In the make money niche, whether it's selling on Amazon or an information product, there are a ton of so-called gurus out there. Yes, I'm one of them as well, and there's nothing bad with having a lot of gurus – but the problem that bugs me is when an expert advisor is not who they claim to be.
That being said I wanted to write this article and give you a clear test that you can use prior to signing up for any type of membership site, buying a high-priced information product, or agreeing to any coaching.
What makes someone an expert?
Here's the crux of the issue. There a lot of books and courses that tell you that all you need to be an expert is to anoint yourself as a self-proclaimed guru of whatever topic you're interested in teaching. While it's true that you are able to anoint yourself, ethically in order to be deemed an expert advisor you need to actually be doing what you say that you're doing.
There are a lot of experts out there that teach something that they don't make a lot of money doing.
My point is that if you want to know how to test an expert advisor, one easy way is to look at where they are getting the majority of their income. If they are teaching you how to build a team, yet have one or maybe two people working with them, they might not be the best person to listen to.
Sure, they have a team, but what's that team doing? Are they only processing? Are they sourcing? Are they finding new opportunities? Are they developing procedures that they can pass on to the next person? How much revenue can they associate with the team they built? Does their team consist of only part-time virtual assistants hired off of something like Elance or oDesk?
If having a team is not the primary means of increased revenue and profits, watch out.
Anybody can go and hire someone online to do something for them and then claim to be an expert in team building.
The #1 way to test an expert advisor
Okay, so if you want to test whether or not an expert is worth investing in, here's the easiest way to do it. All you need to do is ask them one simple question:
“What is the percentage breakdown of your revenue that comes from information products versus your actual business?”
If you are guru gets the majority of their income through information products then there is a problem. That means that their primary business is selling you information. It means that what they are teaching you is how they are making their money, and not from the business that they claim to be an expert in.
You see this all the time with bloggers that make the majority of their money from affiliate income rather than assets that they've built. Essentially they make their money not showing people how to build a business, but selling the latest thing to make a buck.
Around 95% of my annual revenue comes from my business. The rest comes from information products. If your expert advisor can't tell you with a straight face that they are making more money from their business than they are from information products, you need to move on someone else.