind of office or headquarters that goods are shipped from, or at least in charge of shipments getting to customer. This does not have to be a fancy office, but one that can get all tasks needed to run business done in a timely fashion. They should have a visible address on all communication.

The distributor's business is usually operated out of home, and that counts as a structure that home business is housed.

3) Is there an accounting structure that is set up to run business effectively and legally?

Answer: Yes.

All MLM businesses should have an accounting function and personnel set up to handle all business transactions. They not only keep books for MLM Business itself, but also MLM distributor as well. The MLM Business from home should have some form of an accounting system, for tax purposes, and for profit and loss statements. Accounting also helps keep Company and distributor aware of health of business and how it is doing, or not doing.

4) Does MLM Business have easy communication to get a hold of someone if needed?

Answer: Yes.

WHAT REALLY IS Network Marketing and MLM?

Depends.

What you see Network Marketing and MLM as, has a lot to do with your perspective you were given at time you were signed up, or what you have heard from other people if you are just looking at Network marketing and considering MLM. Every company has their own "Corporate Culture" that is unique to them, and is part of who they are.

This will influence heavily your view of what Network Marketing is. We will simply give you our views and definition after 22 years in industry, and also to empower your ability to perform in marketplace with Network Marketing at maximum capacity.

Network Marketing, or MLM, is considered basically a personal channel of distribution business ,for goods and services that also can have a "Mini Franchise" opportunity attached. We call Network Marketing "Personal Distribution." You can join a network marketing company and personally distribute your products to customers, and then recruit a Rep group that you can obtain a percentage of royalties from, by overriding your groups volume. This is much like a real estate broker, and this allows you to build an override structure off of what volume and business your team builds.

And most look at Network Marketing as exactly that. A system for creating wealth through your efforts as well as other people's efforts.

Nothing wrong there, but there is a huge void in that reality. Before you can build a group that does not fall apart, or go away, you MUST understand what MLM and network marketing REALLY is from a Big Picture standpoint, and all rest will fall into line. There are many explanations out in marketplace of Network Marketing, but let's look at it from a BIGGER Picture, and Bottom Line.

All Network Marketing REALLY is, is a Personal Development System, masterfully molded into a business of product distribution, that can be duplicated. Did you get that?

READ THAT AGAIN!

What that means is Network Marketing and MLM requires and DEMANDS Personal Growth and Development from you in order to Succeed in this business. There is no other way to Succeed in Network Marketing.

Why?

Here is an INFERNO Secret that MOST people will never tell you when you first come into MLM:

Most people bring inadequate attitudes, skills and habits to Network Marketing, and with that, they try to build a business with skills that have produced failure in past, and guarantee failure again.

No, they don't plan to fail, they just have not developed necessary skills to level that is required to Succeed in MLM, simple and plain. Those skills cannot PRODUCE Success because they are not prepared FOR success.

Did you get that?

And most are never told that their skills are lacking and need refining and building. Network Marketing is not a cake walk, and does require a SOLID set of skills to Succeed.

And that is why we at PassionFire believe that LEADERSHIP is Secret Weapon to this business of Network Marketing. People will follow you into this business, if you lead them with strength, and grow them into Success. You must learn to lead you and others on a Power Path of Growth, which will increase odds of you Succeeding in MLM Tremendously.

You must Learn in Network Marketing and MLM:

1. Company info and how to present. 2. Product Info and how to present. 3. Pay Plan info and parts to it. 4. How to Recruit. 5. How to Train. 6. How to Duplicate and more.