1. What is the product?

Do they offer products and/or services that have real value? Is it something there is a real market for? Do you want it yourself or will you end up with a pile of product in your garage? If a health product, is there clinical research to back it up? Are they patented?

2. What is the compensation plan?

Does it show the possibility for the income potential you want and how much work will it take me to get there? What is the 'break even' point where you move into profit? What percentage of company revenue is given back to the distributor in the form of commissions?

3. Who are the people at the top?

Do they have experience in the industry? Do they have integrity? Do they have the resources for sustained growth?

4. How does the "timing factor" affect the picture in relation to your goals?

Most network marketing companies, even legitimate structures with good products, fold within six to seven months time for a number of reasons. If a company is moving past that time period with solid growth, a demonstrated commitment to upgrading its systems and services, a solid record of 'on time' payments of commissions to distributors, and has meet the above criteria, it becomes worth giving serious consideration as a 'ground floor' opportunity.

The first one to three years of a company involve accepting that a growth process is going on. Professional web sites and training materials take time and resources to produce. There will be times when support services may be slowed until extra staff can be brought on and trained to keep up with the growth, etc. This can be frustrating if you can't simply accept it as part of the 'what is.' For those who are OK with that developmental process, there can be a big payoff though. You get to capitalize on 'first movers' advantage' and benefit from a wave of rapid company expansion. This is a time when you can put two to three years of steady energy into it and achieve your dream.

Imagine being in on the start of Microsoft! When a company moves into its fourth or fifth year it moves into maturity. At this point, there is less to put up with in terms of the ups and downs of the developmental process and the company has stabilized a structure. The thing to look for here is a demonstrated commitment to continued product and pay plan expansion to maintain momentum. The company needs to periodically re-invent itself. Even with this, though, it will probably take four years, or more, to generate the same results that you can get in two to three with a ground floor opportunity.