Understanding A Funded Proposal

How To Use A Funded Proposal To Generate Multiple Income Streams

Nine out of ten home business owners actually end up spending more than they ever make. A staggering statistic if you think about it. But you don’t have to be 1 of them.

There’s a very specific reason why most network marketers don’t turn a profit, and an equally simple solution. What you need is a system that creates multiple income streams so that you get paid from a variety of sources.

This is called having a Funded Proposal and it is the second essential corner stone to building a successful business online.

Say you pitch 100 people on your business opportunity. How many of them are actually going to join you?

The national average is between 4-5%. So The real question is – how much money are you making off all the people who say no?

If your answer is “none” – then you’re not running your business right.

The bottom line is, 95% of the prospects you generate are never going to by your products or become distributors in your organization. That’s just the way it is.

On top of that, each of those prospects is actually costing you money, whether you’re buying leads from a lead broker, or paying to advertise.

So, if you’re only selling your one primary business, you’re only tapping into 5% of your potential income. In other words, you’re leaving 95% of your profits on the table.

And that that is NOT the way to run a successful business. In fact, it’s the main reason most business fail.

So how can you monetize that other 95% of your lead base and maximize your profits?

You do this by and taking advantage of a funded proposal to create a professional sales funnel for your business and make money from a prospect, even when that prospect does NOT join your opportunity.

The key element in creating Funded Proposal is to become an affiliate for a low cost high quality retail product that appeals to your niche.
Here’s the Process: You advertise an inexpensive retail product on the front end that can be marketed automatically and purchased directly on line so sales come in 24/7 without you having to be involved.
Instead of going out and asking people to fork over a couple hundred to a couple thousand dollars to get started with your business, you market & promote a low cost retail product that offers a solution to their problems, like a marketing course or training guide that costs around 30-40-maybe 50 bucks.

The reason this is effective is because most people would much rather be given information on how to do something than actually have to go out and do it themselves.

Once you understand this psychology you can take advantage of it by giving people exactly what they want.
I personally like Mike Dillard and Perry Marshall because their content is excellent, they have multiple products that all sell well, and there’s already an automated system in place that does all the marketing for you…

Now, let’s take a closer look at exactly how this works. With a funded proposal, your retail sales pay for the advertising for your primary business. So let’s say you pay $500 for 100 leads. And none them join your business. But you sell a $50 affiliate product to 15 of those leads. Depending on the commission payout, that’s anywhere from $500 to $750 coming back to you.

You either got those leads for FREE, or actually made $250 profit to prospect. So how cool is that? You‘re getting paid to prospect!
This is what the master marketers do to actually get their leads for free. And you can use the exact same method. And it just snowballs from there.
You can put that money back into your advertising, which means you can advertise endlessly and generate as many leads as you want, absolutely FREE.
I hope you’re starting to see how this works. Especially when you’re just starting out, those quick sales from your affiliate products are essential to keeping you in the game as you build your real business.
And it’s better for the long term as well. Because now you have customers. Those leads are now on your list and might buy something else from you in the future, including your primary business.
If the information your affiliate product is high quality, by the end of that course or that training guide, your prospect will see you as an expert leader and some of them will have sold themselves into joining you in your opportunity. They’ll be calling you up, ready to get started!

Let’s look at what happens here. You haven’t done any busy work, no phone calls or emails, and you haven’t had to face any rejection, but now you’re monetizing 10-20% of your leads instead of just 5%.

So, by using a funded proposal, you’ve basically quadrupled your business.

As you sponsor new reps, you’ll be able to offer them the exact same process, so they can make money right off the bat, and your team will have a lower attrition rate, which means more money in your pocket as well.

Not to mention, it’s just a much cooler, more human way of doing business and a smart way to build a relationship with your prospects by providing genuine value…
And while you’re not limited in the number of affiliate products you can choose to market…
WARNING: DON'T LOSE FOCUS!

All smart marketers know that the REAL MONEY is made with the big ticket high-commission product at the back end of your sales funnel.

DO NOT become a scatter bomb and lose your focus trying to pitch a zillion different affiliates.

Be selective and only affiliate with retail products that are very specific to your niche and will be of REAL VALUE to the kind of prospect you want to join your team.

Equally important: the affiliates you choose should run on automated systems so that you don't have to devote ANY of your personal time to making sales.

The real goal with affiliate sales is to build your list and develop relationships while getting your advertising for FREE.

You don't want to get so involved with marketing affiliate products that you lose sight of the main goal - which is to build your team and leverage the high-end commissions!