Why everyone should invest part-time in a Network Marketing Company!

March 28, 2010 - PRLog -- I've been an investor (in stocks) for many years. My favorite investor is Warren Buffett. They way he invests just makes sense.... "buy the company, not the stock". "If you're not prepared to own it for 10 years don't own it for 10 minutes". And so on, and so on. [The best book I've ever read on Warren is "Buffett" by Roger Lowenstein.]

Anyway, Buffett's investment track record is unsurpassed anywhere.... if you'd invested just $1000 with him in 1956 that would have grown to $30,649,493.00 by the end of 2007. [The same $1000 invested in the DOW/S&P index would have grown to $139,131.00]. (See chart here: //tinyurl.com/2hjgzp)

That is a compound growth rate of about 22.45% per year. This example shows not only the phenomenal achievements of Warren but it shows also the phenomenal power of compound interest. In fact when Einstein was asked what the most powerful force in the universe his answer was "compound interest"!!

So... having come from the investment world (I used to work for the investment management department of Old Mutual - a FTSE100 listed company operating in 34 countries) and being a software developer for about 18 years I was a typical "white-collar" worker with absolutely no interest or connection to a network marketing company. Until I joined SendOutCards in June 2008. (Old Mutual: //tinyurl.com/yjlhdf5)

Now my record with the company is by no means phenomenal... I'm in this part-time. BUT.... what has me so excited is the growth rate of my monthly residual check!!!

My average monthly residual in 2009 jumped by 245% compared to 2008! And so far in 2010, my average monthly residual check is up by 162% compared to 2009!!

So, if I was comparing the "investment performance" of my part-time network marketing business with Warren's average return of 22.45% (over 51 years), I can only conclude, at this point in time, that this is a very good "stock" to invest in!!!

Warren's returns are currently impeded by the size of his portfolio. It is so big that it is difficult to grow it at the same rate as he was able to when it was a lot smaller. He has said that if he only had $1 million with which to play with, he would easily make 50% a year with it due to the lack of size. So... even at his best he can foresee only a 50% return per year.

I can honestly say that I believe the growth rate of a residual check of someone involved in a network marketing company can easily grow 150% to 200% year-on-year.... as long as that person keeps doing the basics over an extended period of time i.e. showing the product to new people, getting them involved and teaching them to do the same. And... it's all done "part-time"! Jim Rohn called it "the magic of part-time" - "You work full-time on your job to earn a living but you work part-time on your fortune!". For someone doing this business full-time the growth rate can easily be double or triple than the growth rate of a part-time distributor.

The main "secret" to the business is this... you have to keep doing the basics for an extended period of time. That's it.

The problem is, due to our "I want it now" society, most people quit after a few months and a few rejections! If only they held out for the power of compound growth to save them!!

If your average monthly residual in your first year was $20 and you grew that at a rate of $150% for just five years, your monthly residual check would be $1933.00. Now, this is part-time income! Obviously you might not be able to live off that. But, $1933 per month part-time can change your life.... more and better holidays, a better car, nicer clothes, ability to save for your child's college, etc.

What would an equivalent saving in a bank account be worth if it threw off $1933 per month? Or, $23,196 per year? The way to find that out is to see what banks are paying on savings. I've just looked at www.bankrate.com and the best deal I can find is if I bought a 5-year CD - I would get 2.86%. So, to receive $1933 per month I would need $811,048.95 in a 5-year CD. So, working part-time at your little network marketing company for just 5 years has allowed to "build up" a nest-egg equivalent of just over $800k!!! (Bankrate: http://www.bankrate.com/)

What if you continued for just a few more years? How about just another 2 years? If you continued with your little part-time network marketing company for a total of 7 years and you managed to grow your monthly residual check 150% each year and you started in year 1 with an average check of only $20 you would, in your 7th year be earning $12,187.00 per month!!! In a residual capacity! That's like having $5,113,426 locked up in a 5-year CD earning 2.86% - the best rate available today and you can do it all "part-time"!!

For someone that is way behind on retirement savings, the network marketing opportunity is one that bears further investigation.

So... are you prepared to "stay the course" and do a few simple things over time to reap the rewards in the long run?

Next week I'm going to talk about how you go about picking a network marketing company that you would like to be involved with part-time. Remember... it's the magic & power of part-time that makes this so exciting.

If you know someone that could benefit from today's story... please forward this to them.

# # #

All about the network marketing business. What are the possibilities for you with a network marketing company? How do you choose a network marketing company? How do you build a network within a network marketing company? Discussions, ideas & strategies!