Direct Selling Women's Alliance

Points To Consider When Choosing A Company
	Are you considering starting a home-based business? The DSWA wants to help you make the right choice for you. Following are questions you should consider before signing your distributor's agreement.

	How long has this company been in business? If they are not listed in the DSWA's Company Search area, you can verify these facts with the Secretary of State or by going to the respective company's website.
	Who are the principal owners and what is their vision for the company? You can often learn about the owners from the company's website. Find out the company's mission statement, guiding principles and their vision for the future. In addition, the Secretary of State in the state where they operate should be able to provide you with some basic information. You may wish to contact some distributors in the company. You can start by searching the DSWA Classified Ad Area for their contact information.
	What business and industry experience do the owners and corporate officers have? Does the corporate leadership have the experience, education, knowledge, skills, finances and dedication to build a solid company? Do they have the right executives in the right positions? Can the CEO and CFO make the correct financial decisions and protect the financial future of the company for YOU! A balance of operations oriented individuals along with marketing experts who understand the culture of direct selling is critical.
	Does the company have a fair compensation plan? Is the plan competitive with companies of like products? Is there a great reward for leaders building their business by developing teams? Is there enough incentive for new distributors to hold shows and receive money in a short period of time? Is the plan simple to understand and explain? Has the plan been stable for a long period of time, or does the company change it regularly?
	Is the company paying their distributors on time and according to their compensation plan? It is important to know that the company is doing what they say they are going to do. Ask them how long they have been paying commissions and if they are paying them according to their policies and procedures. Ask how long they have had the existing compensation plan and if they expect to be making changes in it in the near future.
	Can you get started at a reasonable price? Does the company require a large investment in inventory? Do they offer an "at cost" basic kit at a low start up price? Can you purchase additional product kits at a discounted price for demonstration?
	Does the company have quality products and/or services? Whether you intend to focus on sales or recruiting, it is vital that you feel good about the products and services offered by your company. Be sure to experience the products first hand before signing any kind of agreement. Determine whether the customer receives a good value for the price. Ask about their warranty policy, guarantees, costs and procedures for repairs. All of which have a significant impact on your ability to service future clients and distributors.
	How does the company use technology to facilitate growth? Does the company offer personal web pages? Do they have an auto responder program? Do they use on-line or conference call training? Does the company offer a sizzle call or business opportunity call? Do the distributors have the ability to check their downline and/or commissions due on line? Does the company provide distributors with an e-mail address? Does the company have a state-of-the-art website?
	What Marketing Materials are available and are they reasonably priced? Very important... there are many companies out there that just print off pictures, have text only, or provide CD's that you can print from. When making a decision as to your start up costs consider printing expense. Does the company have a full color catalog and business opportunity flyer? Do they have a strong and consistent branded image?
	What is their shipping and handling track record? This can make or break your business. Does the company do its own fulfillment or are they dependent on a third party? What is the turnaround time on orders? Does the company ship directly to the customer/hostess/ and/or you? Are the products that are shipped to the hostess bagged separately?
	Do they have a Hostess Program and what are the costs? Does the company completely fund, partially fund, or not fund anything for the Hostess Program? Is the Hostess Program competitive with other companies? If the company does not fund the program they generally have a higher up front commission. You will need to deduct approximately 10% of your earnings to fund the hostess program.

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