"Recently a come across an online business opportunity which've caught my attention. They claims that their program are better than EDC as their program did not required it's affiliates to pass their 1st sale to their sponsor.
Alan, can you comment on this please?"
Here's my response...
That's great that they don't pass the first two sales to their sponsor - BUT here are three reasons why you wouldn't want that:
1. Doesn't give you long term residual income
2. Makes you work MORE for future sales.
3. False sense of security.
Let me explain...
Just think about it, what happens when you recruit 5 guys? Congratulations - you get $5000 right off the bat.
Now what happens when these 5 guys you brought in each brought in 5 guys? Yup, you've guessed it...
YOU GET ZERO! ZILCH! NADA!
Now let's analyze EDC Gold and the 2-up compensation plan. If these 5 guys brought in 5 guys each (and passes the first two sales to you) you make $15,000 altogether.
And the first two of each of these five guys will ALSO give you their first two sales down to infinity. Thus allowing yourself to leverage your money making capabilities to other people in your team.
So in my opinion, here's why EDC Gold is a better investment:
1. Gives you long term income with sales funneling up to you.
2. Have OTHER people work for more sales for you so that you don't have to be constantly running around spending more money for marketing and advertising.
3. Much more security in the future.
That is why EDC Gold's compensation plan is superior to the (other opportunity not worth mentioning) which gives you nothing but short term income and will NOT allow you to grow without constantly throwing your own money in marketing and advertising to making more sales.
If you are thinking of joining another internet business opportunity other than EDC Gold, I would suggest you at least look for a compensation plan that gives you some way to leverage yourself so that you can make money by the efforts of other people.
The breakaway plan is an unpopular plan as you could lose your business that you built once it reaches a certain level of success and "breaks away". It is no longer a part of your group and you are not getting paid with it. It usually appears in stair-step. And example would be...
Two things can happen if my downline builds his organization faster than me and I am a Champion; he can qualify as an Emperor before me. Taking the company's pay structure into account, overriding commissions from my downline Emperor's group is not entitled to me. His bonuses will be passed to my upline Emperor or Grand Emperor. If entire groups break away and join my upline and were I to qualify as an Emperor later, I would not be entitled to receive bonuses from his group.
Unfortunately unethical means are used to slow downlines from breaking away or overtaking him. The breakaway has become a problem and more and more companies are rewarding people who work hard to build their groups. Which means that if a downline is working harder than his upline, than he should receive a greater reward. Why should the upline blame the company if the downline is working harder and breaks away. After all, a network marketing company is based on hard working people who are willing to work in unity to accomplish the same goal. If a downline sees the opportunity to make money acquiring his own downline instead of passing the profits to an upline, a break away makes more sense since the money now becomes a part of your own organization.
The breakaway plan is not the only compensation plan offered by MLM. Googling the various MLM plans will offer insight into the pros and cons when it comes to making a decision as to which plan to choose. There are older companies who still are using the breakaway plan and as a smart business owner, selecting a plan will require in-depth research to see "which shoe" fits right for you. Avoiding the breakaway compensation plan may just be an avenue of choice that is "right up your alley." Whatever plan you choose, much forethought will have been done in making the right selection to fill your needs in adopting a compensation plan from a network marketing company.
Both Alan Quan & Cindy Heller are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Alan Quan has sinced written about articles on various topics from Lose Weight, Internet Marketing and Acne Treatment. Alan Quan struggled with making money on the internet for a year losing more money than he was making. Luckily he found a system that allowed him to sell a high end product and make a full time income on the internet. Today, he has quit his job and is n. Alan Quan's top article generates over 60500 views. to your Favourites.
Cindy Heller has sinced written about articles on various topics from Network Marketing, Finances and Jewelry. Cindy Heller has helped thousands of 'lost' marketers to . Learn how she did it from this free online guide:. Cindy Heller's top article generates over 368000 views. to your Favourites.