You’ve probably seen ads with some intriguing one-liners for a brand new network marketing company. “Get started on the ground floor.” “New start-up company is going to be the best thing on the internet.”

They also have some flashy graphics that will grab your attention. You’ll see videos from people who will tell you the internet will not be the same again once they’re launched. Some sites have a digital clock that will count down to the minute when the company starts its operation.

Getting started on the ground floor sounds like a great opportunity. Imagine if you were part of an Amway or Mary Kay business from the beginning.

However, there are three major reasons why you should stay away from a start-up network marketing company.

Here’s the biggest reason. The average lifespan of a new network marketing company that starts today is less than 8 months. In addition to that, only 5% will survive 2 years from now.

Why is the mortality rate so high? There are many reasons, of course. Here are four of them.

1. Not enough people joined the business to make it profitable. 2. Not enough research was put into the project. 3. They accumulated too much debt too fast. 4. Some companies were just scams and only wanted to take your money.

Some of the ads I see for these start-ups don’t even talk about the product they’re selling. They only hype that you can get rich quick without doing a lot of work. Many people fall for this and end up with a lot of regrets later. A network marketing company has to have a product or service to sell or it may not be a legitimate business.

The second reason is that a start-up company has more credibility issues than a company that’s been around for a few years. They have nothing to fall back on, except possibly the experience of the ownership. This makes working the business much more challenging than a company that’s been established for a few years.

As a new representative, you will experience a lot of growing pains. A new network marketing company will experience growing pains as well. This can be a double whammy for many people.

Third reason is that many of the top earners at their network marketing companies do not start on the ground floor. Anyone can become a representative in a 5-year-old company and become a top money-earner in a couple of years. People who join a network marketing business can make more money than the person who sponsored them.

As a network marketer, you want to add people who can do the business better than you can.

A start-up company may have two or three products to offer their customers. A 10-year-old company may have hundreds to offer. You have to ask yourself which one would you prefer to do. Do you feel you can find enough customers and new representatives to keep your business profitable with two or three products?

It’s really not about getting into a business on the ground floor. It’s more about the excitement you put into a company and its products that will make the biggest difference.

Network marketing is a great way to make money, especially when you don’t have a lot of it to invest. If you’re considering taking a chance with a network marketing company, I applaud you.

Every company has to start somewhere. You may find a product from a start-up company that you think will absolutely sell itself and you want to be part of its inception. You should probably go with your heart on this one.

For the most part, I suggest you look at a company that has stood the test of time. The last thing you want to do is waste money on an opportunity that may go sour in 8 months.

If you’re struggling with your network marketing business and are looking for help, there are several FREE eBooks that are loaded with information about how to do it effectively. Visit my website at .