What Is A Funded Proposal?

When I visit different network marketing and MLM sites, blogs and forums on the Internet, I see one specific question popping up time and time again. The question is:

What is a Funded Proposal?

Everyone seems to have a different answer when it comes to the Funded Proposal although they all mean the same in essence.

Setting the scene

You join a Network Marketing company to try and create a new income stream and earn some extra cash to do the things you want to do in life. The extra cash will go towards your Mortgage or car repayments, maybe it will be spent on the family or holidays or just to give you and your family a better quality of life.

Before you join the Network Marketing company, you have to pay your registration fees and usually you'll need to subscribe to the autoship process for the product. You'll be auto billed every month and will receive your product automatically.

You're ready to start building your business and you're eager to make back the initial outlay you just spent on registering with the company. Potentially you could be out of pocket anywhere from $300 – $2000 with the company registration and auto-ship payment.

You do what you're told to do and you make that list of your family and friends. You contact everyone you know and invite them along to one of the house meetings or web conferences your upline is holding. A few people show up and if you're lucky maybe 1 or 2 people get involved in the business.

You still haven't made your initial investment back and now you've run out of friends and family to contact. What are you going to do next?

Advertising

Ahh, the fun and expense of advertising! You look to the Internet, newspaper and magazine advertisements, buying flyers, business cards, stationary, lead co-op's and other expensive options. You look at Internet Marketing, banner ads, Google adwords and other ways to advertise your new business online.

You end up spending much more money that you're actually making in order to get leads and prospects for your business. So, rather than earning the extra cash you wanted to spend on your family and home, you start dipping into your bank account and credit cards to buy leads and prospects!

There's only so long you can sustain this type of business model for, and it's not very long unless you have a large bank balance. Believe me, I've been there and it's not much fun.

What's the Solution?

The solution is the Funded Proposal. Rather than spending money on trying to get leads and prospects to join your business, you look for a market of people, usually Network Marketers or Business Opportunity seekers and aim to educate them and teach them how to do things differently.

There are many funded proposal systems around which aim to help network marketers make money on the front end to cover their advertising expenses whilst at the same time allowing you to build up your contact list to help build your business.

You usually promote a network marketing training course such as Magnetic Sponsoring, Renegade University, 7 figure networker etc and approach other network marketers with these courses.

Each time you sell one of the courses, you earn a commission which is yours to keep. The more people you sell the courses and training material to, the more money you will earn on the front end. This system goes deeper than just selling the courses. You'll also be building up a relationship with the people you sell the courses to and will be collecting their name and email address to email out to in the future.

Over a period of time, you'll earned enough money through selling the courses to cover other advertising expenses you incurred and you'll build up relationships and a list of highly targetted prospects.

Who Can I Sell The Courses To?

The great thing about selling a generic ebook or course to other network marketers is that your market has just opened up to millions of people. You can approach people in every single network marketing company, sell them the training courses, build a relationship with them and eventually sponsor them into your business opportunity.

I hope you can see the power of the funded proposal. So, rather than trying to get someone to join your network marketing company straight away, you build up a relationship, sell a training course, help them learn about Attraction Marketing and using the Internet and then possibly in the future, you sponsor them into your company.