What is a Fake Business?

I’m wondering if I need a new name for this blog.

After reading a blog posted on Sunday by one of my readers (Anna), I am seriously considering a name change.  What she wrote made me embarrassed to call myself an 8pm Warrior.

What sparked this?

In a previous post, I asked the question “Is Multi Level Marketing (MLM) a good opportunity?”  Apparently, this topic is hotter than I imagined.  One reader even commented that they thought “8pm Warrior” referred to the time of evening when these Multi Level Marketing people like Amway, Market America,  or similar groups get together and talk about their fake businesses.

Fake business…

I don’t know if I was candid enough in my first post (probably too nice).  However, now that I’ve revisited the issue, here are some clear thoughts on the matter in plain English:

1)      It is not a business if you never plan to make a profit (or if 99% of people who do the same thing will lose money).  That is called a hobby…much like owning a boat, gardening, or building miniature model ships inside glass bottles.

2)      If by chance, someone makes money doing this sort of hobby; it does not legitimize this business model.  Even though a blind squirrel finds a nut once in a while, finding the nut on accident does not qualify the squirrel as a bona fide nut business owner (however, MLM’s might qualify).

3)      You are not a business owner because you sell yourself products.

4)      You are also not a business owner if you use your strong emotional connections with family or close friends to sell overpriced products.  That is called misguided, annoying, and destructive in the long run.

5)      It does not mean you own a business if you dress up and pay thousands of dollars to hear speakers tell you about their dreams coming true.  Their dreams came true when you paid to hear about their dreams coming true and signed up for the snake oil they were selling.

(Side note, MLM’s do prove that speaking for a living is a real business)

6)      You are not an 8pm Warrior just because every Wednesday night at 8pm you bring yourself and others to a hotel conference room to play a childish game of “Dress Up” or “Pretend”.

My two kids dress up and “play house”, but that doesn’t mean they own a house.

Real businesses add value.  Real business owners must offer something more than dreams.

Have a real night,

Aaron@Biebert

Further Reading:

Less than 1% chance of success

Demographic Groups that Amway Targets