7 Reasons You Need MultiSoft

The most common and devastating mistake made by Start-Up MLM companies is that many attempt to develop their own commission tracking and genealogy software in-house under the misguided belief that they will save money. 99 out of every 100 times this is a VERY, VERY BAD IDEA! The real cost of developing in-house is usually the loss of the company.

A typical in house development venture happens something like this: somebody, who knows somebody, who is friends with a guy, who is a programmer that "used to work for NASA, IBM or Microsoft", blah, blah, blah... What really happens is that if these non-MLM experienced programmers do finally get the programming started, these programmers most often leave frustrated half way through the project either because of their employer or unfamiliarity with the beast they are trying to build.

Remember, the Network Marketing industry is very demanding, from both an expectations and requirements perspective. The same programmer that was able to develop a solid accounting system will give you a blank stare when you mention the term "genealogy" and look confused when told that Binary does not mean "1" or "0". Network marketers do not want to hear about a MLM programming newbie's need for "just 6 more months of development time" any more than a programmer wants to hear about all the money he or she will make with the company tomorrow, if work is just done on the cheap today.

You need know, up-front, that as much as 50% of all the technical problems you will encounter will be with your in-house IT personnel. Even if they can get your system working (a rare occurrence), sometime in the future the programmer will most likely resign and go to work somewhere else - leaving you, your company and your responsibilities completely dead in the water.

You absolutely must work with a seasoned MLM system expert, people that will know what is going to be needed TOMORROW, not just today! As a Start-Up you are going to encounter challenges you never dreamed of and a heavy workload; the very last thing you need to be worrying about is the central nervous system of your company, your software.

Finally, understand that a single programmer, a cranky spouse and an answering machine simply cannot handle the programming needs for a Network Marketing company. Make sure your Vendor has, at the very least, 10+ (onsite) staff members, or you know who you'll be talking to the most... "at the tone, please leave your name, number and a brief message".

Unless you have asked for their opinion, help or advice, do not let any software vendor direct you to a specific compensation plan type based upon their "knowledge" of the industry (and by all means, ask to see their genealogy -- as a distributor - if they claim to know how Downlines are built). If you'd like to hear what the vendor has to say, great, the vendor will usually be happy to share. If you have done your homework and know what you want, stick to the plan and do not be dissuaded. Remember, this is your baby and you need to be passionate about it!

All too many times, a Start-Up MLM is pushed or talked into going with a different compensation plan by software vendors. The reason this is done is because the software provider is not listening to what you want - they are pushing you towards their own agenda. It is truly amazing how easy Start-Up MLM companies can be manipulated into falling right into a software provider's "success criteria" trap. Know most of what you want to do BEFORE contacting any software vendor. The software development process will become a lot more manageable and you will be negotiating with the vendor from a position of strength, not weakness.

Work only with a software vendor that can show a track record of personal success in the industry, perhaps as a distributor or MLM company owner. Propeller heads will not be there for you when you need vision or network marketing questions answered; we have all heard programmers say "if you can detail it, we can program it", sadly that is NOT true. MLM is a unique industry with unique demands - make sure that the vendor knows MLM ahead of time, otherwise you will waste countless hours and receive inferior results while they learn on your dime. Lack of knowledge does not make an inexperienced MLM programmer a bad or unethical person, just one that's going to have a difficult time delivering a workable product.

Be sure to work with a company that is on the same page and can work through the MLM thought process with you. Request and review sample compensation plans or programming specifications that were done for previous clients to see what thought process and marketing vision was implemented. More importantly, RUN as fast as you can away from the "nod and wink" guys that assure they understand your requirements and will get the job done without first thoroughly committing the job to paper. If the requirements aren't professionally written, what you want won't get done...and make no mistake, you'll be left holding the bag. Make vendors earn your business and spend a little extra time doing it right from the onset or you'll spend more time and cash fixing it later - after the momentum has faded away.

Simply put, business is a dog fight. Make smart decisions so that you have pit bulls instead of poodles at your back when you enter the fray,

Your "BS radar" needs to be tuned in when you hear the following statement from any software provider: "come in for a paid day of consulting and we will apply that consulting fee to your software purchase". Not all companies are there to hoodwink you -- I confess that we have made this offer to prospective clients in the past (now it's free).

The important thing to ascertain ahead of time is if the consulting day will represent earnest input on your company and concepts; or will it be an 8 hour torture session in which they do nothing but talk about their products and services. What you need to hear loud and clear are strategies and concepts to enhance and facilitate your marketing ideas. What you don't need is a thinly veiled sales pitch on why you need to "buy, buy, buy".

When you DO pay for consulting, expect to receive effective strategies and conceptual plans that take into consideration all of your ideas, concepts, dreams, visions and concerns; make sure you receive VALUE not lip service. Be sure to ask in advance for an outline of the things you will be discussing during your consulting visit. The software and services demo should last no longer than an hour. Who's the best consultant? Well, naturally we are biased, but we have the track record to prove our skills and credibility: http://www.mlmcorporate.com.

