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Are you looking for new direct sales companies to work with this year? Getting in on the ground floor with a company lets you take advantage of an unsaturated market and establish a robust and loyal customer base. Whether you’re interested in selling clothing, makeup or a variety of other products, take a look at companies that have recently launched.
How are Direct Sales Companies Different from MLM Companies?
Technically speaking, a multi-level marketing company (MLM) is a type of direct sales company, according to JD Supra. While MLM are direct sales companies, not all direct sales companies are MLMs.
One of the biggest differences between direct sales businesses and MLM companies is how you get paid, according to Entrepreneur. When you work with a direct sales company, you receive a commission for each item you sell.
The focus with direct sales is on selling. You connect directly with customers and offer a product you believe in.
You also get a commission for sales with an MLM, but that fee is usually lower. When you work with an MLM company, you typically earn a commission off the sales of the people you recruit to sell for the company as well.
While you usually earn a greater commission from your sales when you work with a direct sales company, there is a trade-off. To continue to earn income from the company, you need to continue to sell products.
In the case of MLMs, you can take a step back from selling and still earn income, as long as the representatives you’ve recruited continue to sell. Here’s another article of ours if you’re more interested in looking at new mlm companies instead.
What is a Ground Floor Direct Sales Company?
You’ve probably heard the phrase to “get in on the ground floor.” It’s defined by Collins Dictionary as becoming involved with a company at the earliest stages. Getting in on the ground floor can often provide a variety of advantages and opportunities you won’t get if you wait to join in.
In the case of direct sales companies, a ground floor opportunity offers the potential for high earnings and great rewards. But it also has a considerable number of risks.
Since not many people are working with the company yet, you have the potential to sell a lot of products and earn a high amount of income. You have less competition from other sellers since there are likely to be fewer out there.
The significant risk of a ground floor opportunity is that the company might not take off. The risk is there for any new business or ground floor program, not just for those in the direct sales category. For example, investors who purchase shares in a new, unknown company or people who get jobs at startups risk losing a considerable amount of time and money if the business flounders.
In the case of a ground floor direct sales opportunity, there is some risk involved, but it is often lower than the risk of investing in a new business. Some companies don’t charge much to start or expect you to purchase considerable amounts of inventory.
If you are ready to reap the potential rewards of working with a newer direct sales company, look at a few recently launched ground floor opportunities.
- Year founded: 2016
- Category: Beauty/Skincare
Started by a couple in France in 2011, Acti-Labs launched in the US in 2016. The company produces a variety of skincare and beauty products, all of which are made in France. It also offers a line of supplements and weight loss body wraps.
The cost to become an ambassador with Acti-Labs is relatively small. A startup kit is $27, and you do have the option of purchasing additional kits or supplementing your kit, for an additional fee. As an ambassador for the brand, you earn 20 percent commission on each sale.
The company also offers bonuses and rewards to sellers who do well. For example, if you sell $150 worth of products during the first nine days of the month, you’ll earn a $15 reward, known as “Acti-Cash.”
- Year founded: 2016
- Category: Education/Toys
Fundanoodle launched in January of 2016 as a direct sales company. It had been in existence for a few years before that, though. The company’s current CEO, April B. Whitlock, came on in 2011 to manage the brand and product line.
After several years of research and fundraising, she began the Ambassador Pilot Program. The focus of Fundanoodle is on early education. The name is a mash-up of three words: fun, fundamental and noodle (as in “use your noodle”).
The products you would sell when working with Fundanoodle were created by occupational therapists who worked with kids to help them develop fine and gross motor skills.
Fundanoodle products are available for a range of ages and developmental abilities. Products available include magnetic letter kits, an “I Can Pound” bench and writing workbooks.
To become an ambassador with the company, you need to purchase an enrollment kit for $115. Ambassadors with Fundanoodle can arrange play dates to introduce friends and others to the brand or sell their products online and through social media.
- Year founded: 2017
- Category: Beauty
Maskcara is a new beauty direct sales company that launched in January of 2017. The brand was started by Cara, a beauty blogger and makeup artist based in Utah. Cara got her start in the beauty industry at a young age — she created her first face mask for a science project in fifth grade.
If you decide to work with Maskcara, you’ll be called an “Artist.” To get started, you purchase either a basic kit for $199 or a pro kit for $399. You’ll also receive an essentials kit with either the basic or pro kit. The cost of each of the kits is lower than the cost of purchasing products separately.
At the moment, the brand offers its artists a commission of 40 percent. You don’t need to meet sales quotas or sell a certain amount to remain an active artist with the brand.
Max & Madeleine
- Year founded: 2016
- Category: Skincare/Personal Care Products
Two moms started Max & Madeleine in 2016 after struggling to find products that would be safe for their chemical and food sensitive children. They named the company after their children, who were born just a few weeks apart.
