article repost: Dreams continue, even after retirement

I am reposting an article written by Gelo Cimagala, one of the very able distributors of Reliv for Business Insight Malaya. Go Gelo! :) 

Dreams continue, even after retirement

BY TRISTAN ANGELO CIMAGALA

Retirement has been good to Sonia Lim, a former trade marketing staffer at a multinational food corporation based in Paranaque. Recently retired at the relatively young age of 50, Lim has found a new passion to fill her time. Instead of the mind-numbing task of sorting through endless paper work she has found the exciting world of Mary Kay. In fact she does not consider herself retired.

"Yung retiree, yun yung nasa bahay talaga," she quips. "Parang nag-shift lang ako (ng work). Hindi pa ako retired."

Lim targets sales of P10,000 a day and employs one or two employees called "beauty consultants" to assist her with her work.

Lim is not alone. There is Oriel Magno, 63 a public relations practitioner by profession but who derives a huge chunk of his income from a company called Reliv.

He was with other networking companies before as a company executive but only with Reliv did he decide to become a distributor.

He narrates his first year with Reliv: "It was all excitement. I was able to get excited distributors...Before one year we earned P1.5 million."

More than the business however, he says he has found relief from his hypertension while his wife no longer suffers from the ill-effects of lupus. All thanks to their product.

Cyril Salvo, 51, was able to send her 7 children through school with the help of her Fuller Life business. "Nakapag-patapos na ako ng mga anak. Mga daily needs, mga gamit ng anak. Naging bread and butter namin (ang Fuller Life)...Pati sa kamag anak, na share ko ang benefit dahil sa direct selling."

She has come to depend on her business for most everything that they need in their daily lives. "Isipin ninyo hindi na ko bumibili ng appliances...lahat yan incentive. Mga rice cooker, electric fans. Halos lahat yata ng gamit namin sa bahay ...galing sa regalo," she says.

Mary Kay, Reliv, and Fuller Life are all multi-level marketing (MLM) companies operating in the country.

The industry

According to the Direct Selling Association of the Philippines (DSAP), the recognized group of MLM companies, there are an estimated 2 million individuals engaged in the practice of face-to-face selling. It does not have a retirement age, and anyone can do business regardless of educational background.

"It’s a great business for someone who has limited capital and wants to enter initially into retailing quality products. Risk is small because there are limits to entry fees. Rewards are great because of the way compensation plans are designed," explains lawyer Jolly Gomez, vice-chairman and in-charge of communications and government affairs of DSAP and also the managing director of Reliv Philippines.

Globally, the industry contributes $114 billion with products spanning food supplements, consumer goods, water, books, apparel and other services. For the Philippines, the industry has grown to P20 billion and is expected to expand despite current difficulties with the economy.

Gomez sees the industry developing further as there is much room for expansion. "This is a steady growth in a population which today is closing in on 90 million. This is one direct seller for every seventy five people. Compare this with the US which has 15 million direct sellers in a population of 300 million or a ratio of 1:20."

Gomez continues: "The Philippines is a market with very few players in the industry. We have only 27 DSA members as compared to 300 in Malaysia. The result is that there are fewer choices but better standards. With the Asean Harmonized Tariff scheme we may see the entry of many new companies from the region co-existing with local direct selling companies."

What exactly is network marketing?

"Direct Selling is face-to-face selling to the consumers through independent distributors or sales people. It is a legitimate marketing medium that is used to sell practically anything," says the DSAP website.

What is even more interesting in this business is the network building and the overrides or royalties one earns from the efforts of these "downlines."

Think of it as working in Human Resources, Marketing, Finance, and Sales in a corporate setting, all rolled into one. The distributor markets and sells the product, collects payment, and recruits people. These people will be trained by the sponsor who in turn will duplicate the system, otherwise there is a risk of losing them from the organization.

Magno relates: "A legitimate network marketing company is work. Your efforts are tied directly to the growth of your organization. It’s hard work but fun. Rewards mo mas malaki.....As you build your organization, once it hits someone who starts to earn lots of money you can’t stop that person if he wants to be successful."

