BUSINESS MANUAL - Amway Australia · THE Amway® SALES & MARKETING PLAN OGNITION LEVELSREC Levels...
Transcript of BUSINESS MANUAL - Amway Australia · THE Amway® SALES & MARKETING PLAN OGNITION LEVELSREC Levels...
AUSTRALIA & NEW ZEALAND
BUSINESS MANUAL
CONTENTSSTARTING OUT, SPONSORING & DUPLICATION 4
RECOGNITION LEVELS 6
AWARDS & REWARDS 8
TYPES OF BONUSES 10
FINANCIAL FREEDOM 14
INTERNATIONAL SPONSORING 15
YOU ARE SUPPORTED 20
FREEDOMFAMILYHOPE
REWARDOUR INSPIRATION, MOTIVATION,
AND FOUNDATION.
FREEDOM To own your own business,
work hard and grow.
FAMILY Our essential support
and encouragement.
HOPE For all to have personal
and professional success.
REWARD
For achieving success – and
helping others do the same.
Starting OutExample 1 Assuming your monthly personal PV
is 100 of which your immediate gross
income would accumulate as follows:
30% Retail Profit on 400 BV = $120
3% Performance Bonus on 400 BV = $12
Your Gross Income Per Month = $132
Your Gross Income Per Year (12 x $132) = $1,584
Grow Through SponsoringYou can expand your business by sponsoring others.
Let’s assume that you sponsor 4 other IBOs1, each of
whom generates 100 personal PV in a month, while you continue
to do 100 personal PV a month. Your income
could be as follows:
Example 3
Your total monthly Group PV at 500 GPV
6% Performance Bonus on personal BV (400BV X 6%)
= $24
Differential Bonuses from downlines (400BV x 3% x 4)
= $48
Total Bonus You Earn = $72
30% Retail Profit on 400 BV = $120
Your Gross Income Per Month = $192
Your Gross Income Per Year (12 x $192) = $2,304
1 Not every IBO will sponsor 4 IBO. Some will sponsor more, some will sponsor fewer, depending upon time and effort spent on building the business. The numbers used are simply to show you how the Amway Sales & Marketing Plan works and how income is calculated.
Example 2Assuming your monthly personal PV
increases to 200, your gross income
would rise accordingly:
30% Retail Profit on 800 BV = $240
3% Performance Bonus on 800 BV = $24
Your Gross Income Per Month = $264
Your Gross Income Per Year (12 x $132) = $3,166
Grow Through DuplicationYour business continues to grow as your IBOs follow
your example and begin sponsoring their own IBOs.
Let’s say that all 4 IBOs continue to do 100 PV
a month and they each sponsor four IBOs of his
own who likewise do 100 PV a month. The total PV for
each group would be 500. If you continue to personally
generate 100 PV a month, your income could be as follows:
Example 4
Your total monthly Group PV at 2100 GPV
12% Performance Bonus on personal BV (400BV X 12%)
= $48
Differential Bonuses from downlines (2000BV x 6% x 4)
= $480
Total Bonus You Earn = $528
30% Retail Profit on 400 BV = $120
Your Gross Income Per Month = $648
Your Gross Income Per Year (12 x $648) = $7,776
YourSponsor
You 100 PV
100 PV 100 PV
100 PV 100 PV
You 100 PV
YourSponsor
You 100 PV
100 PV 100 PV
100 PV 100 PV
You 100 PV
X4 100 PV
X4 100 PV
X4 100 PV
X4 100 PV
THE Amway® SALES & MARKETING PLAN
RECOGNITION LEVELSLevels of Achievement
To recognise and reward the achievements of IBOs, Amway has an extensive awards and bonus/rebate system. Pins are awarded in
honour of business-building achievements. At many levels, cash bonuses, rebates and other rewards are awarded.
To be eligible for these bonuses and awards, an IBO must be in compliance with all of the provisions of the Amway Rules of
Conduct. All award qualifications are subject to verification and review before any recognition.
