What is a Pyramid Scheme?

Often when being told about a multi-level marketing (aka MLM) business opportunity, people inevitably say, “Oh, I get it. It’s a pyramid.”

I suppose that they’re right from one perspective; structure-wise, a successful MLM person has a downline (i.e. people they’ve recruited) and when you draw out the organisation chart (though there is no organisation per se) it could look somewhat like a pyramid. But from both a legal and imagery perspective, MLM is not at all a pyramid.

Legal

The real difference is in how money is made. In pyramid schemes (which are illegal), people pay money (a joining fee) to get involved, and they make money by recruiting other members who pay a joining fee to be involved (and so on). In pyramid schemes, real value is not being created at all – money is not being exchanged for goods, it is simply changing hands and the joining fee is being distributed up. The people at the top and at every step down along the way get part of the joining fee every time another person pays to join. "Smart" schemers have tried to make their activities look legitimate by pretending to sell something. According to the ACCC, “some pyramid scheme promoters disguise their true purpose by introducing products that are overpriced, of poor quality, difficult to sell or of little value. Making money out of recruitment is still their main aim.”

On the contrary, MLM is a legitimate (and perfectly legal) sales and marketing strategy. Rather than employ people to sell goods, a company sells at wholesale prices to distributors (also called associates, independent business owners, dealers, franchise owners, sales consultants, consultants, independent agents) who then onsell those products at retail rates. Distributors develop their own clients and can recruit additional independent distributors (i.e. their downline) to expand their reach. Money is made through legitimate sales of legitimate products. The distributor makes the wholesale/retail margin. The company makes a profit from their wholesale mark-up.

Imagery

If you think about it, a pyramid needs a strong base and then you build up. Once you've established the size of the base, you know how big your pyramid will be.

But MLM businesses are anything but fixed in size. They can be run for friends and family just to save money off retail rates, they can be run just to earn pocket money, they can be run to save a fixed amount of money each month for larger expenses, or they can be developed into grand organisations with unlimited income potential. And the interesting thing is that MLM businesses can change in size and scope over time. They aren't like rigid buildings; they're not like pyramids at all.

They're more like trees.

I can feel a tree post coming soon.... Until next time....

P.S. For more information about pyramid schemes, see Scamwatch, a website managed by the Australian Competition and Consumer Commission.

The Pros and Cons of Getting a Second Job

One way to get some more money into your budget might be to get a second job. For the purposes of this article, I’m defining a second job as a job where you are employed by a company (i.e. pay cheque), work specific hours, and work away from home. Places you might consider: retail shop, call centre, construction company, restaurant, bar, car yard, grocery store.

With every extra income choice available to you, there are pros and cons. Let’s explore them for the second job.

Pros

You will make more money. Even after taxes* are taken out, you will have more money than you would have had without the second job.

You can experience another industry and learn new skills. You can get a job that’s very different than your first job. This would be good for at least two reasons. First, you might be able to explore another industry before moving into it. Second, you might find another side of yourself. Develop your confidence by public speaking. Develop your computer skills by working on software. Develop your creative side by working in merchandising.

You could potentially save money because you are too busy to spend it. Some people simply spend money when they aren’t working. If you are in the habit of going out to eat, dropping by your local, going out to movies, or shopping whether you need to or not, well…. Keeping busy with a second job might help you save more money from both jobs.

Cons

You spend even more time away from home, loved ones, and friends. It’s the biggest catch. You will likely be paid by the hour, so the more hours you work, the more you will get paid. If you are doing it with a specific financial goal in mind and have a fixed period of time to achieve that goal, you might feel that investment is worth it. If you have a nebulous goal and no time frame, you are likely to regret the time away.

You have to work when they tell you to work. Let’s face it, you are not the boss. The company gets to tell you when you have to (get to) work. They might start out flexible. You might start out with the perfect number of shifts. But things may change. Your special events, holidays, and personal commitments may not align with the company’s needs.

You may incur more costs (e.g. childcare, petrol, tolls, eating out) making the net profit too small to be worth the effort. Another pitfall of the second job may be the increased costs associated with the second job. You should do the math and make sure that the income less the expenses results in an hourly wage worth the effort.

There is limited opportunity to increase your income. Because there are only so many hours in a day, and because you don’t own the company, there will be a limit to how much you can make through your second job.

The Last Word

As I read this article, I realise that this list of pros and cons is actually very much the same if you take out the word “second” job and just leave the title as The Pros and Cons of Getting a Job. Hmmm.

