Network Marketing Business vs Franchises vs The JOB!

Network Marketing vs Franchises vs The JOB!

I really don’t get asked this question that often, but I did get ask the other day.  What is the difference between Network Marketing Business, Franchises and the Traditional Job?

So today I thought I would just go through some information about each of these and see if this answer the question for those who don’t understand the differences.

I will tell you that there are a lot of similarities between Network Marketing Business and Franchises, but very few between those and Traditional Jobs.

You might be surprised at the end result, then again you may not.

I hope this gives you an answer the next time someone ask you why would I do Network Marketing Business over these other choices.

MLM, The Franchise and Jobs!

So let’s start the discussion with the Traditional Job.

Pros’ and Con’s of the JOB


  1. Regular Paycheck
  2. Structured daily work.
  3. Possible Security
  4. Provided Benefits.


  1. Difficult Advancement
  2. At the mercy of your supervisor
  3. Not typically performance-based compensation.
  4. No Real Security
  5. No Residual Income
  6. Benefits are no longer guaranteed
  7. Building Someone Else’s DREAM!
  8. And, of course, it’s the biggest PYRAMID… The man at the top is the winner!!!

Here are some statistics about the traditional job.NYFed_College_Grad_Unemployment-thumb-570x362-125803

  • Average US Income in 2013 $44,888.15
  • Average Yearly Raise 3%
  • According to Forbes 70% of employees HATE Their JOBS!
  • 44% of College Grads are Underemployed as of 2014
  • Average person will hold 12 -15 jobs in their lifetime
  • 36% of baby boomers plan on using Social Security as their primary retirement
  • Early boomer households are facing average shortfalls of $71,299 per individual in a family.

The list goes on and on…. so to keep from being totally negative and depressing in this post I’ll stop there.

Just understand that the days of working for the same company for 30-40 years and then retiring are long gone.

People are changing jobs more and more looking for the right career to raise their families and have a lifestyle they dream of.

Pro’s and Con’s of the Franchise


  1. You Own it
  2. You control if it fails or succeeds
  3. National Recognition typically
  4. Very accepted business model
  5. Corporate Training provided
  6. Corporate Events


  1. Very Expensive to start
  2. Employees
  3. High failure rate
  4. Expensive operating cost
  5. Slave to your business
  6. High Failure rate.

Here are some statistics on the Franchise

  • There are an estimated 3,000 different franchises (franchise business companies) operating in the U.S. today.
  • It is estimated that there are over 900,000 franchise businesses across 300 business categories in the U.S. which provide nearly 18 million jobs and generate over $2.1 trillion to the economy.
  • According to The U.S. Census Bureau, franchises accounted for 10.5 percent of businesses with paid employees in the approximate 300 industries that franchising data was collected from in 2007.
  • According to the IFA (International Franchise Association) almost 4% of all small businesses in the USA are franchises.
    There are More than 300 different industries and business categories that use the franchising business model as a means to distribute goods and services.
  • It is estimated that the franchise industry accounts for approximately 50% of all retail sales in the US.
  • A new franchise business opens every 8 minutes of every business day.
  • Approximately one out of every 12 businesses in the U.S. is a franchise business.
  • The average initial franchise investment is $250,000- excluding real estate.
  • The average royalty fees paid by franchisees range from 3% to 6% of monthly gross sales.
  • Most franchise companies have fewer than 100 units.
  • The average length of a franchise contract is 10 years.
  • Top franchise business industry- Fast Food.
  • Top franchise company- McDonalds

Overall the Franchise is an incredible model.  The business model is so very widely accepted that it is still growing very fast.

The question you have to ask yourself is can you or the people you are trying to help coming up with the money and time to build a franchise?

For 98% of the people out there this is totally out of their reach.  So what can you offer them that has all of the good that a Franchise offers, but none of the downside….In Walks Network Marketing!!!

Now, Let’s Talk about Network Marketing Business

Obviously I’m going to tell you that MLM is a better way and that it is what everyone needs to be doing.

Well, it’s true that I believe that Network Marketing is a BETTER WAY, but like anything else it’s just not for everyone any more than the Franchise model is.


  1. Low startup costs
  2. Low monthly operating costs
  3. No employees
  4. You own it
  5. Proven business model
  6. Great training typically from most companies
  7. Very High Income potential
  8. Residual Income
  9. Awesome Perks


  1. You’re self-employed
  2. You fail if you quit

The challenge most people have with MLM is that they really aren’t business minded and treat is as a hobby instead of a business that could generate millions in income for their family.

There are times that I wish Home Business Opportunities cost a lot more to start because more people would take them seriously and work them like the REAL Business they are!!!

I love Eric Worre’s blog “Network Marketing Pro” because it has taken this profession to a whole new level.

So the next time someone asks you why is your business better than my job or some other business model just point them here and let them see for themselves!!!

More Resources on MLM

How To Use Periscope

Blogging and Network Marketing

What’s Your Number One Struggle In Network Marketing

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