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The Sisel Innovative Compensation Plan The most spectacular and best-paying plan in the industry for your prosperity.
Why We Can Pay You More • We manufacture our own product, saving us 400% on margins • We’re a debt free company • We’re not a public company; no dividends earmarked for share holders All the money we save, we reinvest in product development and payout to you in our compensation plan. That’s why this is the most spectacular, innovative, high-paying, hybrid compensation plan in the history of network marketing!
It’s Simple. It’s Easy. Here’s How It Works. Ranks and Qualifications Choose your level. It’s that easy to start making money. Direct Distributor Bronze Direct Distributor: 50 PV Silver Direct Distributor: 100 PV Gold Direct Distributor: 150 PV Platinum Direct Distributor: 200 PV Master Distributor Master Distributor: Gold or Platinum AP (150+ PV), 1000 PGV, 5000 CPGV Qualification In addition to the listed price, each Sisel product also has two point values assigned: Personal Volume (PV) and Bonus Volume (BV). The PV value helps you qualify to earn specific ranks and commissions that depend on the total PV generated by you, and the total PV generated by everyone in your Personal Group, or PGV (Personal Group Volume). The BV value assigned to each product is used to actually calculate the dollar amounts of compensation earned by distributors. All compensation percentages shown for each bonus reflect that percentage of BV rather than product cost or PV. In many cases BV and PV are equal. Quick-Response Evolution Every year, we conduct multiple reviews of the Sisel Prosperity Plan to make sure it is always fine-tuned to give you the greatest compensation possible. We call this industry-first innovation Quick-Response Evolution. The Leaders You Mentor Remain in Your Downline Unlike other plans where leaders break away from your downline causing you to lose commissions, the Sisel Prosperity Plan allows you to earn income on the revenue created by Master Distributors. There’s enough prosperity in our plan to help everyone earn a lot.
Page 2 of 8 THE COMMISSIONS All Bonus volume (BV) that comes into your team is divided into two tiers: the first 100 BV that comes into your group is paid through Direct Distributor Commissions (DDC); all BV above 100 is paid through the Master Distributor Commissions (MDC). Direct Distributor Commission Sisel’s Direct Distributor Commission pays up to 60% with an additional 7% from the Momentum Bonus for an amazing 67% compensation of each point of the first 100 Bonus Volume (BV) generated by the purchases of Distributors in your Downline. You can claim the highest possible portion of this 60% by building your organization according to the optimal width and depth shown in the table below. Doing so enables you to earn compensation through nine levels! DD Legs Personal Volume
1 to 3 B
S
4 to 6 G
P
B
S
7+ G
P
B
S
G
P
Level 1
5%
8%
9%
10%
5%
8%
9%
10%
5%
8%
9%
10%
Level 2
7.5%
13%
14%
15%
7.5%
13%
14%
15%
7.5%
13%
14%
15%
Level 3
5%
8%
9%
10%
5%
8%
9%
10%
5%
8%
9%
10%
Level 4
5%
8%
9%
10%
5%
8%
9%
10%
Level 5
2.5%
3%
4%
5%
2.5%
3%
4%
5%
Level 6
2.5%
3%
4%
5%
2.5%
3%
4%
5%
Level 7
2.5%
3%
4%
5%
Level 8
2.5%
3%
4%
5%
Level 9
0%
0%
1%
2%
Qualification and Payout Summary • The depth, in levels, on which a qualified Distributor is paid, is determined by the width of their organization based on the number of qualified Direct Distributor legs they have. 1-3 legs qualify for payment through three levels, 4-6 legs qualify for payment through six levels, and 7+ legs qualify for payment through nine levels. • Platinum Distributors enrolled in AP earn the maximum commission percentages shown above, while Gold and Silver and Bronze Distributors receive 1%, 2% and .5% less than Platinum Distributors respectively. • If a Distributor does not qualify to receive the Direct Distributor Bonus, he or she will not be counted as a level and those commissions will compress up until the maximum commission has been paid. • Due to dynamic compression, all commission percentages that could have been earned by Distributors, had they qualified, are paid instead to the first-qualifying Upline Distributor in that leg. • Distributors of all ranks not enrolled in AP receive 1% less than the percentages stated in the table above. In certain cases this may result in a Distributor not being paid on an entire level for which they may have qualified had they been enrolled on AP. • Master Distributors count as both Master Distributor legs and Direct Distributor legs. • Commissions earned through the Direct Distributor Bonus are calculated on the first 100 BV generated by each of the Distributors, regardless of rank or Personal Group, that are within your pay range, i.e. a minimum of three levels and a maximum of nine levels. • Preferred Customers are not counted as qualifying Direct Distributor legs.
