Tropic Success Plan & Business Glossary Terms 2014
Contents 1 Your Tropic Success Plan 2 Qualification Charts 8 Title Qualification & Maintenance 10 Key Glossary Terms 11 Bonus Definitions 12 Title Progression & Compression 13 General Business Terms and Rules 14 Compression & the payment of bonuses
Your Tropic Success Plan QUALIFICATION Active Ambassador Senior Ambassador Team Ambassador Senior Executive Platinum Executive AMBASSADOR MANAGER EXECUTIVE MANAGER A. Personal Sales (PS) 250 500 500 500 500 500 500 500 Diamond Executive B. Central Team Sales (CTS) 2,000 4,000 4,000 4,000 4,000 4,000 C. Entitled Generation Sales (EGS) 8,000 25,000 50,000 100,000 D. 50% Rule on CTS and EGS YES YES YES YES YES YES E. Personally Sponsored Active Ambassadors 1 3 5 5 5 5 5 Qualified Frontlline s 1 s 2 s 4 s 8 s Personal Commission 250+ 25% 25% 25% 25% 25% 25% 25% 25% Personal Sales Bonus PSB1 500-999 1.5% 1.5% 1.5% 1.5% 1.5% 1.5% 1.5% 1.5% Personal Sales Bonus PSB2 1,000-1,499 3% 3% 3% 3% 3% 3% 3% 3% Personal Sales Bonus PSB3 1,500-1,999 5% 5% 5% 5% 5% 5% 5% 5% Personal Sales Bonus PSB4 2,000-2,999 6.5% 6.5% 6.5% 6.5% 6.5% 6.5% 6.5% 6.5% Personal Sales Bonus PSB5 3,000-3,999 8% 8% 8% 8% 8% 8% 8% 8% Personal Sales Bonus PSB6 4,000 + 10% 10% 10% 10% 10% 10% 10% 10% Team Mentor Bonus (on personally sponsored ambassador sales) 2% 3% 3% 3% 3% 3% 3% Central Team Sales Bonus 4% 4% 4% 4% 4% Generation 1 Bonus 4% 4% 4% 4% Generation 2 Bonus 2% 2% 2.5% Generation 3 Bonus 1.5% 2% Generation 4 Bonus 1% Executive Car Bonus 300 400 500 Executive Business Bonus 300 400 Central Team Productivity Bonus ( 10,000 + sales) 100 100 100 100 100 Title Promotion Bonus (one off payment) 250 500 750 1,500 3,000 1
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(Min 25,000) 5
(Min 50,000) 6
(Min 100,000) 7
Title Qualification & Maintenance Title Qualification Maintenance of Paid As title Ambassador Active Ambassador Senior Ambassador (SA) Team Ambassador (TA) 1. Sign the Tropic Terms & Conditions agreement and purchase the Tropic Starter Kit 1. Place a minimum order of 250 in any calendar month in a rolling 12 month period to stay on the system as an Ambassador. 1. Sell 250 worth of Personal Sales in a month. 1. Sell a minimum of 250 worth of Personal Sales in the month in question. 2. 1 Personally sponsored and frontline Active Ambassador 3. You will be Paid As a Senior Ambassador in the month you qualify. 2. 2,000 CTS (50% rule applies) 3. 3 Personally sponsored and frontline Active Ambassadors 4. You will be Paid As a TA in the month you qualify 2. 1 personally sponsored and frontline Active Ambassador 3. Paid As a SA 2. 2,000 CTS (50% rule applies) 3. 3 Personally sponsored and frontline Active Ambassadors 4. Paid As a TA (MGR) Senior (SM) 3. 5 Personally sponsored and frontline Active Ambassadors 4. You will be Paid As a TA in the month you qualify 3. 8,000 EGS (50% rule applies) 4. 5 Personally Sponsored Active Ambassadors 5. 1 Qualified Frontline 6. You will be Paid As a MGR in the month you qualify 3. 5 Active Ambassadors anywhere within your Central Team 4. Paid As a MGR (in the second month you maintain the MGR title) 2. 4,000 CTS (50% max branch rule applies) 3. 8,000 EGS (50% max branch rule applies) 4. 5 Active Ambassadors anywhere within your Central Team 5. 1 Qualified Frontline 6. Paid As a SM (in the second month you maintain the SM title) 8
Title Qualification & Maintenance Title Qualification Maintenance of Paid As Title Executive (EX) 3. 25,000 EGS (50% rule applies) 4. 5 Personally sponsored and frontline Active Ambassadors 5. 2 Qualified Frontline Branches 6. You will be Paid As a SM in the month you qualify 3. 25,000 EGS (50% rule applies) 4. 5 Active Ambassadors anywhere within your Central Team 5. 2 Qualified Frontline Branches 6. Paid As an EX (in the second month you maintain the EX title) Platinum Executive (PE) 3. 50,000 EGS (50% rule applies) 4. 5 Personally sponsored and frontline Active Ambassadors 5. 4 Qualified Frontline s 6. You will be Paid As an EX in the month you qualify 3. 50,000 EGS (50% rule applies) 4. 5 Active Ambassadors anywhere within your Central Team. 5. 4 Qualified Frontline s 6. Paid As a PE (in the second month you maintain the PE title) Diamond Executive (DE) 3. 100,000 EGS (50% rule applies) 4. 5 Personally sponsored and frontline Active Ambassadors 5. 8 Qualified Frontline 6. You will be Paid As a PE in the month you qualify 3. 100,000 EGS (50% rule applies) 4. 5 Active Ambassadors anywhere within your Central Team. 5. 8 Qualified Frontline s 6. Paid As a DE (in the second month you maintain the DE title) 9
