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By now you know why MLM is such a fast growing industry. 
But did  you know that some of the world's most successful
investment firms have invested enormous sums into the
industry?

In September 2002, Warren Buffett, the second richest man in
the world and CEO Berkshire Hathaway, purchased an MLM company
for $1.5 billion.  Fortune Magazine said  that Buffett made the
acquisition because of the company's high profit margins, zero debt,
a fantastic management team and distribution network, and
international expansion on the horizon. 

Then in May 2004, Ripplewood Holdings L.L.C. and Activated Holdings LLC
acquired an 81% ownership of Shaklee Corporation for approximately $310
million. Activated's managing partner Roger Barnett decided that buying
into the industry was the best long-term investment he could make - of
any investment anywhere - and jumped on as Shaklee's CEO. He believes
that MLM is the greatest business model ever invented.

Sound interesting, but still believe that you have to get in "on the
ground floor" to achieve any kind of success?  Think again.
According to the Direct Selling Association, the industry will
grow as much or more in the next 10 years as it has in the previous 50.



These investment firms are discovering what MLM professionals have
known for years:  that the model takes advantage of specific and
direct support in how to use their products.  And as for the
professionals themselves, the education and training that takes place in MLM
companies far surpasses that typically offered in the Corporate world,
and the talent rises to the top, regardless of education, ethnicity,
gender, or other "glass ceilings."

MLM companies give people a chance to go out and not only sell
a product, but instruct customers on how to use it and offer support to
their customers. And what does this interaction between salesperson and
customer mean to owners like Buffett and Barnett? It means they get
instant and constructive input from their customer base on the
efficacy of their products.  They can find out what works and what
doesn't in their sales presentations as well as the value and
efficiency of the products themselves.

 

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There are now 17 public MLM companies traded on wall street, and their
market capitalizations have far surpassed the growth of the S&P
500.  $1000 dollars invested in 2003 would be worth $3000 today, whereas
$1000 invested in the S&P 500 would be worth just $1200.


Looks like these investment firms and MLM professionals are making
winning choices!

 
 


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