What are some differences of a Franchise vs. MLM? Both seem to possess the same qualities of selling products worldwide…right?
This is part 1 of a “?”  part subject. 
Let’s review first……

Franchise…….

Examples

1. 7-Eleven Inc.
2. Subway
3. Dunkin’ Donuts
4. Pizza Hut
5. McDonald’s

MLM………

….also known as Network Marketing is a business distribution model that allows a parent multi-level marketing company to market their products directly to consumers by means of relationship referral and direct selling.

Examples

1. Amway
2. Mary Kay
   
3. ACN
4. Monavie
5. Primerica

Typically when I think of franchises, I think of store fronts, restaurants etc. The 5 examples I listed for franchises are actually of the Top Ten Franchises for 2008 (listed at Entrepreneur.com)…….8 of those 10 being restaurants. Franchises can also be very expensive. True, you can make a lot of money with a franchise, but, one can surely obtain a lot of stress and debt with loans and upkeep costs. Other examples of franchises can be nail salons, barber shops, flower shops etc. All of which are great investments, but most cannot start OR maintain a franchise for that matter because of loans, bad credit, past bills, etc. That’s not to say it can’t be done but for the majority, the path can be a struggle.

When I think of MLM (or network marketing), its somewhat the same but different in other ways. With MLM, there are no huge investments as compared to thousands of dollars invested into a franchise. One of my mentors told me before…”If you get started for a few hundred bucks and it doesnt work…what have you really lost?” MLM works depending on the company.
Robert Kiyosaki and Donald Trump (2 franchise owners) recommend network marketing in their book titled, “Why We Want You To Be Rich”. You can also research the internet and view videos with Robert Kitosaki explaining the mlm model.

My bottom line….if you can afford a franchise and thats what you want to do…by all means go for it. I would advise you talk with current franchise owners and your city/state ordinances for educated information. If you’re like myself and would like to pay a minimum investment and receive maximum rewards, take a look into the mlm arena….you may be surprised. . When I chose to take a look at the home based business mlm model, it turned out to be the best decision I could have made.

Good luck in your research in finding the truth of Franchises vs. MLM.

I’m sure you’ve heard this line, “I don’t have the money to invest in a business.”  The truth of the matter is, people have the money or will find the money, if it’s something they are really passionate about. Let Lucille find out her favorite shoes are 50% off….she’ll “find” the money. Let Brady find a PS3 50% cheaper than he’s seen elsewhere……he’ll “find” the money. If you are sharing an opportunity with someone, it is important that you target people that have a passion for that particular business or product. Don’t try and sell a person on hype, but instead, give them the facts they need to make an educated decision.

We must first lead with some type of value. Don’t just assume that what’s working for you is for everyone. Recognizing and applying this important step, will have more people interested in what you have to say and as a result, will have people ready to purchase.