If you choose to recruit others and teach them how the industry works with regard to the product or service, they can earn override income just like the broker in a real estate office. And, they can make more than the person who sponsored them.
There are brokerages who have
built and own very large national real estate franchises.
These brokerages don't
work for the national franchisor. They built their brokerage within the umbrella of the great national, household name and support structure. In a network marketing business, you are doing the same thing — building your own business within the umbrella of the company you partner with.
“In real estate, the agents will not likely be able to out-earn the big broker they work for. Their income is limited to only what they can personally generate. But they can make more than their sponsor. The broker is able, through massive leverage in hiring many agents, to earn substantial override commissions.
How can one agent compete with that?”
“You can now reap the rewards of the real estate broker without all of the risk and downside!”
“Will everyone choose to start his or her own business from home in network marketing? Of course not. There are many skeptical people who are stuck, closed-minded and would rather continue living stressed out, check-to-check, rather than venturing into something new. The very idea of making the mindset shift to becoming an entrepreneur is scary to them. They fear failing, so they will even try. Or they may fear what others will think about them for engaging in a business that they deem as a “scheme"
Something very similar to the real estate brokerages you see all over the place, but better, it's resuil. reap the rewards of the real estate broker without all of the risk and downside!
“When a real estate broker gets an override commission, or a piece of the commission when one of his/her real estate agents sells a house, nobody has issue with that either. So when you combine these two models, what do you get? An ingenious way to motivate a sales force to grow itself and move product faster and more efficiently to the end consumers. Instead of the company spending all the money advertising, hiring, and training more salespeople, they let the existing reps find new salespeople to hire and train for them. Brilliant! It is by far the most cost-efficient pipeline in business
“In the real estate business as a broker, I would be the only one getting to benefit from leverage when the agents made sales. I felt bad that the agents were all on perpetual treadmills, with the one broker getting the chance to earn from other people’s efforts. So if I recruited an agent to come work for us selling houses, I was simply helping them onto the treadmill. That didn’t sit well with me, especially now that I knew of a better business model