According to blogger Mandy Koeppen, the brand had just over 120 consultants in August of 2016, making it an ideal ground floor opportunity. Max & Madeleine offers consultants a 25 percent commission on retail sales, plus an extra 10 percent commission to “power sellers.”
Products sold by the brand include natural and organic skin and hair care products for children, teenagers and adults. Since the founders created the brand with sensitive children in mind, they are sure to disclose all ingredients used in each product on the label.
To join the program, you need to purchase an enrollment kit for $99. The kit includes a selection of the brand’s top-selling products, plus catalogs and other marketing materials.
- Year launched in US: 2016
- Category: Fashion
Move over, Lulalroe. Mayberrys is a Canadian leggings and direct sales company that made the trip south in October 2016. The brand offers a regularly updated selection of comfortable leggings, tops, skirts, and dresses, plus clothing for children.
To become a stylist with the brand, you purchase one of three kits. The lead stylist kit is $199 and includes $300 worth of product. It’s primarily designed for sellers who want to work mostly online. You earn a 20 percent commission on sales and receive a 30 percent discount on your personal orders.
To become a star stylist, you purchase a kit for $299 and receive $500 worth of product. Along with selling online, you also host in-person parties. You get 20 percent commission on sales and a 40 percent discount on personal purchases.
The company also has a top level stylist tier, known as the elite stylist. For $499, you get $1000 worth of product, host in-person parties and maintain your website. You also get a 50 percent discount on personal purchases, plus 20 percent commission on sales.
- Year founded: 2016
- Category: Home/Fragrance
MojiLife started in October 2016. While many direct sales companies offer a new take on classic products, MojiLife offers an entirely new product concept. Its primary product is a wickless, heatless home fragrance diffusion device, the AirMoji.
The device can be used in either homes or offices. You can program it from your smartphone to release fragrance on a set schedule or whenever you wish. A variety of refillable fragrance pods is available, including scents such as French Vanilla or Summertime Serenade.
Along with its signature device, the brand also has some home decor products and cleaning products, including decorative holders for the AirMoji.
If you wish to become a distributor of the brand, you can purchase one of three different levels of kit. The starter kit costs $85 and includes one device plus two fragrances. The elite kit is $335 and includes the device, six fragrances, a base, and a variety of cleaning products.
Commissions start at 20 percent and increase to 25 percent after you’ve made $850 worth in sales. You also get your own website from the brand to promote your products and reach out to customers. There are no inventory requirements.
Nygard Style Direct
- Year launched: 2016
- Category: Fashion
Nygard isn’t a new brand, but it only recently began offering direct sales in a variety of countries, including the US. The company introduced its special pants product, known as SLIMS, in 2013. Dubbed the most revolutionary pants in the world, SLIMs help you look a full size smaller.
To become a stylist with the company, you purchase a starter kit. The core kit costs $487 and includes $974 worth of inventory. After you’re signed up with the company, you have the option of purchasing add-on kits, such as a career kit, to supplement your inventory.
You can earn up to 30 percent commission on sales and receive a 40 percent discount on replenishment orders. You do get your own website to promote your business, but need to pay $8.95 to maintain it.
- Year founded: 2015
- Category: Jewelry
Although the direct sales concept is new to Personally Poetic(earlier Poetic Xchange) the company itself has been around for some time. Sisters Patti and Lizanne started their own jewelry company, Waxing Poetic, in 2007. Years later, they decided to bring on consultants to help them sell the line.
The brand calls the consultants who work with them “Luminaries.” When you first join the company, you purchase a starter kit for either $199 for the basic kit or $499 for the “New Heights” kit. Both include jewelry and sales materials.
Once you start selling, you earn a commission of 35 percent on retail sales, plus have opportunities to earn bonuses or free jewelry. Although you don’t need to stock inventory to be a Luminary and there are no sales quotas, you do need to pay a monthly fee to maintain your website.
Red Rock Traditions
- Year founded: 2016
- Category: Family
The goal of red rock traditions is to help families become stronger by establishing and sharing traditions. The company was founded in 2015 and launched its direct sales model in the fall of 2016.
Products include gratitude placements, Christmas ornaments, and family bucket lists. With the company’s products, parents can either create new traditions, such as writing out what they are thankful for at Thanksgiving or continue practicing older traditions, such as hiding a Christmas pickle.
Consultants with the company earn a commission of 30 percent on sales. There’s no need to invest in inventory since products ship directly to the customer from the company. You do need to buy a start-up kit at the beginning, which includes samples and demonstration products. It costs $135.
The company does have a quota that consultants need to meet to stay active. You’ll need to do at least $300 in active sales monthly to maintain your status.