Business Manual

BUSINESS MANUAL

2011www.zer matusa .com

Cover Manual de Negocio 2011.indd 1 7/22/11 11:10 PM

Zermat Business Manual 2011

1. INTRODUCTION TO THE ZERMAT OPPORTUNITY 1

2. THE ZERMAT BUSINESS MODEL 6

2.1. Compensation Plan 6

2.2.ProfitMargins 7

2.3.LevelsorRankings 8

2.3.1. Level Descent 15

2.4. Commissions 16

2.4.1.PurchaseRequirements 17

2.4.2.EndofMonth 17

2.4.3.Returns 17

2.5.Incentives 17

2.5.1.BonusPlans 17

2.5.2. Prizes 21

2.5.3.MonthlyIncentive 22

2.5.4. Trips 22

2.6. New Leadership Levels 23

2.6.1. New Recruits 23

2.6.2. Levels 23

2.6.3. Active Personal Group Director 24

2.6.4. Automatic Levels 24

2.7.GracePeriods 25

2.8.Inactivity 26

2.8.1.TerminationduetoInactivity 26

2.8.2.NewApplicantswithoutPurchase 26

3. SALES SUPPORT 27

3.1.MonthlySpecial 27

3.2.FavoriteProduct 28

3.3.ZemanaZermat&ZelebraciónZermat 28

3.4.MonthlyIncentives 29

3.5.SpecialOffers 29

3.6.Catalog 30

3.7.Internet 30

3.8.ProductManual 31

Index Manual Zermat.indd 1 7/28/11 4:21 PM


4. RECRUITING SUPPORT 32

4.1. Recruitment Bonus 32

4.2.StarterKit 33

4.3. Zermat News 33

5. RETENTION SUPPORT 34

6. SUSTAINABILITY AND SANCTIONS IN YOUR BUSINESS 35

6.1.Sustainability 35

6.2.Sanctions 36

7. METHODS OF COMMUNICATION 37

7.1.ZermatNews 37

7.2.ClientServicesTollFreeNumber 37

7.3.ZermatBusinessCenter 37

7.4.ZermatBusiness.comWebpage 38

7.5.E-MailAddress 38

8. TRAINING AND DEVELOPMENT 39

8.1.IntroductionProgram 39

8.2.LeadershipProgram 39

8.3.ConferenceCalls 39

8.4.BusinessMeetings 39

9. KLUB EXCELLENCE FOR LEADERS 40

10. ORDER CANCELLATION POLICIES 41

10.1.CancellationthroughtheZermatBusinessCenter(ZBC) 41

10.2.CancellationthroughtheZermatDistributionCenter(ZDC) 43

11. INTERNET USE POLICY 44

12. THE 10 PILLARS OF ZERMAT SUCCESS (Zermat Code of Ethics) 47

Index Manual Zermat.indd 2 7/28/11 4:21 PM


1. INTRODUCTION TO THE ZERMAT OPPORTUNITY

Introduccion a la oportunidad .indd 1 7/24/11 11:25 PM


1. INTRODUCCTION TO THE ZERMAT OPPORTUNITY

Zermat International: Changing lives every day for over 20 years!Today you have the chance to learn about a new opportunity that can change your life.

Zermat was founded in 1987, and since then we have expanded to include 15 countries, inviting people with

leadership skills, initiative and the desire to succeed to be a part of this MULTILEVEL (MLM) concept independent

business opportunity. You create your own business, offering a full range of personal care products as well as unique

fragrances and groundbreaking health and wellbeing products for the whole family.

During this successful process, we have sought to adapt the formulas of all of our products to the newest market

trends and the lifestyles of our customers, with the confidence and guarantee that they are purchasing products

that work.

With ZERMAT’s quality assurance, you will gain satisfied clients and build a strong and stable business that will open

doors to countless opportunities: economic and employment stability, being your own boss, flexibility, recognition,

travel, and many other benefits that on the ZERMAT OPPORTUNITY provides.

We now invite you to change your life and start your successful journey with ZERMAT: WELCOME!

Starting Your Independent Business, Is This Easy!ZERMAT offers you the opportunity to create your Independent Business using the MULTILEVEL (MLM) system.

THE MLM business opportunity is ACCESSIBLE AND EASY!

ZERMAT gives you all the tools you need start and reap the benefits of owning YOUR OWN BUSINESS.

How do I Start?

Become a Zermat Consultant: Start registering with Zermat as a Consultant and start your path to success.

Your primary investment to start earning is $125 minimum purchase of products from our Catalog (Category A).

~1~



This initial investment as a 100% profit margin, you get your initial investment back when you buy, because when you

sell the products you purchased and then sell them, you recover your investment immediately. Also, all the products

you purchase come with a permanent and exclusive 50% discount to you as a Zermat Consultant.

Your Tools to Help Start Your Business Additionally, Zermat offers a STARTER KIT, which you can purchase when you sign up as a Zermat consultant. This

excellent tool allows you to start right away as a Consultant and includes all the material you need to start working.

There are 2 options for your Starter Kit: •BASIC KIT: Contains all the basic information needed to start in a sleek, briefcase shaped box that is

convenient to carry.

•DELUXE KIT: This professional kit contains the same items as the Basic Kit but in an executive rolling bag

packed with some products you can sell to begin recuperating your initial investment.

Now that you are fully equipped, you can start working on your successful business as a Zermat Consultant.

You Are Now Have Your Own Business Your job as an Independent Business Owner is dependent on two vital activities to establish a solid and durable

business: RECRUITING AND SALES.

RECRUITING: Invite others to join this great opportunity!

Recruitment is the foundation of your business and allows you to establish a strong business. By inviting other

people to become Zermat Consultants you create your SALES GROUP from which you receive commission then

group members generate sales. This is a situation where everyone WINS.

Depending on the number of Consultants you invite to join your Sales Group, you can move up in your

LEADERSHIP LEVEL: Begin as a Qualified Consultant and end up a Director of Excellence!

~2~



HERE IS YOUR LADDER TO SUCCESS:

The benefits do not only come from sales by Consultants registered in your DIRECT GROUP but also in

BONUSES AND INCENTIVES (See Section 2.5) for sales and recruiting and are awarded every month.

Also, your sales and recruiting will award you points to participate in INCREDIBLE CONVENTIONS AND

INTERNATIONAL TRIPS (See Section 2.6.4) every year.

% OF COMMISSIONS PER LEVEL

PERSONAL PURCHASES

PURCHASE DISCOUNT

BONUSES

1ST LEVEL

4TH LEVEL

2ND LEVEL

3RD LEVEL

6TH LEVEL

5TH LEVEL

FOR RECRUITMENT

FOR RANK/LEVEL

FOR PURCHASES FROM DIRECT GROUP

TRIPS AND CONVENTIONS

PROFIT LEVELS

MINIMUM # OF PEOPLE IN YOUR DIRECT GROUP

NUMBER OF LEADERS NEEDED IN YOUR DIRECT GROUP

MINIMUM PEOPLE REQUIRED

Consultant

Qualified Consultant

Zermat Leader

Zermat Supervisor

Master Executive

Elite

Executive

Star

Director

Excellence

Director

0 3 6 6 6 6 6 6

0 0 0 1 3 3 5 10

0 3 6 7 9 9 11 12

0 1 2 2 3 4 5 6

50% 50% 50% 50% 50% 50% 50% 50%

0% 5% 10% 12% 13% 14% 15% 15%

5% 10% 12% 13% 14% 15% 15%

5% 6% 6% 6% 7% 7%

1% 2% 3% 3%

1% 2% 2%

1% 1%

1%

NO

NO

Here is Our Successful Business PlanAt Zermat we give you the key to your own business … through training your own Sales Group, where EVERYONE WINS!

~3~

2 Star Director

NO



How Do I Start My Sales Team?You can organize parties with friends and family and invite them to join you in earning with Zermat. Tell them about

our business system ease their anxiousness in having their own business.