Bronze Silver Gold
Platinum FoundersPlatinum
Ruby Founders Ruby
Sapphire FoundersSapphire
Emerald Founders Emerald
DiamondFoundersDiamond Executive
DiamondFounders
Executive DiamondDouble
DiamondFounders
Double Diamond
TripleDiamond
FoundersCrown Ambassador
Crown FoundersCrown Crown
Ambassador
Founders Triple Diamond
LevelP
in Req
uirements
Bonus Q
ualification
Exclusive B
usiness Invitation
Perfo
rmance
Bo
nusL ead
ership/
Fo
ster Bo
nusR
uby
Bo
nus*
Mo
nthly D
epth
Bo
nus
Em
er ald
Bo
nusD
iamo
nd
Bo
nusD
iamo
nd
Plus B
onus
FAA
OTC
AN
ew P
latinum
Sem
inarA
mw
ay A
chieversF
ound
ers C
ouncil***
BR
ON
ZE
15%
Bonus/R
ebate w
ith at least 3 x 6%
bonus/reb
ate leg
s plus 10
0p
pv•
SILVE
R P
RO
DU
CE
R1 Silver P
roducer m
onth•
••
GO
LD P
RO
DU
CE
R3 Silver P
roducer m
onths•
••
PLA
TINU
M6 Silver P
roducer m
onths•
••
••
RU
BY
2 x Maxim
um Perform
ance B
onus, 1 month
••
••
FOU
ND
ER
S PLA
TINU
M12 Silver P
roducer m
onths•
••
•FO
UN
DE
RS R
UB
Y2 x M
aximum
Performance
Bonus, 12 m
onths•
••
•SA
PP
HIR
E2 Q
plus 15%
- 6 months
••
••
FOU
ND
ER
S SAP
PH
IRE
2 Q p
lus 15% - 12 m
onths•
••
•E
ME
RA
LD3 Q
6 Legs
••
••
••
FOU
ND
ER
S EM
ER
ALD
3 Q12 Leg
s•
••
••
•D
IAM
ON
D6 Q
6 Legs
••
••
••
••
FOU
ND
ER
S DIA
MO
ND
6 Q12 Leg
s or 8 FAA
points
••
••
••
••
EX
EC
UTIV
E D
IAM
ON
D
9 Q6 Leg
s or 10 FA
A p
oints or m
inimum
Founders
Diam
ond q
ualifica tion w
ith at least 1 x Found
ers Platinum
in each Q
12 leg tog
ether w
ith a minim
um of
10 q
ualification cred
its
••
••
••
••
•
FOU
ND
ER
S EX
EC
UTIV
E D
IAM
ON
D
9 Q12 Leg
s or 12 FAA
points
or minim
um Found
ers D
iamond
qualifi
ca tion with at
least 1 x Founders P
latinum
in at least 8 x Q12s leg
tog
ether with a m
inimum
of 16 q
ualification cred
its
••
••
••
••
•
DO
UB
LE D
IAM
ON
D
12 Q6 Leg
s or 14 FA
A p
oints or m
inimum
Founders
Diam
ond q
ualifica tion w
ith at least 1 x Found
ers Platinum
in at least 8 x Q
12 legs tog
ether w
ith a minim
um of 25
qualifi
cation credits
••
••
••
••
••
AW
AR
DS &
RE
WA
RD
S•
1st time P
latinum q
ualificatio
n can b
e qualifi
ed b
y rolling
12 m
onths w
ith 3 mo
nths are co
nsecutive.
• P
la tinum R
equalifi
cation are any
6 m
onths w
ithin Perfo
rmance
year.
• F
ound
ers Platinum
and ab
ove q
ualificatio
n are qualifying
w
ithin Perfo
rmance Year.
• A
ll Fo
unders q
ualificatio
ns can b
e qualifi
ed thro
ugh V
olum
e E
quivalency (V
E).
• E
merald
and F
ound
ers Em
erald
qualifi
cations can b
e achieved
by lo
cal and internatio
nal leg
s. Diam
ond
s and ab
ove q
ualificatio
n can be achieved
by
local and
international leg
s, with
at least 3 local leg
s as the base
(must b
e EB
R).
• E
mer ald
bo
nus/rebate m
ust be
an Em
erald B
onus R
ecipient
(EB
R) w
ith at least qualifi
ed 3
local leg
s.
• D
iamo
nd b
onus/ reb
ate must b
e an D
iamo
nd B
onus R
ecipient
(DB
R) w
ith at least qualifi
ed 6
lo
cal legs.
• D
iamo
nd P
lus bo
nus/ rebate
must b
e an Diam
ond
Bo
nus R
ecipient (D
BR
) with at least
qualifi
ed 7 lo
cal legs.
• FA
A m
ust be a D
iamo
nd B
onus
Recip
ient in at least one m
arket, have fo
ur in-market F
ound
ers P
latinum leg
s under their #
1 and
#2 b
usinesses and have earned
a m
inimum
of 20
FAA
po
ints on
a glo
bal b
asis.
LevelP
in Req
uirements
Bonus Q
ualification
Exclusive B
usiness Invitation
Perfo
rmance
Bo
nusL ead
ership/
Fo
ster Bo
nusR
uby
Bo
nus*
Mo
nthly D
epth
Bo
nus
Em
er ald
Bo
nusD
iamo
nd
Bo
nusD
iamo
nd
Plus B
onus
FAA
OTC
AN
ew P
latinum
Sem
inarA
mw
ay A
chieversF
ound
ers C
ouncil***
FOU
ND
ER
S DO
UB
LE D
IAM
ON
D
12 Q12 Leg
s or 16 FAA
points
or minim
um Found
ers D
iamond
qualifi
ca tion with at
least 1 x Founders P
latinum in
at least 8 x Q12 leg
s together
with a m
inimum
of 34
qualifi
cation credits
••
••
••
••
••
TRIP
LE D
IAM
ON
D
15 Q6 Leg
s or 18 FAA
points
or minim
um Found
ers D
iamond
qualifi
ca tion with at
least 1 x Founders P
latinum
in at least 10 x Q
12 legs
together w
ith a minim
um of
43 q
ualification cred
its
••
••
••
••
••
FOU
ND
ER
S TRIP
LE D
IAM
ON
D
15 Q12 Leg
s or 20 FA
A p
oints or m
inimum
Founders
Diam
ond q
ualifica tion w
ith at least 1 x Found
ers Platinum
in at least 10
x Q12 leg
s tog
ether with a m
inimum
of 52 q
ualification cred
its
••
••
••
••
••
CR
OW
N
18 Q6 Leg
s or 22 FAA
points
or minim
um Found
ers D
iamond
qualifi
ca tion with at
least 1 x Founders P
latinum
in at least 12 x Q12 leg
s tog
ether with a m
inimum
of 64
qualifi
cation credits
••
••
••
••
••
•
FOU
ND
ER
S CR
OW
N
18 Q12 Leg
s or 25 FAA
points
or minim
um Found
ers D
iamond
qualifi
ca tion with at
least 1 x Founders P
latinum
in at least 12 x Q12 leg
s tog
ether with a m
inimum
of 76 q
ualification cred
its
••
••
••
••
••
•
CR
OW
N A
MB
ASSA
DO
R
20 Q
6 Legs or 27 FA
A p
oints or m
inimum
Founders
Diam
ond q
ualifica tion w
ith at least 1 x Found
