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Questions - Agel Comp Plan
November 03, 2005
(More questions from W. Chomanski about the Agel Compensation Plan(s). - Answers by one of the WhyAgel World Team Leaders.)
I can't understand some aspects of your compensation plan. Please help me understand this.
1. Team Volume Commission (TVC) - this is volume in dollars or points? If points - so how calculate order in dollars to points?
It is really a point system. Each box of product counts as 50 points toward your volume on either leg. You receive a 10% commission on the volume of your smaller leg (in volume size) each month. So if you have left volume of 2000 (40 boxes) and right volume of 1000 (20 boxes), you would receive a Team Volume Commission of $100 USD (1000 * 10%).
You also receive volume for activation orders. Volume for the activation order varies by activation order level (Executive, Leadership, Business Builder) and which Compensation Plan your country is/will be on (Developed Economies Plan or Developing Economies Plan).
For example, on the Developed Economies Compensation Plan you would receive volume of 500 points for a person in your downline/tree who places an Executive Level activation order.
2. In one place your compensation plan is information that executive level of new member this is Fast start bonus = 200$. In other place - in FAQ I can reed tahat FSB for executive level is worth only 160$.... - why? So how much FSB is for executive level?
This depends on the compensation plan for your country. As mentioned before, there are two basic compensation plans, one for developed economies and one for developing economies. This gives people in countries with developing economies a better chance at building their business. When the average monthly income in the Philipines is $600 US vs. $3000 in the USA, it is not fair to require a certain expense or personal product purchase that is the same in both countries.
The different plans also reflect the additional costs that are incurred in working in a developing economy, especially the cost of distribution. In the USA it is easy to ship a box of product to a Team Member. In the Philippines it costs a bit more.
So the compensation plans are adjusted to take local economies and business costs into account. Agel tries to be as fair as possible in what is really an unfair world.
3. Laveraged Matching Bonus (LMB) - this is the level which is after doing some volume of orders? When will I have LMB?
The Leveraged Matching Bonus becomes availble to you when you reach the Manager rank (2000 volume on your smaller leg). This allows you to receive a matching bonus or override on anyone you personally sponsor. The amount of this bonus is 25% of their Team Volume Commission. If a person you sponsored receives a Team Volume Commission of $100, you also receive $25 as your Leveraged Matching Bonus.
And this applies to every single person you personally sponsor no matter where they are in your downline; right leg, left leg, large leg, small leg, it doesn't matter, they are considered "front-line" or first-generation to you.
And you also receive an 8% Leveraged Matching Bonus on anyone they personally sponsor (your 2nd generation). This continues through 7 levels of sponsorship at percentages varying from 6-10%. The 5th-7th levels become available to you as you progress in Rank (see below for more Rank info).
4. Minimum TVC (team colume Commision) in smaller leg - is it volume done in one month?
Yes, Team Volume Commissions are based on the Team Volume (left or right) in each leg for one calendar month. (See example in question 1.)
5. Executive level is constant after some volume?
The Executive Level is a type of first or activation order. Once you place your one-time activation order, if at the Executive Level, you will be eligible for the Executive Level privileges like 3 business centers and the Executive Level Bonus (for 1000 point volume growth in your smaller leg). There are no monthly Team Volume requirements to maintain your Executive Level status, but you are required to be on the Auto-ship program to receive product each month.
The best advantage to placing an Excecutive Level activation order, is that you get 480 packets of Agel product which become your business cards as you hand them out as samples. You can't build a business without some advertising expense, and passing out product samples is one of the best ways to get people interested in your business.
6. For exemple - if I start in Executive Level - when I will be on Manager level or Director level? Manager. Director, Senior Director etc. - levels are depend on monthly team volume orders? (smaller leg/team?)
Executive Level only applies to your one-time activation order which gains you the 3 business centers and access to the Executive Bonus Pool. The Ranks (Manager, Director, etc.) relate to the volume of your smaller leg. As your smaller leg (left or right) grows in volume you progress up through the Agel Leadership Ranks. As you progress higher and higher, you become eligible for more parts of the compensation plan and special bonuses such as the new Auto Allowance and Expense Allowance starting at $500 USD when you reach the Senior Director level (20,000 volume in smaller leg).
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