There are many other places where you can offer the Zermat opportunity: Invite people you meet at the beauty

salon, supermarkets, shopping malls, or any other places you frequent, identify people with the desire to have better

employment or financial situation and make them part of your team. Becoming a Zermat Consultant is an excellent

option for self-employment, securing income with access to training and tools allowing you to strengthen yourself as

an independent businessperson, permitting flexibility and the ability to improve your quality of life.

Sales: The Fun Part of Your BusinessSELLING gives you the opportunity to reach your clients and recommend our magnificent products. Zermat has

products of the highest quality that are staples in people’s lives, making the job of selling very easy.

You will have access to the most comprehensive range of products in the following categories:

- Fragrances

- Skin Care

- Makeup

- Body Care

- Children and Babies

- Adolescents

- Nutrition

Now that you have everything at your reach to get customers who are 100% satisfied, we also offer some basic

sales tools such as:

- Seasonal Product Catalog a beautiful and comprehensive publication that describes and informs on all Zermat

products available for sale.

- Monthly Specials, which, as the name implies, published monthly and contains attractive seasonal offers.

- Instant offers, usually at the end of each month or during a special holiday season, which you can take advantage

of to increase your sales.

~4~



With everything, you need, we guarantee you great success in your work as a salesperson of products for the entire

family that are simply LUXURY IN YOUR REACH!

And remember that all of your sales turn into a 100% profit, and you can count on a permanent 50% discount on

all your purchases as a Zermat Consultant (Category A).

THE ZERMAT OPPORTUNITY, Is for you if… You want to become a successful leader!

A successful Leader is one who seeks recognition and is passionate about sharing their success with others.

If you have high goals for improvement of yourself and your lifestyle, then the ZERMAT OPPORTUNITY

is for you.

We invite you to learn about out Business Model in detail, so you can prepare and begin this path towards

Zermat success!

1 – Products included in the catalog are classified as Products “A” and working materials as Products “B.”

~5~



2. THE ZERMAT BUSINESS MODEL

El Modelo de Negocio Zermat.indd 1 7/28/11 4:31 PM


2. THE ZERMAT BUSINESS MODEL

Learn About Our Successful Business Model

Welcome! Here you will find the support tools and the methodology to substantially increase your profits. We recommend that you go over the entire reading, then go back and review the steps you need to complete to reach the next leadership level: It is as easy as the time you put into it!

Within all the information Zermat provides, you will find testimonials of people like you who in a few months have earned great profits. Their advice and testimony: “I focused on using these tools to Grow, Sell, Recruit, and Motivate my guests and thanks to them, today I enjoy a better lifestyle with my family.”

We hope that that will become your testimony as well!

2.1. Compensation Plan

Enjoy an Effective Compensation Plan

There is a big difference between a salesperson and being a part of the MULTILEVEL BUSINESS PLAN (MLM). MLM gives you more ways to earn more money in addition to sales and with the same effort.

The effort is in inviting people to be a part of your group, making sales, and helping your Sales Group grow. With the effort you put in today, you will be able to enjoy the benefits for many years to come.

~6~



2.2. Profit Margins

Your Profit is 100%It is important to take into account that your profit is the price differential between the catalog price and your purchase price, and you can take advantage of the 50% discount of the catalog price.

When you purchase a product that is not on sale, your profit margin is 100% in comparison to your investment.

But when there are Special Offers, you will receive more than 100% profits, thanks to the attractive discounts that Zermat offers monthly, decreasing the prices considerably from the regular Consultant price.

Similarly, the offers can come with additional gifts or allow you to purchase products in a SET, which immediately give the product extra value.

Here are some examples of our great deals:

Example 1: Kiddy’s Fragrances for Boys or Girls$7.50 each on Sale $19.00 each at regular Price Profit Margin: $11.50 (Over 60%) (End of Month Offer for January 2011)

Example 2: Set WakeUp!EYESHADOW TRIO IN TERRA ELEMENTS ($8.50 Regular Price) EYELINER PENCIL IN TOSTED ($4.50 Regular Price) MASCARA ($10.00 Regular Price) NAIL POLISH IN SEXY CHOCOLATE ($4.50 Regular Price) LIPGLOSS IN CHOCO COOL ($5.50 Regular Price) $12.50 on Sale $33.00 Regular Price Profit Margin: $20.50 (More than 60%) (End of Month Offer for January 2011)

Example 3: Spoil them with the quality fragrance of Caribe: At this time of joy, enjoy the sweet scent in a Special Edition Set..

CATALOG PRICE - CONSULTANT PRICE = 100% Profit (100% of price) (50% of price) Investment 50 Sell at 100 Profit 50

~7~



And with the purchase of Caribe we will give you a fabulous ladies handbag. (Special Offers, November 2010)

Example 4: Think Green, our Special Edition Fragrance: With your purchase receive a handy and

environmentally friendly bag. (Special Offers, December 2010)

With offers like these, there is no way you can lose.

2.3. Levels or Rankings

Your New Lifestyle Starts Here!

First, learn the basic concepts of our Level System:

All New Zermat Members become Active Consultants once they have obtained their registration number, Consultant number and make their purchase.

A Consultant who enrolls another Consultant is referred to as a Sponsor.

Every time you reach a new Level, you will receive commissions and bonuses for those that you invite and they in turn invite others, commissions, bonuses, and many more gains.

If you are organized, you can earn thousands of dollars every month, as with each Leadership Category you reach your percentage of profits increases from the purchases made by Active Consultants within your organization.Even if you are not able to know them in person, you should communicate by phone or E-Mail and welcome them or congratulate them on their success.

Your entire group of recruits, and those recruited by them, are all a part of your Tree. Your Tree refers to the groups that make up the Leadership category you have achieved.

The different Levels have defined purchase requirements, including Personal and Direct Group Purchases. These requirements are subject to change by Zermat and will be available through all official channels of communication (See Section 7).

Your Direct Group is comprised of your personal recruits and is the basis of calculation of levels. Your recruits are categorized as follows:

a) Partner, is one who has not made any purchases in the past month. b) Active Consultant, one who completes the minimum monthly purchase of $100.00 in commissionable product from Category “A”. c) Qualified Direct Group, those who are classified as Qualified Advisors or higher and d) UNQUALIFIED Direct Group, those Active Consultants who have been recruited but have yet to obtain a ranking.

~8~



e) An Indirect Group is comprised of recruits in the Direct Group who have NOT become qualified.

The Qualified Direct Group, Unqualified Direct Group, and the Indirect Unqualified Group are counted as part of

the “First Level” for the purpose of calculating commissions.

Active Consultants are those that make the monthly minimum purchase of at $100.00 in products in Category “A.” Those who fail to do so are referred to as Partners. Partners do NOT count as Active Consultants towards your ranking.

Among the information Zermat provides, you will find a category called Membership: Here you will find a list of the members of your group that did not make a purchase during the past month. With this information, you can communicate with them and guide them so that they can keep growing with Zermat and you can continue to receive benefits.

Upon reaching the ranking of Qualified Consultant, you begin your leadership career with Zermat.

The steps are easy, and the keys to success are Recruiting, Selling, and Motivating your members to follow in your footsteps and show them once they have registered how easy it is to recruit others to belong to Zermat as part of your Sales Group.

Following you will learn in detail the LEADERSHIP LEVELS of our business model:

QUALIFIED CONSULTANT (QC): This is your first level and your first step on this exciting journey.

The Qualified Consultant needs to fulfill the following monthly requirements:

Requirements:

Minimum Personal Purchases Category A $150.00

Productivity Category A $500.00 *(The amount of your personal purchases plus those of your direct group)

Active Consultants in Direct Group 3

* Applies only to this Level

Benefits:

Personal Purchases Category A 5% Commission

Direct Group Purchases Category A 5% Commission

5%

5%

~9~



ZERMAT LEADER (ZL): As a Leader, your organization becomes stronger.

