The Importance Of A Funded Proposal

As a network marketer the rule of thumb is to not lead up front with your business opportunity. You don’t try to sell your business opportunity the first time you meet someone. People don’t like being pushed around and forced to buy some type of opportunity they know little about. You don’t want people to view you this way because you will never make any sales. You want people to gain trust in you so that you can get them to buy more or even eventually commit to your business opportunity down the road. And the best way to do this is through a funded proposal.

Well, a funded proposal is a way of selling inexpensive informational products for the purpose of covering your advertising expenses. However, if you have a quality inexpensive product that you believe is useful then you can definitely make a profit from it as lots of people are able to make profits with a funded proposal. You may ask yourself what types of inexpensive informational products are good to sell to your prospects. Well I’ve found that the types of products that are great are products where you’re improving some type of skill that will allow you to grow your business financially. For example, I’ve found that an inexpensive product that is great for network marketers is Mike Dillard’s Magnetic Sponsoring. It’s a guide for network marketers that helps them learn how to sponsor more people effectively. You may ask the question “why would I want to sell a product such as this?” Well it’s known that 95 percent of your prospects are not going to join your business opportunity.  They either have their own business opportunity or they are just looking to learn more about the possibilities of the network marketing industry. So why not give those 95 percent of people the option to buy a cheap informational product that could be of great use to them.  Those 95 percent of people are more inclined to buy something cheap that offers value rather than committing to some opportunity that costs thousands of dollars up front. And if they find that the inexpensive informational product they’ve bought from you is truly beneficial to them, they will gain confidence and trust in you. Because of this they will continue to come back to you for more information. You will then have the opportunity to continue to educate them and potentially sell them more inexpensive products.

This is when the relationship building takes place. And to succeed in any business you must establish trusting relationships. You have established trust when you see the same people more and more come to you for more information. This is how it starts. You offer a prospect something of value that is inexpensive. When they see the value in it they will come to believe in you. They may even join your auto responder. You can then offer them more inexpensive informational products. Some will buy and help you make money and some may even join your business opportunity down the line.

So with a funded proposal system you can make immediate profits, which means you can afford advertising, which means you can generate endless leads, which means you have the potential to sponsor more distributors.

The biggest earners today are promoting everything but their primary opportunity. You can ask why. Well its fast cash they can use for their business and it also helps to build a large customer list of other networkers. And remember a big customer list is always a great thing to have as you can continue to monetize this list by promoting more and more useful inexpensive products by utilizing your funded proposal system.

A few benefits of a funded proposal are the following:

It’s a great way to establish trusting relationships and have more customer leads come to you for more information. Remember more customer leads means more opportunities to make financial gains. People will either continue to buy your inexpensive products or some may even decide to join your business opportunity.
It allows your newest reps to be in the positive cash flow and thus allows their confidence to rise.
This strategy is very important because it will allow you to hang in there financially before you actually start selling your big ticket item which is your primary business opportunity.