you are right. Out of your 50% profit, you purchase gifts w/ purchase, those $3.50 or $4.00 a piece item you give away for a $40 purchase, meaning, a $20 profit, that w/ that one little gift, turns into just a $16 profit---oh, put samples in the bag? take away another $1 profit- the bag, the sales ticket, the time, delivery- yes, it all adds up. YOu wouldhave to sell a very large amount of products to make this business very profitable, and most people are not good sellers. Bottom line.
Most people cannot, and will not ever, be able to support themselves on a direct sales type of career, selling one product, like MK, or pampered chef, or avon, or any other direct selling company. Plain and simple. Deductions? Yes. We've got deductions, but what that means really, is that you will have lots of expenses. Expenses that you did not have before. Sure, some of the things you already have and do will become business expenses, but you will have many new expenses that cut into your profit. So, sure, you may not have to pay income taxes on your MK income, but you wont be keeping much of it to start with. Hmmm....if we would have only figured that out before we all got roped into the whole pink bubble, lured by the company principals, convinced with the facts, the 90% buyback, and oh, the tax deductions!!!
Well, I had so many deductions I can hardly stand it- I would have rather gotten a paycheck.
OH well- lesson learned. To you who are still looking into this, still contemplating diq, etc---think long and hard! I'm telling you, the expenses will overwhelm you! Most jobs that require travel don't require you to pay for it all yourself. Seminar turns into such a huge deal that all of the sudden, you can't take a family vacation. Then, leadership, right after christmas, means you can't do what you want at christmas either---then director suits, trainings, workshops, prizes, PCP, oh my, the list goes on and on and on!!!
anyway- enough ranting. But obviously, one of the reasons every woman starts w/ MK is to make money. We are convinced by the 50% profit. But that is just a farce. Yes- 50% off on products, but 50% profit? You'd be better off being a hostess and just getting some freebies that way- of course, know that those freebies you get would be cutting into that poor consultants profits from the class.
At least w/ some MLM companies, the hostess gifts and credit actually come from the company. At least then the consultant/representative knows how much she'll be making. Plus, if you don't have to have inventory...etc. I know a lady selling candles who actually makes a decent living, even though her profit isn't 50%. She works more than I would care to, but at least she makes money and doesn't ahve $1000s sunk into inventory, and doesn't give away $100s each week in hostess gifts- that all comes from their company-sstill, it's best to stay away from mlms in my eyes.
