Are You Paying An Annual Renewal Fee For Your MLM Company Websites, WHY

Free Company Replicated Websites? or Are you paying an annual renewal fee for your MLM company websites when you renew your membership?

Some people are fortunate enough NOT to  pay for their company websites, but some are paying over and over again for their websites, which are designed by the companies to keep the distributors out of hot water.

Because many distributors were making improper income claims and product claims companies have required that distributors use the company replicated websites.  It is not only asking please pretty please, it is legally required of you.  It is in your contract.  Yeah that contract that you have not read yet. 

Please note this clause is in a contract that requires you to pay for your company website over and over again each year that you renew your membership.

4.2.3 – Distributor Web Sites
Distributors may not utilize, in any fashion, any self published or purchased web site for the sale, marketing, and promotion of [COMPANY]. If a Distributor desires to utilize an Internet web page to promote his or her business, he or she may do so through the Company’s official web sites, using official [COMPANY] replicated sites only. [COMPANY] has produced promotional websites that will be offered, as part of certain distributor kits, and renewal fees, to any authorized distributor of [COMPANY]. Said websites will be the only websites that can be utilized by a [COMPANY] distributor. A list of available replicated web sites may be found in official [COMPANY] literature or on the company’s web site.

So we have established that you must use your company’s websites if you want to market online using the power of the internet. But why?

As a distributor you have to abide with all the detailed company descriptions about your product. The company (if legitimate) normally has checked all the legal formalities around what can be said so as not to make product claims that the FDA would never approve of. For those techie types who feel they have to go create a fancy  website to promote their company, you may want to think again. 

Far too many distributors have been terminated, sued heavily by their company and in a lot of legal trouble, when they created their own websites; because they made unfounded product claims that their products would cure cancer, or income claims to use as enticement.

For this very reason it would make sense for a company to have their distributors use the replicated websites or company shopping sites.

Now the rubber meets the road.  If you read your policies and procedures you may very well find a clause that indicates that the company does not own  the data base, the genealogy, (distributors of the company in YOUR downline) the software company owns the list.  It is for certain you don’t want the software company selling the genealogy to other companies which can cause your downline a mistrust especially when they begin to be contacted by other network marketing company independent distributors looking to add them to their company.

  • Another reason companies love to charge you a yearly renewal fee may be a commission plan issue – unfortunately an adequate number of distributors fail at building a network marketing business – charging for a website or two may well be a welcome additional income for the company  – paid not only by those who make money, but also by the big number of people who will fail in their venture of building their network marketing business successfully.

If you find you are looking at a company or are already involved in a company which will be charging you for your genealogy report, etc., then I guess you better look into the reasons why:

  • read the policies and procedures very carefully and if you don’t understand them take them to a lawyer (yes it is that important) and also check out the pros and cons of the commission plan. The entire package may not be what you anticipate and are willing  to put your effort into building.

Some companies may have a legitimate reason for charging for your replicated site.  They may have staff that maintains the web sites which are involved with designing and programming and keeping the sites fresh looking and new. After all you want to have success at building your network marketing business today!

Commit To Success Today
Dave and Darlene Mills
Leadership With A Vision

Vision without action is merely a dream. Action without vision just passes the time. Vision with action can change the world. by Joel A. Barker

 

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Dave and Darlene Mills

Welcome and thank you for visiting our blog. We are Mentors with "Mentoring for Free". A community of volunteers who believe in the value of education, personal development, and in sharing what we know that works to build a solid online business. We use this system to build our business and can be used with any MLM/Network Marketing company. We devote much of our time mentoring ANYONE in ANY company to build THEIR personae so they too acquire the skills they need to be successful. We will be more than glad to give you 100% of our effort and support. Today, Life is Grand!! We will never look back!! Darlene and Dave Mills "Be a Mentor With a Servant's Heart"

2 thoughts on “Are You Paying An Annual Renewal Fee For Your MLM Company Websites, WHY

  1. Darlene,

    It is very good you bring up this topic. People maybe don’t realize that the company collects huge amounts of profit.

    -Marjaana-

  2. Hi Mrajaana, you are correct most people do not know that the many companies are making huge profits on a distributors annual renewal fee.

    For instance if there are 1000 distributors whose annual renewal fees are due in the month of September at a rate of $199 the company just pocketed $199,000.00 profit in that month alone. Over 12 months that is $2,388.000.00.

    You would think that a company would be happy with the amount of sales a distributor brings to the company. However the companies tend to get a bit greedy.

    Hmmmmm

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