Should you pay to join a mastermind group?

Guest Contributor: Wendy Piersall
Wendy's Posts - Wendy's Blog

Even at times when our family income is at an all time high, I'm always on the hunt for great free resources. But when does it make sense to pay to participate in a mastermind group, no matter what your income level?

I've participated in both paid and free mastermind groups. In analyzing these experiences for this article, I was surprised to see the distinct differences in group dynamics that had been affected by whether or not the members paid to be there.

Perceived Value :: Generally speaking, something that is free is inherently valued a bit less than a service that is paid for.

Giving vs. Getting :: When individuals pay for participation, that also signals that they have made a contribution to the group. This may steer participants into focusing more on "What will I get for my money?" vs. "What can I offer this group?"

Investment vs. Reward :: Participants will always get more out of a mastermind group when they put more into a mastermind group. Investments of time, money, emotions and knowledge can all produce the same great results as long as the level of investment is high.

Coaching vs. Masterminding :: True masterminding is when a group of equals get together and offer each other input. Group coaching is when a group is led by an expert. Sometimes, a mastermind group is a cross between the two. It's an important consideration in determining what the group members are getting and giving to each other, compared to what they are expecting to receive from a facilitator with more knowledge than the rest of the group members.

The least successful mastermind group I participated in was in a relatively expensive program with very successful entrepreneurs. We all valued each other's input immensely, but I do believe that the level of monetary investment cancelled out some of the critically needed investment of emotional support and knowledge contribution from the participants.

The most successful mastermind group I participated in was part of a paid series of programs, and the cost of the series was the same if you went to one program or all programs. Thus the participants only joined the group if they had the emotional desire and commitment to growth necessary for the group to flourish, as well as a financial investment which increased their perceived value of the program.

When to Pay :: My own personal criteria for what makes a good financial investment in a mastermind group is whether or not the group will be led by, or have access to, experts in my field. These are people I would consider more "mentors" than "peers". This would be considered a little more of a cross breed between group coaching and a mastermind group - and usually
well worth the price!

When to Not Pay :: When I am with a mastermind group of people who I would consider very successful, but nonetheless my "peers", I feel I am able to contribute more expertise and advice, which is equally important to growth. Yet in this environment, I would prefer not to put myself in a position to pay for giving lots of advice. In this mastermind model, I believe that a financial investment can do more harm than good.

An alternative to the last suggestion would be to have the group members pay funds towards a group bank account, in which the funds could be used for social gatherings, philanthropic work, or as an incentive pool for goal achievement.