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Is Network Marketing legal?

One of the best books on the network marketing industry was a book called Wave Three: The New Era in Network Marketing by respected journalist, Richard Poe. It is really eyes opening. With combined sales of over 20 billion dollars and ten million active distributors, the Network Marketing industry is not only legitimate, but quickly being recognized worldwide as the growth industry of the future.  It has attracted the attention of many Fortune 500 companies. Here is just a partial list: Colgate/Palmolive, Gillette, Avon, Coca Cola, and MCI. Just recently, AT&T, the worldwide telecommunications giant also began marketing its long distance services through Network Marketing. QUESTNET is following the footsteps of those successful network marketing companies.

 

QUESTNET IS NETWORK MARKETING AND NOT MLM

TEN REASONS WHY QUESTNET IS NOT REALLY MLM

1. QuestNet is the Distributor and its Independent Representative (IRs) are in the retailing business, not MLM.

2. All participants of QuestNet are Independent Representatives (IRs) or Business Customers and not distributors nor members.

3. There is no membership fee and hence no renewal fee; however there is account registration fee and annual administration fee for online Tracking Accounts services.

4. There is starter kit of products to purchase but it is optional. Online version is available for IRs.


5. There is no selling or delivery of products by Independent Representatives. Only the company sells and delivers, not you. All Independent Representatives need to purchase once only to experience and enjoy the quality of the product. Un-used product will be repurchased by the Company if found not satisfactory, at 90% of the original cost after deducting 10% handling charge.

6
.  There is no monthly quota involved, therefore it has no personal or group maintenance of purchasing products every month because you do not have to sell at all !.

7.  As Independent Representatives or promoters, you will be allocated 3 tracking centres. These 3 accounts enable a new IR to overtake upline who are not active in network business. This system which enables overtaking the upline in term of income is not a pyramid structure.

8.  QuestNet does not pay on levels nor on numbers of customers. It pays on matching volume of product sales because it does not have any levels.


9.There is no complicated points system of BV, PV, GV, etc. and no cut-off point to limit your income or break-away.

For all these reasons, QuestNet is far superior than most MLMs because it is very simple, straightforward and hassle-free.

It is 3R business - Retailing, Referring and Rewarding. QuestNet International reward IRs handsomely for their consistent referral work.

You can truly achieve your financial objectives or goals much faster and within the shortest time possible ( 2 to 5 years ) with persistent and consistent referral work. The only limitation is your enthusiasm   and commitment.


 

 

 


 

Differences between MLM and QuestNet
Multi-Level Marketing

 

 

 
QuestNet Ltd

 

 
1. MLM is a direct selling business

 
1. GQI is a retail, commissionable business
 
2.
 
All participants are members

 
2.
 
All participants are customers

 
3. Require membership fee
 
3. No membership fee required
 
4. Require purchase of starter kit

 
4. No starter kit required
 
5. Require extensive product knowledge, product training and demonstration

 
5. Minimum product knowledge, but no product training and demonstration
 
6. Products have no resale value
 
6. Product has high resale investment value
 
7. Require monthly purchase of products

 
7. Only one time purchase of product
 
8. Require selling of product, hence monthly sales quota is necessary
 
8. Absolutely no selling is required. Only referral work is necessary
 
9. The emphasis is on sales of products and sponsorship
 
9. The emphasis is on consistent referring only
 
10. Pays commission on levels

 
10. Pays commission on total volume of sales from the binary team
 
11. Pays monthly commission
 
11. Pays weekly commission
 
12. Monthly or weekly computation of transactions
 
12. Daily computation of transactions

 
13. Commissions can be forfeited or reduced because of difficult non-compliance of stipulations
 
13. No forfeiture of commission because it has an accumulated spill-over feature

 
14. Cut-off limit of commission after certain specified levels
 
14. Commission is unlimited because of unlimited depth; it has weekly payout limit only
 
15. Marketing plan is based on point system of BV, PV, GV etc.
 
15. No point system, hence faster direct payment
 
16. Marketing plan has complicated and many confusing percentages pay-out

 
16. No confusing percentages but simple, straightforward pay-out
 
17. Has hierarchy system to denote ranking and status
 
17. Everyone is equal and fair. No fancy names needed
 
18. Only one account per person

 
18. Given 3 accounts or TCs per person
 


 

 

QuestNet Compensation Plan Compared
 

VS MULTI-LEVEL MARKETING PLANS

1.  Two or more legs are allowed.
2.  Overiding commissions are based on levels and positions. (i.e the farther away is the
bgindex.gif (810 bytes)downline, the less commision is paid out.
3.  There are "break-away" points on certain levels or positions.
4.  Direct buying and selling of products maybe necessary.

5.  There is a monthly personal and group quota.

QUESTNET ADVANTAGE

1.  Just two legs to build for every Tracking Center.
2.  Commission for ALL levels is one and the same.
3.  No break-aways, positions or confusing percentages.
4.  One-time purchase and definitely no further buying and selling of products required.



VS PYRAMIDING SCHEMES

1.  No legitimate product. May issue mere papers or certificates.
2.  Has several "levels" that must be filled up (otherwise, the structure will collapse).
3.  Those at the lower levels (downlines) cannot earn before those at the higher levels (uplines).
4.  Those at the lower levels (downlines) cannot earn more than those at the higher levels
(uplines). 

QUESTNET ADVANTAGE

1.  Legitimate product line.
2.  Downline can earn before an upline does.
3.  Downline can earn more than the upline.


 

 

Note :  This illustration is too simplistic but is fairly accurate as a general observation. Different plans have their own variations and have their own advantage and disadvantages.


 


 

 

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