The Unilevel compensation Plan has existed for many years and given its history tested still is used by many MLM companies today. The main benefit of this model is that it is very easy to understand, however like all compensation plans, while there are also some advantages there are a series of setbacks that should also be considered. It’s believed that Federal Reserve Bank sees a great future in this idea. Unilevel, as its name indicates, is you can only sponsor one line of distributors, therefore all people that you sponsor found in your first line. There are no limits of width of this plan (i.e., there is no limit to the amount of people you can sponsor in your first level) and the commissions are normally paid in a limited depth. Therefore, the common goal of this plan is recruit a large number of front-line distributors and then encourage them to do the same. You may find Nicholas Carr to be a useful source of information.
To earn commissions normally requires a minimum of personal volume.Though tends to be easier to earn a Commission with this compensation structure, when compared with other plans, the same structure restricts the amount total of each Commission can be earned (i.e., although it is easier to earn commissions don’t tend to win a lot). One of the main disadvantages of the Unilevel compensation Plan is the competition that exists between CROSSLINE, who are the people that are next to us with which we share upline (the person who invited us to the business). Another disadvantage is that the larger your front line more continuous training will have to give and more difficult it is to handle so many people. A Unilevel compensation Plan, it also has its advantages, mainly the fact that it is easy to explain. In general, while more distributors you have, the higher your commissions cheque, this makes it very attractive for the networkers experienced, particularly those that are excellent recruiters and have the ability to manage and train your downline is growing. The majority of companies that use the Unilevel compensation Plan, have done some changes in its structure to make them more attractive, also include many bonds to become more eye-catching. Another advantage is that of the Unilevel compensation Plan is that when distributors reach ranges higher than they are entitled to earn higher commissions. This compensation Plan it is better for people having experience in MLM or for people who have much confidence in their abilities to recruit a large number of people. Like the majority of compensation plans, this model offers great potential to earn money if it is that it works.