Everywhere I go, whenever someone discovers I am involved in Multi-Level Marketing, or MLM, I am always asked: Do people really make money doing that?

I like to answer that question with another question: It’s a $30 billion industry involving some of the biggest companies in America. What do you think?

MLM has an undeservedly bad reputation. Why? So many have tried it with unrealistic expectations, failed and decided it’s a “scam.” The truth is there is no scam. The secret to making money in MLM is really no secret: it’s hard work. Unfortunately, most people quit MLM before they figure that out.

Why do people quit? I hear about a variety of reasons: not making money, can’t get anyone to join, found something regular, can’t get anyone to buy the product, can’t get the people I sponsor to recruit, and my favorite: can’t sell things.

These are all real excuses, and truth be told, they are all lame excuses. I have found four key factors that prevent people from finding success in MLM. Avoiding these pitfalls will not only ensure your success with MLM but will ensure success with your downline – the people you recruit.

What are these pitfalls? Read on.

Factor No. 1: No faith

This may seem obvious, but if you don’t believe that your company, its principal owners and their staff are providing some sort of quality service or product, you won’t stay with them for the long haul. Also, if you don’t have the confidence to believe in yourself, you will never get far in MLM.

When you are looking for a regular job, you don’t always have the luxury of choosing the company you work for based on your respect for them. However, when you are involved in MLM, you not can, but should, choose a company based on how much you like their product or service.

Of course, this means you will have to try that product or service. This sounds like common sense – but you would be surprised how many people who join an MLM company never try out the product or service they are selling. How can you recommend something you’ve never tried yourself?

Know what else you have to believe in? You have to believe in yourself. You see, when someone has quit on themselves it’s easy to quit on an opportunity – especially if they’re not making any money in the program at first.

Most people lack the self-confidence it takes to stick their head above the crowd and be accountable. I know this from personal experience. I was scared to death to call someone on the phone and try and recruit them. Why? Because I doubted my ability to not only lead and encourage others to follow their dreams, but to offer advice. How could I recommend an opportunity to someone, who I hardly knew, that I’d had no success at?

It’s kind of like the chicken and the egg scenario. Do you become financially successful first and then you gain confidence? Or, do you become confident first and then you automatically become financially successful? And, if the latter is true, where do you get the confidence if you’re flat broke and have no track record? Here’s three things you can do right now to help you in this area.

First, read books about building your self-esteem. You’ll find tons of these types of books in either your library or local bookstore. They will aid you in not only believing in yourself, but also in creating a big enough dream that when the chips are down, you won’t roll over and quit!

Second, use the products or the service your company promotes. If you’re satisfied with their usefulness and their cost, then you’ll feel comfortable in recommending them. Belief in your product or service is vital in your ability to be sincere when talking to your downline as well as potential prospects.

Thirdly, associate with those in your upline who have done what you want to accomplish. Seeing that others have succeeded in your program will enhance your own faith in what you are doing. Now, if you can’t find a profitable upline then, it’s time you moved on.

Factor No. 2: Learn to recruit

Every MLM company has developed its own version of a recruitment system. While many systems have factors in common, each company offers something unique to its sales force when it comes to brining in new people.

Some systems are streamlined and simple. Others may use 15 different brochures, flyers and postcards. Regardless, you need to find a way to understand the recruitment system, whatever it is. Confusion is the enemy to productivity.

The last thing you want is having everybody in your downline going off “half-cocked” and creating his or her own recruiting system. Stick with one system when sponsoring people into your MLM. If your recruiting system is difficult, expensive or hard to understand, you’ll have very few people in your downline duplicate your efforts.

Whatever system of recruiting your company or upline uses, you should learn it. You want to understand all the ins and outs of the system from someone who uses it successfully. Once you’ve learned the system all you have to do is “duplicate” the efforts of someone who uses it successfully, and you too will achieve the same results.