*You are responsible for determining the feasibility of the math of your compensation plan, pricing of products and methodologies of enrollment process, rank advancement rules and business model.

This Simple Compensation Planner is designed to aid you in expressing your compensation plan request in a simplified fashion and to fit within mostly standard MLM Software configurations.

It is best to seek an MLM Consultant and MLM Attorney if you have any questions or concerns with your business model.

Sincerely,

Scott H Leonard
1-888-221-0106 

If Binary, skip the section on Levels of Downline Commission.  All other sections are to be completed.

If Binary/UniLevel Hybrid, fill all sections.

Only use the ranks you require.  
Remove and make blank the ranks you do not require.

Establish desired Rank Bonuses.
Be sure to fill in every box, except for ranks not used. 

Rank Achievement
A Dollar Amount Bonus Earned for reaching a Rank.  This is a One Time Bonus.

Retail Profit
The Retail Profit, otherwise called Wholesale Retail Difference between Customers purchasing from Distributor replicated website and Distributor's personal pricing.

Fast Start Bonus
Fast Start Bonus is generally a Dollar Amount assigned to a product.  
When the product is sold, the dollar amount is paid to the Enrolling Sponsor.  
This is often used during enrollment of a New Distributor, paying a Fast Start Bonus to the Sponsor.

Downline Levels
Downline Levels Bonus is a %/level based on Rank and calculated upon Sales Performance in Downline.  
The % is of CV(Commissionable Value) assigned to each product.  
The CV can be equal to or lesser than the Distributor Selling Price.

Check Match
Check Match is % based bonus on the Downline Levels Commission of other Distributors.
Common Check Match would be 20% Check Match on everyone you personally Enrolled.
Another would be 20% check match on everyone on your 4th level.
Everyone's Downline Commission check would be utilized for this calculation.  
Fast Start Bonus, Retail Profits, Check Match Bonus, and other bonuses are not part of the Check Match, only Downline Levels Bonus is used.

Bonus Pools
Bonus Pools are a % of Company Wide Sales set aside and divided according to Rank or Shares.

If Binary, Skip This Section.

If Binary Hybrid (Binary/UniLevel), then fill this section.

Establish the desired %'s of CV to be paid from sales on each level, at each rank.
Example: Rank 1 is often the default rank with NO %'s on any levels.
Rank 2 is often the first qualifing rank with say 5% on level 1 and 5% on level 2.
Each following rank could have increased in available % and levels deep. 

Best practice is for the Base Rank (Rank 1) to have no requirements.  From there, various requirements are common.  Please seek assistance from an MLM Consultant or MLM Attorney if you have any questions on acceptable rank qualifications and methodologies.

PSV
PSV = Personal Sales Volume.  It is the total Distributor Price (Wholesale) totaled from all sales to Personal Customers and including Personal Purchases.  All my Customer Sales plus any of my purchases, totaled at my Distributor Price in current Commissionable Period.

PAC
PAC = Personal Active Customers.  It is the Total Number of Active Customers.  All Customers who have purchases greater than ZERO in current Commissionable Period.

GSV
GSV = Group Sales Volume.  It is the total of Distributor Price (Wholesale) totaled from all sales of Income Centers in your Downline through a specified number od levels deep.  It does not include your PSV. 

GSV Depth
GSV Depth = Group Sales Volume Depth.  It is the number of levels in depth to combine totals for the GSV. 

PAD
PAD = Personal Active Distributors.  It is the combined total number of Personally Enrolled Distributors who's Income Centers have sales greater than ZERO in the current Commissionable Period. 

PAD by Rank
PAD by Rank = Personally Active Distributors who have reached a specified Rank.  It is the NUMBER of individuals who have reached a specified rank.  Example: 3 (this combines with the next field which defines rank required.  together the example could be 3 who have reached Silver or Higher) 

PAD Rank Required
PAD Rank Required = Minimum Rank Reached.  Used in conjuction with previous field, it allows you to stated the PAD who have reached a defined rank.  Example: Silver.  Note that those reaching at least Silver would trigger this requirement.  It is this required rank or higher. 

*A point of notation:

While many companies charge a setup or member activation fee, Product Purchase as a requirement of enrolling is not a good idea.  Please see an MLM Consultant or MLM Attorney if you have any questions on methods of enrollment.

Every Compensation Plan is unique as companies combine bonuses, ranks and product sets.

The information you have provided allows me to review your needs and suggest a software solution.

There are other bonuses or variables that could be achieved, many of which require great thought as to thier impact on the compensation plan.

If you need assistance designing a compensation plan, please call me directly. 1-888-221-0106

If you feel your compensation plan is Simple and can be explained on these pages, please submit it to me for review.

I look forward to working with you.

Sincerely,

Scott H Leonard