THE BUSINESS OF REFERRAL- LONGRICH INTERNATIONAL
Longrich is a multinational company which is in operation since 1986 and are manufacturers of health and Beauty products.
They also manufacture various products for a number of well-known multinationals like Woolworths, GSK Pharma, Unilever, Nike, Adidas, Massmart, Avon E.T.C. and over 2000 products from eight categories some of which includes Cosmetics, Healthcare products, Household equipment, Furniture, Real Estate, and Logistics.
They also own hotels and universities and contribute 30% of their profit towards the economy of China.
The main characteristics that set longrich apart from other products are its compensation plan that is structured to avoid pitfalls, drawbacks, and weaknesses of traditional Network Marketing compensation plan.
Each member that joins only needs to refer 3 direct partners and a minimum of 2 direct partners can enable you to achieve financial freedom. This encourages teamwork as the members above you can only refer 3 into their own direct downline and then to grow, they must help you.
Therefore, you have members above you that help you grow by appointing people in your team so that they too can grow. There are no compulsory monthly purchases and you can earn bonuses on all generations till infinity.
In comparison to other direct selling companies, Longerich has the highest profit share payout in Africa, 8% to 75% profit share payout to its members.
To Start Longrich in Nigeria
1) Join the business with ₦9,800 or more to get products worth that amount.
2) Recruit 3 people
3) Get paid within 7 days for your first 3 people.
4) Teach your people to replicate themselves and reach out to 3 people they want to partner with.
Remember that everyone benefits from everyone else’s effort but the more people you introduce, the faster your entire team will grow.
Important concepts to Note
PV: Points value. This is the numerical value that longrich attaches to every single unit of each product that longrich offers. The numerical value differs from product to product
GPV: Group point value ( All the PV of your 1st, 2nd , and 3rd leg)
Generations: Considered as your direct referrals
Spill over: The distributor who is brought forward to you by your up lines and are considered part of your placement tree
Sponsor tree: Where your direct referrals are placed
Placement tree: Direct referrals and spillovers are counted.
Legs = Groups
|Entry Levels||Qualification||Ranking||Registration fees||Percentage||Earnings Max|
|1||Platinum VIP||1680PV||Diamond 2||550,000||12% + 1% GS||USD 22500 per leg|
|2||Platinum Gold||720PV||Diamond1||250,000||10%||USD 7500 per leg|
|3||Gold||240pv||Pre-Diamond||90,000||8%||USD 1500 per leg|
|5||Q-Silver||60PV||Pre-Diamond||24,000||8%||USD 750 per leg|
You get paid through 4 Bonuses
1) Performance Bonus: Every week earn 8% – 12% on two of the three legs in your organisation on unlimited levels. This is also based on the entry Level you take.
This is how it works for the performance Bonus. I will be using the platinum VIP as a point of reference for my explanation.
One thing you should first understand is that Longrich pays you from your weaker Legs and uses your strongest leg as its reference point. Considering the diagram above, your weaker legs are ( 60k and 40k) and your Stronger Leg is 100k.
For the first week, Your Bonus would be calculated as thus;
(60K * 12%) + (40K * 12%) = 7200 + 4800 = USD 12,000
For the Second week, Your Bonus would be calculated as thus;
With everything being equal, let’s say all the groups had an increase, for instance
As we already know, long rich would pay you based on the weaker link. And from the above Placement, your bonus groups are 120k and 140k each. Your bonus would be calculated as thus;
= (120k – 60k) * 12% + (140k – 40k) * 12% = 7,200 + 12,000 = USD 19,200
The above method can be used for the third, fourth……… E.T.C to calculate your bonuses. The Performance Bonus Largely depends on the amount of PVs your group is doing. The more the PVs, the more your earnings
2) Development Bonus: The requirement to get a development Bonus is to have a minimum of two legs with at least 60PV entry level. You would get 10% weekly bonus on Placement tree. Spill overs are also counted. The development bonuses are applicable to all levels in your placement tree including spill overs.
This is how it works for the Development Bonus. I will be using the platinum VIP as a point of reference for my explanation.
Layer One = the highest PV is 1680, this is kept as usual by Longrich and the remaining two bonuses are calculated as thus.
(720 * 10) + (240* 10%) = 96USD
Layer Two = the highest PV is 1680. The next two highest PV would be used to calculate the Bonus
(720 * 10) + (720 * 10) = 144 USD
Layer Three = the highest PV is 1680. The next two highest PV is 720PV and 720PV. The Bonus would give 144 as in the above.
Total bonus of the week = 144 + 144 + 96 = 384 USD
This level requires Team work. You have to bring in more people in the team to earn these Bonuses. The more people in your group with 60PV and above, the more you earn.
3) Leadership Bonus Earn every week 10% to 45% when you grow leaders in your team up to 12 generations
4) Maintenance Bonus: Earn 4.5% monthly on the orders that your existing team places in 15 level based on your placement tree. Your distributors must maintain a constant PV of 30.
If you have a distributor with a minimum of 30PV, you get 30pv * 4.5% = 1.35 USD. If you have 1000 distributors with a minimum of 30pv, you earn 1350 dollars every month.
You can also earn from sponsorship. On top of the maintenance PV every month, you can earn up to 45% of retail order bonus by placing your maintenance orders either by yourself or your distributors within your sponsor tree. The percentage is based on PV earned on top of maintenance if you exceed 3500pv, you will then be promoted to a super distributor. You can be a super distributor if one or two people become a super distributor.
Travel Incentives, Star Director Worldwide Incentive, Platinum Vip Incentive, Luxury Car Incentive,
Luxury House Incentive