The Zermat Leader Consultant needs to fulfill the following monthly requirements:

Requirements:


Productivity Category A $1,200.00 *(The amount of your

personal purchases plus those of your direct group)



Benefits:


Personal Group Purchases Category A 10% Commission

Second Generation Purchases Category A 5% Commission

10%

10%

ZERMAT SUPERVISOR (ZS): Continue your growth by becoming a Zermat Supervisor.

The Zermat Supervisor Consultant needs to fulfill the following monthly requirements:

Requirements: Minimum Personal Purchases Category A $150.00

Productivity Category A $1,500.00 *(The amount of your

personal purchases plus those of your direct group)



Benefits:



Second Generation Purchases Category A 6% Commission 6%

12%

12%

~10~

5%



MASTER EXECUTIVE (ME): Becoming a Master Executive opens the doors for your Consultants to become Leaders.

The Master Executive Consultant needs to fulfill the following monthly requirements:

Requirements:


Productivity Category A $2,000.00 *(The amount of your personal

purchases plus those of your direct group)


Leadership in Group 3 Zermat Leaders

* Applies only to this Level.

Benefits:




Third Generation Purchases Category A 1% Commission

13%

13%

6%

~11~

1%



ELITE EXECUTIVE (EE): By becoming an Elite Executive you will be admired for your positive attitude and demonstrate your leadership by

monitoring your group and helping your Leaders keep growing.

The Elite Executive Consultant needs to fulfill the following monthly requirements:

Requirements:



purchases plus those of your direct group


Leadership in Group 3 Master Executives


Benefits:





Fourth Generation Purchases Category A 1% Commission

~12~

14%

14%

6%

2%

1%



STAR DIRECTOR (SD): When you reach the level of Star Director, you have many benefits, including a new car.

The Star Director Consultant needs to fulfill the following monthly requirements:

Requirements:





Leadership in Group 2Elite Executives, 3Master Executives


Benefits:






Fifth Generation Purchases Category A 1% Commission

~13~

15%

15%

7%

3% 2% 1%



EXCELLENCE DIRECTOR (ED): You have reached the highest Leadership Level and because of your superb leadership skills, you have now

managed to build a strong and stable business!

The Excellence Director Consultant needs to fulfill the following monthly requirements:

Requirements: Minimum Personal Purchases Category A $150.00




Leadership in Group 2 Star Directors


Benefits:






Fifth Generation Purchases Category A 1% Commission

Sixth Generation Purchases Category A 1% Commission

~14~

15%

15%

7%

3%

2%

1%

1%



2.3.1. Level Descent

Don’t Let This Happen To You!

A leader will descend one or more levels if they do not meet the requirements for the last level achieved in the previous month and will go down to the level whose requirements they have met. Commissions are calculated based on the level with which the leader qualifies at the end of the month and in the case of a grace period, will receive the commissions to their benefit until the grace period ends and then a new grace period will begin ac-cording to the level in which they end on.

During the grace period, the company will apply the corresponding percentages to the leadership level, once the Leader reaches its minimum purchases necessary, otherwise they will not get the previous leadership level com-missions for purchases made in the grace period.

Note: When a consultant is in a Grace Period, they will still be able to take advantage of commissions, Recruitment Bonuses, and Retention Bonuses and will lose all other benefits and bonuses.

It is the responsibility of each Consultant in coordination with their Sponsor to maintain or grow in the different levels at the pace that the group is getting new Partners.

A Leader’s group at any level that descends to Qualified Consultant will be maintained for six months as their Direct Group and will earn commissions. At the seventh month at this level the group will be passed on to the first ranking Active Leader that has the minimum qualifications to be a Zermat Leader. This group will no longer be able to be sponsored by the original Sponsor. The company reserves the right to enforce this measure promptly and it is the responsibility of the Leader to inform the Active Consultant that they are at risk of losing their group, if they do not meet the minimum requirements for a Zermat Leader.

It is necessary to work on the team and guide them to make sure that the Leader does not lose their level as that can demotivate an organization. The Leader that receives the group should document their support and guidance plan to the Qualified Consultant so as not to lose their group.

To pass an organization to a new leader in the seventh month, the Leader that receives the group must send documentation to Zermat that demonstrates the work and support to help the Qualified Consultant grow into a Zermat Leader so as not to lose the group.

However, Zermat understands that there are circumstances where our Consultants for reasons beyond their control will need to be inactive, which will give them a Grace Period. This is described in more detail in Section 2.7 of this manual.

~15~



2.4. Commissions

The Compensation for your Efforts: Your Monthly Check

Zermat’s primary form of compensation to its sales force is Commission, which is calculated by current Leadership Level and the purchase volume from each level in your group.

To receive your refund check, you must meet these three requirements:

a) You must meet the current Minimum Purchase Requirement, which is updated annually. b) Your Direct Group must meet their minimum volume in each category and c) Have the number of Active Consultants and Ranks needed for each Leadership Level.

Zermat calculates the commission during the first days of the month. Since most payments are made by Credit Card and Money Order, we wait for the banks to register these payments to accumulate a better base for calcula-tion.

Commissions that are less than $50.00 will be credited to the Consultant’s account to be used towards their next purchase. For commissions $50.00 and over a check will be sent by mail between the 11th and 13th of each month.

Payments that are not made by the end of the month will be included in the following month. Attached to each check is an Account Statement that details the calculation base for every Leader on your tree and the purchases made along with the corresponding commissions, so there is no doubt how the check is calcu-lated. The details of any corresponding monthly bonuses will also be included.

For a leader to increase their profits we recommend using www.ZermatBusiness.com daily to see how many new recruits are in your organization as well as purchase volume. This information can be used so that the Leader can motivate their Sales Group to recruit and sell more.

This tool allows you to make sure you meet your requirements and see who in your organization has made returns that can affect your Leadership Level.

~16~



2.4.1. Purchase Requirements Every year Zermat establishes the minimum purchase amount for Category “A” products that every Leader must make as well as the minimum amount a Consultant must purchase to be considered Active and contribute to the Leader’s qualification.

The first purchase of the month must be a minimum of $100.00. Any subsequent purchase for the month does not need to meet this minimum.

2.4.2. Monthly Closing Day

The Closing day is the day where the Sales and Recruitments for all Consultants are consolidated. It is determined as follows:

a) The Closing Day is always the last day of the month. b) If the last day of the month falls on a Sunday, the Saturday before will then be considered the Closing day for that month. c) The Zermat Business Center closes at 10:00 PM CST. d) ZermatBusiness.com is closes at 12:00 Midnight CST. e) Any messages left will be taken care of, the next morning. If the person cannot be contacted, then no action will be taken.f) Orders not made by End of Month will not be processed the next day, regardless of the reason.

2.4.3. Returns

All returns are registered the same day that they are received by Zermat during regular business hours. Returns can affect Leadership Levels and productivity volume.

2.5. Incentives

Zermat Rewards your Perseverance and Valuable Work!

In the following sections, you will learn how Zermat rewards you: Receive additional income and prizes along with commission with various incentive campaigns.

2.5.1. Bonus Plans

Want to Earn More? Take Advantage of our Bonus Plans

The successful Zermat Multilevel Business model provides income through Commissions; Bonuses are an “ADDITIONAL” economic benefit that can increase the amount of your monthly check.

~17~



The following is the list of Bonus Categories:

a) Recruitment Bonus

b) Leadership Level Bonus

c) Making Leaders Bonus

d) Productivity Bonus

a) Recruitment Bonus This Bonus rewards you for your effort for recruiting new members to your organization.

This is the only bonus that an Active Consultant receives for each new member. The amount of

the bonus is $50.00 per new member towards online products at catalog price applied towards

the following month’s order.

Qualified Consultants up to Excellence Directors will receive $30.00 towards online products at

catalog price applied towards the following month’s order, plus other benefits.

b) Leadership Level Bonus This Bonus rewards your dedication and development in your rising Leadership career with

Zermat. Every time you reach a new Leadership Level, the GREATER the bonus you receive.

