How much can you get from a Senegence commission? Before we start talking about that question it is crucial to remember what the Federal Trade Commission (FTC) official site says about pyramid schemes and multi-level marketing programs. The FTC warns:
“Are you considering a business opportunity that involves selling products to family and friends and recruiting other people to do the same? That kind of business is called multi-level marketing (MLM) or network marketing. Some MLMs are illegal pyramid schemes.”
It is very important for consumers and would-be entrepreneurs to investigate companies carefully before investing any money in product, distributor signup, etc. One powerful and effective search tool is to enter the name of the company in Google plus the word “scam” and review the results.
How Much Can You Get From a Senegence Commission?
Some use the word “commission” to describe the difference between a Senegence product’s wholesale price and the price the “distributor” (you, the entrepreneur) charges for that product. But that’s technically NOT a commission, it’s the profit you earn based on the markup.
One important detail to note about this part of the Senegence compensation plan? The wholesale price gets lower if you buy more. The full Senegence discount (50% off retail) is not available until you purchase a certain amount. How much? $1,500 or more of wholesale product per month. If you can only afford to purchase $200 of wholesale product per month? Your “wholesale” discount is 20%.
Your Senegence Commission
This article asks the basic question, how much can you get from a Senegence commission? The way you earn a commission with this company has to do with recruiting new “distributors” (other entrepreneurs like you) and helping them get set up with Senegence. You earn commission from the sales of any distributor you sponsor. This is a popular multi-level marketing tactic that refers to the distributors you have set up as your “downline” income.
Excessive nomenclature and confusing terms of payment are listed by federal consumer watchdog agencies such as the Better Business Bureau as being one of the warning signs of a pyramid scheme.
When discussing the commission structure of Senegence, some documentation by the company includes a definition of Downline Commissions you might need to take some extra time to review the company’s website to make sure you understand all jargon used below:
Senegence commissions are structured, according to the official site, as follows: “Commissions are paid on the first 100 CV. To qualify for Downline Commissions, you must have at least 100 PV in the same qualifying month as orders placed in your Downline.”
What is a CV? According to a Senegence distributor handbook, it’s an abbreviation for “Commission Value”. The handbook states that CV is “equal to PV (Point Value) generated by a Distributor's downline." CV helps calculate "the amount of a Distributor's Downline and Group Sales Volume Bonus Commissions."
The section explaining this also includes a chart for commissions. At the first level, your commission is 10%. Your commission at the 2nd level is 20%. At the 3rd level, it is 30%. At the 4th and 5th level, the chart shows a 5% commission.
The Senegence site says there are “three additional qualifications to earn 4th level Downline Commissions” in the same month. Those include having “at least five 1st level Distributors" personally sponsored by you "without compression". The site adds that these "have at least 100 PV within the same qualifying month”.
It’s up to you whether or not you invest in a multi-level marketing scheme, but it pays to research companies on their business practices, return policies for distributors. And also whether or not the compensation plans make sense, are clear and easy to understand, etc.
Don’t worry about how much you can get from a Senegence commission before you review the company’s terms and conditions. Can you understand them well enough to plot how your profit and losses might work? Do you know how much you will spend versus how much you need to sell? What are the potential liabilities? All successful business people ask these questions--know before you commit.