12 Success Factors to look for when choosing a Home Business
Just a few of my Home Business partners!
My husband and I have built a real residual monthly income that has allowed us to be completely debt free with savings and security for our family, children and our future. We have replaced both our incomes from our previous jobs and have been working from home for years now and have helped countless others to do the same.
With my experience and with researching dozens of different types of home businesses, I would like to share that when choosing a home business, there are some key success factors that I believe are critical for long term success. Every one is just as important as the next.
If the company you are currently representing or the company you're considering meets all of these Success Factors, I'd love to know what company it is. The only one I've found so far is the one I represent..:)
1. Company track record - How long has the company you're considering representing been in business? What are the company's annual sales each year since in business? Does the company print average income statistics for business builders? It should and you should ask for them. Proof of long term sales, success and growth is critical with choosing any business.
2. Financially sound - Does the company have outstanding debt? Joining a company that is debt free is something I highly recommend to lessen any risk to you.
3. Strong management team - What are the backgrounds and credentials of the management team? You want to join a company that is run with integrity and strong leadership.
4. Unique consumable products - Are the products of the company, products that people actually need, use, run out of and repurchase month after month. Are they needed and used by 100% of homes? Do the products have any trademarks or patents allowing for exclusive rights meaning no other company can copy them. If the products are not consumable, meaning something that a person would only buy once, then that is a business that will not be viable long term. If the products are consumable, however not necessarily a need, that will lesson your chance for long term success. Products needed, and consumed monthly makes for a solid business model.
5. Wide market appeal - Are the products something everyone needs and uses? If the products are specific for a certain gender, age group or body size for example, you lessen your market as it is not something for everyone.
6. Competitive prices - Are the products comparable in price or less expensive than the competition? If they are too expensive this is not a business that will produce great results.
7. High customer reorder rate - Does the company share it's reorder rate? Meaning how many customers that purchased from the company last month, reorder again the following month? If the re-order rate is low, the business will not be viable as new customers simply replace your old customers producing no real growth or a secure, residual income. **If you have to carry an inventory, and then retail sell, there is no way the company can keep track of it's "real" reorder rate. I also advise against having to do retail selling or carrying an inventory.
8. Low initial investment - If the cost to join or start is too high it makes for more risk and difficulty in attracting customers and business partners.
9. Low monthly requirement - If there is a high monthly requirement, customers/business builders may end up with an inventory or products they do not need. If there is a low monthly product requirement, then customers are getting what they need for personal use each month, and from a business standpoint you know customers are purchasing each month which creates the security and true residual income.
10. Rewards for leadership development - Does the company reward you for helping others in your business succeed? If there is any way the company could remove business builders from your business because of their success, be very careful about joining. There should never be potential for you to lose great partners.
11. Risk-free - Is everything 100% guaranteed? If not, I would advise against joining.
12. Anyone can be successful - Is the business plan set up for anyone to be successful at any time? If it's a company that says "Ground floor" opportunity, or "Get in Now", be very wary. If only the people who join at the beginning can be successful, then eventually people will get hurt.
Well, how does the company you are with or considering measure up?
Hope this was helpful..:)
