Saturday, October 16, 2010

Pretend Business Owners

“Here’s what we’ll do for you. We’ll help you get started in your own business. And we’ll offer you coaching and mentoring.”

I heard that at just about every Amway meeting.

I probably heard that long before we even got involved in Amway when I went to an information meeting about an entrepreneurship training program which I ultimately spent several months attending.

Amway IBO’s sponsor people by telling them this is their opportunity to be a business owner but don’t give any further advice on what else is involved when starting up a business. You’d think this would come up in one of the late night “teachings”. Instead those “teachings” consist mainly of rants about which IBO’s should change their clothes, hairstyle, car they drive, etc. It would make better sense if those “teachings” actually provided useful information such as advice on how real business owners set up shop.

While I’m not going over the curriculum or advice I received during my entrepreneurship training, here are a few things I learned there about starting my own business.

1. Search for a business name. This doesn’t mean thinking up a name, decide to start using that name, go for it, and that’s the end of the story. It means you pay a government agency to do a name search to see if anyone else has already registered that business name.

2. Register your business name, probably at the same government agency.

3. Purchase a business license for the city where you live/do business in.

4. Purchase business insurance including errors and omissions insurance. (This is to cover your ass in case you lie or make misrepresentations to others while tricking them to come to Amway meetings, sponsoring IBO’s, or buying products. Piss off the wrong person and that insurance might come in handy.)

Real coaches and mentors would have these on their checklist for starting up a business. Phony coaches and mentors running a scam wouldn't.

There are many steps to take when starting up a company such as buying equipment, payroll, tax numbers, hiring professionals (accountant, lawyer), registering the vehicle under company name, etc. The above lists just gets most self employed entrepreneurs started. Important starting steps to take to be considered a serious business owner.

The Amway IBO’s I knew didn’t take any of these basic steps and yet they still considered themselves “business owners”. Ha! Nothing but jokesters pretending to be business owners. Not in the same league.

I’d say Ambot and I were the only IBO’s in our leg who were real business owners, and I’m talking a business that has nothing to do with Amway. The steps we took when setting up our real business, we didn’t take with the “Amway business” because we were never instructed to do so by our upline. Amway “business owners” or commissioned salespeople?

To sum up our Amway penance: pretend business owners losing real money.


  1. If you knew you should have done those things, why didn't you, even if the upline didn't mention it?

  2. Ever hear this one?

    "Never question upline."

    Who are we to question upline? We are there to learn from their vast experience at being business owners. How else are we going to succeed if we don't do what they say and duplicate them?

    Oh wait, I got that wrong. We are there to be brainwashed even if our common sense tells us this can't possibly be right.

  3. My upline was a young punk construction labourer who dropped out of university. I was told to always counsel with this broke moron. Im lucky at that time i had no money for tools or this business cause of my student loan etc.

  4. Ever hear this one?

    "Never question upline."

    Nowhere except on critics websites. In our organisations we're encouraged to ask as many questions of our upline as we want.

    As for your 4 points, I own and have owned and operated number of enterprises, ranging from sole traders to Corporations and LLCs. Sole traders are not required to register a business name and in most jurisdictions are not required to obtain a business licence until their income reaches a certain threshold. Despite your claim it's not covered, the potential need for a licence and how to obtain one is covered in the section "Managing your business" of the Amway Business Reference Guide. Just to make it easier for you the relevant section is headed "Business Licences" on page C-2. Page C-3 has "Business and Family Insurance" and describes the insurance coverage you get as part of the IBOAI membership. It also provides contact details for obtaining further insurance if desired.

    So, of your 4 points, one, two, and three are unnecessary for most IBOs, and explained in the Amway manual, and four is also covered.

    I would think an experienced business owner like you would know how important it is to read the information provided by your business partners, with whom you signed a contract.

    1. Now what does a tinscam piece of scambotwaste know about REAL business? Nothing of course, just untwist those scambolts of yours and go on sputtering that dated Scamshit-programmed dialogue Quixcum! What a loaded memory-card you must have scambot, sure hope you don’t try to upgrade on your own amshit.

  5. I heard it many times, but you didn't have to question upline, you could have just gone and done the things you listed, based on your experience.

  6. Maybe that's before a person getting into the business. After you get in the business's entirely different. We're told to buy cds,attend functions,voicemail etc without questioning. We're all told to do this with blind faith...even if it means racking up the credit cards. The worst is if u question things you'd get some sleezeball diamond who acts just like ibofb when answering the questions.

    IBOFB said...
    Nowhere except on critics websites. In our organisations we're encouraged to ask as many questions of our upline as we want.

  7. And with all IBOFB's (David Steadson) real business savy, he still isn't comfortable sharing his level achieved after many years of involvement.

    And he also finds time to become somewhat of an expert on small business ownership in the US, despite not actually having one there, nor any experience building Amway in North America.

    I also heard the "Never question upline". I think that exact phrase has been ferreted out, but there's other ways of saying it without saying it. Ever hear,

    Tools are optional but so it success.

    If you know how to do this better than Greg Duncan, then go ahead. We'll be here when you come back to get you on the right course...

    And stuff like that.

    Good ol' Steadson! Always there to try and save Amway. One wonders when Amway will provide him with the walkaway income that so many of its leaders promise?

  8. Anna,

    I still don't understand why you, with your business experience, decided against implementing the list of things you listed. I've read what colin and rocket have said hundreds, perhaps thousands of times. What's YOUR response?

  9. Tex, like I said we were pretend business owners. Pretend business owners don't need to take the steps a real business owner does. Even IBOFB agrees that when it comes to Amway the points I mentioned in starting up a new business are not necessary. That's because Amway IBO's are actually commissioned salespeople, not real business owners, thereby they don't need to set themselves up as real business owners. Same with any game of pretend. I can pretend that I've climbed Mount Everest but I didn't actually take any steps that a real climber would do to accomplish doing this. Reading something hundreds or thousands of times? I'm sure you're just pretending that you read it that many times.

  10. Anna,

    In other words, you simply didn't apply what you already applied to other businesses, for no particular reason.

    I agree with ibofb, that the points you mentioned are not necessary, that's part of the attraction of Amway, you don't have to do those things.

    Not doing those things doesn't make Amway "commissioned salespeople, not real business owners," it merely means they don't have to take the steps you listed.

    If you knew my background with blogging, then yes, I meant the hundreds, perhaps thousands of times LITERALLY, not pretend. Just like I'm not pretending to counter sue Amway for FRAUD, I'm LITERALLY doing it:

  11. yeah amway has liability insurance you can buy but if i remember right it does not protect you when amway sues you or high level distributors sue YOU

    i dont remember the details but if you go amquix you can find the whoel story

  12. I also heard the don't question upline from WWDB leaders.

    As for IBOFB, he "claims" to have built a decent business that made him some money, but for whatever reason, he gave away his precious business to his ex wife in a divorce. Since then he admits that he really hasn't been active as a business builder. In fact, I believe he spends more time defending Amway than building it. The only confirmed level that IBOFB has achieved as far as I know, is 3% or the 100 PV level.

  13. Anon, that's product liability insurance, and it comes at no extra cost. The "suing" is required to be done within Amway's thoroughly "unconscionable" arbitration process.


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