![]() ![]() This plan does not look at how much each individual has achieved. As per a balanced volume concept used in binary MLM plans, members of both the trees will be paid a certain part or percentage of the pay leg’s incremental growth. Not all MLM companies have the same compensation plans for their binary MLM plan, but some usual compensation plans have been explained below.Įach distributor under you is called a leg and the one performing the worst is called a payleg and the one performing the best is known as the profit leg. This can be a lump sum amount or a percentage of the plan signed onto by the prospect. Sponsor bonus: A distributor gets a sponsor bonus when he signs on a distributor directly under him. In a binary plan one can get three types of commissions: Your income stops or becomes stagnant if your downlines are not active. What a binary plan does is that it puts a firm structure in place that ensures that all distributors have a similar fixed income plan as per the depth of their network, i.e., you can earn good money only if your downlines are active and growing your network. The profit leg has distributors who are usually prospected and recruited by the immediate upline. New distributors who sign up are usually placed under the next available empty spot under the power leg. The two distributors who have been signed up are called the power leg and the inside leg. If you wish to grow your network, you have to keep adding downlines to your downlines.īinary MLM plans were introduced sometime around the late 1980s and have become one of the four most popular company structures in the 2000s. Any distributor in this MLM business plan can have only 2 direct downlines. To explain to briefly, a Binary MLM plan, as the name suggests, allows you to have only 2 direct downlines in your network. ![]()
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