Key Glossary Terms An Ambassador is a generic term for anyone who has signed the Tropic Terms & Conditions and bought a Tropic Starter Kit. A is a generic term for anyone who holds the title of or above. Personal Sales are the total personal retail sales including VAT achieved in the calendar month. Only commissionable sales are counted. Personal Sales do not include business tools and other non-commissionable purchases. An Active Ambassador is an Ambassador who achieves a minimum Personal Sales of 250 in the month in question. Personal Discount 25% sales discount will be deducted on commissionable product sales at the full RRP including VAT at the time of product ordering. A Central Team is comprised of one Ambassador and everyone in their downline who is not a or does not have a in a more immediate upline. Central Team Sales is the sum of the Ambassador s Personal Sales plus the Personal Sales of all Ambassadors in their Central Team. It does not include any sales from promote out teams. Entitled Generation Sales is the sum of the total Central Team Sales and on all generations that the Ambassador is entitled to be paid on. For example an Executive is entitled to be paid on 2 generations of s. Therefore the EGS will be the sum of all sales on those 2 generations plus the executive s own central team sales. A Generation is each level of and their Central Team. Paid As Title Ambasadors will be Paid As their title providing they meet all the Sales Requirements of (A, B, C, D) and Structural Requirement (E) for that title as indicated in the table on page 1. Should they meet the Sales Requirements but fail on the Structural Requirement they will be Paid As the next title down. If however, any of the Sales Requirements is not met, the Ambassador will be Paid As the title where they meet all Requirements. 50% rule on CTS - No more than 50% of the required Central Team Sales can come from one Ambassador for qualification and maintenance purposes. 50% rule on EGS - No more than 50% of the required EGS can come from any one in your downline for title qualification and maintenance purposes. 10
Bonus Definitions Personal Sales Bonus A 6 tier bonus of between 1.5% and 10% is paid on Personal Sales of 500 to 4000 or more in a month (this is paid in addition to the basic 25% commision). The additional commission bonus is calculated during the month end commission run and will be added directly to the Ambassador s bank account. Team Mentor Bonus - Paid to Senior Ambassadors at 2% and titles above at 3%. Paid on personally sponsored frontline Ambassador sales. Central Team Sales Bonus Paid to all levels at 4% on their entire Central Team Sales in the month. Since the manager is a part of her Central Team, she also receives 4% on own sales. Generation Bonuses: Four Generations of Bonuses are paid to qualified s. The number of generations and the percentage paid is dependant on the s paid as title in the month. Executive Car Bonus - a fixed bonus paid to Executives depending on their Paid As title in the month It is not paid in the qualification month but on the second consecutive month that they maintain that title. Executive Business Bonus - a fixed bonus paid to Executives depending on their Paid As title in the month It is not paid in the qualification month but on the second consecutive month that they maintain that title. Productivity Bonus A Productivity Bonus of 100 is paid to qualified s who achieve a minimum of 10,000 Central Team Sales in the month. Title Promotion Bonus - a one off cash bonus paid when a promotes to a new title. The bonus is paid the month following promotion if and only if the title in question is maintained. The bonuses are not paid to re-qualifying s. If the title is not maintained for the second month following promotion then the manager waives the right to the title promotion bonus. All title commissions attached to the Ambassador are effective the month following promotion provided that the title in question is maintained. 11
