Category: MLM Glossary

WHAT IS COMMISSION IN MLM? Commission In Network Marketing, the commission refers to the compensationor remuneration paid to a distributor for promoting the business or performing aservice of the MLM Company by using a particular sales strategy. The percentageand commission structure may vary according to the companies. The independentnon-salaried distributors receive commissions […]

WHAT IS A LEG IN MLM? A downline formed under one of the other downlines and followed by a frontline distributor is referred to as a “Leg”.The role of each leg depends on the type of plan the company is using. Each person who is directly below the recruitment line forms a separate portion. The distributors are […]

WHAT IS A SPONSOR IN MLM? The sponsor is a distributor of an MLM company who recruits or enrol new members to his team as his downlines .through this process the distributor becomes the sponsor of the new enrolled member or his new downline.

What is Front Line in MLM? The members who enrolled personally as your downline is called your “Front-line” members. The business volume of your front-line members is an essential factor that decides your distributor commission according to the benefit plan of the MLM Company. The fundamental matrix model for an MLM Plan involves two size factors, ‘ A […]

What is First-line in MLM? As the name indicates, a “First-line” refers to your front-line distributors. A distribution partner’s First-line is the direct sales line the distribution partner belongs to, whereby upline refers to higher-ranking distributors. Members can sponsor unlimited in width under their first-line and earn compensation. All first-line members make an […]

WHAT IS A BONUS IN MLM? The bonus is a financial benefit paid to a distributor or a member ascompensation by the business authority because of their performance. This bonusmay be either in terms of money or as a reward. That is, it could be anything abovethe expectations of a […]

WHAT IS SPILLOVER IN MLM? Spill-over refers to the process of having new customers or new representatives placed under you by your upline. In some MLM compensation plans like binary, matrix, and monoline, there has a limit to place the recruits on your frontline; your front line is fixed or limited. The upline can only place the members beyond […]

WHAT IS UPLINE IN MLM? Upline simply refers to the person who recruited you to the MLM business. In another way, your upline in Network Marketing is the total distributors that are above you. Upline usually gets benefits from every person you bring into the network and for every sale […]

WHAT IS INCENTIVE IN MLM? Incentive refers to extra perks earned by accomplishing certain targets such as specific orders or sales volumes. MLM Company will offer them special bonuses and rewards to stimulate them to do more business by considering the distributor’s sales performance and business volume. This is bonus or reward […]