Zermat rewards you when you first reach a new Leadership Level according to the following table:

ZERMAT LEADER $ 50.00

ZERMAT SUPERVISOR $ 100.00

MASTER EXECUTIVE $ 200.00

ELITE EXECUTIVE $ 300.00

STAR DIRECTOR $ 400.00

EXCELLENCE DIRECTOR $ 500.00

~18~



c) Making Leaders Bonus

This Bonus rewards your dedication, effort, and valuable Leadership work by making persons in

your direct group Leaders like you. When they move up a level, so do you, and everyone wins.

Zermat’s philosophy is, “WIN-WIN”

Zermat rewards when a member of your group reaches a new Leadership Level for the first time

and you are a Zermat Leader or higher according to the following table:

ZERMAT LEADER $ 50.00

ZERMAT SUPERVISOR $ 100.00

MASTER EXECUTIVE $ 200.00

ELITE EXECUTIVE $ 300.00

STAR DIRECTOR $ 400.00

EXCELLENCE DIRECTOR $ 500.00

d) Productivity Bonus

This is the most important of all the Bonuses, not only is it where you can gain the most, but it is

one that can earn monthly. It can bring solidarity to your direct group and bring higher incomes.

Keep in mind that this bonus grows along with your Zermat Leadership Level: As a Leader we

enthusiastically recommend you motivate other Leaders in your direct or indirect group to also

earn this bonus.

Likewise, your own personal purchases are part of the established goal to earn the bonus.

This Bonus can improve your lifestyle: You can make your mortgage or car payment, save for a

vacation, college, and much more.

~19~



There are 2 Types of Productivity Bonuses:

BASIC PRODUCTIVITY BONUS BY LEADERSHIP LEVEL

If you increase your productivity, you can qualify for the PLUS BONUS:

PRODUCTIVITY PLUS BONUS BY LEADERSHIP LEVEL

• Commissionable Purchases are made by you and your personal group.

• Bonuses are paid in cash and included in the commission check.

• The Basic Bonus and Plus Bonus are not cumulative.

• Work Material is requested through the Zermat Business Center. Remember, these products

are non-commissionable.

Leadership Level

Zermat LeaderZermat SupervisorMaster ExecutiveElite Executive

$100.00$250.00$400.00$800.00

BonusWork

Material

$200.00$100.00

$2,600.00$3,800.00$6,600.00$12,000.00

Commissionable Purchase Total

3333

Personal Recruitment

Leadership Level

Zermat LeaderZermat SupervisorMaster ExecutiveElite Executive

$200.00$350.00$600.00$900.00

BonusWork

Material

$200.00$100.00

$3,800.00$6,600.00$12,000.00$16,600.00

Commissionable Purchase Total

4444

Personal Recruitment

~20~

( - )( - )

( - )( - )



2.5.2. Prizes

The odds of winning are fabulous!

Become a STAR DIRECTOR: The car of your dreams is about to become a reality!

After reaching the Leadership Level, you must keep it for two consecutive months and Zermat will award you with:

• A luxurious Mercedes-Benz, or other similar car of your choice that will be agreed upon. • An exclusive gala dinner with the Elite Leaders of your group with transportation, lodging expenses of the event paid for by Zermat. • An invitation to attend the next International Trip or Convention. • Your ticket to attend the International Trips, which will be won by completing the qualifications established by the Elite Leaders, making you automatically part of Klub Excellence. • You will attend all company organized conventions as long as you keep your level as Star Director 4 out of 6 consecutive months and in the final month of competition you must be a Master or higher.

Better yet: You can become an Excellence Director and enjoy unparalleled benefits!

After the month when you have reached this Leadership Level, you must stay at this level for two consecutive months and Zermat will award you with:

• An exclusive gala dinner with the Star Leaders of your group including transportation and lodging expenses for the event.

• An invitation to attend the next International Trip or Convention.

• Automatic membership to the Klub Excellence.

• You will attend all company organized conventions as long as you keep your level as Excellence Director 4 out of 6 consecutive months and in the final month of competition you must be an Elite or higher.

~21~



2.5.3. Monthly Incentive

A Chance to Win Every Month!

Every month Zermat gives prizes that include gifts for personal use, household items, and other

fantastic prizes, which one can win by reaching a set minimum monthly purchase.

This is how Zermat recognizes Consultants who make higher than average sales: some months

we have up to three different gifts the more volume is purchased. These prizes are delivered the

following month or with the next purchase after you have reached the minimum purchase for the

particular gift.

You may also win with a combination of purchases and recruitment as set forth in the rules each

month.

2.5.4. Trips

Enjoy destinations you never thought you would see …

Every six months there is an International Trip or Convention opportunity: It is easy to win the

ability to attend by meeting established sales and recruitment goals for your direct group.

These trips are arranged to that you have the opportunity to interact with other Leaders, learn

from others, get technical training for your business, and so you can enjoy some of the best

places the United States and the World have to offer with five star hotels, fine dining, and unfor-

gettable moments.

These trips are filled with joy and motivation, allowing all who attend to enjoy their success in

meeting the qualifications to participate.

It is more than a prize! Zermat covers the costs of transportation, lodging, food, training, and

admission to exclusive shows or attractions in the itinerary of the trip.

~22~



2.6. New Leadership Levels

Learn how to gain a higher Zermat Leadership Level

After reviewing the Commission Plan you can see the steps and the policies to adhere to reach a higher level and

therefore, more income. You gain a percentage of the purchases made by your members and the members of

their organizations.

2.6.1. New Recruits

Our Computer System through Zermat Business is responsible for linking the data of a Spon-

sor and their New Recruit, so you should always put your Sponsor Number on each Consultant

Agreement which is labeled as “Application.”

The Consultant Agreements are included in each Starter Kit and when placing orders you can

request more for free.

Once the form is filled out, fax it to 1.866.937.6281 or electronically as determined by Zermat.

Once received, the Company will register them and 45 minutes after submitting the application the

new Consultant will be called with their identification number. With this identification number, the

Consultant can place their first order and become an Active Consultant.

2.6.2. Leadership Levels

The Computer system for Zermat Business resets your status monthly and once your first pur-

chase is made qualifies you as an Active Consultant and has your members make their purchases

will calculate your level as the month goes on. Your Leadership Level for the month will then be

determined at End of Month.

With this Leadership Level the Zermat Business Computer System then calculates the benefits as

listed in the Business Model such as: Commissions, Bonuses, Incentives, Travel, etc.

In Section 6.4 you will learn how to access the Zermat Business page to review all the important

data and monitor you business.

~23~



2.6.3. Active Personal Direct Group

Each Leader needs to keep track of the monthly activity of their Direct Consultants with or without Leadership Level. The Direct Group is made up of all people who were personally recruited.

For Example:

ACTIVE CONSULTANT: Needs to have a purchase invoiced and paid.

The minimum monthly purchase total to be a Qualified Consultant is $150.00 of products from Category “A.”

2.6.4. Automatic Levels

The Zermat Business system automatically assigns the highest possible Leadership Level reached at the end of each month. The commissions are then calculated based on the business model shown previously. For ascension, it is important to meet the requirements in purchases and number of Leaders and Active Consultants according to each level.

To receive the notice of an EFFECTIVE LEADERSHIP LEVEL from ZERMAT, the Consultant and their Direct Group must have:

a) All members that count towards obtaining the higher Level must be Active.

b) Minimum Monthly Personal Purchase of $150.00 in products from Category “A.”

c) Personal and Group purchases paid on time (no balance due).

d) The minimum amount of Active Direct Consultants required and without balance due.

e) The minimum productivity of the Personal Group required for each level, making sure that it does not go down due to personal returns or those of your group.

MONTH 1

PURCHASE$150.00

ACTIVE

MONTH 2

PURCHASE$150.00

ACTIVE

MONTH 3

PURCHASE$0.00

INACTIVE

MONTH 4

PURCHASE$150.00

ACTIVE

~24~



2.7. Grace Periods

Zermat Understands At Zermat USA we understand that for reasons unrelated to your efforts, levels may be affected. For this rea-son, we support you with a grace period. This means that you can keep your same level for a certain amount of months and still receive the commissions for the level you have achieved.

