Although I am not familiar with LOC Entrepreneurs specifically I can tell you about the network marketing profession generally. Network Marketing also known as Multilevel Marketing (MLM) is a business model that combines two marketing strategies:
1) Selling products and services directly to consumers. Much like Dell sells their computers directly to consumers (and not through physical stores). Like cable tv and AOL do. Sellers receive retail or commission payments.
2) Finding entrepreneurs who sell the products and services directly to consumers. Like Amazon and McDonald's find entrepreneurs. You get paid a percentage of their sales as well.
A few of its negatives:
1) MLM's Open door policy - An MLM will accept anyone. The result is that undesirable people join the profession and you share the reputation that they may reflect. Watch out for amateurs and those who may try to pressure you to participate in a particular business practice that's not in your best interest.
2) The Critics - MLM is a largely unknown profession. For the few that do know of it some misunderstand it. Some friends, family members, prolific writers and media outlets spread misinformation about it sometimes due to false rumors & untruths and other times because of associating the actions of a few to the entire profession. This is a challenge for an up and coming Network Marketer to withstand this critical talk. It can be discouraging if you don't know for a certainty whats true and whats not.
3) Attrition rate - MLM is very easy to join and hence its very easy to quit. Some people don't take it seriously and quit. For others life just gets in the way and they don't devote the time to the business they had hope to. Others try their best and never achieve the success they hoped for and quit. This is the nature of any business that is easy to get in. However many people quit the business because their expectations were not met. You can remedy this by not giving people unrealistic expectations and by being selective about who you choose to sponsor. Be truthful, be realistic and only sponsor serious people and your attrition rate will not be as bad as your colleagues who lie, give unrealistic expectations and sponsor anyone breathing.
A few of its positives:
1) MLM's Open door policy - An MLM will accept anyone. This is also a good thing because if you can get good at building an MLM business there will never be a shortage of options of companies you can choose from to contract with to create an income. You will never be out of work.
2) As an MLM professional you enjoy control in certain areas. Such as; where you work, who you work with, the manner in which you conduct business, etc.
3) You have an opportunity to create an income producing asset that can continue to pay you for years to come.
4) You have an opportunity to build a recession proof business. Here's how:
In times of economic hardship consumers spend less money. This is why many traditional companies go out of business during hard times. When you run an MLM distributorship you will experience the same during hard times. Customers will be buying less. However because you are a Network Marketer you have another avenue that drives product volume. The other avenue is the amount of people who are actually selling the product. In times of economic hardship more people are looking for additional income so while product sales per distributor may drop you may inevitably see a rise in the number of actual distributorships selling the product or service. This creates a dynamic of a business that can thrive even during hard economic times.