New UnFranchise Owner Training
(NUOT)
Pursuant to the UK Trading Scheme Regulation,
please take note of the following warnings:
It is illegal for a promoter or participant in a trading
scheme to persuade anyone to make a payment by
promising benefits from getting other people to join a
trading scheme.
Do not be misled by claims that high earnings can be
easily achieved.
Training Instruction
• This training is in a PowerPoint format. It can be
viewed as a slide show in PowerPoint.
• You may also print the slides as Note pages format
to view the training notes at the bottom of some
slides. (Trainers copies)
• You may also print the slides as handouts with 3
slides per page and an area for notes, Make the
order of print as horizontal. (Student copies)
• Please review TRAINER’S NOTES prior to
teaching this class.
Three Required Trainings
• New UnFranchise Owner Training (NUOT)
• Who are we?
• Terminology
• Requirements
• Basic Five (B5)
• The fundamentals of building an
UnFranchise Business.
• Executive Coordinator Certification Training
(ECCT)
• Demonstrated knowledge of the above content.
• Demonstrated knowledge of policy and procedures.
• Identifies the latest market-driven products
• Eliminates the burden of manufacturing
• Does not rely solely on the sales of any one
product or service
• Exclusive products and services
• Access to multibillion pound (GBP) markets
Customise a
business based
on your
interests and
goals
University concept
Exclusive Market
UK Brands
Social Networking
Hot Deals
Travel Services
eGifts
ShopBuddy
Shop Tracker
*SHOP.COM provides all shoppers with a
£2500 per purchase guarantee. This
applies to the purchase of Market United
Kingdom brands all partner store product
purchased though SHOP.COM.
• Provides the power of social media and online shopping
• Combines high-tech with high-touch
• Offers the ability to reach millions of customers
• Matches people to products and products to people
The following information provides
fundamental knowledge required to ensure
Qualified Individuals can successfully attain
Financial Independence by implementing
The UnFranchise®
Business Development System
The UnFranchise® Business
Key Terms and Definitions
SALES REPRESENTATIVE
• No cost
• Buy product at UnFranchise Cost
and earn gross retail profit
UNFRANCHISE® OWNER
• Subscription fee £75.00
• Buy product at UnFranchise Cost
and earn gross retail profit
• Participate in the Management
Performance Compensation Plan
and earn commissions
*BDC - Business Development Centre
Business Development Center
(BDC)
•Your place of business in the
computer system at Market
United Kingdom.
123456789-001
•Identified by your nine digit
UnFranchise Owner I.D.
followed by a three digit
extension. Example:
123456789-001
123456789-002
123456789-003
•The banks for BV and IBV are
located here.
*BDC - Business Development Centre
UK.SHOP.COM
UK.MotivesCosmetics.com
MarketUnitedKingdom.com
GLOBAL.SHOP.COM
UnFranchise.co.uk
YOUR SUBSCRIPTION INCLUDES:
•
•
•
•
UnFranchise® Business Account
Career Manual
Getting Started Guide
Training and Seminar System
• Access to Audio Download
Training Library
• Coaching and Mentoring by
Experienced UnFranchise Owners
BV
IBV
Business Volume
Internet Business Volume
BV is the unit value (points) assigned to
exclusive branded products
IBV is the unit value (points) assigned to any of
our Partner Store products
WAYS TO CREATE BV & IBV:
•
•
•
•
•
Personal use
UnFranchise AutoShip
Retail sales
Internet Marketing
Shop Tracker
UK.SHOP.COM
Social Media
Customer AutoShip
One-to-One Marketing
Personal Business Volume (PBV)
• All BV is PBV for the BDC it is placed in.
• PBV does not accrue in the banks of the BDC
in which it is placed
• Initially used to qualify a BDC
• Used for quarterly PBV requirements
• Used to exercise the Monthly Accrual Option
Group Business Volume (GBV)
• All PBV flows up and counts as GBV in the banks of all
Qualified BDCs it flows through.
• GBV is used to calculate Commissions and
bonuses
UnFranchise Cost –
• What you pay for products and services.
Suggested Retail Price –
• What the company suggests for retailing products, goods,
and services based on fair market value.
• An UnFranchise Owner may charge more or less
than Suggested Retail Price
Accumulate 200 BV to
qualify your Business
Development Centre
(BDC) which opens both
your left and right BV and
IBV banks.
Once your Business
Development Centre has
been qualified it
will begin to accrue
Business Volume (BV)
and Internet Business
Volume (IBV).
