The Binary Tree
In addition to the Enrollment tree, each sponsor has a Binary Tree. The Binary Tree consists of two legs: the left leg and the right leg. A sponsor can add all the new users they enroll into the system to either of these two legs.
The Binary Tree is used to determine an Advocate’s Network Bonus. The mechanisms used to calculate an Advocate’s Network Bonus are described in the Network Bonus section below.
Please note that there are only two free positions under each user in the Binary Tree. One limitation imposed on the Binary structure is that a single referrer cannot place two unlicensed advocates one beneath the other.
The Three Types of Bonuses
The NetLeaders Compensation Plan consists of three types of bonuses:
01 Direct Sales Bonus
02 Network Bonus
03 Matching Bonus
Direct Sales Bonus
There is only one way to enter the NetLeaders network: by being enrolled by someone who is already an Advocate or License Owner. Each Advocate who enrolls a third party into NetLeaders is paid a Direct Sales Bonus for their contribution to the network. The Direct Sales Bonus comprises eight percent (8%) of the value of the license the new enrollee purchases. To be qualified for the Direct Sales Bonus, a user must have Advocate status. License Owners without Advocate status cannot participate in the Direct Sales Bonus compensation plan.
Network Bonuses are paid to qualified Advocates on a weekly basis. The amount received via Network Bonuses is determined by the state of the user’s Binary Tree. In order to qualify for a Network Bonus, a user must have:
1 Advocate status
2 A minimum of 500 in direct sales volume accumulated on both legs of his Binary Tree (500 on the left leg and 500 on the right leg). These volumes must be acquired after a user has become an Advocate.
Network Bonuses comprise eight percent (8%) of the accumulated volume in the weaker leg (the one with less total sales volume from the current commission period) of an Advocate’s Binary Tree. After a Network Bonus has been paid out, the total value of the Binary Tree’s weaker leg will be subtracted from both the left and right legs. For example, an Advocate has 2000 of accumulated volume in their left leg and 600 of accumulated volume in their right leg. The weaker leg (right leg with 600 volume) will be used as the base value for the Network Bonus calculation. So, the Advocate will receive a Network Bonus of 48 EUR (8% of the 600 of accumulated volume they had in their weaker leg). Then, the value of their weaker leg (600) will be subtracted from both their left and right leg. So, after the Network Bonus has been paid, they will start the new commission period with 1400 volume (2000 – 600) in their left leg, and 0 volume (600 – 600) in their right leg.
Matching Bonuses are paid to qualified Advocates on a weekly basis. The amount received via Matching Bonuses is determined by a user’s Enrolment Tree structure and their Qualification Title.
Matching Bonuses are calculated as a percentage of the Network Bonuses earned by the enrollees in an Advocates Enrolment Tree. The amount an Advocate earns from each level of their Enrolment Tree is determined by their Qualification Title. There are five Qualification Titles a user can achieve. All Qualification Titles, their corresponding percentage rates, and the conditions a user needs to fulfil to qualify for each title are shown in the table below.