ers Platinum
in at least 14
x Q12 leg
s tog
ether with a m
inimum
of 88 q
ualification cred
its
••
••
••
••
••
•
FOU
ND
ER
S CR
OW
N A
MB
ASSA
DO
R
20 Q
12 Legs or 30
FAA
points
or minim
um Found
ers D
iamond
qualifi
ca tion with at
least 1 x Founders P
latinum in
at least 14 x Q
12 legs tog
ether w
ith a minim
um of 10
0
qualifi
cation credits
••
••
••
••
••
•
AW
AR
DS &
RE
WA
RD
S
* Rub
y is cond
itional. T
he IBO
must have 15,0
00
PV
. ** A
chievers requirem
ents are diff
erent glo
bally, b
ut it is for P
latinum and
above. P
lease refer to the term
s and co
nditio
ns on the fo
llowing
pag
e. *** F
ound
ers Co
uncil is qualifying
with 20
FAA
po
ints or q
ualified
/re-qualifi
ed at C
rown A
mb
assado
r. **** F
or E
xecutive Diam
ond
and ab
ove qualifi
cation there is a transitio
n perio
d w
here bo
th criteria op
tions ap
ply until A
ugust 31 20
21.
TER
MS A
ND
CO
ND
ITION
S FOR
A
mw
ay AC
HIE
VE
RS **
1. The A
mw
ay Leadership
Sem
inar (A
chievers) is not p
art of the
Am
way S
ales & M
arketing P
lan and
may b
e subject to
future m
od
ificatio
ns.
2. Achievers is strictly b
ased o
n invitatio
nal basis, no
t autom
atic up
on q
ualificatio
n.Platinum
IBO
s w
ill be assessed
to d
etermine
if he/she cond
ucts his/her b
usiness ethically, in accord
ance to
the letter and sp
irit of the
Am
way R
ules of C
ond
uct.
3. The P
latinum IB
Os m
ust be
the owner o
r op
erator o
f the A
mw
ay business. A
n inherited
business m
ay not b
e eligib
le fo
r invitation.
4. E
merald
Bo
nus / Reb
ate recip
ents can qualify fo
r A
chievers if they re-qualify
as Em
erald B
onus / R
ebate
recipents o
r achieve the req
uired targ
ets. Either
cond
ition ap
plies.
THE Amway® SALES & MARKETING PLAN
The Performance Bonus Let’s say that during your first month you purchase and
personally sell products totalling 100 points. Assuming that
your average retail profit on the products is about 25%, your
immediate gross income can be $120 (30% of 400 BV).
In addition, when your Personal PV total exceeds 50PPV points,
you are eligible to receive a Performance Bonus. Under the
Performance Bonus Schedule you would receive a Performance
Bonus of 3% on your 400 BV, or $12, plus your immediate gross
income of $120, giving you a total gross monthly income of $132
or total gross annual income of $1584 (See Example 1).
(1) Not everyone will, of course, have 100 points per month.
Some will have less and some will have more. This figure is used
merely to demonstrate the business opportunity.
(2) The suggested retail profit varies with each product and
averages about 30%.
The total Point Value of all the products you purchase and sell
during a particular month determines your Performance Bonus
percentage for that month. The greater your total monthly
Point Value, the greater your Performance Bonus percentage
due to you.
Calculating your Performance Bonus percentage bracket on the
total PV places the emphasis on the number of units sold, not
on the selling price per unit. As inflation causes prices to
increase, each IBO receives a larger bonus/rebate for the same
number of units sold.
If Your Total Monthly Point Value is:
Bonus
7500 points = 21% of your BV
5000 points = 18%
3250 points = 15%
2000 points = 12%
1000 points = 9%
400 points = 6%
100 points = 3%
For Illustration purpose we use 1PV:4BV.
The Ruby BonusA Ruby Bonus, equal to 2% of that month’s total Ruby BV, will be
paid to a qualified IBO.
Leadership BonusThe Leadership Bonus is paid each month by Amway to a
qualified sponsor on the Personal Group BV of each 21% level
group that he personally sponsors.
In the course of building an Amway business, a sponsor
motivates and trains an IBO to assist him in attaining the level of
Platinum. At that time, both the sponsor and the new Platinum
are in the same Performance Bonus percentage bracket: 21%.
Therefore, in order to provide the sponsor with an incentive to
develop a Platinum IBO and to compensate for the hard work
involved in doing so, the Amway Sales & Marketing Plan provides
payment to the sponsor with a Leadership Bonus. This Bonus is
calculated by Amway on the BV of each 21% qualifying group he
or she personally sponsors.
Under this system, the sponsor receives payment as long as
the sponsored IBO qualifies, and as long as the sponsor
maintains his Personal Group PV at the levels described under
the ‘Rules Governing Calculation of the Leadership Bonus’ on
the following page.
6% Leadership Bonus Adjustment (LBA)While a qualified sponsor earns a Leadership Bonus on the
Personal Group BV of the 21% groups that he personally
sponsors, he must also remember that his sponsor is entitled
to receive a Bonus that is 6% of his BV or the established 6%
Leadership Bonus Adjustment amount, whichever is greater.
