– Lies, lies, lies aboutmultilevel marketing. Now what is multilevel marketing?Have you been lied to?Maybe your upline is lying to you. Today I’m going to teach youhow to think a little bit smarter. How to think on your own. How do you look at some of these things. So what are some of the lieswhen it comes to multilevel marketing?- Well you know, Dan, Iactually did fairly wellat some network marketing businesses,some affiliate marketing businesses,some multilevel marketingbusinesses, MLMs right. However, the realityis I’m now 40 years oldand after 20 years ofexperiencing ups and downs,I must say though thatthere are five lies. I’ve come up with five liesthat encompass the multitude of companiesthat I’ve worked at. Can you succeed at network marketing?Yes, absolutely. Statistics actually prove that you canbut it’s a very small number. And so that is one of the first liesI want to cover. Actually, I’ll circle back to that oneso watch this videoall the way to the end. In fact, the first oneI want to tell you aboutis actually my own story. So when I started atthe age of 18 years old,the gentleman that approached me,he came to me and said,”Hey are you keeping options open?You look like a sharp young guy. “And he really paintedthis picture in my headthat I could become an entrepreneurfor a very small investment. Few hundred dollars andI could wear the capeof being an entrepreneur. And I think that’s the first lie there. That entrepreneurship,after all these yearsI’ve realized, is verydifferent than the picturethat these network marketingcompanies they paint. They make you feel like you can becomeand entrepreneur for nothing. So again, it’s that wholeget something for nothing. – And I think you can become a top earnerwith a high income skillwithout being a businesson your own without a lot of money. That’s okay, because youare trading your time. Your trading hours for dollars. But for high dollarsright, that’s what I teach. That’s perfectly fine. But building a scalable business,building that big of a business,it costs fucking money, it just does. People cost money. Marketing costs money. Everything that you do, it costsa certain amount of resources. So I think having thatunreasonable expectationwhen you’re not ready to start a businessand you thought, you know whatI have no money, I’m broke. The worst time to start a businesswhen you got no money. Listen to me, the worsttime to start a businessis when you’re desperate. Because business takes time. It takes time to build. It may take you one year, twoyears, five years, ten years. This is not a job. This is not just you waittil the end of the monthyou get a paycheck. This requires a tremendousamount of effort,attention and skills, right. If you want to makesome money on the side,don’t start a business. Give em a high income skill,so you’re going tooffer to the marketplacein exchange for money. Now that is smart. – That’s right. Because I failed at two major businesses,I failed at many businesses,but I failed at two major ones. Half a million in one, halfa million in the other. – 1 million dollars, gone. – And you know what?And why we fail?Because we didn’t have cash flow. We didn’t have that income coming in. We took other people’smoney and we blew it. We knew how to blowmoney before we learnedhow to make money. – Correct. – And the whole thingabout the lie as wellis this whole entrepreneur thing. From what I understand andDan can actually testify this,entrepreneurs create things. The create jobs. Network marketing companies,you’re not creating jobsexcept for the people at the head office. You’re a distributor, you’re a consumer,you’re not an entrepreneur. They call you a smallbusiness but you’re not. And so that’s one of the lies. – If you’re CEO of anetwork marketing company,now that’s an entrepreneur. – If you’re the founder thanyou’re the entrepreneur. So I feel like that’s a lie. Number one lie. – So what’s lie number two?- Lie number two is thewhole part time thing. Oh do this on the sideand just put in a few hours. They make it sound so easy. It is not. In order to get to the top levels. . . Even I just scratched the lowerlevels of the upper levels. – It’s a full time- 7 days a week. Everyday away from my family. Leave the house at 6pm. Go to work, work a whole day. Come home exhausted, tired. Jump into a suit and if youdon’t like wearing suits,you’re in trouble. Then after that, go out, drive somewhere. Spend money on coffee. – Go to that meeting. Go to the hotel meeting. Drag family and friends. – Stay late after the meeting. – Oh fuck, and try and close the pitch. – Til two o’clock in the morning. – Unbelievable. – Exhausted. – Yeah I remember. One of the things I’velearned that is to. . . Cuz once I run of outpeople that I talk toin the beginning- Yes. – Well you gotta prospect,you gotta meet with people. So I actually went to bookstores. – Yes. – Okay, I know you done this before. It’s fucking stupid. I went into bookstore. I hang out in the personaldevelopment business section. – Yes. – So people are looking at different booksand I would kind of like,slowly get close to them. Yeah that’s a very good book. Try to strike up a conversation. Yeah what I like about the book. . . Oh by the way, are you looking foran opportunity to make side income. They’re like, what the. . – Pounced on me. – What the fuck right?And it was just bad. And what’s worse is thatwhile you are doing this,I don’t know if you feel the same way. It just feels so draining. – Yes. – It feels so exhausting. I feel like after I talk about whateverthe network opportunity, I feellike I need to take a shower. – Yeah, you feel dirty. – I feel so dirty, I feel so disrespected. – Yeah. – This is not a good way to make a living. – It’s like a cheesy salesman. – It’s like you’re the worst in there. – Yeah. – Like the proof of that is very simple. You go out there anyfunction, any gathering. Could be a wedding, couldbe a business networking. You just walk up topeople, anyone, anybody. You tell them what do you do. Well I’m a multilevel marketer. See how people react to you. – Actually, true funny story. We were at a conference. – Big conference. – Big conference andthey give you these tagsand you can put theselittle stickers below it. – Like little ribbons. – Yeah, copywriter. – Marketer. – Marketer, agency owner. And Dan over here,because he wants to study. He wants to be at theevent and pay attention,he doesn’t want to be mobbed by people,what did you put on yours?