A sponsor or upline then earns additional income through overrides, an additional percentage from the sales or earnings of the individual within his organization.

"Overrides can really pay you for life," declares Magno.

On the other hand, Salvo earns additional income from those she can encourage to re-sell her products by giving additional discounts to them.

"Lahat ng tao gusto kumita... (Sasabihin ko sa kaibigan ko) bibigyan kita ng percentage. Parang nagmu-multiply ang hand mo. I-share mo sa kanila ano ang nagiging benefit para sa iyo, paano sila mag-earn ng extra income."

A caveat

However, the industry has unfortunately earned for itself a reputation for being a source of dishonest practices.

"People still associate this industry with scams but the truth is that most of the scams that hit the Philippines in the past 10 years involved money investments and not the sale of consumable products," defends Gomez.

Gomez concedes, however, that there are those who make staggering claims, ones that are too good to be true.

"Unfounded and exaggerated health and income claims also damage the industry because these make health and medical practitioners resistant to health products. DSAP is involved in educating the public on the legitimate ways to do business in the Philippines. We are also in the forefront in the drafting of a Direct Selling Law in the Philippines," Gomez says.

As a reminder, Magno has this advice: "Choose one with a track record."

money and happiness

Money can buy happiness.

I have found a new site titled as above which is authored by Laura Rowley. (Kindly find link from the well-spring section). To which, I reminded me of the lessons I learned about money. And yes, I have to agree with her. Money may not be the most important thing in the world, but it definitely affects all other areas of life.

In my quater-life, I am now going through a lesson learning experiences about money and how it works. Yes, I am currently unemployed in my mid twenties and tell you, it doesn't feel good asking for allowance from my parents. I miss those days when I rake in my own money, spend it to the my heart's content and later earn some more. Although, I am not completely sad since I left the corporate world to pursue my law degree, which will be a different story altogether. I am now contemplating of finding means of earning.

Vending isn't very appealing. But maybe, I have to try it too. Atleast, learn the lesson of confidence about the dignity of it. I do have to learn the discipline of saving. I did saved some money before I left my previous job, but I still have to be tighter on myself, especially now. I do have the tendecy to splurge, especially when feel stressed.

I realized it all boilds down to what you have set aside and not what you actually earn.

money sense

For most people to talk about money is obscene. It is like Harry Potter’s Chamber of Secrets that no one else dares to even whisper about it, lest you die. It is like engaging in an immoral activity which will cost you your soul for hell.

I am having a different view now. I believe—after a lot of thought correction—that money is neutral. It is neither good nor evil. It only depends on how we use it and how it influences our lives. Most of us think that money is evil and the rich are crooks. I have to admit that in as much as I wanted to earn I had that subconscious belief lingering somewhere in my head. I agree with what would Bo Sanchez say, “Money may not be the most important thing but all other areas of life are affected by it.” If I use money to love others, then it is good. Therefore, money is good. I now break free.

I’m a goal driven person. I only turning 25 and I am hoping to be financially stable before I actually settle down for family life. I want to provide myself with a nest either a house or a condo unit, drive my own car, own a business or two and have a hefty sum of money in the bank and other vehicles of investments.

I want this because fear the day that my future family will have to pull ends just to survive on a daily basis. Please do not mistake me for being materialistic. I just want to be financially independent with more than enough to share to others. I want quality of life because I believe I deserve it.

I dare now speak about money because I realize that I need the skills to handle it well. I dare now ask people who now about it so in time, I will be able to command money and maximize it to meet my needs and those of the people I love. I dare now explore how it works because I do not want to be ignorant and suffer the consequence of it. Worse, let my love ones suffer with me.

I have my own share of stories as regards handling finances. I failed a lot of times and I am still struggling to learn more. I am still a kindergarten in the University of Money, but I now stand in front of my school clutching my lunch box and ready to meet my teachers.

This is the beginning.