If the Personal Group BV of a qualified sponsor is insufficient to
fulfil the 6% Leadership Bonus Adjustment to this sponsor, the
difference between the Leadership Bonus actually generated
by his volume and the 6% Leadership Bonus Adjustment is
deducted from his Leadership Bonus by Amway, and added to
the Bonus of his sponsor. This same adjustment is applied up the
line of sponsorship.
TYPES OF BONUSES
To assure the effectiveness of this feature of the Amway
Sales & Marketing Plan, the 6% Leadership Bonus Adjustment
of Leadership Bonus must be adjusted whenever there are
adjustments to the BV or PV amounts. This 6% Leadership Bonus
Adjustment is determined in accordance with the ratio between
BV and PV. As BV and/or PV adjustments take place in the
future, the amount is recalculated and the revised figure will be
published by Amway in the Product Catalogue.
Rules Governing Calculation of Leadership Bonus
(1) It is paid on every BV of each month by Amway. Amway
calculates and pays all Leadership Bonuses.
(2) It is calculated from the lowest level up – never from
the highest level down.
(3) You must have at least 3250 Personal Group PV in order to
receive any Leadership Bonus if you sponsor 1 qualified group.
(4) Once the 6% Leadership Bonus Adjustment is generated, at
least that amount of Leadership Bonus
must continue to pass up the line of sponsorship.
(5) Each sponsor of a qualified group may be entitled
to a Leadership Bonus based on the following rules:
You will keep ALL of the Leadership Bonus generated to you:
(a) If you sponsor 1 qualified group and the Leadership Bonus
generated by your Business Volume is equal to
or exceeds the 6% Leadership Bonus Adjustment or
the amount of Leadership Bonus generated to you, or
(b) If you sponsor 2 or more qualified groups and the Leadership
Bonus generated by your Business Volume
is equal to or exceeds the average of the Leadership
Bonus generated to you by your qualified groups.
You will keep SOME of the Leadership Bonus generated to you:
(a) If you sponsor 1 qualified group and the Leadership
Bonus generated by your Business Volume is less than the 6%
Leadership Bonus Adjustment or the amount of Leadership
Bonus generated to you by that group, or
(b) If you sponsor 2 or more qualified groups and the Leadership
Bonus generated by your Business Volume is less than the
average Leadership Bonus generated to you.
(c) You will keep none of the Leadership bonus/rebate generated
to you if you sponsor 1 qualified group and you have less than
3250 Group PV.
The 3250 Point Value mentioned above does not include any
downline qualified volume (21%). It will however, include pass-
up volume (non-qualified Silver Producer or Platinum volume).
Because an Amway business is part of a IBOs estate, the Bonus
for which a Platinum is eligible can, in the event of death, be paid
to the heirs. The heirs must however become Amway IBOs and
continue to qualify the Independant Business to remain eligible
for continued payments.
International Leadership Bonus ScheduleFoster Sponsors will share in a portion of the International
Leadership Bonus. Based on the date Amway receives the
original application of the qualified 21% foster sponsored
Independant Business (IB), it will be paid as follows:
• 3% to Foster Sponsor and 3% to International Sponsor
for Application Forms received before 1 September 1991
(including new markets opened before 1 May 1991).
• 4% to Foster Sponsor and 2% to International Sponsor for
Application Forms received on or after 1 September 1991
(including new markets opened on or after 1 May 1991).
See international sponsoring on page 16.
Monthly Depth BonusEach IBO who personally or foster sponsors 3 or more groups
which qualify at the 21% Performance Bonus level in any one
month is eligible to receive a Monthly Depth Bonus.
Each month, Amway pays a qualified recipient a Monthly Depth
Bonus equal to 1% of the BV generated by all second level 21%
groups, down to and including the first qualified Monthly Depth
Bonus recipient plus the personally or foster sponsored 21%
groups of that (downline) Monthly Depth Bonus recipient.
If a qualified Monthly Depth Bonus recipient personally or foster
sponsors a qualified Monthly Depth Bonus recipient, the Monthly
Depth Bonus for the sponsoring Monthly Depth Bonus recipient
is paid only on the 21% groups personally or foster sponsored by
the sponsored Monthly Depth Bonus recipient. (BV generated
by first level 21% groups does not count toward the Monthly
Depth Bonus since the Leadership Bonus is paid on this volume.
Monthly Depth Bonus is paid to the upline Monthly Depth Bonus
recipient on this volume.)
1% Monthly Depth Bonus Adjustment
Each qualified Monthly Depth Bonus recipient must guarantee to
his sponsoring Monthly Depth Bonus recipient a minimum of 1%
of 7500 PV times the PV/BV ratio (equivalent to a quarter of the
6% Leadership Bonus Adjustment) on his 21% group as well as
one each of his personally or foster sponsored 21% groups.
The 1% Monthly Depth Bonus Adjustment changes if and when
the BV or PV values of products change. Amway
will publish the amount updates in the Product Catalogue.
Whenever a qualified Monthly Depth Bonus recipient or one
of his personally or foster sponsored 21% groups does not
generate sufficient volume to fulfil the 1% Monthly Depth Bonus
Adjustment to the upline Monthly Depth Bonus recipient, Amway
will adjust the Bonus of the Monthly Depth Bonus to make up the
difference.
