Hey everyone, I just had an awesome weekend at UG5 (Underground 5 seminar, hosted by Yanik Silver) learning from some amazing businessman, entrepreneurs and very good friends.  I shared something that happened to me in my presentation and I’d like to share that same moment with all of you. 
After UG2 in 2006 I got home and was sitting on my front steps looking at my gravel driveway thinking about my businesses I was trying to run at the time. Emphasis on TRYING…really I was just getting by. My wife and I had just built our current home and we couldn’t afford paving the driveway so I remember distinctly sitting on the steps…feet on the gravel thinking to myself, “Man, you’ve got to get this together.” Schmidt Engineering was going okay, and USCCA was going okay but really what it came down to was that putting half effort into everything at the time was costing me a lot of money! I was frustrated! I wanted to spend more time with my family instead of working 80 hours a week. I wanted to feel good about my finances instead of just ‘doing okay.’
That’s when I made the decision. Focus completely on USCCA, put all my eggs in that basket, just do whatever I could to make that work! And you know what, one year later I sold my engineering business because the magazine really took off.
Reading ‘A Leaders Legacy’ they talk about Rosa Parks Moments (RPM!). Who was Rosa Parks before that historic day on the bus when she REALLY took a stand…er a seat…for herself? …she was a seamstress and a citizen. She was like the rest of us. Not famous, wealthy or a hero. But after that day she was known all over the country and people still celebrate her courage to act on her convictions.  My RPM completely changed my life and I will never forget it.  What’s that moment when you really say ENOUGH is ENOUGH! I’m not putting up with this anymore! Take it from a recovering engineer, quit thinking about it and make your own RPM! ACT NOW!

Take care,

Tim Schmidt

Now that is the question.  If I were in a room and someone asked “Who here has been in an MLM?”  My hand would go up.  If they asked, “Who had a good experience with an MLM?”  Again, my hand would go up.  Proudly so I might add!  Hmmm, I can already tell I need to write a DISCLAIMER: I do not want to promote or tear down any particular MLM/network marketing group.  I believe that anyone can succeed in direct sales as long as they have the persistence AND desire to make it work for them.

They come in all shapes and sizes these days.  From vitamins, to tupperware, juice, cosmetics, soap, energy drinks …simply pick which one you want and start your business! So why the bad reputation?  Honestly I don’t get it, I mean, there is bad buisness and bad salesmen everywhere.  Some great things about starting an MLM are that they have a very low cost sign up rate.  Whereas starting a franchise business you’re looking at 30K to 1M depending on what you want to do.  But believe me, whatever kind of business you are in or want to do only those that do the WORK will be rewarded.  You can’t just sign up and expect to get rich.

One on one=Powerful sales!

Here are some ‘Tim Schmidt’ MLM tips         

 - They must have a training system, audios, books, weekly & monthly meetings are important (associate with like-minded people).

 - Learn from a good mentor who has the results you want. *Don’t take advice from someone who is broke! 

 - If they advertise a ‘get rich quick’ concept, walk away.  Heck, I’d even say RUN away!  No LEGAL business that has an on-going profit is ‘get rich quick.’  Some businesses may appear to have a ‘boom,’ but believe me that is after years of planning and hard work.

  - Excellent leadership that you trust.  As John Maxwell says, “Everything rises and falls on leadership.”  If you do not trust your upline or company leaders I’d bet money that you will not last long in that particular company.

*Be careful for

Company’s that try to ‘own’ you.  If they put walls and restrictions on joining and quitting, and what you can do after you quit I would be wary of this.  Make sure they put the distributor first.  YOU are the advertising and marketing dept.  Your work should be justly rewarded, not a TV network.   

Honestly folks, I owe 100% of my success to what I learned while I was in an MLM.  It taught me the true VALUE of investing in myself, my business, reading, listening to audios, and having ‘Big Goals!’

Take care,

Tim Schmidt

Here’s a note from a reader

Charles       Feb 3, 2009

Tim, I am a consultant in the nuclear industry and have a sole proprietorship that I want to take to the next level of at least an LLC. I have studied the differences and the pros and cons of LLC vs S Corp. One of the things that has not been clear, that perhaps you can answer…are the tax advantages as applied to leased equipment/vehicles, etc better under an S Corp or LLC or are their any differences. I could go pay a tax consultant the question but, hey if you know, why not give the answer to all of us. Thanks in advance.

Hi Charles,

What is best for YOU?

Thanks for sending in your question. I’m no attorney but I will share what I’ve learned from my experiences. I started my first business (Schmidt Engineering, Inc.) as a C-Corp. As it turns out, this was a mistake, mostly because I ended up being taxed twice on profits. So, I changed that business to a S-Corp after a few years. As you mentioned in your message, an S-Corp allows your business profits and losses to simply get reported on your personal income tax return, so you only have to pay taxes once.

When I started Delta Media, I just made it a LLC right away. I can’t completely remember why but I think it had something to do with the fact that it was less expensive and less time-consuming (from a paper-work perspective) than setting up an S-Corp. I think I remember my lawyer telling me that the ONLY reason that I should even consider an S-Corp is if I wanted to be able to put “Inc.” after the name of my business. But nowadays, there are tons of LLC businesses and having the “Inc.” at the end of your business offers no extra credibility!

DISCLAIMER: Okay, this disclaimer is for any attorneys who are reading this and thinking, “What the heck is this guy doing offering legal advice?” Here’s the deal, I am NOT a lawyer… I’m just sharing some of my experiences. Anyone reading this blog is smart enough to realize that each individual situation is different and it’s probably a good idea to talk to a REAL attorney. 

Best of luck Charles

Take care,

Tim Schmidt