Direct Sales
Tutorial
Becoming an independent direct sales rep for an established business is a great way to start a business with very little cost and still benefit from national brand recognition and pre-made business tools and training. More than any other category, this is probably the most well-known way to start a business on your own. Many companies have been around for years, while new opportunities are coming all the time.
Direct sales are similar to franchises but you almost never get a reserved territory, usually don't have to purchase a location, and the start-up costs are generally less than $200.00.† You usually have to purchase a start-up kit that includes the basic product line, order forms, catalogs, and training materials. For most companies, you will have an up-line advisor who helps train you and receives a percentage of your sales. You also may have the opportunity to build a down-line that you help train, profiting from their sales as well.
As you are a distributor for an established company, you operate under their business license, so you generally don't have to incorporate, buy a business license, etc. However, be sure to understand the tax ramifications as well as the company rules for advertisement and promotion.
Many women (and men) are attracted to these opportunities for their flexibility when working around other family needs. However, being successful requires much of the same passion and discipline as running any other business. You will only get out of it as much as you put in to it. So be realistic about the amount of time you have to spend building and running the business and base your estimated earnings on an average hourly wage for those hours; If you come out ahead of that estimate, all the better.
One of the challenges of running a direct sales business is that you soon run out of friends, family members, and acquaintances to introduce the product to. So have a long term plan for keeping your business growing, like using the internet to get new leads, local advertising, building your down-line, etc.
Check out our list of familiar and new direct sales opportunities below and see what others have to say about their experience with these companies.
Articles
Resources
Opportunities
Next Steps
Found the opportunity that's right for you? Check out our Startup Hub for tips and resources to get started.
Need help promoting your business and getting new leads? Check out our Promotion Hub.
