At that time, I worked as a technical recruiter for a company that paid me $28,000 per year. I had three major responsibilities and often felt overworked, overwhelmed and unsupported. I thought the way to solve these challenges was to work harder, network more and to find a better job.



I was wrong. One week after I helped some interns I had hired, I was let go.

A few weeks later, I received an email inviting me to join a traditional MLM company. I listened to a few testimonials, looked at the website and then joined without doing any research or due diligence.

Although I did not accomplish my goals with that company, I have since gone on to build another business with a non-MLM company. I have accumulated knowledge about the MLM and home business industries.

If you are evaluating home based businesses you may be like I was five years ago, not sure what is real and what is a scam.

There are many ways that you can make money from home... If you are looking to join a home based business company, here are the factors to look at and for:

Here are some tips for investigating home based business opportunities:

1. Do your homework. Get the facts by researching objective information.

2. Look for news about the company. Bad news travels fast, be careful if you find any news about complaints, investigations or questionable claims about products.

3. Ask someone you trust and respect to also evaluate the information you are looking at. Do not ask them to join with you, just to help you with your decision.

4. Make a thorough list of the apparent strengths and weaknesses of the company. Get the facts from those people who have approached you.

5. Company reputation. Do your homework here and get the facts. Read reports from the Better Business Bureau, Chamber of Commerce and directories. Find out how long the company has been in business. Find out the background and accomplishments of the management team. Do news search and if you find even one bad piece of news that may be a red flag.

6. Product. Do they manufacture and distribute a real products that real customers order and use every month, even if they do not get a check. Is the product reasonably priced and can its quality be documented?

7. Start up costs. What are they and how much will it cost to get started? Are they refundable? If inventory is required, this may be a traditional MLM company.

8. Monthly sales quota. Is there a monthly requirement to get a check? Ask to see it in writing.

9. Inventory. Do you have to keep inventory, sell products, deliver, and do collections? Do you want to?

10. Support. Ask to see a real, live example of what support and training you will get.

11. Risk. What is the refund policy?

12. Reorder rate. What is the documented month after month reorder rate. Avoid anything where business builders are just getting in for a check.

13. Compensation. How will you make money? Is it based on the purchase of real products by real customers? If it is not, stay away.

14. Passion. Speak with others in the business to see if they are passionate about the products, company and compensation plan.

Do your homework. Speak with others in the business.

Here are some websites where you can get some information:

N Pros has been around for a while. You can find a lot of resources here. http://www.npros.com/

You will find some distributor listings here so be cautious in your evaluation. http://www.best-mlm-opportunities.com/

There are some threads in the forum about MLM companies. http://www.onlinemlm.com/

There are some threads in the forum about MLM companies. You need to get a free membership to post. http://www.mlmforums.com/ http://www.mlmwatch.org

MLM-The whole Truth by Lou Abbott http://www.mlm-thewholetruth.com/cmd.php?Clk=1284839