Monday, April 18, 2016

Monday Money Matters - Abandoning the Side Hustle

Many blogs, pins and posts tell you that if you need to achieve financial freedom you need to reduce your expenses. Once you have cut your expenses to the bone what else can you do? You can increase your income. Now if you don't have time for a traditional second job then what about a side hustle? Well Home Party Plans and  MLM company reps make promises about full time income with just part time hours.... what was that my Momma always used to say If it sounds to good to be true..... or was it Tigger who said TANSTAFL ~ The ain't no such thing as a free lunch.....

There is money to be made in Party Plan businesses and MLM, but it is certainly not full time income for part time hours (for the majority of people). There are a select few who build strong teams or host large and successful parties for full time pay with part time hours. The truth is that MOST people will put in full time hours for part time (or less pay). These companies make the majority of their INCOME on the representatives (aka Sales Reps, Independent Consultants, Territory Reps, Recruiters, Managers, Leads, etc.).

I LOVE Lemongrass Spa Products and once upon a time I was an Independent Consultant with them. I stepped away because I had reservations about my ability to sell their products unsupported by my spouse. As a separated and independent woman I started thinking about my income opportunities and just as that happened the Universe set Lemongrass Spa once again in my path.

It seemed the perfect fit, with a number of products that I could use in my practice and sell without selling. I held a party of my own - with minimal turn out. Friends helped me earn some off my kit but in the end I spent roughly $150 for "$400" worth of product and business materials. I still love the product and intend to remain a representative as long as I have active orders, but without spending MORE money I cannot get started.

Here is what came in my kit:
1 Ultimate Face Kit - for Normal to Dry Skin ~ Something on Lulu's wish list and that she is currently using and LOVING so I'll use my discount to continue getting her replacements as needed. (Ideally I'll use the discount to get Sam the Oil Skin kit for him to use).
1 Foot Kit - Peppermint ~ Now my personal feeling is that since the company offers two kits both should be in the starter kit (but this is how they make money) and if they are only going to offer one it should be the Cucumber Kit BECAUSE Peppermint is NOT RECOMMENDED for PREGNANT and NURSING WOMEN so before offering the Foot Soak and Balm to women a consultant ideally warns them that it is not recommended for Pregnant and Nursing women. Now if a guest at a party is pregnant but has not told her friends I put her in the uncomfortable position of abstaining from a foot soak and people asking "WHY" OR risking the undesired effects of peppermint during pregnancy.... NEITHER IS A GOOD SITUATION. So a consultant would ideally purchase the cucumber melon foot kit ~ Retail $39. ADDITIONALLY in order to do ANY Foot Soaks at a SPA PARTY I'd need 6+ Dish Tubs (min $1/each), and 6+ towels for women to dry their feet on.
2 Body Scrubs - Pomegranate and Lavender. This is GREAT because one is Sugar Based and the other is Salt Based. It is nice to have both options available. ~ Issue for me, the Pomegranate contains Mango Butter - I am allergic to Mango Butter. I contacted HO to find out if I could get a listing of ALL products containing Mango and was told no, I'd have to search that myself. I don't have that kind of time.
1 Pre-biotic Citrus/Tea Tree Oil Hand Soap ~ This is the first step in the hand spa at a home party. Wash with soap, slough with Body Polish, and finish with lotion.  I would have preferred the Foaming Hand Soap as individuals with Shell Fish Allergies MAY not be able to use pre-biotic hand soap.
1 of each Scent Lotion in the Travel Size Lotion Bottle ~ Again this is awesome and allows us to complete the hand spa while exposing guests to every scent we carry.
1 Travel Size Hair Spray
1 Organic Nail Balm
1 Healing Elements Balm (the BIG SIZE) This is AWESOME
1 Tea Tree Citrus Face and Body Bar Soap
1 Milk & Honey Bar Soap
1 Peppermint Melting Massage Lotion Bar in tin
1 Organic Anti Aging Oil Serum
1 Lip Balm
1 Full Size Baby Lotion in a pump bottle
some trial size sunscreen and lotion
Catalogs
Order Forms
Bags
There may have been other things that I am forgetting but I am NOT willing to get up and look.
The kit was WELL worth the investment, but to do the "traditional" spa party I would need to invest additional dollars.
To use the kit as is and do a Home Party with no additional investment (no foot tubs, towels or cucumber foot spa kit) would simply be an infomercial with the ability to do a hand spa and smell all the lotions. It is doable, but NOT my ideal.

Add to that that HALF of my products were manufactured in December 2015 and have either a 6 month or 1 year shelf life (that means that when my kit was shipped mid-march half my products were already either halfway or 1/4 of the way through their shelf life). This means to me LG is getting to big for its purpose.

Add to that the many WONDERFUL LOCAL artisans like Flint River Soaps, Soap Estella and On Hand Lotions that MAKE many of the same products.

Add to that my DESIRE to support LOCAL and to do what is best for my clients and I would rather make my own Sugar/Salt Scrubs and share the recipe, make my own whipped body butters, make my own lotion bars, and direct people to local options for what is available.

I will remain a consultant (so long as the company allows me too) and use my discount to purchase products not available locally or to share products not available locally with my clients. I doubt that I will host any in home demonstrations and I certainly do not have any additional funds to invest in having home spa parties (and let us not forget that I don't have a vehicle to get to said home party/demonstrations).......... BUT for now I am giving this up as a side hustle.


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