In the table below you will find the grace periods for each Leadership Level to meet the requirements before descending.

• This table does not apply if the Leader’s minimum monthly purchase is not made. • You will NOT receive bonuses in you are in a grace period. • The only Bonus you are eligible for in a grace period is the Recruitment Bonus if you have met your minimum monthly purchase amount.

LEADERSHIP

LEVEL

MONTHS

WITH LEVEL

MONTHS IN

GRACE PERIOD

MONTH IN WHICH DESCENSION WILL APPLY

QUALIFIED CONSULTANT

ZERMAT LEADER

ZERMAT SUPERVISOR

MASTER EXECUTIVE

ELITE EXECUTIVE

STAR DIRECTOR

EXCELLENCE DIRECTOR

0

3

3

3

3

3

3

0

1

1

1

1

1

1

0

2nd

2nd

2nd

2nd

2nd

2nd

~25~

CONSULTANT

QUALIFIED CONSULTANT

ZERMAT LEADER

ZERMAT SUPERVISOR

MASTER EXECUTIVE

ELITE EXECUTIVE

STAR DIRECTOR

EXCELLENCE DIRECTOR

MONTHS WITH PROMOTION

GRACE MONTHS

MONTH IN WHICH DESCENSION WILL APPLY

0

0

0

0

0

0

3

1

2nd

3

1

2nd

3

1

2nd

3

1

2nd

3

1

2nd

3

1

2nd



2.8. Inactivity

What happens when your business becomes inactive?

After a Consultant does not make a purchase for three consecutive months, Zermat determines that they are Inactive. At this point, the Consultant will no longer receive catalogs, Monthly Specials, phone calls inviting them to continue to be a part of Zermat, etc. It is therefore the responsibility of the direct recruiter to reach out to them to Reactivate.

2.8.1. Termination due to Inactivity

When a Consultant does not make any purchases for six consecutive months, Zermat will ter-minate them on the first day of the seventh month. If after the seventh month the Consultant wishes to reactivate, they will need to acquire a new Starter Kit.

This would qualify them as a New Member and they would be given a new Consultant number as if they were starting for the first time. In addition, any Leader then can invite them back to Zermat under their sponsorship and the previous sponsor cannot claim them as their member as they had been terminated due to six months of inactivity.

2.8.2. New Applicants without Purchase

Zermat and The Klub Excellence will meet during the International Trip and Annual Conventions to determine the following for a recruit:

a) From the moment of registration to obtain their Consultant number. b) The period of time given to place their first order. c) That they become officially registered as a direct member.

Once the deadline has passed, if the member did not make a purchase, Zermat will not recognize anyone as the sponsor of that person even if they have bought one of the current Starter Kits.

If the assigned Consultant Number has not been registered as a number for a Direct Member, the number will be disabled and will not be reassigned.

That person will be free to be recruited by any other Leader and be officially registered once they have purchased a new Starter Kit and have made their first purchase to be activated.

~26~



3. SALES SUPPORT

Apoyo de ventas manual Zermat.indd 1 7/22/11 11:28 PM


3. SALES SUPPORT

Learn About the Different Strategies and Tools Available to Help You Succeed in Your Business

Our Sales Model is dynamic: We have different Types of Offers targeted at the consumer. The goal is to keep the Consultant and the Consumers constantly informed about any new product developments. This way, we make sure that the consumers, your Clients, buy products they are familiar with and are satisfied with giving you the op-portunity to offer other products: Remember, you have access to a great variety of products for every occasion and for the whole family.

Zermat not only offers you 100% of profits on purchases, but also special discounts for volume purchases; in other words, you can buy products with a discount of up to 70% on best-selling products. Also, your purchasing volume can help you win Monthly Incentives described in Section 1.5 of this Manual.

Information regarding these methods of support is included in the envelope you receive with the Monthly Spe-cial. The Monthly Special includes flyers with a special aimed at the consumer and a separate special aimed at the Consultant. You can purchase these offers to use for demonstration purposes or use as gifts for your guests, which can help facilitate recruiting and sales.

Zermat will mail you the Monthly Special for free to your home as well as a copy in your last order of the month. If for some reason you do not place an order during that week, you can purchase the flyers in packages of 10 or 30 so that you can give them to people who help you make your sales.

3.1. MONTHLY SPECIAL

Boost Your Sales Each Month With the Monthly Special

The Special offers change monthly, and are great for grabbing the attention of possible clients on a one on one basis or in a group setting, providing a good reason to get to know Zermat’s Products. The offer invites people to try out the products at a special price, which usually drives the sale. We recommend presenting the Special to people you do not know personally as they will be more excited by the sale and more likely to buy.

Once your new clients have purchased the Special it is a good time to present the catalog. Showing the Zermat Brand and the wide variety of products will have a major impact.

To increase the productivity of your time, we recommend gathering several people in one place, and thus being able to present the products and special offers efficiently. Offer a gift to the person hosting the party, and Zermat will help with that by offering a special we call FAVORITE PRODUCT.

~27~



3.2. Favorite Product

Take the opportunity to pamper your clients with our Favorite Product of the Month

Zermat offers these products each month with a special discount: You can purchase 3 or more, depending on the number of recruitments you made the previous month.

As mentioned before, this product is perfect as a gift to the host who organizes a party with friends and family to present Zermat products and the Zermat opportunity.

We also recommend you use it as a thank you gift to your best customers.

Additionally, Zermat offers you ZERMAT WEEK and ZELEBRATION ZERMAT, which are two promotional activities that will also yield higher profits and will help facilitate the sales and recruiting throughout the month. These offers are EXCLUSIVE to Beauty Consultants and Zermat Leaders.

3.3. Zermat Week and Zelebration Zermat

Think of it this way: “LOVE BEGINS AT FIRST SIGHT!”

With the Zermat Week and Zelebration Zermat opportunities, you can purchase products at special discounts. This will give you the ability to show products and have a better opportunity to sell on the spot and recruit.

With these promotions, Zermat helps you make a better profit over the month: Make your purchase during the first half of the month and take advantage of Zermat Week, and if you make a second purchase during the second half, you can benefit from the special offers during Zelebration Zermat. This way you will have extra money every 15 days.

~28~



3.4. Monthly Incentive

Each month receive a GIFT!

These are gifts of great value for you and your family that you can win instantly once you accumulate the monthly minimum purchase goal required.

Every month there are two or three gifts, the second and third you can win by making additional minimum purchase amounts. These will also be delivered instantly once those goals are reached.

If your Leadership career is the essential foundation of your success, you can also win these incentives with your outstanding recruiting work.

If from the start you encourage your Consultants to earn the Monthly Incentives, it will be easy for you to gain more Commissions and receive Bonuses, which add up to an important monthly income.

3.5. Special Offers

Celebrate with exceptional discounts

Special offers are published to celebrate different festivities throughout the year or as a company strategy. Special discounts are given on a selection of products, which you can also use to boost your sales or give incentives to your clients.

YOU SHOULD DO IT: DON’T LET YOURSELF OR YOUR CONSULTANTS MISS OUT!

~29~



3.6. Catalog

Our most Important Tool

Every 6 months Zermat offers an elegant and useful catalog that describes our full range of products for the whole family, innovative products that are in line with market trends.

The variety of Zermat Products enables you to reach many people with products they use every day. This will help you grow your business easily and MAKE MORE MONEY!

3.7. Internet

Information and Service 24/7

This permanent information tool will support your sales and recruiting. Encourage your customers to visit www.zermatusa.com, which proudly shows the company you represent.

Also, we offer a personalized webpage through the Zermat Business Center : This page contains the same information as the man page but registered in your name. It allows you to refer your clients to this page where you can receive orders from the general public, which are shipped directly by the company. Zermat takes the order and delivers it, assigning the income made from the sale to your account and avoiding shipping costs.

