Dec 5, 2006

The Long Goodbye???


I just heard that one of the newish scrapbook direct sales companies is in trouble. The rumors were flying that they were going to shut down. But, the founder sent out an odd email saying that they were NOT shutting down (but is obviously on life-support), but instead, decided to have a HUGE year end sale. It reminded me a bit of Presidential Wanna-Be John Kerry's answer to a question about voting for the Iraq war ("I voted for it before I voted against it"). It was "I decided to close before I decided not to close." So, which is it?


I have also heard that this company was not paying commissions owed to some of the top team leaders. That's always a bad path to get on. That's what happened at Scrap In a Snap and it was the beginning of the end for them.


So, it begs to be asked - if there is no money to pay people, and they're having a BLOW OUT sale this month, then, what will be left to sell in January if there's no money to buy new products with??? (I did this section in red because it's a RED FLAG!!!!)


I have also heard that several consultants are jumping ship and heading to ANOTHER direct sales company. But, if there is one lesson to be learned here - learn to ask questions! The direct sales company that some may be jumping to has ALSO had problems this past year. The industry is in a bit of a slump and these companies have a terminal case of "demand and supply" going on. As I found out after my own experience with a direct sales company in 2000, things aren't always what you are told they are. Yes, backorders happen. But if they "happen" and "happen" and "happen" and "happen", then I would start reading between the lines...


If you are truly interested in running your OWN business WITHOUT the drama, then maybe you should consider trying ScrapBiz this time and not heading off to yet another direct sales company that might leave you high and dry in the future. If ScrapBiz closed tomorrow, all of our members would be able to carry on. We have given them the tools and information they need to run their OWN business. They would miss the support and friendship at ScrapBiz, but it wouldn't destroy their businesses. And, after my own experience in scrapbook direct sales, I set it up that way on purpose.


If you are a consultant with this unnamed but ailing company and are interested in just going off on your own - with a fabulous support system behind you - then email me at Kim @ ScrapBiz.com for a special offer JUST for you! But, do it soon because our membership prices will be increasing for new members in January. You'll be able to lock in our current membership cost at the current rate if you join before prices go up.



3 comments:

Anonymous said...

Uh oh. I've been looking at some companies. Can you give a hint to the identity of this one? Hearing this stuff makes me nervous. :-/

Kim Guymon said...

This company just had a BIG sale. Ask a LOT of questions about commission checks (are they caught up at ALL levels and sent on time), backorders, and other issues that will affect YOUR business.

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