After I put up the online options to making money sitting at home, I got feedback from my not too net savvy friends saying that it was beyond them. So I went off to hunt for more home based business options. That's where I found MLM home business options.

MLM or Multi Level Marketing is a home business opportunity offered by a number of companies today. In this hub I will try and place the pros and cons of such a business in an objective manner.

Here's how the system works

In most of the cases this is how it will play out. You get recruited by a member of the distributor chain from the company. Now you use the products yourself, and sell them to others. This gives you instant income on each product that you sell.

If you wish to increase your income you have the option of recruiting more people on your down chain. Then the sales that they generate will also generate a profit for you. So the more people you have on your down chain the more money you make. At least in theory.

This is also known as the pyramid business model. In which the person placed on top will make the most money, then the next level and so on. In most cases the new recruit is actually working hard at selling and making money for people on the up chain.

It takes time to have your own team put into place below you and many people don't bother to make the effort. They end up feeling frustrated with the system and quit the game before they really become big players in it.

The attrition rate for these companies is very high. With such a high turn over rate it is natural that there are very few people patient and persistent enough to actually make good money from the company.

Top Ten MLM Companies

The ten companies that I have listed here are all established brands with a multi national presence in the world.

Herbalife : This company sells herbal weight loss products and is associated with the slogan "Lose weight now! Ask me how." Mark Hughes established the company in Feb 1980. He died in 2000 at age 44 of a drug overdose.The company was taken over and now houses its headquarters in the Cayman Islands. It is operational in over 65 countries.

ACN Inc. : This company is the world's largest telecommunications provider. Founded in January 1993 as the American Communications Network it was renamed ACN Inc. when it went global. It is now operating in 20 countries world wide and has its headquarters in Concord, North Carolina. Its products include phones, mobiles, internet services, satellite TV and home security solutions.

Reliv International : Robert and Sandy Montgomery started Reliv International in 1988 to help people gain control of their lives. They currently operate in 5 countries and are looking to expand. Products include variations of the basic food supplement powder developed originally by microbiologist Dr. Theodore Kalogris.

Arbonne International : Started as a skin care products company in 1975 in Switzerland by Petter Morck. Came to America in 1980. Now products include weight loss and nutrition products besides the skin care products based on botanical principles.

Market America : The online "unfranchise" from which you can make money! The company was founded by James Ridinger (of Amway fame) in 1992. Currently operational in 5 countries it sells a wide range of products from its website. Commissions are earned by activated members who have two active member below them.

Nikken : A Japanese company that focuses on wellness. Its magnet therapy products are the cause of its popularity and scam reputation. This company was founded in 1975 by Isamu Masuda. It came to America with Tom Watanabe in 1989. Currently operates in more than 35 countries.

XanGo : Its main product is the XanGo Juice which is made of the juices of eight fruits.The Mangosteen juice being its primary additive and said to have fantastic healing and nutritive value. The product is currently under the FDA's scanner and is yet to get a clear chit.Currently the company is operational in 12 countries world wide.

Primerica : They sell insurance and mortgage and other related financial products. You will basically become an independent banker for them. The company was originally started in 1977 by A L Williams and is today a part of the Citigroup. It has its headquarters in Duluth, Georgia. You will need to pass an exam to work with them.

Oriflame : It is again a skin care and cosmetics company which operates in 61 countries globally. It is not yet operational in America. It was founded in Sweden in 1967 by the brothers Jonas and Robert af Jochnick along with their partner Bengt Hellsten. In the last 40 years the company has seen great financial success.

Carbon Copy Pro : The latest in the MLMs to hit the scene CCP is the online version of an MLM company. You need to generate traffic to their site and each conversion will give you some money. If you want to make more money you will need to pay and join up a sister website.

What do they have in common?

They are all MLM companies whose products are available via their consultants.These are not to be sold over the counter in shops. The distributor network needs to be increased by you so as to gain financially from the company.

The Good

These companies offer training and a support system which is needed for any business opportunity. The sense of community is great and you will always have some one to help you out with your queries and doubts.

There is no need to be highly educated or qualified to join most of these companies. A typical weekend training is sufficient for you to start your business. The companies also help you get started off well with a few basic products in the starter kit.

The Bad

You will need to sell one on one to family and friends. This can be a bit difficult and you may find people avoiding you as they don't want to buy from you. It can seriously test a friendship if you start seeing your friend as nothing more than a sales prospect who is yet to be converted.

You work as much as you want. You need to be very disciplined about maintaining work schedules and sales volumes. Your income will soar or tank in the month totally depending on how well you work in that particular month.

The Ugly

Many ex-distributors will become online competition for you. These people were not able to keep up with the demands of the business and quit. Now they are hoping to get back some cash from the number of products they are still stuck with. So they sell them online on e-bay or other sites at a reduced rate.

Also there is usually a clause of generating a certain level of sales each month to be eligible for company payouts. This can be quite tough in the beginning when you don't have a set system and clients in place. So you tend to buy products that you do not need and increase your stock. Blocking money in the process.

Home Business

As a home business it can be difficult to run. However with the exception of CCP you can do this with no help from the internet. So if you are loathe to use the net, this can be a good option for you. Specially if you are a social person with a large group of friends. Just guard against being overzealous or you might find the number of friends dwindling.