* Tax Note: I am not a tax specialist or a financial advisor, so please check with your accountant or the tax office when considering the tax implications of a second job. The main issue I want to alert you to is to make sure you are either having enough tax taken out between your two jobs OR that you are putting some money aside to cover your tax obligations. It would be horrible for you to earn, spend, and then owe. Here is some information from the ATO.

Wendy Lloyd Curley is an expert on creating extra streams of income.
www.wlcenterprises.com

My Layers

You may be interested in knowing about the businesses I am currently involved in.

• I run a successful MLM business with PartyLite Australia, selling PartyLite candles, exclusive fragrances, and home decorating accessories. I support my ever-growing team of independent PartyLite consultants on Wendy's Candle Website.
• Turning my hobby and passion of singing and music into a semi-professional career has been exhilarating and extremely fulfilling. It takes hard work to be a musician, and I love every minute of it. You can see more about my Sydney-based bands here.
• Investment property has been a lucrative and quite passive part of my income stream layers. Initially, I invested in property to reduce my taxable income through negative gearing. Over the years, I have developed a solid professional network of support and deployed a good strategy which keeps my risk and return in check.
• Providing my two cents' worth to other small businesses as an advisor is a very fulfilling role for me. My strategic, financial, project management, and marketing background combined with my own small business experience is helping other companies to develop successful growth, development and exit strategies.

My Background

I've worked in the hospitality industry, the telecommunications industry, retail sales, multi-level marketing industry, franchises, and the music industry. I've worked for businesses, started businesses, sold businesses, invented new products, researched and evaluated import/export opportunities, and advised small businesses. I've gone to university and gotten the credentials in business, but, more importantly, I've applied that book knowledge in many ways in real life. I've succeeded at much of what I've done, and I've experienced failure. Stay tuned....

First Draft of my Logo

I thought I'd be creative today and create a concept logo for WLCE. I will use this logo on my websites, my business cards, my stationary. I think this concept captured in my "W" scrawl would make a good logo.

The concept is done, so what is the brief? I want it to include seven bold colours (for the Rainbows - my PartyLite unit name), candles (for the candle business), guitar (for the music), and a microphone (for the music and the public speaking. I want a white background.

Wonder if a designer will be able to make it sing? :)

What do you think?

Revamped and Ready

This is a business site dedicated to the businesses of Wendy Lloyd Curley (AKA WLC Enterprises). This week, I have finally taken the time to think my web strategy through. I thought I might share some of that information with you.

Content

I have merged this blog, WLC Enterprises, with my candle blog (for current and prospective candle consultants) and with my personal blog. This site also includes information about my music and public speaking businesses. The overall site is (finally) interlinked, looks the same and has the same menu structure.

Subscriptions

I have kept the subscriptions separate so that people interested in the candle business can subscribe to the Candle pages and people interested in my personal escapades can subscribe to WendEmail. For the rest of the content, RSS is available at the click of a button.

Purpose

The purpose of this site is (1) to disseminate information (2) to develop leads, (3) to motivate people to act, and (4) to keep in touch. If you're reading this, it must be working....

I have a layered life. I run my very different businesses from home. I am revamping this structure to provide clarity as to what I do, and to provide support to my overall strategy. I you are a client of mine in any aspect, I'd love to hear from you about what you might want to see on this site. Just write to me.

Onward!

Executive Assistant, Personal Assistant Congress

Presentation notes for delivery at the National EA PA Congress May 25 - 28, 2009 · Sofitel Wentworth, Sydney, NSW (Link to conference organiser IQPC). These notes are not a transcript.

Introduction

"Just as your car runs more smoothly and requires less energy to go faster and farther when the wheels are in perfect alignment, you perform better when your thoughts, feelings, emotions, goals, and values are in balance."

~Brian Tracy, Canadian Author and Professional Speaker on Self-Help

Thesis: To be a better anything... you need to be a better person

What we learned yesterday: We can’t change others: Responsible for moulding to our situation

What you’ll hear today: We are responsible for creating our own mould

Presentation Overview

So many of us fall into the common trap of ‘work, eat, sleep’ and life seems to be swallowed up in a monotonous pattern. This session evaluates the important activities you should be participating in for a healthy mind and body.

1. The importance of continuing education, volunteer organisations, health and fitness, and small business
2. Developing a checklist for self-improvement and building your skill base
3. Taking care of yourself mentally, physically, spiritually and emotionally
4. Implementing ten actions that will improve your productivity, confidence, and self-worth

What is important to you?