Emerald BonusTo qualify for the annually paid Emerald Bonus, a Platinum IBO
must personally or foster sponsor 3 x 21% groups in his own
market, each of which qualifies at the 21% Performance Bonus
level for at least 6 months during the performance year.
The Emerald Bonus is paid annually. Amway sets aside an amount
equal to 1/4 of 1% of all qualified BV downline from
all qualified Emerald IBOs in the market (including 1/4 of 1%
of all Amway foreign subsidiary qualified volume traceable
to Australia or New Zealand sponsorship, provided that volume is
only one country removed from the market). At the end of each
performance year (August 31), this fund is distributed among all
the Emerald IBOs who qualify in the
following manner:
(1) The annual qualified BV of each of the Emerald IBOs groups,
including the BV on which the Emerald IBO has earned the
Leadership Bonus, is added together.
(2) A point value of 4 points is assigned for each 1,000 BV
per group for the first 25,000 BV; 2 points are assigned for each
1,000 BV per group for the next 49,999 BV; 1 point is assigned
for each 1,000 BV per group for the next 49,999 BV and 1
point is assigned for each 10,000 BV per group thereafter. This
computation is made for each group.
(3) The total points for all groups of each participating Emerald
IBO are then added.
(4) Dividing the total fund available by the total points
gives an AUD/NZD value per point.
(5) The Emerald Bonus is then determined for each qualified
Emerald IBO by multiplying his points by the AUD/NZD value per
point.
(6) Payment for the performance year ending August 31 are sent
out in December.
NOTE: For all bonus/rebate purposes, a No. 2 Independant Business (an Independant
Business which has been purchased or otherwise acquired, and is being operated by
a Platinum IBO or above in a different line of sponsorship) is treated as a completely
separate business. Volumes generated by the 2 Independant Business’ are not
combined for purposes of calculating bonuses or for award purposes.
Diamond BonusTo qualify for the annual Diamond Bonus, a Platinum
IBO must personally or foster sponsor 6 x 21% groups
in his own market, each of which qualifies at the 21%
Performance Bonus level during at least 6 months
of the performance year.
The Diamond Bonus is paid out of a fund consisting of 1/4 of
1% of all qualified BV downlines from all qualified Diamond
IBOs in the market (including 1/4 of 1% of all Amway foreign
subsidiary qualified volume traceable to Australia or New Zealand
sponsorship, provided that
volume is only one country removed from the market).
The fund is distributed to eligible participants in accordance
with the same formula employed for the calculation of the
Emerald Bonus. The Diamond IBO who personally or foster
sponsors at least 7 x 21% groups, each of which qualifies at
the 21% Performance Bonus level during 6 months out of the
performance year can also share in the Diamond Plus
Bonus Fund. (See next column for Diamond Plus Bonus
Qualification Schedule.)
Diamond Plus BonusA Diamond Plus Bonus is paid to each Platinum IBO who
personally or foster sponsors 7 or more 21% groups whose
volume qualifies for at least 6 out of 12 months of a given
performance year. Internationally sponsored groups are
not included in the computation and payments of the Diamond
Plus Bonus. The bonus/rebate is paid according to the
following method:
Units are assigned to each qualified 21% group for each month
they qualify. The number of units assigned to
each group per month is as follows:
(1) Each performance year Amway sets aside a fund
equal to 1/4 of 1% of the in-market Business Volume generated by
all the 21% groups in the line of
sponsorship of the Diamond Plus Bonus qualifiers.
Once the total number of units is assigned to each Diamond Plus
Bonus Qualifier, (see schedule below) the grand total of units
is divided into the Diamond Plus Bonus Fund to determine the
AUD/NZD value of each unit. Each qualifier’s bonus/rebate is
determined by multiplying the AUD/NZD value per unit by the
total number of units for that qualifier.
(2) This amount is to be paid before the end of the calendar year
for the previous performance year.
Diamond Plus Bonus Qualification and Unit Computation ScheduleQualified 21% groups totalling
Bonus Unit (multiplied by months qualified)
7 – 11 groups = 100 per group12 – 14 groups = 200 per group15 – 17 groups = 300 per group18 – 19 groups = 400 per group20 or more groups = 500 per group
FAA Credit Calculation
Domestic Legs Leg Credits
Q12 Leg or Q12 VE1 leg = 1.0Emerald bonus/rebate recipient leg = 1.5Diamond bonus/rebate recipient leg = 3.0
International Legs Leg Credits
No. 2 business with Q12 or Q12 VE1 = 1.0No. 2 Emerald bonus/rebate recipient business = 1.5No. 2 Diamond bonus/rebate recipient business = 3.0 – 6.0Other Q12 or Q12 VE1 legs = 0.5
Financial FreedomAmway offers an excellent opportunity to build a future and
to gain financial freedom and independence. It does not offer
superannuation or a guaranteed pension plan.
The Amway Compensation Plan is designed to allow you to build
a successful independent business that can achieve maintain
financial success.
Additional income can be earned through the Leadership Bonus,
this is dependent on you as the upline, and your downlines group
volume and qualifications.
There are times when you may wish to take time off. Once
you’ve built a strong business, you may wish to relax a bit,
travel and enjoy the rewards of success. It is certainly possible
to do so, as long as your business is strong and you make
proper advance preparations.
To maintain the financial freedom you have established, be sure
to maintain your Platinum qualification, and don’t hesitate to step
in when necessary to provide the motivation and leadership to
keep your business thriving. Amway is what you make it to be!
