Understanding Compensation Plans
You may often hear many MLM and Party Plan companies touting they have the highest payouts or the best compensation for their distributors. So what is a compensation plan? What are the aspects you should look for in a compensation plan?A compensation plan is a set of rules that determines how distributors (often called reps, independent business owners, or team members) earn commissions, overrides, bonuses, and other compensation.The two most popular types of compensation plans in the