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Master Distributor Commission As your Downline grows you can qualify to receive commissions on the total Personal Group Volume of each of your Master Distributors via the Master Distributor Commission. Qualified Master Distributors receive commissions equal to the percentages shown below of the aggregate of all BV over 100 generated by each Distributor in the Personal Groups of Master Distributors below them.
Rank
Master Distributor
1 Star
2 Star
3 Star
4 Star
5 Star
Qualified MD Legs
0
1-2
3-4
5-6
7-9
10+
Gen 0
8%
8%
8%
8%
8%
Gen 1
10%
10%
10%
10%
10%
Gen 2
12%
12%
12%
12%
12%
5%
8% (5%+3%)
8% (5%+3% BB)
10% (5%+ 5% BB)
8% (5%+3%)
8% (5%+3% BB)
10% (5%+ 5% BB)
8% (5%+3% BB)
10% (5%+ 5% BB)
Personal Group
Gen 3 Gen 4 Gen 5 Gen 6
8%
10% (5%+ 5% BB)
Qualification and Payout Summary • Rank advancement to Master Distributor: Gold or Platinum on AP, 1,000 PGV, and at least 5,000 CPGV in qualifying month. • Master Distributor rank qualifications must be maintained each month to receive the Master Distributor Commission. • Grace Period: For Master Distributors from whose Personal Group a newly created Master Distributor is formed, the monthly Master Distributor rank qualification is reduced from 1000 PGV to 500 PGV for the following two consecutive months. • In order to be paid the Master Distributor Bonus, a qualifying Master Distributor must have at least one active Master Distributor in his or her Downline on which to be paid the Master Distributor Bonus. • Those who have qualified as Master Distributors in the past but do not qualify in a given bonus period are not counted as Generations, and all qualifying Generations in that leg are compressed up accordingly.
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THE BONUSES Hard work deserves rewards. Bonuses are dynamic pay structures designed to reward you for diverse prosperity-building behaviors. They are dynamic because they can be adjusted to meet the various, unique needs of distributors across Sisel’s markets. Meet your bonuses.
Fast Start Bonus Sisel’s Fast Start Bonus is designed to provide an incentive for distributors to begin building their businesses immediately and consistently by generously rewarding those who sponsor business-ready new distributors. Sisel pays an incredible 60% bonus on the first 349 BV of initial sign up orders of all new Distributors!
Traditional Sponsorship Example
Placement Sponsorship Example
Upline
0% Bonus
Upline
Upline
5% Bonus
Enrolling Sponsor
Upline
5% Bonus
Upline
5% Bonus
50% Bonus
Upline
5% Bonus
Enrolling Sponsor New Distributor
100 PV to 200 PV
New Distributor
0% Bonus 50% Bonus
100 PV to 200 PV
Qualification and Payout Summary • 50% of the first 349 BV on Gold or Platinum Auto Purchase enrollment orders (150+ PV) is paid to the Enrolling Sponsor. • 5% of the first 349 BV on Gold or Platinum Auto Purchase enrollment orders (150+ PV) is paid to the Enrolling Sponsor’s Direct Upline, and their Direct Upline. • In cases of new Distributor placement, 50% of the BV is paid to the Enrolling Sponsor, and 5% of the BV is paid to the first two qualified upline Distributors above the new Distributor. • If the Enrolling Sponsor and the Direct Upline of the new Distributor are the same, that account is skipped for the 5% bonus such that the Enrolling Distributor will not receive 55% of the BV. • In the event that the Enrolling Sponsor or their Direct Upline Distributors do not qualify to receive bonus the Fast Start Bonus will compress up to the first qualified Distributor. • The Enrolling Sponsor must qualify as a Silver Distributor or higher and have to be enrolled in the Auto Purchase program to receive the Fast Start Bonus. • The Fast Start Bonus pays out weekly.
Momentum Bonus on DDC In our emerging markets we have created a bonus to promote momentum. Adding an additional 7% on the first levels of the Direct Distributor Commission give new distributors and new markets added incentive to succeed.
