Global Resorts Network: Perpetual Leverage v. The 2-Up
Oftentimes home business newbies confuse two compensation plans–Perpetual Leverage and the Aussie 2-Up–for each other. They are not. Let me explain.
Basically the Aussie 2-Up system requires you to pass your first two sales up to your upline, and then you’re free to make money for the rest of your membership.
So once you pass up your two sales, you’re independent and never need to pass up any more. All of the commission from your sales goes to you forever and ever. But this is where it gets tricky.
Right when you free yourself to earn money, you depend on your downline to produce it by sending up their “training” sales. After their two sales, however, they turn into your competitors.
What’s the real issue here? The real issue is that after you invest valuable time training them with your skills and painfully acquired knowledge to help them make their pass-up sales, they break away and compete with you for sales.
Take Pay-Per-Click (PPC) advertising. Let’s say, for example, that after several hard-fought months of learning about keywords, PPC and link building, you’ve carved out a veritable treasure trove of a marketing niche for yourself. With your first two members, you unload all of your PPC guru tips to get the money flowing upstream. Sure enough, several weeks later they make their first sale and then their second. No problem, right?
Everything’s cream puffs and marshmallows until your personally sponsored members get their director’s releases. While checking up your PPC’s one morning, you notice that they’ve changed their ads slightly. You zero in. What’s this? They’re gloating that they are much better than the other gal–and that other gal is guess who? YOU! Voila! They are now your competition.
o you follow me? The Aussie plan results in you putting forth great amounts of effort to learn new skills and train your new members to become your competitors. That’s like beginning with a complete cake (the marketplace) and constantly slicing it into tinier and tinier pieces. Who benefits from that scenario? No one.
Now this is where Perpetual Leverage is completely opposite. You never make a challenger because you build a team and never release anyone. That means that if you have eight personally sponsored members, you will have eight Web sites out there working, generating money for you. Why? Because your commission is attached to theirs. If they make $500, you make $500 also. Even if you stop marketing your memberships entirely, you will remain attached to your team, bringing you a passive income.
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