Answering THREE SIMPLE QUESTIONS below is the best way to simply and accurately evaluate or compare ANY comp plan. Many companies may do well in one area. But the important KEY is to:

Find a company that does well in ALL THREE AREAS!

* * MOST IMPORTANT - QUESTION #1: * *

How many customers does it take (in your ENTIRE organization) to make “X” dollars/month - every month - whether you work or not?

We're talking about PASSIVE, RECURRING, ONGOING, RESIDUAL INCOME here folks, not "trade your time directly for money" or "make a quick one-time commission from a sale."

Understanding and applying this important principle is one of the “3 Millionaire Secrets” that allows you to: spend more TIME with your loved ones, travel the world, lay on a beach, or do whatever is important to YOU.

You have to fill in the “X” dollar amount above that is important or realistic FOR YOU. It could be only $500 or $1,000? But, using $10,000 as an example, there are great companies where you can earn $10,000/mo. with less than 400 people in your entire organization. There are other (not so great companies) where you need 1000 - 2000 - 5000 or more!

Using COMMON SENSE, if you understood this and everything else was equal, which would YOU choose?

Can you see how there could be a HUGE difference in the EFFORT or TIME it may require for YOU and other members of your TEAM to reach a given dollar amount of income? Or why it might be IMPOSSIBLE with some companies?

But very few distributors have ever stopped to calculate this important number. Worse yet, even when it's pointed out to you, many of you will foolishly CHOOSE TO IGNORE IT. :-(

I know of people who have created streams of ongoing passive recurring income of $5,000 - $10,000 per week - in less than two years! Most of us are delighted with monthly incomes in that range. But it illustrates what is POSSIBLE if you want it - and APPLY the information contained here to CHOOSE THE RIGHT COMPANY!

With the RIGHT company and TEAM the beauty is: You are not limited by any artificial or "glass" ceilings - and others will work to HELP YOU achieve whatever level of success you desire!

QUESTION #2: What percentage do you make on your own personal customer purchases?

Customers are the lifeblood of any legitimate business! Many shortsighted or “pseudo” network marketing companies and distributors ignore this crucial UNIVERSAL TRUTH and focus only on recruiting more distributors. That business model will eventually "crash & burn" every time!

With the RIGHT company and compensation plan, some people who aren’t interested in building a large organization, or aren't good at it, can still make a decent income just gathering customers. But the company has to reward everyone fairly and offer incentives for customer acquisition.

Eliminating the unethical and usually illegal “money games” from this comparison, the best compensation plans with legitimate companies pay as much as 20-40% commissions on individual customer purchases - and still offer great value to their customers. Others may pay LESS than 10 - 20%, and do not offer any better value to the customer.

Some "direct sales" companies that pay more than 40% on customer purchases may not have enough profit left over to take FULL advantage of LEVERAGE to pay on deeper levels and fairly reward those who build large organizations. This makes it harder to attract the so-called "heavy hitters" and much harder or impossible to reach some of the upper levels of income.

It depends a lot on what you want or are satisfied with. But why drive a rusty old Yugo when for similar or less effort you could be riding in a brand new Rolls Royce?

Can you see how a difference in just this one area can have a HUGE IMPACT on YOUR profit potential? But again, few distributors factor these elements into their decision making process BEFORE they join a company. And after they make an EMOTIONAL decision to join, most people are unable or unwilling to objectively look at the facts.

QUESTION 3: Will you be paid on the TOTAL VOLUME in your entire organization?

In other words, if you added up all the products purchased by the people you introduced, and the people they introduced, and the people they introduced, ad infinitum, would YOU be paid a reasonable percentage on that TOTAL VOLUME?

Or does much of the volume you are ultimately responsible for and should get paid on, end up outside your “pay leg” or in someone else's pocket?

Most people who read this last question will ignore it. Smart people will pay attention. Many companies and compensation plans are guilty. But at the risk of stepping out on a limb, telling the TRUTH, not being "politically proper," and offending some people who don't want to hear the TRUTH, BINARY PLANS are typically one of the worst in this regard.

Of course, every company has a “sales pitch” explaining why their comp plan is so great. Common sense and answering the 3 questions above will "separate the wheat from the chaff."

The numbers above are easy to calculate once you’ve started building in a company. But they’re not always easy to get beforehand. Many distributors have no clue how important this simple information is and may have never given it much thought. Others may not be anxious to share the truth, and some may selectively skew their numbers to help “get you in their deal.”

Can you see how knowing this information before you “marry” a company, could have a HUGE impact on YOUR personal profit potential and your happiness in that “marriage?”

Unfortunately, most distributors make EMOTIONAL decisions to get involved with a company based on many of the WRONG REASONS, not objective analysis of ALL important facts. And once a decision has been made, it's "human behavior" to find ways to "rationalize" that choice rather than objectively consider the possibility we may have made an uneducated decision or poor choice.

If you’re an elephant it’s easier to accept peanuts and fairy tales from your trainers than to risk stepping out of your comfort zone to see what’s outside your cage.

But if you're not an elephant, DON'T WORK FOR PEANUTS!

There are several critical factors that go into making good business decisions. Great products are important, but they’re not the only things. The fact that your best friend or a family member is involved, or that the company plays up some celebrity endorsement, rarely has anything to do with making the best choice about YOUR future financial security.

Do your best to answer ALL THREE questions above before you join ANY company. If you are in a company already, run ALL the NUMBERS ABOVE for yourself. It may be GOOD NEWS or it may be BAD? But, you need to know the TRUTH.

GOOD potential associates and business partners (who are smart) will be asking those hard questions. And your HONEST answers WILL impact your business, and your level of LONG TERM success.