Level 1
Additional % on DDC 2%
Level 2
3%
Level 3
0%
Level 4
2%
Levels
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Accelerator Master Fast Start Bonus This bonus is for serious business builders who want to jump right in at the Master level. The Accelerator Master Fast-Start Bonus pays higher on the initial order a distributor makes, AND it reward depth (see below for pay structure). The deeper you build, the more you can make—without missing fast-start rewards. The Accelerator Master Fast-Start Bonus is generated when you enroll a new distributor with an Accelerator Pack. There are two types of Accelerator Packs: Basic: $350
MD Fast Track: $1050
350 PV
1050 PV
350 BV
1050 BV
1 Share in AMFB Pool
4 Shares in AMFB Pool *You may combine 3 Basic Packs in the same Weekly Pay Period or purchase the Master Fast Track Pack to reach Master Distributor.
Accelerator Master Fast Start Bonus Pool The AMFB Pool is another dynamic way to earn payout in the AMFB. Each accelerator pack purchased contributes 10% to this rewards pool. Also, all bonuses that are not paid out in AMFB (due to nonqualification) enter the pool. When you enroll someone who purchases an accelerator pack, you get 1 share in the AMFB Pool for the Basic Pack and 4 shares for the MD Fast Track Pack earn more shares to get a higher payout in the bonus pool!
Fast Start Bonus (FSB)
Accelerator Master Fast-Start Bonus
Level 1: 50% Level 2: 5%
Level 1: 30% Level 2: 3%
Level 3: 5%
Level 3: 3% Level 4: 3% Level 5: 3% Level 6: 4% Level 7: 4% Bonus Pool: 10%
Qualification and Payout Summary • Bonus pays weekly. • Pool pays out monthly. • Pays on the Enrollment Tree. • All BV generated in the same Weekly Pay-Period as an Accelerator Pack will pay on the AMFB pay structure. • To qualify to be paid, you must be a minimum of Silver Direct Distributor (100 PV). • Maximum payout is achieved at the rank of Master Distributor Gold (150 PV).
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Builder’s Bonus This bonus provides the opportunity for potentially limitless earnings on your organization as deep as it could possibly be built. The Builder’s Bonus has been designed to provide the most valuable incentive for successful Sisel leaders to continue building their organizations by continually working to develop new leaders through all levels of their organizations. It pays 3-Star Master Distributors and above an additional bonus percentage on the Master Distributor Commission starting on their 3rd Generation and continuing down qualified legs indefinitely or until another Master Distributor of equal or higher rank is reached. Qualification and Payout Summary • Builder’s Bonus is available to 3-Star Master Distributors and above. • Builder’s Bonus is paid on all qualifying Master Distributor Generations in each leg, beginning on the 3rd Generation, until a Generation on which a downline Master Distributor of equal or higher rank qualifies to be paid is reached, at which point the Builder’s Bonus will begin paying out to that Master Distributor. • 5-Star Master Distributors receiving the 5% Builder’s Bonus will receive the difference between 5% and 3% in the event that a 3-Star or 4-Star Master Distributor begins to be paid on the same Generation in a particular leg. • Those who have qualified as Master Distributors in the past but do not qualify in a given bonus period are not counted as Generations, and all qualifying Generations in that leg are compressed up accordingly. Car Bonus The Car Bonus is for advanced Master Distributor ranks. Sisel pays an additional commission equal to 15% of the commission earned from the Master Distributor Commission, up to $1,000. Qualification and Payout Summary • The Car Bonus is available to 3-Star Master Distributors and above. • The Car Bonus pays an additional 15% of the dollar amount of commissions over $2000, with a maximum payout of $1000. • Upon qualification for the Car Bonus, the Car Bonus application form found on siselinternational.com must be submitted to SISEL Customer Service prior to payment of bonus. • Compensation earned from the Car Bonus must be used for expenses that advertise your success and are subject to approval prior to payment of compensation. Preferred Customer Reward Program People who want to purchase Sisel products, but who do not want to be distributors, can become Preferred Customers. With each purchase, they get Preferred Customer Points which they can redeem for free products, and you get a commission! Qualification and Payout Summary • 20% of total Bonus Volume (BV) is paid as a rebate for product credit to the Preferred Customer and the remaining 80% of the Bonus Volume (BV) is paid in compensation as normal according to the Direct Distributor Bonus and Master Distributor Bonus tables. • Bonus Volume generated by Preferred Customers contributes to the Group Volume totals of their Direct Upline Sponsor and other Distributors upline in that leg. • Preferred Customers are not counted as qualifying Direct Distributor legs. • SISEL Distributors are not eligible to receive Preferred Customer Points. • Preferred Customers can review their personal reward account at www.siselinternational.com. • Compensation generated by the Preferred Customer Reward Program compress according to the compression rules explained for the Direct Distributor Commission.