If you choose to use this excellent tool, be sure to provide the information to all of your customers to direct them to pro-mote your business and purchase from it.

~30~



3.8. Product Manual

Free Access to Detailed Information on Our Products

At our page www.ZermatBusiness.com or by request at Email address [email protected] you can receive detailed information on the products with their specifications, functions, and directions. It is important to use this tool so that you have detailed knowledge of all the products and calm any doubts you or your customers may have about a particular product.

~31~



4. RECRUITMENT SUPPORT

Apoyo de reclutamientos manual Zermat.indd 1 7/28/11 4:33 PM


4. RECRUITING SUPPORT

With Zermat There Are No Limits!

The more people you invite, integrate, and have actively participate in your organization or Tree, the bigger the rewards, and the faster you will be able to enjoy a better lifestyle and achieve financial independence.

Take advantage of all the resources that Zermat has at your disposal to promote your business.

Start inviting your family, friends, acquaintances, or neighbors. Then start inviting people who are in the business of beauty such as stylists, makeup artists, etc.

Take advantage of places where there are a lot of people and promote yourself such as church, school, stores, community centers, etc.

Zermat is for anyone who has the desire to improve his or her lifestyle and earn income. To ensure a continuous and rapid growth, we recommend you visit three new people daily: recruit and follow up. This way you will gain the benefits of the Zermat multilevel model, while sharing it with your recruits.

This is the key to success: Your own testimony of success is the best proof that IT IS POSSIBLE!

It is important to recognize that your personal time and efforts are limited, but your profits are unlimited with Zermat when you multiply them with the participation of other people in your Tree that do the same job as you.

4.1. Recruitment Bonuses On occasion Zermat will have Recruitment Programs such as cash Bonuses and Zermat Product.

These bonuses increase your income and will be credited to your monthly check statement the month after the new recruit has made their first purchase establishing their membership.

There are also gifts in the form of Zermat products for your efforts in recruiting. These gifts are sent the month following the recruit’s first purchase made establishing their membership.

~32~



4.2. Starter Kit

This Kit contains all the information on our Business Model. It is essential to review all the contents. It explains in detail the steps to take to achieve Zermat success.

Zermat offers two kits: The Basic Kit and the Deluxe Kit. We recommend you promote the Deluxe Kit, as it includes products you can sell on the spot to earn immediate profits and recuperate your investment.

4.3. Zermat News

This handy tool allows you to inform those who you give it to all they need to know about our Business Model in the form of a newspaper, making it inexpensive to distribute. We recommend you distribute them around your area in places you frequent.

Make sure and include your information and hand deliver them, briefly explaining the benefits of a part of an MLM business that turns into your own business with great long-term benefits. You can get them in packages of 100 pieces.

This newspaper makes it easy to start a dialogue and explain your business in detail, the ladder of success, benefits, product categories, ideas for more revenues and testimonies from successful Leaders. Remember, your success starts today and we are ready to take on the challenge with you: Are you ready?

~33~



5. RETENTION SUPPORT

Apoyo deretencion manual Zermat.indd 1 7/22/11 11:29 PM


5. RETENTION SUPPORT

Earn the Loyalty of the Members in Your Organization

A challenge in any MLM business is to keep your new recruits through continued contact with them through calls, visits, and meetings. It is important to do this especially in the first four months of activation of the Consultants you recruited, since they have not fully experienced the benefits of the multilevel business, which can lead to inactivity.

Remember that your growth and success with Zermat depends on them and the more Active Consultants you have, the greater the strength of your group and economic benefit.

To achieve retention, just show your new recruits all the benefits you enjoy and your strategies, such as monthly specials, supporting material, how to climb the ladder of success, sharing the weekly updates from Zermat News and always clarify any doubts the members of your organization may have about the business.

Explain it simply and in a friendly way to the members of your organization to gain a sense of loyalty not only to you, but also to Zermat.

~34~



6. SUSTAINABILITY AND SANCTIONS IN YOUR BUSINESS



6. SUSTAINABILITY AND SANCTIONS IN YOUR BUSINESS

Know the Rules for a Business that Lasts

6.1. Sustainability

Your Business Depends on YOU to Last

Zermat views this business as your own and you determine its longevity by completing the requirements needed for each Leadership Level.

Zermat acknowledges that this is your business, and that allows you link your family with your organization so that in the case of death or change of residence the transition is easier. Just give us prior written instruction that will assign who will act in your place, so that once they adhere to the same policies as you, they will be able to enjoy all the benefits you did with Zermat.

If the assigned family member already has their own independent organization, the two groups will be under the one person as they are already formed. The Trees will combine and they may be able to obtain a new Leadership level because of the new Direct Consultants under their name.

If you choose to no longer live in the United States, you may leave your organization with someone who is not a family member. This person will need to comply with the requirements according to the Leadership Level you have accomplished and they will reap the benefits of that level. In the case that the person assigned has their own Zermat organization in your Tree, the same rules will apply as if they were family member. But if they have an organization in a Tree outside of yours, the same rule does not apply; they will have two Trees in two organizations and will have to comply with the regulations of each Tree to get the benefits separately.

If you choose to return to the United States, either the assigned friend or family member with whom you have left your tree can return the groups as they currently are, whether the group as ascended or descended in level. Each person will then continue with their Trees complying with the requirements of the levels they are at that moment.

~35~



6.2. Sanctions

Zermat and Klub Excellence establish rules that allow the security and harmony of all the Leaders.

Here are the Current Rules concerning sanctions in your business:

a) All Consultants are allowed to belong to other MLM businesses until they reach Elite Leader status. Once you have reached that level you can only belong to Zermat, otherwise, it will not be possible to award you this Leadership Level.

b) When it is known that a Leader, regardless of their category, tries to recruit Zermat Consultants to another MLM Business, there will be a letter to the Zermat Committee to issue a sanction letter to that Leader. If you accumulate three letters, regardless of time in between them, the Leader will be dropped from the organization, immediately losing all benefits of their organization and their Tree will continue without any change to the sponsor of the leader, regardless of the level they are currently at.

c) No Leader is allowed to use the Zermat image or brand in advertising without authorization form the company. Zermat reserves the right to terminate those who do not comply with this policy.

d) Zermat has a website at the disposal to all of its Leaders, which can be used by Leaders in manner that it is meant for. If there are any Leaders who make their own website using Zermat brand images, that Leader will be terminated immediately.

e) Zermat prohibits the sale of its products by any unauthorized means.

~36~



7. METHODS OF COMMUNICATION

canales de comuni manual Zermat.indd 1 7/22/11 11:30 PM


7. METHODS OF COMMUNICATION

You Have Everything at Your Disposal to Learn and Manage Your Business

7.1. Zermat News

Our Weekly Information Bulletin

Every Wednesday, Zermat publishes “Zermat News, “ an electronic newsletter that keeps you focused on your sales growth and achieving your goals. It includes: news information about your business, official communication, last minute deals, leadership and training articles, motivational phrases, and much more. All we need is your E-Mail address so that you can receive this great tool Zermat has for you. Information is power: Stay informed!

7.2. Client Services Toll Free Number

Free and Permanent Access

You can call 1.877.413.4013 24 hours a day, 365 days a year for free. Listen to the options we have on the Client Services line so that you can the latest information on what is happening at Zermat.

7.3. Zermat Business Center

Communicate in Person

Zermat also offers personalized service through our Zermat Business Center (ZBC), where with a single call you can place orders, get information on current Zermat promotions and your organization, and tips to increase your profit.

~37~



7.4. ZermatBusiness.Com Webpage

Manage Your Business From Anywhere

One of the most important tools Zermat provides a Zermat Leader is personalized access to the Zermat Business

Information System (www.ZermatBusiness.com). With this, you can be on a computer anywhere in the world and

check on your Zermat business.

With this information system, you will be able to see up-to-the minute personal purchase information from Con-

sultants belonging to your organization. You will also be able to view new recruits, Leadership levels, and your Tree’s

purchase volume. In addition, you will be able to see the needed steps to reach the next Leadership Level and move

up on the Zermat ladder of success.

