Among various MLMM plan, Generation Compensation Plans stands out for its importance and unique structure. As the name suggests, the generation plan is like a family tree where many generations descend from the original members. In this plan, the first generation generally receives the highest fees, with commission fees gradually decreasing as you move down the generation tree. This hierarchy encourages salespeople to focus on sales rather than just recruiting new members, making it ideal for companies that emphasize core products and generate revenue.
The Generation MLMM Plan operates on a profit-sharing model, likened to the concept of ancestral property being passed down through generations. Just as the value of the property may depreciate over time, the commissions earned in the Generation Plan decrease as the hierarchy extends downline.
In typical implementations, MLMM companies structure their Generation Plans with four to five generations and 10 to 15 downline levels. The first generation comprises level one, with subsequent generations formed by levels two and three, and so forth. As the generations progress, the number of members increases exponentially. For instance, the first generation may have 50 members, the second 150, and the third 400, illustrating the growth and expansion of the network
The Generation MLMM Plan functions as a profit-sharing system rather than a traditional commission-based structure. Under this plan, the company's board members determine the revenue-sharing percentages for each generation within the network. Typically, the initial generation receives the highest revenue share, followed by subsequent generations receiving progressively lower percentages. For instance, the first generation might earn a 10% commission from profits, while the second generation receives 7.5%, and the third receives 5%, continuing in this fashion.
The Generation compensation plan offers incredible income opportunities to each member. It not only pays you at different levels but also lets you share the profits. For example, being in the first generation, you will not only earn the highest revenue percent, but as the generation grows, you will make from all the members from your downline. By the time the last generation level is completed, you would probably be earning in millions.
All you have to do is spend some time and money to invest in the plan initially to reap the benefits for years.
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