Jun 03

We are going to continue examining MLM company policies and procedures in bite size pieces today.

The policy below could present a serious problem to your MLM success in the future. This is right from a major network marketing company’s policies and procedures. I changed the company name to [company]. If you think it could be your company, just go to your policies and read 10.3 but also be aware that when the company does a revision they may put it in a different section.

Read it, then we can take a closer look at it.

10.3. AGREEMENT TERMINABLE AT WILL
You may terminate your relationship with [company] at any time by providing a signed written notice to [company]. [Company] may also terminate the relationship with you (including any partnerships, corporations or other entity) at any time by providing written notice. You or [company] are not required to have any reason, nor do you or [company] have to claim or prove any cause to terminate this relationship. If and when the relationship is terminated, you shall have no claim against [company] nor any right to claim or collect lost profits, lost opportunities or any other damages. Termination will result in the loss of all benefits as an [company] Independent Consultant.

So what do you think? It starts nice. You can terminate your relationship with the company. If you are making money, why on earth would you want to do that? Of course you would not. If you have any recurring income, then even if you change companies you don’t want to quit, if they are sending you checks because the checks would stop coming if you terminate.

Fair is fair, or is it?

They let you terminate your relationship with the company so they want to be able to terminate the relationship with you. Why would you ever accept that? They can terminate you and your business is gone. Are you really willing to work for years to build a business that can be taken away that easily.

How easy is it for them to terminate you? First, they just told you that they only have to send you written notice. Next they tell you that they don’t even have to have a reason to do so.

Then they follow everything up with a statement to be sure you understand that after they terminate you, your business is history. No more income for you.

So let me ask you again, do you really want to build a business that can be taken away this easily?

MLM Compass

You may be thinking why would they ever terminate me. There are many reasons this could happen. But remember they don’t need a reason to terminate you. Maybe their reason is nothing more than to keep the money they pay you and they really just don’t want to tell you they are greedy. And of course they may never terminate you. But they have set things up to make it easy if they want to.

Think about this. If they never thought about the possibility that they may want to terminate you and never even have to tell you why they did it, then this clause would not be in your contract. Instead they have been thinking about it. The clause is evidence.

There are many similar clauses to this one in MLM company policies and procedures. So you are not off the hook here eve if you don’t have this exact clause in yours.

Now for those of you who don’t think these clauses ever get used to terminate people, here are just a couple examples that I know about.

One guy I know helped promote his product so well that the company finally said, we don’t need to pay you guys any more. They put the product in retail stores like Walmart and terminated all of their distrubutors.

MLM Compass

One company decided to terminate about twenty-two of their top distributors to show extra income for this public company. Twenty-two people terminated with a combined income of one million dollars per month. Wow, the clause worked.

To make it worse the company executives that did this are still out there and you may be in the company that terminated these people or you could be in a company where one of these executives has moved to. I think your possibility of future termination is much higher than most peoples. What do you think? I think it is easier the second time around for them.

I could go on and on, but you get the picture. Terminations happen all the time and it is a growing concern for distributors in our industry. You really need a contract that does not allow the company to get rid of you without even a reason and they only have to notify you.

To get a great education for free on companies and their policies and procedures, check out Mentoring For Free.

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written by Don Standard \\ tags: , , , ,


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