The CEO of your MLM/Direct Sales Company is running the company like a regular business, why aren’t YOU?

fuller_banner1There is a disturbing trend growing around the country. It has been growing for the last 30 years but it is positioned to explode over the next decade.  If not put in check, it will destroy or waste millions of man hours and dollars that belong to people who can ill afford to waste either.

The trend I am speaking of is people who are in Direct Marketing/Multilevel marketing sales who do not keep good account of the time or resources invested in their businesses that pay temporary residual income. Now before anyone jumps all over me for speaking negatively about their precious MLM, I want you to go back and read the last sentence about keeping accurate track of the time and money invested for the return. This piece is not about how good or bad any direct sales business is.  It’s about how good a business person you are.

Over the last few years the world has been overrun with people who are trading huge blocks of time at meetings, conventions, promotional events and sales seminars for their direct sales companies. These same people are investing almost as much time in their part time businesses as they are at their full time job but earning less than 10k from their business and investing twice that in travel, hotel cost, merchandise cost, rental cars etc. Their approach to business spits in the face of common business practices and is an abomination to the common sense they show everyday outside of their MLM business.

The facts are that less than 2% of reps who have ever joined a direct sales business ever made any real money and built a profitable and sustainable business. Can it be done, yes. Can you do it without adhering to sound business principles, probably not?

In full disclosure I have operated in several MLM businesses but found them way to limiting for the creative way I love to do business and frankly it was always too much work for too little money. Over the years I’ve been blessed to generate millions of dollars in non MLM businesses that required me to be focused on the top and bottom lines.  I never spent more time for less money that in recruiting and selling in an MLM because the business simply wasn’t designed to make me rich but to make the company rich through the use of labor and financial resources of many people who would never enjoy the spoils of the company.

In the business world important things like expenses, cost of goods sold, profit margins, return on investment and time invested are direct measures of how strong a business you have built. In MLM these things are rarely talked about nor calculated. In fact, the interest where these things are concerned are directly opposite of the interest of the sales rep.

Let me explain. The company that starts the MLM is a regular business like any other in the United States. They start with a certain amount of money and a business plan; they rent office space or warehouse space and hire hourly employees. They calculate the cost of the product they are selling and stock it. They have warehouse employees that handle distributions and they have a limited time to become profitable or they shut the business and declare bankruptcy.

The thing that makes these firms different is that their business model is based on telling people who are employed to make the change to become self-employed and embrace their limitless options. They build a virtually free labor force with no payroll taxes and workman’s comp.  They tell people to stop being a slave to their 9 to 5 and invest their time, energy and money into the pursuit of financial freedom. To do this they can sell their products and earn a fixed commission which is tied to cost of goods sold and profitability, but is never disclosed. Sales Reps attend conventions and meetings in hotels where the company has room rental rate deals, but that’s not disclosed.  They can recruit others to do the same and earn more fixed commission known as overrides, which again is tied to undisclosed profitability and cost of goods sold.

At the end of the year that MLM business is either profitable or not and if not it won’t be around for much longer.  The residual income people speak about will not pay forever because people will switch or cancel services over time. At the end of the year the company files taxes and pays payroll tax on all the corporate office and warehouse employees just like any other business. At the end of the year the principals reward themselves with big fat bonuses for how profitable the company was that year. The only real difference from other companies is their cost of labor because they do not pay for the countless man hours the salespeople put in to make it to certain promotional levels and win prizes. Most fail to ever make a profit, but the profitability for the company is actually higher on the majority that fails than it is on the minority that succeeds.

This is a very profitable business model if you own the MLM/Direct sales business.

Conversely, for the common rep they do not evaluate how many hours they spent on their business per week, how much product they purchased, how many conventions they attended, hotels and rentals cars paid for etc.  They do not subtract that from the amount of capital earned to determine their profitability. If they did they would see that they were upside down and need a plan to get right side up. They do not have an opportunity to lower the cost of goods sold or increase the profitably on the items they are marketing by getting better pricing at the manufacture, in fact they have no idea what COGS actually is.

The MLM/direct sales rep has no idea when the others they recruited will look at what time and money they invested and finally hit the wall and quit as happens with most. It’s a style of business with a 98% failure rate for the marketer and a very high success rate for the company.

They only way to change this paradigm is to run the direct sales/ MLM business like a real business and track all of those metrics that your parent company is tracking. Put together a plan and capital and build a profitable business before you burn through your budget and teach your recruits to do the same. Have monthly meetings that discuss and share hours and dollars invested versus dollars earned.  Don’t be afraid of the hard truth.

Be realistic about the residual aspect of these businesses. People do and will continue to switch phone companies, utilities carriers, makeup providers etc., so the residual is temporary unless you invest your profits into truly residual financial products that pay life time income.

Have fun, do your best and leave a legacy and pathway to success but please run your business like a business.