Important Notes
(1) Amway of Australia and Amway of New Zealand is operated
as one market, a Single Line of Sponsorship. The Performance
Bonus/Rebate Schedule, all other Bonus/Rebate qualifications
and calculations, and all recognitions and awards given, as
stated in this manual apply to Amway of Australia and
Amway of New Zealand.
(2) “Amway” used herein refers to Amway of Australia and
Amway of New Zealand.
(3) GIP, FAA and Achievers are discretionary awards & rewards
and not part of the Amway Sales & Marketing Plan. Attendance
at Achievers and other incentive trips is by invitation only and
NOT automatic upon qualification. To receive the reward, an IBO
must meet the criteria set forth by Amway to be considered
for the awards, and must also demonstrate the high ethical and
business standards that are aligned with the goals and objectives
of Amway.
Inheritable Income for Your FamilyOne of the attributes of the Amway Sales & Marketing Plan is
the ability of IBOs to build and establish a substantial business,
and then pass it on to their heirs as part of their estate. This is
best accomplished by working with one’s own solicitor to assure
that the transfer of the Independant Business complies with the
owner’s wishes and with the laws that govern inheritance in the
respective country, as well as Amway’s requirements for transfer
of an Independant Business. The specific information can be
obtained by contacting Amway directly and we will be glad to
assist you and your solicitor with the details.
• Russia
• United
States
• Canad
a
• Brazil
• Arg
entina
• China
• Japan
• India
• Australia
• IndonesiaN
ew Z
ealand •
Singap
ore •• B
runei
• Vietnam
• Philip
pines
• Macau
• Nam
ibia
• Iceland
• Berm
uda
The Baham
as
Swed
en
Dom
inican Rep
ublic
Norw
ay
Puerto R
ico (USA
)
Finland
Saints Kitts &
Nevis
Denm
ark
Guad
eloupe
The Netherland
s
Cub
a
Guatem
ala
Haiti
El Salvad
or
Jamaica
Antilles
Caym
an Islands
Belg
iumG
uernsey
Hond
uras
Ang
uilla
Austria
Jersey Islands
Costa R
ica
Montserrat
SloveniaFrance
Panama
Martiniq
ue
ItalySw
itzerlandSp
ainPortug
al
Venezuela
Greece
Colom
bia
Dom
inica
Poland
Antiq
ua & B
arbud
a
Ukraine
Saint Lucia
Germ
any
Grenad
a
Czech R
epub
lic
Barb
ados
The Slovak Rep
ublic
Trininad &
Tobag
o
Hung
ary
Saint Vincent
Croatia
French Guiana
Rom
aniaTurkey
• Channel Island
s
• Taiwan
Malaysia •
Thailand •
Farrow Island
s •
Ireland •
United
King
dom
•
Korea •
Hong
Kong
•M
exico •
South Africa •
INTE
RN
ATIO
NA
L SP
ON
SOR
ING
Imp
ortant Note
Am
way p
rohib
its advertising
for lead
s
in foreig
n countries. Yo
u are advised
to
contact the lo
cal Am
way o
ffice since
regulatio
ns diff
er from
one co
untry to
another. W
e recom
mend
for yo
u to fully
understand
the legal req
uirements and
cultural persp
ective befo
re initiating
any spo
nsoring
activity.
Zero Tolerance Policy
Am
way has ad
op
ted a Z
ero To
lerance Po
licy
for all unautho
rised activities in uno
pened
markets. R
efer to w
ww
.amw
ayglo
bal.co
m
and fi
nd the list o
f countries und
er
“Cho
ose yo
ur country”.
International Sponsoring
In general, internatio
nally spo
nsored
21% leg
will result in an aw
ard/rew
ard m
onth fl
owing
back to
the International S
po
nsor. H
owever, in
situations w
here the award
flow
s back to
the
hom
e market o
f this 21% leg
, no sub
sequent
award
will b
e generated
to the Internatio
nal
Sp
onso
r from
the hom
e market.
Grow Through International SponsoringThere are two ways to build an Amway business internationally.
First Method: By International Sponsoring
If you have a prospect in a known Amway market
on a particular country, you should follow these
recommended procedures:
(a) Enlist the prospect’s interest and explain to
him/her the Amway Sales & Marketing Plan.
(b) Refer to your upline IBOs if they know any Amway IBOs in the
affiliate of your prospect, who your upline IBO may contact to be
or to get a foster sponsor for your prospect.
(c) Otherwise, provide your name, address and IBO Number
and ask the prospect to contact the Amway local office. It is
important that your prospect personally contact and inform the
Amway affiliate of his/her intention as Amway will not contact
the prospect.
(d) Only upon your prospect’s contact, the Amway affiliate will
then assign a nearby Platinum IBO who will become the Foster
Sponsor of your prospect, to explain thoroughly
the Amway Sales & Marketing Plan for the local market.
(e) Your prospect must complete a registration and order an
Amway Registration Pack. This process will vary
slightly between markets.
(f) Your particulars need to be inserted as the International Sponsor.
A Foster Sponsor is responsible for training, motivating
and supplying your new IBO with products.
As International Sponsor, you must not send literature, sales aids
or products to them as this may be illegal, but you may maintain
your communication with your prospect.
Your Benefits As An International SponsorInternational Leadership Bonus (ILB) When your new IBO qualifies at the maximum Performance
Bonus/Rebate level, for e.g. 21%, you may be entitled to receive
the ILB/ILR, based on the following criteria:
• If you qualify 21% level in your own country on the same
month, you will receive the entire amount of
the ILB/ILR.
