Pre Launch MLM – Holy Grail Or Nightmare?


It seems that almost every week you hear of a new pre launch MLM. These pre-launches are often accompanied by a lot of excitement and hype, especially if there is spillover involved, such as in a binary or forced matrix. But is a pre launch MLM a good investment of your time and energy?

It all depends on you and your tolerance for risk. Early on in my network marketing career I was involved with a pre launch MLM. My partner and I were able to build a team of over 1,000 people fairly quickly. Soon after this the company went out of business.

Luckily we are able to find another company very quickly. But do you want to keep having to jump from company to company because the pre launch MLM you joined failed? It’s not fun and every time you have to move you lose credibility because people start to question your judgment

So once again … Is a pre launch MLM a good investment of your time and energy? Well let’s check the Pros and Cons

The Pros of a Pre Launch MLM

You’re in early and at the top. A large percentage of people that join will be in your down line. Your down line income could be quite substantial

You could get lots of spillover… if the compensation plan allows it.

The Cons of a Pre Launch MLM

There is an extremely good chance that the company will fail within two years. It may happen even faster. Startups are very risky in any industry … not just network marketing.

There may be lot of changes with the company. They may have to change the compensation plan. They may try different products. What I have found in MLM and in life in general is that people don’t like change. Your team may get spooked.

Your down line may bail out when the next pre launch MLM comes along. Many people that are attracted to a pre launch MLM get bored easily and will move on when the next one comes along.

My Advice to You

I would recommend not getting involved with a prelaunch MLM. I would say look for a company that is at least 3, and preferably 5 years old and has all the bugs worked out. Don’t fall for the “Get in Now” hype.

If an opportunity is good now it will be good a year from now. Don’t let anybody rush you into joining. If you do want to join a pre launch MLM make sure you do your due diligence. Join based on sound business principles and not because of hype

Google is your friend. Do a search on the company and see what other people are saying about it. If they all seem to be talking about the business opportunity and rarely mention the product steer clear.

Sleep On It. There is no need to join immediately. Take a few days to really think it over. If your potential sponsor is pressuring you there is something wrong.

Good luck in your search. I have been involved in the network marketing industry since 1994 and couldn’t imagine doing anything else!

Jack Bastide is a Full Time Network Marketer and Co-Author of the Book “Navigating The World Of Network Marketing”. You can find out more about him by going to Find Out How Jack Personally Enrolled 22 People in One Month Without Spending a Dime On Advertising by going to

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4 thoughts on “Pre Launch MLM – Holy Grail Or Nightmare?

  1. I was just shown your website from a friend and i really like it the content. Thanks for spending the time on it and thanks for the advice Jack. I am new to MLM and DID get in with a 10 year old company called Univera. I will follow your web page and reply to you on my success…

  2. You very well put it that there are pros and cons with an MLM prelaunch like in everything else in life. In my opinion that kind of start ups are a dangerous field better left to people with great experience and connections in the industry that can better calculate the chances that a new company has to survive and prosper in the future. If someone is new to network marketing is better to start looking for an established company and forget the pre launches.

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