Rock, pebbles, sand, water

A professor walks into the room carrying an empty 10-gallon water jug and dragging an obviously heavy bag. He places them on the teacher’s desk. Without a word, he begins placing white rocks, just big enough to fit through the mouth of the jug, into the jug until they reach the very top. "Is it full?" he asks. You nod.

"Maybe not," he says. He then stuffs tiny pebbles into the jug and the pebbles find their way through the cracks in the rock. "Full now?" he asks. The whole class nods.

He then shovels sand into the jug, occasionally shaking the jug, and the tiny grains sift through the rocks and pebbles. "OK," he says, "now is it full?" The class nods in unison.

He smiles. He then slowly pours water into the jug until a water glass is finally empty.

"The lesson here," he says, "is that there is always more room in our lives than we think there is. When you think you’re out of time, there is still more available if you look for it."

Time = Schedule = Manage = Prioritise

Here’s the time-saving payoff: The ROCKS are the important things we have to accomplish regularly to be successful. They go into our "time jug" first, because they are most important. The PEBBLES represent those things we may not like to do, but we must do. They go in next. The SAND represents things that we should do, we may even like to do, but they’re not as important. The WATER represents the few remaining things that make a difference. If you reverse the order, putting in the water, then the sand, then the pebbles, there will not be enough room for the rocks. So prioritize your activities and make sure the rocks go on your schedule first.

Candle Parties

When is the last time that you lit a candle?

Make a little part of every day all about you.

Balance

Discuss Balance – work on one side offset by life on the other – funny juxtaposition. Good and evil. Bad bacteria and good bacteria.

Barbara’s keynote – Get a life. Started exercising. Ran 1 half marathon = 21.097494 kilometers

“Life is best enjoyed when time periods are evenly divided between labor, sleep, and recreation.”

~Brigham Young, American Pioneer and Leader of the Mormon Church

Excellence – Your boss will love me for it

• Success at work is defined.
• Is success in your life defined? (Goals – Rocks of Life)
• Success at sleep. :)

Wendy’s Collective Wisdom To Date (May 2009)

1. “Do or do not, there is no try.” ~Yoda
2. Make promises – X by Y (and not just at work)
3. Tell Igor to Shut Up – actively listen
4. Make it up. Use your gut.
5. Smile and mean it. (“Have a nice day.”)
6. Put your friends and family in front of your fortune. They are the rocks.
7. Stretch
8. Breathe

List of Ten Actions

1. Learn - a language, craft
2. Move - walk, run
3. Parent
4. Pamper
5. Play - sport, instrument
6. Read – create or join a book club
7. Relax
8. Teach
9. Volunteer
10. Work - more than a hobby

Closing Thought

“The trouble with the rat race is that even if you win, you're still a rat.”

~Lily Tomlin

WLC Public Speaking

The Pitch

Wendy is an accomplished public speaker, motivator, and trainer. Her style is casual, unscripted, and personal.

"Inspiring."

When your event calls for an MC or a facilitator who can easily guide the participants from topic to topic while providing entertainment and insight into the proceedings... Wendy is your choice.

"I loved Wendy's style. I got a lot out of it."

When you have training days and are looking for a speaker who will bring your business goals together with personal well being, balance, performance, and positive outcomes... Wendy is your choice.

"Honest approach, excellent...."

In her teaching and lecturing over the past 5 years, Wendy has developed her public speaking experience to deliver ongoing results for the participants.

"She brought an informed, “can do” attitude to her audience, giving them the ability to take the practical information and immediately put it into practice."

Short Resume

Wendy has a solid background in corporate business (marketing, business development, finance, and IT), significant experience running her own companies and partnerships, she sits on the advisory board for an international finance company, and she has music and stage performance in her blood.

Wendy has an MBA, MIM, BS, 10 years in the telecommunications industry, 5 years as an entrepreneur, 4 years in direct marketing (aka MLM), experience (and citizenship) in the United States and Australia, and advanced knowledge of the music, wine, and candle industries. Her real power is in marketing and strategy, but to those disciplines she brings a keen understanding of how businesses need to work as a whole.

Bring it home...

Never in a suit, but always professional, you should choose Wendy. Or at least take her out to lunch and see what all the hype is about.

Contact Wendy

wendy@wlcenterprises.com
home/work 02 9705 0915 mobile 0416 239 851