Were March 2005 when Utah gives birth to another multi-level marketing company which claims to provide its distributors health and wealth. Founder Glen Jensen came up with the idea to replace and improve on what other health supplement producing companies were doing by replacing other forms of supplements with gel. Agel Enterprises, LLC, was supposed to compete with other companies and in many ways they succeeded. Agel managed to create a revolutionary line of products and has at this moment presence in more than 50 countries. Although they have a revolutionary product line, some nutrition experts dispute the benefits of the gel delivery approach, because of the lack of scientific evidence whether the actual delivery is sufficient to deliver the promised benefits or not. Because Im not a medical care worker, I wont go into further detail on the products. Everyone should make up their own mind whether the products can deliver personal health benefits or not.
Joining Agel costs you an enrolment fee that amounts to $35. As an active distributor youre required to purchase either a “Personal Pack” or an “Executive Kit” in order to receive commissions from recruiting new distributors. The Agel compensation plan is a binary plan, which means that if your strongest “leg” achieves 5.000 in Group Volume (GV) and your lesser “leg” achieves, lets say, 1000 GV, your commissions will be based upon the “leg” performing 1.000 GV.
In order to understand the rest of the compensation plan you need to know all the different ranks. (Agel loves its ranks and reward bonuses) You can climb up in the organization in the following rank order: Team Member, Supervisor, Manager, Senior Manager, Director, Regional Director, Senior Director, Corporate Director, 1 Star Diamond, 2 Star Diamond, 3 Star Diamond, 4 Star Diamond, 5 Star Diamond, Executive Diamond, Ambassador Diamond, Presidential Diamond, Crown Diamond, Royal Diamond.
Now we can have a closer look at the income streams the Agel compensation plan has to offer. Ill try to explain this complicated pay plan as simple as possible. I didnt mention some details, because knowing them doesnt add real value for people who start in network marketing.
1. Retail Sales
Products are being purchased at retail prices and sold at wholesale prices, which generates a small profit margin.
2. First Order Bonus
When you sponsor a new member at the “Personal Level” (this package of 4 boxes costs the new customer $200), you will receive $35. Sponsoring a new rep at the “Executive Level” (16 boxes, customer cost of $1.000) will generate you $100.
3. Team Volume Commissions
You earn 10% in Team Volume Commission (TVC) on the performance of your lesser performing “leg”. Team Members who are enrolled at the Personal Pack Level will only earn 7%.
4. Executive Bonus
To be eligible for this bonus you need to be enrolled at the “Execute” or “Professional” package. Agel reserves 3% of Commissionable Volume (CV) to be paid into this bonus and this bonus is only paid out to those who have less than 40,000 CV in their lower, lesser performing, leg.
5. The Executive Rank Qualification Pool
Agel reserves 1% of the Global CV to be paid out among Team Members who are enrolled at either the “Executive” or “Professional” Pack and already achieved the rank of Supervisor, Manager, or Senior Manager. You must maintain your qualification for three consecutive months.
6. Car Bonus and Expense Bonus
Senior Directors and above receive a monthly Car Bonus of $250. This bonus can increase when achieving higher ranks. The Expense Bonus is also reserved for Senior Directors and above and can increase to $3000.
7. Travel Award
1 Star Diamonds and above are yearly invited to a Leadership Conference.
8. Leveraged Matching Bonus
This bonus is reserved for distributors who are qualified as a Supervisor and above. You will earn a percentage of the Team Volume Commissions on Team Members in your organization going down as far as 7 generations.
9. Mad Money
Crown Diamonds will earn a $20,000 monthly Mad Money bonus while Royal Diamonds earn an extra $40,000 monthly.
Conclusion:
Most people wont deny that the Agel compensation plan is a complicated one. Personally I believe that it doesnt introduce network marketing as it should be. Most of the revenue created by Agel distributors goes to the people on the top of the food chain, which means that the binary plan shows a lack of opportunities for newbies.
The start up costs for people who want to start with Agel are extremely high. I wonder if they are only doing this to push the sales numbers. Maybe there could also be other reasons, but I just cant see the benefits for you as a representative. While doing the research for this review I also found out that Agel forbids reps to use the company logo on their own personal website.
No, Im not against this company. I do believe that for many people the Agel products will have great health benefits, but you will need at least 100 people in your downline to make good money and in the end, if you dont succeed, you will have lost a lot of money. My advice to you, if youre interested in Agel, is to do lots of market research and before joining you need to make sure that you can afford the monthly financial investment this business requires.
Jens Holvoet is a Internet and Network Marketing Consultant. For more information or contact details, please visithttp://jensholvoet.com/agel-enterprises-llc-the-review/