Wishing you Wealth, Wellness and Wisdom

Manager of Wealth

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Blacks who attended predominantly white universities can use their Power, Influence and Money to help today’s Students

I am taking this entire week to recover from all the hanging out I did with my fellow alums at the University of Maryland Homecoming this past week. I sit in a café writing and reflecting on all that has changed at my alma mater since 1989. More to the point, I am reflecting on all that has happened to change Black life at the university since the first Black undergrad (Hiram Whittle) was admitted in 1951, the first Black grad student (Parren J. Mitchell) in 1952, and the first Black Women (Elaine Johnson) in 1955.

For the Blacks who attended UM before the early 1980s, it was a largely racist and unwelcoming step toward a better life in America. The majority of the administration, faculty, staff and students called and treated those students as if they did not belong. So much so that the federal government had to step in and insist the University change its treatment. One item on that list was use of the word “Nigger,” which, if you talk to anyone who came through UM between 1951 and 1979, was the first word they heard when the stepped on the campus. As a result of their treatment, it is difficult to find Black graduates for the 1950 and 1960s, because almost all transferred to more progressive and welcoming institutions of higher learning.

By the 1980s and 1990s, UM had been transformed into a mini-HBCU, with a Black student body that numbered close to 1,500. Those students enjoyed total access to university resources and a prospering and successful Black student body. When I arrived at UM in 1989, I was overwhelmed by the large campus and the 35,000 predominantly white students. But within weeks I was enveloped in the arms of the Black Terps and have remained so for the past 25 years. I can’t tell you the hundreds of incredible benefits that have sprung from my time at UM, but can attest to the fact those benefits arose out of the great relationships forged during my time at UM, and nurtured ever since.

And here are some of the facts to bear witness to the facts that the benefits of UM are not mine alone:

  • The University of Maryland has the largest group of Black Alumni of any predominantly white institution in the United States of America.
  • The University of Maryland produces more Black Lawyers than any institution including HBCUs in the country.
  • The University of Maryland instituted a rule that all athletes will be allowed to stay at the university and complete their degrees.
  • The University of Maryland graduates 86% of its matriculating Black males and 89% of its matriculating Black females, more than any other similar school.

It is now time for the Black alum of the University of Maryland to take their rightful place in shaping the next 100 years of Black life at our wonderful institution. Black Alums have amassed power, influence and money both nationally and internationally, and it is time that those resources are put to great use for the next generation of leaders, lawyers, engineers, scientist, businesspeople, artists and others seeking a top-notch education.

Because many alums identify more closely with their classmates, fraternities and sororities and organizations than they the university itself, it can be difficult to determine how best to make a contribution to serve the next generation of Black students. Below are a few rules for giving that will help ensure your contributions can reach, and more importantly affect, the future wellbeing of Black students at UM:

Rule 1

Target your giving. If you want to help provide money scholarships for Black students, make sure your money is earmarked specifically for that purpose. Unless your money is earmarked, it can end up anywhere the university sees fit. Neither Bill Gates nor Warren Buffet give money unconditionally, so why should you?

Rule 2

Find a UM organization you care about and give through them. Give through a group focused on the community you seek to help. Such donations give that group more power and influence, and help them achieve their mission. In addition, those donations send a message to the university that this group is a force to be reckoned with. Giving through a specific organization also provides you with more opportunities to observe how your money is being spent, and allows you to play a greater role (if you want to) in helping that organization meet its goals.

Rule 3

If you had a bad experience with racism and bigotry while at the University, you are just as responsible to give to the current student population if you have the resources to do so. America has been a largely challenging experience for  Blacks, but the Black students of 1951 – 1979 are as needed as the grads from 1980 to the present. You need to come see that your sacrifice was worth it. In 1951 if someone called you a nigger you took it; by 1989 the person who used such words was not tolerated by the University or the Black students. Now that’s progress!

Today’s students have a different perspective of race relations that we did, and our perspective was far different than those first UM pioneers in the 50s and 60s. But we stood on the shoulders of those that came before us, because their influence paved the way for the seats we took. We must use our influence to pave the way for today’s students, though our commitment to them in time, service, and money.

Rule 4

Don’t just give money. Be visible. Go to alum functions; go to football and basketball games. Volunteer to mentor a student. Provide internship opportunities at your job or business. The ability to help another person’s life turn out better is real power. Call your friends who went to school with you and encourage them to make their power and influence felt at your alma mater. Your network is your net worth.

Rule 5

Give out of love, not obligation. I appreciate UM for the opportunities and relationships it provided me. I choose to give to the university because I love the young people I may never meet, and relish the opportunity to positively influence the outcome of their lives. I encourage you, as fellow alums, to do the same. It is a blessing to be able to help others, and UM has helped me provide that blessing. Being a contributing member of UM alumni community has also has provided numerous financial opportunities and unforgettable memories.

But if you are reading this and weren’t lucky enough to have gone to the University of Maryland, I am sure that there is an educational institution that helped you (or could have), and the students there could use your help. These rules still apply.

The easiest way to get involved and implement these rules is to reach out to fellow alum that you see working hard for the university and ask how you can be of service. Other than that go to homecoming next year and experience what you helped to create.

