Following on from the launch of IBO organization Network TwentyOne’s official N21Corp YouTube Channel, Leadership Team Development (LTD) lead by Double Diamonds Larry & Pam Winters and Joe & Marybeth Markiewicz has now done the same, with LTDTV.
There’s five videos up at the moment, including one I’ve highlighted below of Larry Winters giving a tour of LTD’s headquarters. Apart from the offices themselves you’ll also note numerous staff members and equipment. I have no experience or knowledge of how the LTD organization operates, but there’s one question I ask you to consider. When you see Amway/Quixtar critics on the internet making their various calculations of how much “tool profit” folk are supposedly making, how often do you see them include even part of the kind of expenses you can see in this video?
Answer: they don’t. Anyone with any traditional business experience at all knows that the cost of raw materials and basic production (for example CD duplication) is a usually a relatively minor part of the expenses involved in the production, manufacture, and distribution of a product. The various BSM companies are no different to other companies – they have numerous expenses. “Critics” analyses are naive to the extreme.
Here’s Larry Winters at the LTD offices –
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Hello Mike! Like ibofightback mentioned, all businesses have expenses but what people fail to put in perspective is that the expenses you have in the business with the tapes/cds, is an investment within yourself.
To answer your question, the cost is pretty much the same. Today, this business is complete different from a year ago which is absolutely awesome. I spent tons of money on a 4 year degree that didn’t really help me in the end but the tools associated with this business is worth it because you its an education system that isn’t taught in school that should be taught.
So, how much does it cost for a IBO to purchase a tape/cd audio recording of a seminar/function talk? When I was in a audio tape was 6-7 dollars. What is the cost today? Really, I don’t know.
Now, what does it cost to produce it? I doubt it is even close to that much. My guess it is somewhere around 50 cents to 1.00 after all is said and done.
Unless you can show me otherwise…there is much profit to be made in the tools department and functions.
Mike, like in any business there’s a lot more to running a business than raw manufacturing costs. What about staffing? Office expenses? Legal expenses? Taxes? Distribution costs? So your estimates are naively low. Is there profit to be made? Of course. Why wouldn’t there be? It’s a business after all.
Mike, the basic cost of manufacture is only one component in the expense of producing anything. It doesn’t happen in a vacuum. There’s staffing, office expenses, legal expenses, unsold stock, taxes etc etc etc. Why do you think companies producing materials for IBOs are somehow so incredibly more efficient than other companies? For that matter, why do you think they shouldn’t make a profit?