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Guru Bob’s Spillover Is Not Helping You. Know Why?
Category: MLM
If you have looked for a home based business recently, you have seen the splash pages and read the promises of certain “gurus,” that will “fill your matrix” for you, with no work on your part, if you will just enroll now. Sounds great, doesn’t it? You just sign up, pay your hard earned money, and ride the guru’s magic carpet off into the sunset. The problem here is that with nearly all matrix-type pay plans, this helps them, and hurts you.
A matrix pay plan is one that limits how your organization grows, by limiting how many first line referrals you can have. (Some pay plans allow infinite width, which is even worse. The person you sign up under has zero incentive to help you at all by putting people in your organization. There is not a case where they would be better off doing that than they would be by putting everyone on their own front line.) You might see a plan that has something like a 3X6 matrix. That means in the basic part of the compensation plan, you would be paid on up to three members wide and six deep, for a total of 1092 in a perfectly executed matrix.
So, it possible that spillover can negatively affect you instead of help you? It’s not only possible, it’s what actually happens. Say that Guru Bob fills your first two levels for you before you finally sign up Aunt Mary. In fact, Guru Bob is so helpful, he fills up your first three rows. That means Aunt Mary who really only signed up because she felt sorry for you, would be placed down on your fourth level. Being conscientious and wanting to help her, you put your next person below her, down on your fifth level. For everyone above there, you will get a few cents each. What you have under you is Guru Bob’s matrix, not yours. In fact, you don’t have a matrix of your own.
What you end up with, then, is a massive looking organization that actually pays you less than your monthly dues. One or two or three months later, you quit and try to find another program. Surprise! You find that Guru Bob is now on to another program he has found. “Maybe if I get in earlier,” you think, “I will get in on the big money.” Wishful thinking, but not accurate. You can sign up closer to Guru Bob this time, and you still aren’t going to make the money he’s making until you have your own personal sign ups. If spillover worked for the long term, Guru Bob wouldn’t have a list of eight other programs where he has been the top guy (or girl.) He gets in a program, runs it through his list, makes big money for a few months, and heads off to another.
Building a fully filled matrix requires some sacrifice by each person in the group, including Bob. If everyone agreed to have a maximum of three personals, all on their front line, everybody would make way more money (except Bob, who might make $25k a month instead of $50k). Additionally, if no one cared who those enrollments came from, everyone’s matrix would fill completely, and everyone would get to the top of the pay plan, where the larger money is. Now, the only obstacle is finding a group of people and a company that will do that. If there were, maybe they could call it something like Unselfish Wealth.
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