This information allows you to be constantly informed on accumulated points for trips, incentives, cash bonuses, as

well as a calendar of upcoming events in your area, etc

7.5. E-Mail Address

Your Gateway to More Information

To maintain contact and be at the forefront with technology, we suggest you open an E-Mail account with Yahoo!,

Hotmail, AOL, Gmail, etc. and register that address with us by composing a message to [email protected]. Here

you will be able to receive up-to-date information on our business. We recommend checking it daily to ensure you

receive all communications and not miss out on any last minute news.

~38~



8. TRAINING AND DEVELOPMENT



8. TRAINING AND DEVELOPMENT

Grow and Learn With Us

Zermat uses all forms of communication and Regional Manager meetings held in different states so you can acquire the skills needed to facilitate your growth with Zermat.

The mission of the Training and Development Program is to provide the opportunity for our Leaders to develop their business potential, where each one can convey the knowledge gained through training on topics such as beauty, leadership, and motivation.

8.1. Introduction Program

At the start of your Independent Business, Consultants are welcomed to Zermat and instructed in the basics of the Zermat Business System and Zermat products, so they can begin their career as a Zermat Consultant and promote effective opportunities for professional and personal fulfillment for those who want to learn.

8.2. Leadership Program

Zermat instructs their Consultants on the Leadership career, offering various opportunities to educate themselves through training classes in business management, communication, sales and recruiting tools, and other issues of vital importance for the growth of your Independent Business. There is also a MONTHLY online training program called Zermat Beauty Institute for all Consultants who have E-Mail and who are interested in learning the benefits of the beauty products not only for personal use, but also to conduct beauty sessions at gatherings.

Other professional training tools include articles on Leadership and Retention sent weekly through the Zermat News electronic bulletin. It also includes important tips and key information that helps Consultants current and supported in their business.

At the Zermat Distribution Center, training workshops are scheduled on product use as well as technical training in skin care, perfumery, cosmetics, and other topics.

~39~



8.3. Conference Calls

Conference Calls are scheduled periodically on various topics of interest about the management of the Zermat Business and other issues related to its development.

8.4. Business Meetings

At the regional level, various Business Meetings are scheduled to address leadership, motivation, sales, products, and other topics related to Zermat to educate Consultants in depth about the management of their Business, make contacts, and learn recruiting techniques.

~39~



9. KLUB EXCELLENCE FOR LEADERS

Club de lideres excellence Zermat.indd 1 7/28/11 4:43 PM


9. KLUB EXCELLENCE FOR LEADERS

Be A Part of the Most Successful Group of Zermat Consultants

In order to get opinions and review topics of interest with the sales force, Zermat created KLUB EXCELLENCE. KLUB EXCELLENCE is a group of Leaders who convene in discussion sessions at the Conventions and International Trips as well as conference calls to address issues proposed by Zermat and/or the KLUB.

Zermat reserves the right to define the methods of incorporation of Leaders into Klub Excellence. These Leaders will have the privilege of arriving one day prior to Conventions and International Trips to the headquarters and ad-dress issues that arise.

Once a Leader is accepted as part of KLUB EXCELLENCE they must act responsibly and honorably at decision making business workshops that benefit the entire Zermat sales force.

Any Leader or member of KLUB EXCELLENCE can propose a topic of particular or general interest to their Re-gional Manager for the discussion at the KLUB’s business workshops.

All decisions made by the KLUB EXCELLENCE must be complied with in a timely manner not only for Zermat, but also for Leaders and Consultants, since they are all wanting the same success and healthy sales force.

~40~



10. ORDER CANCELLATION POLICIES



10. ORDER CANCELLATION POLICIES

For Your Peace of Mind, Get to Know These Policies

10.1. Cancellations Through the Zermat Business Center (ZBC)

All of our Consultants have 30 days from the date of your invoice to request a Total or Partial Cancellation of your placed order. Any cancellation or clarification should have a FOLIO NUMBER with which your request will be handled. You can obtain one by contacting the Zermat Business Center ZBC (1.877.413.4013).

CHANGES: Zermat does not accept changes of any kind. (If you need to make a change, please request a cancellation and make a new purchase)

PARTIAL CANCELLATION: You can cancel up to 50% of your order without any additional charge within 30 days of the date of invoice.

FINAL AND TOTAL CANCELLATION: If after three attempts by the courier (UPS/FEDEX) your package is not delivered and returned to our warehouse, the package will automatically be canceled unless we receive a forward request from the Consultant within 5 days after received by Zermat.

TOTAL CANCELLATION: It is possible to return a complete order for a total cancellation whenever it is made within 30 days of your order.

General Conditions for Cancellations:

• The fees for all cancellation are nonrefundable are paid by the Consultant. • All total cancellations have a fee of $10.00 for administrative and restocking costs. • If the amount of the cancellation affects an incentive or gifts with purchase, it must also be returned. • For a cancellation where the Consultant requests a refund (This will be via the same method as payment) the product must returned unopened and in it’s original packaging. • Zermat does not accept cancellation of opened or used products (This does not apply for cancellations due to Defective Product) • No returns will be accepted for clearance items, or items with a 50% discount on catalog price or more, or as specified by Zermat.

~41~



RETURNS: You are given 5 business days after receiving your order via shipping company for any questions or complaints about quantity (missing product), status (damaged product), and/or price of goods received. Any returns will generate a FINANCIAL CREDIT NOTE or similar that you can use on your next order. Any return that follows with a shipment of product will be shipped in the same way and method as the original purchase (Approved claims will be sent if required in the next 24 hours).

General Conditions for Returns:• Upon receiving your order please check that your package does not show signs of being opened or damaged; if either is the case with your order, please refuse delivery and contact the ZBC. • When making an order the Consultant can purchase delivery confirmation (Signature Request) to which any claim or return request for this order will be taken care of immediately. On the contrary, it may take up to two weeks for the shipping company to process a return request. • All orders can only be resolved with missing or damaged product once. Please make sure you have thoroughly inspected your order when requesting your return.

WARRANTYOur products have a 45 day limited warranty from the date of invoice for any manufacturing defects

General Exclusions of Warranty: • Products used by more than half. • Products with broken bottles. • Products used for other purpose than intended. • Products not used as directed. Any cancellation through the ZBC is subject to cancellation policies of the ZBC.

42



10.2. Cancellations Through the Zermat Distribution Center (ZDC)

The Policies for returns, exchanges, and cancellations that apply exclusively to the Zermat Distribution Center (ZDC) are:

RETURNS Any return of purchase and/or transaction must be done the same day of purchase before leaving the ZDC.

CHANGES Zermat does not accept changes of any kind. (If you need to make a change, please request a cancellation and make a new purchase).

CANCELLATIONSIt is possible to return a complete order for a total or partial cancellation whenever it is made within 30 days of your order under the following conditions:

• Cancellations can only be requested by the requesting Consultant (Refunds cannot be requested via third parties). • They must present proof of purchase. • If the amount of the cancellation affects an incentive or gifts with purchase, it must also be returned. • For a cancellation where the Consultant requests a refund (This will be via the same method as payment) the product must returned unopened and in it’s original packaging. • Zermat does not accept cancellation of opened or used products (This does not apply for cancellations due to Defective Product) • To request a cancellation due to defect, the Consultant has 45 days to process a Warranty replacement; Warranty replacements are not allowed for products that have been more than half used, broken, and/or where they were used for other purpose than intended. • No returns will be accepted for clearance items, or items with a 50% discount on catalog price or more, or as specified by Zermat.

This return policy applies to all purchases made in our stores.

All cancellations through the Zermat Business Center are subject to the Return Policies of the Zermat Business Center ZBC.