• If you internationally sponsor 2 or more IBOs who qualify
21% during the same month and you do not reach the 21%
level in your own country, you will receive a portion of the
ILB/ILR. (The first upline qualified Independant Business
in your Line of Sponsorship (LOS) will receive the average
amount of ILB generated, not to exceed the Leadership
Bonus/Rebate Adjustment amount of your country, and you
will receive the remaining ILB/ILR monies generated.)
• If you internationally sponsor one qualifying IBO and you do
not reach the 21% level in your own country during the same
month, the ILB will be paid to the first upline qualified IBO in
your LOS.
* International ILB/ILR follows the International LOS and an international LOS is
considered the primary link.
Additional Benefits
• Emerald and above pin awards – You can count
internationally sponsored 21% Bonus/Rebate groups toward
your qualification for Emerald and above pin awards (not
bonuses/rebates).
• Emerald and Diamond bonus/rebate – You can count an
internationally sponsored 21% leg towards Emerald and
Diamond bonus/rebate only if you have qualified as an
Emerald or Diamond bonus/rebate recipient in your own
country. Emerald and Diamond Bonuses/Rebates are paid to
both the International and
Foster LOS.
• One-time cash awards – Your qualified international
leg will also count towards your one-time Double Diamond
and above cash awards.
The Foster Sponsor receives the following benefits
• The Foster Sponsor receives credit for all PV and BV
generated by the new IBO and his group for Performance
Bonus/Rebate purposes until the IBO reaches the 21%
Performance Bonus/Rebate level.
• The Foster Sponsor may count foster-sponsored 21% groups
toward his qualification for all awards and bonuses/rebates
except Foster Bonus/Rebate.*
• The Foster Sponsor, subject to his qualification at the 21%
Leadership Percentage level, is entitled to a portion of
the Leadership Bonus/Rebate generated from the foster-
sponsored 21% group.
• The Foster Sponsor receives points on all BV generated
by the new IBO and his group for Leadership Seminar
qualification.*The Foster Sponsor’s Leadership Percentage Level would start from 0% when the
foster IBO reaches 21% Performance Bonus.
Second Method: Registering a Second Business
You may expand your Amway business internationally by
establishing a second IBOs in that country. Your #1 business
shall be the International sponsor of your #2 business. Prior to
establishing an international business you should:
(a) Check with this local Amway office and relevant authorities
of requirements and documents to establish a business in
that country. You should also refer to the nearest Embassy or
Consulate for advice and instruction
on the requirements.
(b) Refer to your upline IBOs if they know any Amway IBOs in the
market you wish to establish a 2nd business. Otherwise, contact
the Amway local office for the assignment of Foster Sponsor.
(c) You must complete and submit a registration application form
and in some countries purchase a Registration Pack.
(d) You must advise the you are registering as a
multiple business.
(e) Your 1st Independant Business (IB) must be your International
Sponsor.
(f) You will be given a second Amway IBO number to be used in
that country upon the approval of your application.
• You must repeat with the above provisions should you wish
to establish another Amway International market.
• Subsequent Independant Business (IB) in other countries
can be internationally sponsored by any one of your existing
Independant Business (IB) if you indicate your choice on the
Application Form for the subsequent Groups.
For example, if a IBO has a No. 1 business in Australia, a No. 2
business in Hong Kong and a No. 3 business in Thailand, the IBO
must have determined at the time of signing the application
form for his No. 3 business which the existing Independant
Business will serve as the International Sponsor. Therefore, the
IBO would have had two options from which to choose as
shown below. It is recommended that the IBOs home market
be the International Sponsor.
Option 1
A personally sponsors B#1; B#1 internationally sponsors B#2
foster-sponsored by C; and B#2 internationally sponsors B#3
foster-sponsored by D.
Option 2
A personally sponsors B#1; B#1 internationally sponsors B#2
foster-sponsored by C and B#3 foster-sponsored by D.
YOUR ARE SUPPORTEDYour business is well supported by a company you can trust.
Amway. The most important thing a IBOship provides is the
immediate access to a range of quality Amway products. No bulk
inventory purchase is required, and the products are backed by
the Amway Satisfaction Guarantee.
Our desire is to see you succeed. We have various departments
within Amway that you can reach out to
as you build your business.
Return of Saleable ProductsStock Reduction
Amway accepts return of BV items which are current and in
saleable condition. Amway does not accept returned literature,
audio-visual aids, pins, plaques, forms, accessories, and other
promotional items and sales aids for replacement or for refund by
Credit Vouchers from operating Amway IBOs. The refund equals
the original purchase price less Performance Bonus received, less
up to 15% for handling, administration, and shipping costs.
Refund for saleable merchandise (new and still available in the
current line) will only be given with prior written permission from
Amway of Australia & New Zealand. Enclose that permission with
the products you return.
Terminating business + return of saleable stocks
Reimbursement for saleable merchandise (new and still available
in the current line), unopened original packaging of current
saleable literature, and for the unsponsored/unused Business
Kit will be given when an IBO, through previous documentation,
terminates the IBOship. The reimbursement is normally given
with the next monthly computation of BV through the sponsoring
Independent Dusiness Owner. In exceptional cases, where the
line of sponsorship may not handle the merchandise return and
reimbursement for the terminating IBO, Amway
will handle the necessary transaction directly.
Current IBOs who resign will receive full resignation refund
upon submission of their Business Kits complete with literature,
resignation letter and ADA card.