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Glossary Automatic Purchase Program (AP): A program offered by SISEL to automatically ship a monthly order of products to help ensure qualifications, higher commissions, maximum payouts and convenience. Bonus: compensation based on a dynamic pay-structure. Compensation: a generic term referring to pay receivable from commissions or bonuses. Bonus Volume (BV): A point value assigned to each SISEL product, distinct from Personal Volume (PV), which is used to calculate the dollar amounts of compensation earned from any commissions or bonuses for which a Distributor has qualified in a given pay period. Commission: compensation based on a core pay-structure. Compression: The mechanism by which compensation not earned by the originally intended Distributor due to a lack of qualification are passed to another Distributor in the Upline of the originally intended Distributor. The rules of compression vary with each of the different pay structures of the Prosperity Plan. Cumulative Personal Group Volume (CPGV): The total accumulated Personal Group Volume (PGV) since enrollment. Direct Distributor: A person who is officially registered with the company to distribute products according to the company’s Policies and Procedures, who is in good standing with the company. Sisel Distributors may participate in, and benefit from, Sisel’s Prosperity Program according to their qualifications as defined by Sisel’s Prosperity Program. Direct Upline: A new or existing Distributor’s first Upline distributor. The Direct Upline Sponsor may or may not be the Enrolling Sponsor. Enrolling Sponsor: A Distributor who introduces the SISEL opportunity to someone and initiates their enrollment into the company. The Enrolling Sponsor may or may not also be the Direct Upline Sponsor. A Distributor’s status as the Enrolling Sponsor of another Distributor is only relevant during the initial bonus period in which the new Distributor is enrolled. Generation: The Personal Group of a Master Distributor, including the Master Distributor. Generations denote the vertical position of a Master Distributor within a given leg of a specific Distributor relative only to the other Master Distributors that exist in that same leg. Leg: All of the Distributors located beneath a front line Distributor, for whom a specific Distributor is the Direct Upline. Level: The vertical position a Distributor account holds below another specified Distributor in a given leg. Master Distributor: A rank within SISEL’s Prosperity Plan which enables you to receive compensation on the Personal Group Volume of Master Distributors in your Downline according the Master Distributor Comssion and Builder’s Bonuse. Master Distributor Leg: A leg that includes at least one qualified Master Distributor Pay Period: The period when volume is generated and paid. Sisel has Weekly and Monthly pay periods. Weekly Pay Schedule: st th • Week 1: runs from 1 to 7 ; pays two business days later th th • Week 2: runs from 8 to 14 ; pays two business days later th st • Week 3: runs from 15 to 21 ; pays two business days later st • Week 4: runs from 21 to Month End (ME) ; pays two business days later Monthly Pay Schedule: st th • Monthly Period runs from 1 to Month End (ME); Pays on the 15 in the following month. Personal Group Volume (PGV): The sum of the PV of each Distributor and Preferred Customer in a Personal Group (see definition: Personal Group), including the Distributor’s PV, in a given bonus period. Personal Group: All the Distributors and Preferred Customers in a Downline, down to but not including all Master Distributors being paid at the rank of Master Distributor for their second and subsequent months and each leg in each Master Distributor’s Downline (see diagram on page 3). Personal Volume (PV): An assigned point value based on the retail price of a given product used to calculate compensation qualifications. Preferred Customer: A person who is officially registered by SISEL International to purchase products according to the company’s Policies and Procedures, who is in good standing with the company. SISEL Preferred Customers may
Page 8 of 8 not participate in, and benefit from, SISEL’s Innovative Compensation Program. Volume generated by Preferred Customer orders is included in their Direct Upline’s Personal Group Volume. Qualification, Qualified: The term used to describe the monthly account status of all Sisel Distributor accounts in relation to their eligibility to receive commissions during that month. Qualifying for commissions in a given pay period requires that a Distributor satisfy the minimum PV, PGV, and other requirements specific to their rank. Therefore the specific definition of Qualification varies according to rank. Qualification requirements for each rank can be found in this Prosperity Plan document. Distributors that do not qualify may lose out on all or a portion of the compensation they would otherwise have earned had they satisfied the requirements specific to their current rank. Qualified Direct Distributor: A Direct Distributor who has purchased the minimum PV in a given pay period.. Qualified Direct Distributor Leg: A leg that contains at least one qualified Direct Distributor at any level.