- I put MLM. I put five of them. MLM, no one talked to me. It’s beautiful. It’s absolutely beautiful, right?- It’s works, it works. – Seriously, it works. You don’t want people talk to you,just tell em I’m a network marketer. Then it’s like you havesome kind of disease. They don’t even want to get close to you. Do you actually like that?Seriously, is that howyou want to be treated?Like, no pride. It’s sad. It’s very sad. So part time, forget that. It doesn’t work. Now if you just wantto make a few dollars,like a couple hundred bucks,yeah you can do it part time. But if you want to makethousands, forget it. If you want to make serious money,you need to put in a little bit of time. You gotta treat it like career. You gotta take it very seriously. So part time, it’s a lie. So what is the third lie?- Well the third one I would saidis what I realize is they always make. . . First of all, their productsare always more expensive. – Yes. They will say it’s cheapercuz we don’t have the cost, you know,we’re wholeselling. – Yeah, yeah. – Versus in the store, you buy thisand you know, distributorand all that stuff. Well it sound logical butyou’ve got fucking eight levels,seven levels you gotta pay. – The commission. – Hello, it’s the same. It’s the same shit. Someone is getting paid, right. – Yep. – And they said why they mark that upbecause they need the profit marginin order to pay all the distributors,all these levels where all the bonusesand all that stuff, right?- That’s right. They make it sound like the premium pricesare for better quality pricesand scientificallyproven, clinically proven. – And some of them are good, like I said. I subscribe to a couple of companiesI do like the product of. I’ve done my research but that’s it. But most of the time, Iwon’t name the company. – Some water filters. Some travel companies. – I won’t name the companybut there are a number of companieswho has a huge line of products. I’m talking about thousands. A lot of the products that they claimto be much better, highquality, it’s bullshit. It’s all private label shit. They don’t even make that shit. Someone else made it,they put out their logoand they let you distribute and they makethat seven layer commission. That’s how it works. If you think logically, you knowthat’s how exactly how it works. So if there’s spending so much moneypaying everybody else, how much moneycould they spend on improving the qualityof the product. Like an idiot could figure that out. – So when you become a distributorand you get brainwashedinto going out there andnow trying to convinceother people and you have to handlethe objection of whyit’s more expensive. . . – The one thing that I cannot standespecially that health related productbecause those motherfuckers,I just gotta say it,where those upline, they’re in hotel room. They make the most outrageous claims. No joke. Most outrageous storiesabout some vitamin. I’m talking about it cures cancer. My wife was. . . We couldn’t get pregnantand now she’s pregnant. I’m like give me a fucking break. Because of greed. And they make all these crazy promises. This is wrong. It’s just wrong. If it’s a vitamin, that’s fine,you know health and you havemore energy, that’s okay. But while they’re makingthese crazy claims,it bothers the fuck out of me. – And that’s why the FTC shut them down. – It bothers the fuck out of me. – We talk about this in another video. Go up there and watch that other videoin which we talk abouthow FTCs can shut it downand why that’s a risk. – It should be shut down. – Right, it’s a risk to you. Maybe it wasn’t even you that said it. It was another leader that said it. But then the FTC comesin and shuts you down. So then, what happens to your income?You’re gone. It happened to me. The fourth lie we want to go intois that anyone can do it. They want to make it soundlike just anyone can do it. And Dan, you know I’ve got afairly extroverted personality- Personality, outgoing personality. – You know, talkative,socializing personality. Maybe for someone like me, it’s naturalthat I like to network. That’s why they call it network marketing. But what about someone who’s introverted?I mean Dan, when you were growing up,you were fairly introverted. – Yes. – You were shy. You didn’t have a bignetwork of friends, did you?- I had no friends. So when it comes to anyone can do it,there’s something that anyone can do. But for network marketing,in order to climbto that top leadership position. What are the statistics?I think it was Ink did an article on this. – Ink did a-One out of a thousand,three out of a thousand. – Three people out of onethousand actually make it. – Yes. I was probably one of those three. That was me. – Not 3 out of 100. 3 out of 1000 make it. Now, making it doesn’t mean you’re rich. – No. – It just means that likeyou’re not losing money. – Paying bills. – Yeah, paying the bills. – Not losing money, exactly. – Not losing money versusI think the statisticsif I remember correctly. . . On average, network marketers they makeI think it was likewhatever 2500 bucks a year?