MLM Binary Plan to run MLM Business
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Transcript of MLM Binary Plan to run MLM Business
MLM BINARY PLANBest Multilevel Marketing Compensation Plan
BINARY PLAN
• The Binary plan is an organizational plan used by multi-level marketing (MLM) organizations wherein new organization members are introduced into a Binary Tree structure, or a left and a right subtree.
• one subtree is referred to as a Power Leg while the second subtree is a Profit Leg.
BINARY PLAN
Showing Binary plan
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• Always ratio and set value is predecided by the company.
• Take higher ratio from that leg count which is higher.
• Always first payout should be calculated using 1:2 or 2:1 ratio and remaining will be using 1:1 ratio.
• Total Count = No of sets * Set value.• Carry forward of first payout will be taken as
brought in next payout period.
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For next payout BF + New count _____________ Total - Ratio ______________ Sets value * No of sets ____________ 2 nd payout
Binary Plan Logic
• Here Ratio is 1:1• And Set value is 250
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1 L R 2 3
7 5 3 3 1 3
- 1 1 1 1 1 1 Set 1
__________________________
6 4 2 2 0 2
- 1 1 1 1 Set 2 ___________________________
5 3 1 1
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5 3 1 1 - 1 1 1 1 Set 3 ________________ 4 2 0 0 - 1 1 Set 4 _________________ 3 1 - 1 1 Set 5 _________________ 2 0 Carry Forward
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• Since 5,3,1 sets are formed as per • Comm for 1 =No of sets * Set value = 5*250(As given) = 1250Comm for 2 = 3*250=750Comm for 3 = 1*250=250The root member will get 1250 Rs commission.
Continue…… For 1 Carry forward 2 0 New Count + 4 3 _______________________________ Set 1 6 3 1 1 _______________________________ 5 2 Set 2 ________1___1____________________Set 3 4 1 1 1 ______________________________ 3 0
Carry forward For 1 Carry forward 2 0 New Count + 4 3 _______________________________ Set 1 6 3 1 1 _______________________________ 5 2 Set 2 ________1___1____________________Set 3 4 1 1 1 ______________________________ 3 0
PV BASED BINARY PLAN• Here in this plan we have been provided with the
package value, PV’s, capping value, capout income, pool reserve
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• Reserve Amount 5000 =Reserve Amount-Fixed value =5000-2800=2200(V V)• Set value =Variable value/ Varible pairs
=2200/ 14 = 157(Set value variable)• Variable amount=5*157=785 5*157=785 4*157=628
DEDUCTIONS
• Cumulative Earning Total income of all payouts till date is called
cumulative earning.• TDS+ Processing ChargeSuppose the TDS limit for the 1st payout is decided
Rs.2500 by the company as below 200
300700
1000 ___500_______________
TDS limit crossed hence TDS (10 %) = 270 on all amount.
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• Capping valueThe maximum value decided by the company
for the particular payout.• Simulation
When company has Distribution Amount > Reserve Amount then the condition is called simulation.
• Advance deduction The deduction of advance will be always done
from
The net amount and the percentage of amount to be deducted will b calculated from gross amount.
Thank You
Contact AddressSrv. No.-440/441, First Floor, Opposite to Ladkat Petrol Pump,Narpatgiri Chowk, Mangalwar Peth, Pune-411011,Maharashtra (INDIA)
Website: http://www.sankalptech.com