~43~



11. INTERNET USE POLICIES



11. INTERNET USE POLICIES

Enjoy the Benefits of the Internet

Below are the following guidelines for Internet Use:

COPYRIGHTED MATERIALAll material provided by Zermat or on the website is copyrighted and is the property of Zermat. No material from sites owned, operated, licensed, or controlled by Zermat or the site Administrator can be copied, reproduced, republished, downloaded, posted, transmitted, or distributed in any way. Any unauthorized use of any content published by Zermat may violate copyright and/or trademark laws, and other laws.

TRADEMARKS/LOGOSTrademarks, service marks, and logos (“Trademarks” ®) used and displayed by Zermat are registered and unregistered trademarks of Zermat, unless otherwise indicated. Nothing published by Zermat can be construed as a concession of license, either implicitly or implied, by hindrance, or otherwise, or as a given right to use whatever Registered Trademark displayed on the Sites.

IMAGESZermat and/or its author own the images used and displayed by Zermat. Nothing published by Zermat can be construed as a concession of license, either implicitly or implied, by hindrance, or otherwise, or as a given right to use any image without authorization. You agree to comply with and follow the Zermat Guidelines for Internet access and use.

LINKSZermat sites may provide links to third party webpages. If so, they are provided solely for your convenience. If you use these links, you will have left the Zermat sites. Zermat does not review these third party sites and does not control these sites nor are they responsible for their content. The inclusion of such links does not imply endorsement of these sites by Zermat. You agree that Zermat is not responsible for the accuracy, compliance, copyright, legality, decency, or other aspect of content on such sites. Zermat does not represent such sites or any information or materials found there or results that may be obtained by using them. If you access any third party sites linked to these Sites by a link, you do so at your own risk.

~44~



USER TRANSMISSIONSUnless otherwise indicated, any material, information, idea, or other communication you transmit or publish to this site by any means will be treated as non-confidential and non-proprietary, and may be disseminated or used by Zermat and/or designated for any purpose, including, but not limited to developing and manufacturing products (“Communications”). Zermat has no obligation in respect of such communications. Zermat and its designees will have the freedom to copy, publish, distribute, incorporate, and otherwise use the communications and all their data, images, sounds, text, and other included elements embodied therein for any and all commercial or non-commercial purposes. It is prohibited to publish or transmit unlawful, threatening, defamatory, obscene, scandalous, pornographic, profane, or any other material that would cause civil or criminal legal liability to or from Zermat sites.

INDEMNIFICATIONYou agree to indemnify, defend, and hold harmless Zermat, its owner, subsidiaries, affiliates, and officers, employees, and agents from any claim or demand, including legal fees, made by any third party as a result of your use or access to this site or any other person who accesses the site through your account, with or without your consent. RESTRICTED ACCESS TO SITESZermat reserves the right to restrict access to their site to any use and any time and at any moment, at their discretion, with or without notification and with or without cause, can immediately deny access to their sites to any person, including those who had previously had access.

REVISIONS AND MODIFICATIONS OF TERMS OF USEZermat may revise these Terms of Use at any time. By accessing or using the Zermat sites, you agree to be bound by any such revisions. Similarly, you should periodically review the policies for Internet use from Zermat to determine the Terms of Use that are subject to changes and replacements with legal notifications or terms located on specific pages of the sites.

1. Zermat and/or their Representative (webmaster) reserves the right to alter, change, update, terminate, or otherwise modify website property owned by Zermat in any way.

2. Zermat (and/or Representative (Webmaster) reserves the right to remove or suspend any Independent Consultant from the Zermat Consultant locator (locate a consultant) www.zermatusa.com and/or any other site that is property of Zermat that contains this functionality at any time and to suspend the personal website at zermatusa at any time.

~45~



3. Zermat acknowledges and agrees that the Independent Zermat Consultants are independent contractors and do not have a joint venture, franchise, or partnership with the Company and is not an agent or employee thereof. It recognizes and agrees that the Independent Consultant has no power or authority to incur any debt, obligation, or responsibility on behalf of the Company.

4. All Independent Zermat Consultants agree to be responsible for all taxes, duties, fees, and licenses that may be assigned by any authority or impose on or from participation in the zermatusa personal website use, and should indemnify and free the Company and/or Representative (webmaster) from al liability, tax, penalty, interest, and other similar costs.

5. All Independent Consultants agree to indemnify and hold harmless the company and/or representative (webmaster) from any liability, loss, cost, claim, or expense (including, without limitation, (including, without limitation, attorney’s fees and expenses, court costs, and investigation costs) arising or alleged to arise from the par ticipation of the independent con sultant at the website zermatusa.

6. Participation requirements of the Consultant locator when using postal code determines with complete discretion by Zermat, who reserves the right to alter, change, update or otherwise modify it any time without notice.

7. All Independent Consultants recognize that the use of trademarks, images and/or logos of Zermat are not authorized for any form of publishing, advertising, including by Internet, except for the standardization of programs approved by the Company such as the personal website at zermatusa.

All Independent Consultants agree to comply with the Zermat Internet Use Policy and the Zermat Website Privacy Policy.

Zermat websites are controlled and operated by Zermat and make no representation that materials on this site are appropriate or available for use outside of the United States.

Those who choose to access this site from other locations, do so of their own initiative and are responsible for compliance with applicable local laws. The laws of the state of Texas govern any claim relating to the use of these sites, without effect to any legal principles or conflicts.

~46~



12. THE 10 PILLARS OF ZERMAT SUCCESS



12. THE 10 PILLARS OF ZERMAT SUCCESS

Our Code of Ethics and our commitment to our Consultants is described in the 10 pillars that Zermat has established to maintain an excellent and successful business relationship with you.

1. ABOVE ALL – BE A COMPANY YOU CAN TRUST. When evaluating a company or brand, various factors that gain the consumers TRUST are analyzed:

• Perceived VALUE in terms of product • Perception of corporate ETHICS • Credibility and quality of SERVICE, IMAGE, and PRESTIGE • KNOWLEDGE of those who shape the company

RETENTION = TRUST

2. BE FAIR TO ALL WHO COME IN CONTACT WITH US The Golden Rule states “Treat others as you would like to be treated.” Because all human beings need: • To be valued. • To be appreciated. • To be trustworthy. • To be respected. • To be understood. • To not be taken advantage of.

3. SHOW OUR BUSINESS WITH SECURITY AND KINDNESS Zermat is constantly occupied in being an income opportunity for our Consultants, minimizing the uncertainty that one could feel, through Quality Products that deliver on their promises.

4. KNOW ALL THE POLICIES OF THE COMPANY TO BE ABLE TO GIVE EXCELLENT SERVICE Part of the success of a Business is achieved the proper and timely training.

Make a personal commitment to learning the processes and execute them efficiently, clearly following the goals and guidelines

~47~



5. OFFER PERSONAL AND PROFESSIONAL SERVICE Cultivate and foster a better relationship with all of our Consultants, working with them to

establish alliances that give us confidence in our business.

Treat your customers how you would like to be treated

.

6. TREAT OUR CONSULTANTS WITH RESPECT Value and treat your Consultants with respect, kindness, and courtesy.

7. BE PASSIONATE ABOUT MEETING AND EXCEEDED THE NEEDS OF OUR CLIENTS WITH EXCELLENT SERVICE Currently there is great competition in this business and what sets apart one Company from

another is Service. This is why it is important to identify the needs of the client, anticipate the,

and give an A+ in service, making a noticeable difference.

8. PROVIDE IMMEDIATE ASSISTANCE TO CLIENTS WHEN THEY NEED IT Know your customers and learn to anticipate their needs to be able to give an immediate solution.

9. OFFER OUR CONSULTANTS THE MEANS FOR EASY ACCESS TO INFORMATION This is achieved by maintaining access to all the technologies, technically and humanly possible at

the disposal of our Consultants and clients, both internal and external.

10. ENSURE THAT ZERMAT IS THE BEST BUSINESS PROPOSAL This will be achieved with the sum of all the united efforts, both of the company and the sales

force for a common goal: Wanting to Live a Better Lifestyle.

~48~


Business Manual

Documents

Transcript of Business Manual