Title Change Rules The upline cannot count any of the promoting s Central Team Sales towards her own Central Team Sales requirement of 4,000. She would have to achieve this outside of the promoting. A promoting out in the month of her promotion will count as one of her upline s personally sponsored Ambassadors, providing she is direct to that. In the month following promotion, the new will no longer count towards upline s requirement of 5 personally sponsored frontline Active Ambassadors. A manager who does not maintain her title for 3 months will be demoted to the next qualified title and will compress up to the upline manager s central team whilst losing any managers in her downline. The demoted manager will then have an additional 3 months to re-qualify and regain her downline managers. Should she fail to achieve this, she will lose her downline managers indefinitely. Should an Ambassador have an Ambassador beneath her who promotes out ahead of her. She has 3 months to make herself and keep their promote-out Ambassador. Otherwise she will lose her promote-out and will not earn on that Ambassador or her team. 12
General Business Terms and Rules Commissions and Bonuses will be paid monthly by the 15th of each month for the previous month. Where the 15th falls on a weekend, the payment will be made on the previous weekday. A who has not been a for two years or more, can step back into the plan as a New and qualify for all bonuses and promotions. An Ambassador leaving the business can be reinstated within a 6 month period and return to her original team. However if they have any recruits when they leave they will not pick up those recruits again on reinstatement. They will also not be entitled to a new kit. After a 6 month period you can rejoin the business under another Ambassador. A or an Ambassador s recruits will be lost when they leave the business. These cannot be picked up again should they rejoin/reinstate at a future date. It is the s responsibility to train, support and advise all Ambassadors in their central team. Ambassadors are unable to move teams for any reason. The only way of doing so is to leave their Tropic Business for 6 months, after which they can rejoin any team. In the interest of protecting our brand identity, Tropic products are prohibited from being sold on Ebay, Amazon or on any online retailers other than on websites provided by Tropic Skin Care Ltd for the intention of Ambassador online shops. 13
Compression and the payment of bonuses All qualified s will earn Central Team Bonus on their central team plus those unqualified s who compress up for payment purposes. Qualified Depending on the s Paid As title in the month, they can earn Generation Bonuses on both qualified s and unqualified s who will compress up to the next qualified upline. Not Qualified Qualified Qualified Not Qualified 1st Generation Example: The qualified will earn CTB on her Central Team and also pick up the Central Team Bonus on her Unqualified 1st & 2nd Generations. Not Qualified Not Qualified Not Qualified Qualified 2nd Generation The Qualified will earn GB1 on her Qualified 1st Generation and her Qualified 2nd & 3rd Generations who have compressed up to her 1st Not Qualified Not Qualified Not Qualified 3rd Generation Generation. She will also earn GB1 on her Unqualified 2nd & 3rd Generations. The Qualified will earn GB2 on her Qualified 3rd Generations who have compressed up to her 2nd Generation. Qualified 4th Generation The Qualified will earn GB3 on her Qualified 4th Generation who has compressed up to her 3rd Generation. Central Team Bonus Generation Bonus 1 Generation Bonus 2 Generation Bonus 3 14
Tropic Success Plan & Business Glossary Terms 2014 Tropic Skin Care Ltd, Loughton IG10 2RW UK