Sales Based or Recruit Based? Whats your Business Model?

Posted by Linda Stacy in 2008

Editor’s note: Guest blogger Chris Carroll runs a successful direct sales business and helps others do the same. In this article she explains how her business model has helped her achieve success.

Are you a sales based direct seller or a recruiting based direct seller? Is there a difference, really? Allow me to explain.

I am a sales based direct seller. I am of the belief that sales is the basis of our business in direct sales and by using customer sales and the growth of your business through sales as the main basis of your income, than you will have a stronger business overall. This can be seen in the customer base and the $ in my pocket from sales. I am also of the belief that strong sales will lead to strong recruits who also use sales based business model.

One other reason that I use a sales based model is that you actually make more money in recruiting as you are getting paid on sales not just bringing in the recruit. Sales drive the whole system of getting paid, bringing in recruits, who also sell and make money and start recruiting. And the circle continues.
Recruit based selling is a hard concept for me sometimes. By putting the most eggs in your basket based on recruits and hoping that you will build your team that will support you is tough. How do you make a living in the mean time, while you are building your team?

It would make me nervous to expect a team to support me. What if they all quit? What if they didn’t buy anything next month. What if the party circuit dried up for them and their recruiting efforts died?

Maybe I am too conservative for some, but that’s ok. That is the beauty of Direct Sales. We can all do what feels right to us.

But, I have to ask, what is your dream on where you want your business to go? Have you thought about how you have structured your business? Are you maximizing that structure to the benefit of your income and your recruits income as well? Make sure you look at all side of the business when setting up your business plan and structuring how you do business and share all sides with your recruits as well. Recruits will tend to follow your lead until they can create their own plan and become comfortable with the business and learn to maximize their own profitability. We certainly have a responsibility to our new business partners to make sure they are being profitable so that we have a long and mutually satisfying relationship.

So now we know the best of part of being a home based business owner. Maximizing our profits and our recruits profits as well. Who knew that it could all be boiled down into less than 500 words. WooHoo! Heck maybe I could do it in 3 words. Sell Sell Sell

Copyright 2008 by Chris Carroll. All rights reserved.

Chris is dedicated to the direct sales business by helping others grow and develop their business. http://DirectSalesTalk.com is her site through which this is made possible as well as her blog with ongoing direct sales chatter, http://www.directsalestalkradio.com/blog.



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16 Comments For This Post

  1. Cherl Johns Says:

    Great article. Thanks for sharing.

  2. Cherl Johns Says:

    Great article. Thanks for sharing.

  3. Regina Says:

    Awesome article Chris! Thanks for sharing some great tips on identifying the perfect business model in direct sales.

  4. Regina Says:

    Awesome article Chris! Thanks for sharing some great tips on identifying the perfect business model in direct sales.

  5. marketingtips Says:

    Hi Chris.
    Thanks for sharing the differences between
    Sales based,Recruit based and how to set up our business plan,structure and how to share all sides with our recruits.

  6. marketingtips Says:

    Hi Chris.
    Thanks for sharing the differences between
    Sales based,Recruit based and how to set up our business plan,structure and how to share all sides with our recruits.

  7. Kausar Says:

    I am glad to inform you about the great post. I found good business sale tips.

  8. Kausar Says:

    I am glad to inform you about the great post. I found good business sale tips.

  9. Rayven Says:

    Great article!

    Sell first, recruit second! Your team will not know how to make YOU any money unless you lead by example!!

  10. Rayven Says:

    Great article!

    Sell first, recruit second! Your team will not know how to make YOU any money unless you lead by example!!

  11. Azlan Hussain from Online busines Says:

    Thanks for sharing.. will come back for more of your interesting post.

    cheers,

  12. Azlan Hussain from Online business ideas & opportunities Says:

    Thanks for sharing.. will come back for more of your interesting post.

    cheers,

  13. Rachael Says:

    Nice article…I agree that Maximizing our profits and our recruits profits as well. Who knew that it could all be boiled down into less than 500 words. WooHoo! Heck maybe I could do it in 3 words. Sell Sell Sell

  14. Rachael Says:

    Nice article…I agree that Maximizing our profits and our recruits profits as well. Who knew that it could all be boiled down into less than 500 words. WooHoo! Heck maybe I could do it in 3 words. Sell Sell Sell

  15. Secure Internet Income Says:

    Chris, nice article. You made the visualization much clearer. It’s good to see the whole picture..
    Thanks.

  16. Secure Internet Income Says:

    Chris, nice article. You made the visualization much clearer. It’s good to see the whole picture..
    Thanks.

1 Trackbacks For This Post

  1. Direct Sales Talk ~ Ongoing Chatter » What is your business model? Says:

    [...] I am a guest blogger at my buddy Linda Stacey’s IRepNetwork blog today and I address this topic over there. You can read it and let me know what you think. Sales or Recruit Based [...]

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