Wishing you Wealth, Wellness and Wisdom


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Your Mortgage as Your Financial Tool and Not Your Financial Burden

Your Mortgage as Your Financial Tool and Not Your Financial Burden

I’m so happy to announce my new book “Your Mortgage As Your Financial Tool, Not Your Financial Burden” is now available on Amazon. I’d love for you to give me your opinion of this educational mortgage buying guide.

I hope the information in this book helps you, your friends, and your family make more informed decisions regarding the biggest financial investment of most people’s lives.

Please drop me a line as a book review. All feedback is welcome.

In addition, if you or anyone you know needs a great mortgage banker in Maryland, Virginia, Washington D.C, North Carolina, Georgia, or Pennsylvania call me at 410-908-5987.

Thank you for being a friend,

Manager of Wealth

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New Book from Manager of Wealth Coming Soon!

New book cover coming soon

Just before the spring home buying season kicks in for 2014 , Manager of Wealth LLC is delivering a new book on Mortgage financing. This Dynamic book Your Mortgage as Your Financial Tool and not Your Financial Burden explains how mortgages work and how to pick the right mortgage and mortgage professional for your mortgage financing needs. Look out for special early promotional specials.

Get your hands on this home buying and refinancing guide at a special discounted price.

Wishing your Wealth Wellness and Wisdom

Manager of Wealth


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The Four Types of Wealth to Leave your Heirs – You are Richer than you Think

You may not consider yourself wealthy but if you are reading this chances are you have more true wealth than you can even imagine.  In addition, you have an opportunity few will ever know, the opportunity to pass on four types of limitless wealth to your heirs.  To pass on this wealth you must be purposeful in the legacy you leave, because if you are not you will pass on poverty and hardship to future generations, even if than is not your intention.

For the purposes of this article let us define wealth as a perpetual passive stream of income that meets all of your needs, most of your wants, and allows you to pass on a legacy of wealth for the next generation. 

Now that we have defined what wealth is let’s discuss the for different types of wealth and how to build them, enjoy them and leave them for the next generation.

The first type of wealth are your CORE Wealth or Human Wealth.


Core assets are your Values, your Health, your Character, Family, Talents, Habits, Spirituality, and Heritage. It would be impossible for you to be where you are now with out these core assets. Teaching your children how to be happy, healthy, and loving human beings is essential to their prosperity. People who do not enjoy the benefits of being well endowed in these areas rarely find happiness because they are totally disconnected from any core values and family.

The next area of wealth is your Intellectual or Wisdom Assets.


This includes your knowledge, Education, Skills, Systems, Ideas, Methods, Experiences, Reputation and Traditions. It is important for the current generation to teach the next generation how they became successful. Most financial wealth comes from systems, methodology, and connections.  People often remark that people from certain families or members of certain groups seem to find success so easy, but that is intellectual wealth in action.  To build this wealth make sure the next generation knows what you know. Write it down and pass it on. Mentor the next generation so they can skip some of the struggle and build on a more firm foundation.  Do not send your heirs out into the world to start for scratch to prove a point. I have seen my community do this with its children and in the end it killed the wealth of the entire family because time, energy and money was wasted because there was no one to carry on the family legacy.

The next type of wealth is Financial Wealth or the Material wealth.


This includes your Real Estate, Stocks, Bonds, Cash, and other possessions. It is important to note that this type of wealth is just the things not the means to acquire the things. It is because so much focus is placed on this area of wealth that it is said wealth never last more than three generations. Become a student of the wealthy and what they do with their money. Forget about the stock market and all the crazy risk that poor people take. The wealthy use simple income protected and insured method to preserve their well for centuries to come. There are billions of dollars in family trust that can never be squandered because it was built properly.

The last area of Wealth is your Contribution Wealth or Civic/Social Wealth.


This wealth includes your Taxes, Charities, Time/Talents, Family Foundations, and donating your wisdom to others in need.  These good works and giving to the community at large keeps you connected to the wealth of the entire community which ultimately benefits you and your family. Not passing on a tradition of giving and contributing to the community lowers your standing in the community.  Make giving apart of your children’s lives. Attend and support charity events that align with your values. Feed the hungry and cloth the naked. Don’t wait until you have millions, do it right now.

Core wealth, Intellectual wealth, Financial wealth, and Civic wealth put together almost certainly assure a person will have a wealthy life and each area provides an ongoing passive stream of riches that will allow you to meet all of your needs, most of your wants and leave and even greater legacy to the next generation.

Look at the great families in your community and around the country and you will see them operating in all four of these areas. You will see that their wealth is never depleted because they have passed on much more than money.

If you had to give up one area of wealth and keep the other three, it would be wisest to give up the Financial Wealth because with the other three types of wealth you could get your money back in a very short time.

Wishing your Wealth, Wellness and Wisdom


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Mark Fuller Live at The Westin Wealth Breakfast

Mark Fuller lectures on Wealth Building

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Stefan Sagmeister : The Power of Time Off

This is an wonderful idea for recapturing your creativity and peace in your life.

Wishing you Wealth, Wellness and Wisdom

Manager of Wealth

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