Non-renewed IBOs will receive only a Business Kit refund if
their Business Kit complete with literature and ADA cards are
A B C
B #1 B #2 B #3
A B C
B #1 B #2 B #3
THE Amway® SALES & MARKETING PLAN
returned (together with resignation letter) within the one year
nonrenewed period from expiry of
the IBOship. After which no refunds will be given.
The Credit Voucher The Credit Voucher protects the IBO’s Performance Bonus! It is
a service that enables you to control your monthly group Point
Value and Business Volume.
In addition, it enables the IBO to gain back purchasing power
within approximately 10 working days
of an order being shipped. A IBO will not have to wait for his
Performance Bonus to receive credit.
The Credit Voucher functions as follows:
• PV/BV Credit Voucher will be issued for any item shown as
TNA (Temporarily Not Available) on the invoice. It will be
produced after the full order has been shipped and posted.
Upon verification, the Credit Voucher will be updated to the
recipient’s accounts.
• All PV/BV items ordered regardless of whether they were
shipped or not will be used in calculating the Performance
Bonus for that particular month. This ensures that your
Performance Bonus is not affected
• by Amway’s inability to ship products, since your PV and BV
will not be reduced until the month in which you redeemed
your Credit Voucher.
• Credit Voucher is also issued for products returned
for credit under the Amway Satisfaction Guarantee.
• Credit Voucher can only be used for ordering items and
cannot be redeemed for cash except under exceptional
circumstances. The Credit Voucher must be presented or
referenced when you redeem it against your order.
• Credit Voucher must be redeemed within one year from the
date of its issue.
Return of Unsaleable ProductsIf a customer wants to return a product to you, get the following
information to complete a SA112 Returned Merchandise
Authorisation Form:
1. The reason for return.
2. The product name and quantity.
3. The original invoice number.
4. The name and address of the customer.
5. Enclose a copy of the Customer Receipt (SA107).
The IBO should then offer to replace the product with another
one, give full credit toward the purchase of another Amway
product, or refund the full purchase price.
Products with manufacturing defects or products returned by
unsatisfied customers, for which a replacement has been given
(or the full purchase price refunded) may be returned to Amway.
Return the products with a duly completed SA112 form to Amway,
and the amount will be credited with your next order or you can
opt for a replacement.
Shoppers Catalogue items and Amway durable products
(Big Ticket Items) such as eSpring® Water Treatment System,
atmosphere® Air Purifier, and iCook® range are
not covered by the Amway Satisfaction Guarantee, but
by separate manufacturer’s warranty.
Repackaging Amway ProductsAmway does not permit repackaging of its products. Amway
products are to be sold only in their original packages
as manufactured by Access Business Group. Under no
circumstances is a person authorised to repackage Amway
products into new containers bearing the Amway name.
The reasons are as follows:
(1) ‘Amway’ is the registered trademark of Alticor Inc. and is an
extremely valuable asset. Accordingly, Amway will not permit
persons to market any product under the Amway name which
was not manufactured and packaged at Amway.
(2) Laws contain detailed provisions as to what must be included
in the labelling of products. These laws also limit the claims
which can be made about a product. Amway carefully follows
these rules and regulations. They are extremely complicated and
change from time to time. An individual IBO is in no position
to keep abreast of the current status. Accordingly, an amateur
attempting to develop his own packaging is very likely to
unintentionally violate labelling laws. Use of the Amway name
on such repackaging not only puts the packager in jeopardy, but
may also make Amway liable to possible penalty under
the laws of the country.
(3) Each product packaged by Amway is prepared under precise
specifications. Whenever a repackaging operation is undertaken,
there is always a possibility of contamination or adulteration of
the product. Repackaging of any product is subject to the same
laws and regulations governing manufacturing practices as are
the original manufacturing and packaging operations.
(4) The sizes in which Amway makes its products available have
been determined after very careful consideration. If other persons
(including IBOs) were permitted to repackage into sizes other
than those made available by Amway, this would undoubtedly
cause considerable confusion among IBOs and customers.
Product Liability ProtectionAmway products should not cause damage or injury if they
are used for their intended purpose and in accordance with
instructions provided. In the event that an Amway product is
found to have a manufacturing defect or has been damaged in
transit to the customer, the Amway 90 day satisfaction guarantee
will apply in addition to Amway’S guarantee of quality that
attaches to all its products.
Amway carries product liability insurance on its products which
protects both the company and its IBOs. However, this insurance
protection may not cover every situation and is dependent on
whether the injury or damage resulted from a faulty product,
from careless or negligent applications, or from the improper use
of a product. Amway’s insurance coverage does cover injury or
damage where a faulty product is involved, but does not cover
careless or negligent application or improper use
of a product.
Summary of Main Principles regarding Product Liability
(1) Like all people engaged in business, Amway IBOs may be
liable to possible damage or injury suits. Such lawsuits are,
however, extremely rare.
(2) Amway IBOs can avoid exposure to lawsuits if they are careful
and if they recommend only those uses of Amway products
which are detailed on Amway’s labels or in Amway’s literature.
(3) Amway’s insurance may not protect a IBO where the damage
or injury results from changing an Amway label, misrepresenting
a product, or from making claims other than those listed on the
product or printed in the
Amway literature.
(4) Every Amway IBO has the opportunity to secure his/her own
liability insurance at a relatively low premium. In the event that
IBOs are actively engaged in demonstrating or selling Amway
products, this additional opportunity to insure against liability is
recommended.