Probably the biggest trick that network marketing companies pull is to allowing their legal department to enforce their policies and procedures.
Just stop and give this some thought. If a network marketing company has a legal team that writes the legally binding contract also known as the policies and procedures and also oversees the legalities of the company, the network marketing company has on average spent about a quarter of a million dollars retaining this legal department.
This means that the legal department has to justify their existence; since they just added approximately a quarter of a million dollars business overhead to the company. LOOK, the legal department writes Policies and Procedures so convoluted, so confusing – it’s just legalese. ( legalese astylethat uses the clouded technicalvocabularyof the law.)
Lawyers LOVE writing all this bull! You have to read clause 4, and remember what was written in clause 4.3.33. Then down in clause 184.108.40.206, they talked about it again, and you have to pull those 3 together. They talked a little bit about it up here. Now they add some legalese down here and add more legalese down even further. Unfortunately if you don’t connect the dots, you don’t know what they’re talking about in the full spectrum of the clause.
Example: in some companies, the P & Ps say you are responsible to monitor your downline organization’s activities. If THEY do something illegal, then YOU are responsible for that.
A friend of mine got terminated because one of his downline members recruited somebody who was in another deal sideline, which was cross recruiting. But they held the sponsor responsible, and they terminated him, so they could steal his check. Real simple. Real simple.
If you want success if is really simple, the person (President, CEO) signing the bonus checks needs to have built a downline themselves. Do a search on them to determine what their experience is in the filed. Never thought of that did you. Most marketers are being suckered in to thinking that because the Company management came from corporate America and sold their Cell Phone business for millions that they can run a MLM Company. BULL!! MLM CEOs who have never built a downline do not have a clue about MLM distributors and what goes on in the field. Network Marketing Companies would be NOTHING without Distributors! CEOs who have built a downline know that. They know that companies are nothing without the distributors.
Sure, they need a product. Yeah they have to ship a product. Yes, they have to send a bonus check. But who built the company? Who built the volume? Correct answer: The distributor. If the CEO realizes this, then they treat the distributors like gold. They don’t have some legal department trying to terminate their distributors. (Yes all MLM companies have a contract, Policies and Procedures). What is hidden in them will determine the intentions of the Management. Are there hidden clauses hinting that they intend to steal your check back if you neglect this clause…(real clause, company name fictional)
5.2 – Continuing Development Obligations
5.2.1 – Ongoing Training
Any Distributor who sponsors another Distributor into Bubble Juice Club must perform a bona fide assistance and training function to ensure that his or her Marketing Organization is properly operating
If a distributor neglects to perform this training which is an ONGOING RESPONSIBILITY of the distributor to the company can go to this clause and say…you did not perform this required obligation, you do not qualify to receive your check. Has this happened to you, but you just could not figure out why you did not receive your bonus check?
Stupid Trick #2
And the other stupid thing that network marketing companies do is, they don’t listen to the field. The reps are in the trenches everyday. Companies need to know what their reps see, what they do, what they hear, what they say.
We tell people all the time, "Read your Policies & Procedures." I got a call the other day from the CEO of a company. Actually, his secretary called me to ask some questions about why I am telling people to read their Policies & Procedures. because they have a bunch of people doing it and it ticks them off!
This company, based out of Texas, has the most ruthless Policies & Procedures you’ve ever seen. They are unbelievable.
Want To Sell¬ The Business YOU Built? Fuhgeddaboudit!
For example – if you wanted to sell your downline your business, you have a 10-page document that you have to fill out. And before you offer the business to anybody, you have to offer it to the company first. Once you mail your request to the company to buy it, you have to include a $100 non-refundable fee to the company. The company can say yes or no!
Next step is, when the company says "No", they will then send you 3 upline people that you can sell your business to, not to your downline, just yet. You have to offer it to each of them one at a time. And the P & Ps stipulate that to buy YOUR business, they must resign their own business first.
So usually, the upline says "No". And after all 3 have turned you down, one at a time, then you have to offer your business to somebody in your downline. The legal team of this MLM company make it so clear – they say "if you circumvent any part of this procedure, you are terminated."
So I told the secretary to have the COO call me and we could visit about the situation. The secretary said that, “he does not talk to people directly!” I said, "Well, he talked to YOU!" So she told me he doesn’t return phone calls, doesn’t talk to any reps directly. I was stunned. I sat in my chair thinking, "Wow! This is unbelievable!" Now this guy wants to talk to me to find out why I am telling people to read their policies and procedures. That is amazing. what a trip!
If you need help determining just what is in your contract, then be in touch with us and we can help get answers to your questions?
P.S. – Have you read YOUR P & Ps lately?
To YOUR Ultimate Success!
Dave and Darlene Mills
Leadership With A Vision