Honour your company contracts

There is a critical lesson to teach your network marketing team, and your future self will thank you for taking it seriously. This lesson is one for the women who are deadest on growing their business to the gold standard. If that's you, read on.

Talking contracts is no fun for anyone. Still, you should train your team to uphold the legal commitments they made to your company when they signed up. Hidden here is the one thing that can make or break your business.

Imagine if the team you've grown gets pulled out from under you overnight!

What if a team member jumps ship to join another network marketing company and invites or pressures your downline to go with them? You may think that could never happen. Unfortunately, it happens every day across our industry. Follow along to find out more.

No matter which company you join, one thing that is common across this profession is that your company will have invested a massive amount of time and money product development.

Word of mouth marketing only works when a company has quality products that people want to talk about to everyone.

Think about the investment your company must have made in market research, branding, software and technology, quality assurance, warehousing and distribution systems (to name just a few) before it even opened its doors.

The goal of this massive financial outlay is to attract a sales force. Without distributors, a network marketing company has no way of getting its products into the hands of consumers.

No distributors mean no customers, and no customers equal no sales and no profit. And for you, this means there is no residual income flowing in to fatten your bank account.

I've spent eight years growing my practice. It's been hard work to build a brand, implement systems and develop good relationships with clients and other professionals who refer business to me.

When I hire staff, they use the infrastructure I have in place and build their own relationships with my clients, which I expect. If however, they leave my employment, it would not be fair for them to take my intellectual capital, my staff or my clients with them.

To protect my business, I include restraint of trade clauses in all of my employment contracts. Most companies do this.

Network marketing companies take the same protective action to safeguard their most significant asset, their salesforce, using non-solicitation clauses. These are standard business practice across the industry.

What does this mean? If a team member goes to another network marketing company and invites or pressures your downline to go with them, they are breaking their legal agreement with your company, and they risk damaging everyone's income and reputation including their own.

Talking about this with your team may be uncomfortable, but avoiding the topic could kill your business. Trading with trust is everything—teach it whenever you can.

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