- Oh don’t let the cat out of the bag. That’s number five But yeah, it’s notabout anyone can make itcuz it takes a lot of skills,it takes a lot of time. When they say anyone can make it,yes anyone can make itmaybe after 20 yearsif you are a superintroverted, shy person. You don’t speak goodEnglish, if it’s Englishthat you’re communicating. It takes time so it is a lie. They try to mask that lie. Cuz most of us, we want to do this, why?Because you want to earn that money quickand you want to get out of your jobor whatever you’re doing quick. You want to spend timewith your family quick. You don’t wanna spend time with your kidswhen they’re 20, 30 years old. You want to do it like next yearand that’s the lie. They make you feel like anyone can do itbut the reality is it takes timeto learn these skills toget to that high level. – And what is somethingthat anyone can do?How do you know if. . . If you want to createwealth, if you actually wantto create abundance in your life,you can never be out of the equation. You always need to bepart of the equation. So anything that is kinda shadyand anything that’s promising you,hey it has nothing to do with you,just push a button or moneywill fall on your lap,or just distribute this productand everything will be fine. If they take you out of the equation,this is a scam. Period. Period. Or this super duper investment,just put the money, it hasnothing to do with you,you don’t need anyeffort, you’ll make money,you’re being scammed. – That’s a scam. – In order to create wealth,you always, always have tobe part of the equation. – Right. – What could you do to deliver real valueto the marketplace inthe exchange of money?See that’s legitimate. – That makes you a real entrepreneur. – That makes you a real entrepreneur. Not this fucking lotionpotion bullshit, right?- Right. So we saved the best for last. – The best for last. – And the number five lie, the fifth lieis about the amount of money. They make it sound likeeveryone can make money. That’s not true. Statistics have proven,Ink. com has proven it. There’s lots of studies out there. Dan, what was the statisticsI shared with you?- I think it was 2500 bucks– That’s right. – On average that they make per year. But on average, they spendover $25,000 dollars. – 10 times. I can attest to this. So it includes going to conferences. The sign up kit. – Buying the products. – Dressing up if you don’t have a suit. Going out and buying asuit if you don’t have one. The driving places, the products,the marketing, the telephone bill. Not to mention your timeaway from your family. The gas bills, everything. The average networkmarketer direct salespersonmultilevel marketer only earnsan average of $2500 a yearwhereas they spend $25,000 a year. – So gotta think about thisyou spend 25k, you can make $2500 bucks. How is that a good investment?You are better off, if you juststay home and do nothing. – Right. Cuz then you would’ve made nothingand you would’ve spent nothing. At least that’s you’re like breaking even. – Go get a real parttime job at Starbucks. – Yeah, legit making money right now. – You could make more money. – Right, it’s just incredible. – It bugs me, Dan, thatpeople go through these liesand that’s also why theattrition rate is so high. That’s why you have tokeep recruiting peoplein it which is a whole nother that I. . . – You need to babysit awhole bunch of people. People who are not motivated, not eager. Who are not serious. They have wrong expectations. It’s just frustrating. And part of why I want tomake this particular video. . . I have a lot of haters on the internet. – Yes. – And that’s okay. Fuck you guys by the way, you haters. If you’re fans, love you guys. What bothers me, sometimesI’ll see on social media,and they accuse me. Oh you know what Dan Lok isdoing is a pyramid scheme. When I am the fucking biggest anti-MLM guyon the fucking planet. There’s a reason. I want you to look atso many other speakers,motivational speakers, big names. They speak at MLM conferences. – You’ve never. – Why do they speak at MLM conferences?Because MLM companiespay them a lot of moneyto inspire and motivate their people. Where I can tell you right now,you will never ever ever see Dan Lokon a fucking networkmarketing stage, period. Period. I don’t care if they pay me $100,0000. I don’t give a fuck if write a chequefor 1 million dollars. You will never see Dan Lokon a network marketing stage. Period. Because I am anti network marketing. I don’t believe the model. I don’t believe in what they do. And I don’t believe they actually givea shit about people andwant to grow people. I can tell you this, I’m leavingso much money on the table. I can make so much more thanjust this as my influence. – Dan, since the veryfirst time I met you. What I realized whichwas different about youwas that you didn’t focus on yeah sure,it’s a big argument aboutthe network marketing. Even I was very vanilla about itbut what you taught mewas about having that,because I wanted to builda business, was to havethat high income skillthen scale a businessthen invest. – How we turn investments. Right, which is so different. It was a mind shift for me. It was a very big difference. – So there you go. The five biggest lies. So if you’re still thinking about,you’re asking a lot of questions,oh Dan, should I join, should I not join?Don’t fucking join network marketing. What’s your opinion on network marketing?Don’t fucking join network marketing. Well what do you think of this MLM?Don’t fucking join MLM. We are done.