Don't be a fool...Do not, under any circumstance purchase a software system without seeing a LIVE, working, demonstration. Ask to speak to a live customer - preferably one with more than 10 distributors - but keep your expectations in check with respect to the reference.

When you make a request for reference, be ready to hear responses like: "We need to protect the privacy of our clients...wouldn't you want us to do the same for you?" "The information you're asking for is proprietary and it would be unethical for us to allow you to see a real, live, working, existing client's software".

Be realistic, if you were asked for references, would you provide names and numbers of individuals or clients that you weren't absolutely sure would give you high praises? The answer is "of course not"; neither will a software provider. Perform your own due diligence where possible. Shake the trees and see what falls out.

The simple truth is that you need to see a working version of the software you are licensing to ensure that it actually works - online, real-time. You don't need to see numbers and collective data...what you want to see is proper calculation, tracking, live real time genealogies and real data. Jump on board and "kick the tires".

It's your money and your future at stake - make you sure you are teaming with a vendor who is providing a solution that will work for you.

Keep It Simple and refuse to lose focus!

As you began your search for a software provider, get ready to be bombarded with ideas, concepts, specials, lightning in a bottle, sure fire can't misses and miracles waiting to happen. For example, if you are marketing a nutritional product, don't let any provider take your eye off of the ball. Stay focused on your mission and crusade.

Consultants and software providers alike, have a tendency to want to "take over". The biggest challenge associated with this is that your crusade and mission gets pushed to the side, and someone else's gets promoted instead. We are not referring to a problem with ego; rather it is imperative that you maintain vision and clarity. It is perfectly acceptable to let a software provider know what you want and keep them on track when they try to stray.

Although advertisers would like to have us believe otherwise, the belief that price determines value is simply not true. If someone tries to convince you that price does equate to value, the BS radar should start screaming again. The price you pay for any software provider's service or product does not determine the value you will receive.

Just because you paid $500, $5,000, or $500,000 does not mean the software you receive will work or that it is what you need. Most software providers are tied to consultants that promote their software for a commission. This in and of itself is normal business practice. However, if you hire a consultant and they promote a particular software vendor, you should request that the consultant put his name on the dotted line of responsibility. This may seem unreasonable to your consultant, however it will keep them honest as to whom they refer and point you to.

The price vs. value mistake ties in very closely to the fourth and fifth mistakes that were previously reviewed. Price, whatever it may be, equates to value only when the software provides the results that you need.

The only way to forecast if price will equal value, is if you can be certain that the vendor has a proven track record and a clear, documented understanding of your needs and requirements. Results equate to value, not price.

No matter what you may think, you cannot pressure a car salesman, boat dealer or home builder into taking a loss anymore than you can a software vendor. Even worse, "beating up" a vendor to meet your price can have damaging long term effects.

Negotiation is acceptable in any sales relationship; the important thing to avoid is ultimatums and forays "across the breaking point".

Knowledgeable individuals in any profession are not cheap. The reason is that they know what they're doing and you anticipate they will deliver the desired results. Software vendors are no different.

The typical software vendor will charge $100 to $300 per hour for their services. When negotiating a price, divide the total price by the hourly rate and use logic to determine if the number of hours being invested in your job will be enough for a product of value to be delivered. Don't kid yourself into thinking the software vendor is doing you a favor and will take your job on a loss anymore than the car salesman, boat dealer or home builder will.

As an example, you are trying to negotiate a price of $5,000 for development of the software. The vendor you are negotiating with has an hourly rate of $150 and has estimated that your job will require 55 hours.

$150 divided by $5,000 equals 33.3 hours. Is it in your best interest to continue negotiating in this fashion? If you're budget is $5,000 fixed, you may want to consider phasing in certain requirements in the future or looking at an alternate product.

If you are successful in negotiating $5,000 for a 55 hour job, what will suffer? Will it be the initial consulting, documentation, development or testing time that the software vendor puts into the project?

Sure, a software vendor may be able to take 52 hours payment on a 55 hour job and meet all your requirements, but be leery of wide gaps in cost and expectation. Ultimately, the party that truly suffers on an underbid job is you.

The contents of this article can be summarized into the following...when choosing to select software for your company, always remember to stay focused, maintain clarity, critically evaluate what you are being told and make sound decisions based on logic. And, last but not least you must remember that you are not buying off-the-shelf software, you are establishing a relationship with people that are going to play a major role in the success or failure of your new venture - choose wisely and where possible get on the plane and go and visit your future business partners!!

Adhering to those principles will serve you well in all endeavors that you pursue with your business venture.

We wish you all the best as you move forward on the path towards success!