Greetings! Today I would like to talk about the subject of business versus hobby. If you have been reading this blog then you know that it is about my journey in the Network Marketing industry. If you have ever been involved with a company in this industry, or perhaps you are currently a representative/distributor in a company right now, then today’s post is just for you. In our business, we can treat it like a business or we can treat it like a hobby. How are you treating it?
If you are treating this like a hobby, you probably show the business idea one or two times a month. You may sell some of your company’s products occasionally and make a few bucks that you spend on yourself. You could care less if you ever make more than a couple bucks a month. You have no drive in making this a business or pursuing the possibilities of making this a career. If that is how you are viewing your business opportunity, then just know that if you treat it like a hobby, then you will be paid like it is a hobby.
On the other side, if you want to get serious about your business, then you have to start thinking and treating it like a business. If you have never owned your own business, then this is going to be a huge paradigm shift. Take a minute to look at the Cash Flow quadrant by Robert Kiyosaki. I have referenced it several times in my blog. As a representative/distributor in your company you have moved over from the left side (employee) into the top right quadrant (business owner). Not only do you own your own business and have been given a system to actively share your business, but you also have what we call leverage. Leverage means that once you begin to sponsor other representatives/distributors into your business, they are now sharing it with all of their family and friends, and you are reaping the rewards, (getting paid). How much money you earn will depend on your company’s compensation plan. Look it over to make sure you understand it. If you don’t understand it, talk with your personal sponsor.
When you are in the top right quadrant you get tons of benefits. One major benefit most non business minded people don’t see/understand is the major tax breaks you get. I’m not a CPA, so do not take what I say as tax advice. Speak with your accountant to see what options you have with your company. In my company, I can write off many items as tax deductions; things like my cell phone bill, home internet, company training events, food, car mileage, laptops, printers, a room in my house in which I conduct business, etc… There are heaps of deductions that you can write off on your taxes which will reduce your tax liability. Again, if you are currently involved in a company as a representative/distributor and are not already deducting things off your taxes, talk with your accountant and they can help you. If you are treating your business like a business, then think and become a business minded person so you are making the most money you can and writing off as much as you can.
Being in business for yourself can be risky, especially when you consider that nine out of ten businesses fail. That is why a lot of people that venture into business may choose to go the franchise route. When you buy a franchise, the company has already developed the system and you get the complete system with the policies and procedures. That gives you a much better chance of success than if you are starting the business and have to spend time figuring things out and creating your own system. Having this system is why I like the network marketing industry. The company you joined or are thinking about joining has a system. After you get started, then sign up and start attending your company training events and they will show you their system. If you follow the system, you will be successful. If you treat your business like a business and never ever quite you will be successful and within a few years your income could exceed what you are making at your current job. You have to do what other won’t, if you want to live like others can’t. It all starts with the decision to treat your business like a business.