You're not the only one to be confused. Most MLM compensation plans are incredibly difficult to comprehend unless you chance to be good at mathematics. MLM binary programs, fortunately , are some of the easiest to understand.
So What's an MLM Binary Plan?
As we all know binary means 2. So you just have to consider everything in pairs. One of the first things that you will have to do when you commence building your new business is to recruit two new folk who also need to enjoy the financial independence of MLM promoting.
You will sign these new folk up and they become your front line. This is your personal line of backing and because this is a binary system they can then go out and hire two more people each. No more. No less.
So now you have inducted two others into your front line, let's call them Dick and Jane. If they follow the plan Dick and Jane can then go out and sponsor 2 more folk and so it is going on, and everyone gets rich and achieves their goals. Sadly Dick and Jane won't be especially effective at MLM promoting and this happens a great deal.
Your next move will be to sign up more people, but because you can only have two folk on your front line, the next 2 sign ups have to either go under Dick or Jane or one can go under each. It's down to you to keep the legs balanced.
Now what is Binary Spillover?
Your two new recruits went into the downlines of Dick and Jane and that is simply what binary spillover means. You have helped them build their business by giving them the 1st folk in their downline. This is one of the big advantages of the MLM binary plan and if you have got an active up line, this may be going down all the time and may help you to build your side of the business.
You don't stop there, you still need to continue to sponsor and hire heaps of people and keep balancing the 2 legs of the plan with the right folks because most plans only pay a commission when the product volumes balance. You will enjoy a lot of spillover, but you will only be compensated when you keep adding new folk.
So though you believed you were ready to start your business this is another side that you must look at. It isn't an issue of MLM binary being the right system for you, the issue is how are you going to push your business to build your downline? You must have a plan to promote your products and also your opportunity to others to build your business.
One question is should you use an internet lead generation system and learn attraction marketing to build your business faster and get even more rewarding? What's your promotion budget?
Are you also aware of the fact that in MLM you'll be looked up to as a leader by your downline, they will expect you to help them with their business and to achieve their goals. Many individuals make a large amount of cash in the MLM business, so truly it's not the compensation plan that's important. Your main concern will be how to build your business quickly and effectively.
