When MLMers talk to me about their great buisinesses, I ask them to explain the compensation plan to me. 99% of them don't understand it. Why? Because they are not taught the true compensation plan. If they were, they would never get involved.
A case in point was last Saturday and a three way conversation with an Isogenix distributor and her very, very up - upline. Specific questions were asked and were totally side stepped each and every time. Here are some examples:
If you are paid commissions based on accumulated business volume, what is the business volume ratio to wholsesale cost? (with Quixtar I understand that volume points are often higher than wholesale cost, however the volume to dollars paid in commissions are VERY low)
How many business volume points do you have to earn to get a check.
Even if you have the right amount of business volume do you have to have a certain amount of people or levels of people to get paid?
How many people do you have to sponsor to earn more money than you are required to buy each month?
Do you get paid a percentage of $ for BV or do you get paid straight dollars on BV?
Where is the "cut off" from which you no longer recieve more than 2% of BV (or any) of sales of the organization below you?
Does the BV go away at the end of every month?
If it goes away at the end of every month and you are only, say 100 points away from a pay point or check, are you encouraged by your upline to buy more product to get your check?
Does it makes sense, really make sense, to spend $50 more dollars to get a $25 check?
Can people above you place volume in your business to help you cut a check?
What is the percentage retail profit you can make on the sales.
How many distributors in organization. This was answered -- over a million world wide.... ok, interesting. How many millionaires (I think the answer was 15 or 18) Wow, not very high percentage for over a million distibutors.
Of those million distributors, how many of them are selling the products to other people who are NOT distributors? Hmmmm, seems majority of million people "get in" so they can get wholesale price for their own use.
This was a big one - if I come to a meeting, will I be allowed to ask questions from the audience, or will I be told to talk privately to people "who can get my questions answered?"
Those might be some questions you ask. However, if they are answered, I would ask for the answers to be written down and signed by the person giving them to you so you can check them out with people who have been in who might be able to give honest answers.
Francie
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