Start Date
• The date when an application is entered at Market United Kingdom and
an Independent UnFranchise Owner is created in the database.
• Used to determine the Start Month, which is when the
Annual Renewal due each year
• Acts as the Q-Date for Sales Representatives
Qualification Date (Q-Date)
• An UnFranchise Owner’s Q-date is the Friday of the week in which the
UnFranchise Owner’s initial BDC became Qualified.
• This is the date for which both monthly and quarterly
requirements are based
• This date will never change as long as an UnFranchise
Owner remains Active
Quarter
For Qualified UnFranchise Owners
• Based on the UnFranchise Owner's Q-date; also called a
“three-Q-date period.”
For Sales Representatives And Unqualified UnFranchise
Owners
• Based on the Start date; also called a “three-start-date
period.”
• Periods:
• Begins on the Saturday following an anniversary date
• Ends on the Friday following an anniversary date three
months later
• The next quarter begins the next day (Saturday)
Personally sponsor (partner) and place one qualified
UnFranchise® Owner in your left and right organisations.
Active Independent UnFranchise Owner
There are three requirements to remain “Active”:
1.
Have a current Quarterly Sales Report (Form 1000) on file
•
At least two retail receipts totaling £115 in sales must accompany
the Form 1000
•
Must submit his/her own retail sales and Form 1000 every quarter
by 11:59 p.m. Friday (the end of their Quarter). If done with paper
instead of online, must be RECEIVED by 1:59 p.m. Friday.
•
Online sales may only be made at your UK.SHOP.COM
2.
Have placed minimum quarterly PBV amounts
•
150 PBV in any of your BDCs
3.
Have a current subscription (Annual Renewal Form)
•
Renewal of your subscription is required each year by the end of
your Start Month
•
The month in which your Start Date falls is your Start Month
•
Auto-Renewal can be setup to automatically renew your
subscription each year at the beginning of your Start Month
MPCP Management / Supervisory
Responsibilities
• UnFranchise Owners are paid commissions as a result of
products moving to end consumers, these products are
moved by themselves and by those in their organization.
• Management / Supervisory responsibilities under the
MPCP guidelines are listed in Chapter 12 Sec 1. Failure
to perform the management responsibilities is grounds
for corrective action by the company.
People lead to people
*Green indicates personally sponsored UnFranchise® Owner
Sponsor
• The Independent UnFranchise Owner who introduced you to
the business as indicated on your application.
• An UnFranchise Owner should never sign an application or
any agreement for another UnFranchise Owner
• Creating false UnFranchise businesses or using deceptive
practices to get people to sign-up can be grounds for
corrective action.
Placement
• Where a BDC is located in the Market United Kingdom
genealogy.
• Specified on the application by the new UnFranchise
Owner’s Sponsor
• Also referred to as linkage
• A BDC may only be placed on the left or right side of
another BDC where no BDC currently exists (open
placement).
Sponsorship vs. Placement
Example: You personally sponsored Mark, Kate and Matt. Although Matt
is personally sponsored by You, notice his placement is on the left side of
Dr. Jones’s Business Development Centers
Retail sales, customers ordering through your websites, personal use,
new UnFranchise® Owners and word-of-mouth advertising
You receive 100% of the value of all
BV and IBV created by your
organisation infinitely in depth.
Commission
• Pounds earned for accrued GBV & GIBV totals in
Activated BDCs.
Management Performance Compensation Plan
• An UnFranchise Owner must be Qualified, Active, and
Activated to be eligible to earn commissions
• If a given GBV level is reached on the left and right of a
BDC which is not Activated, that Commission is forfeited
Internet Business Volume Compensation Plan (IBVCP)
• An UnFranchise Owner must be Qualified, Active, and
Activated to be eligible to earn commissions.
• If a given GIBV level is reached on the left and right of a
IBDC which is not Activated, that IBV Commission is
forfeited
Monthly BV Accrual Option
Gives UnFranchise Owners the ability to continue to
accrue GBV month to month (12-month rolling
accrual)
• Must maintain a subscription to the UFMS
• Must assign a minimum amount of PBV to their
BDC-001 each month
• UnFranchise Owner – 50 PBV
• Coordinator – 100 PBV
• Executive Coordinator and Higher – 150 PBV
Monthly IBV Accrual Option
Gives UnFranchise Owners the ability to continue to
accrue GIBV month to month (24-month rolling
accrual)
•
•
Must maintain a subscription to the UFMS
Must assign a minimum amount of PIBV to their BDC001 each month to accrue GIBV
• Level 1 (UnFranchise Owner who has not received
any IBV commission) – 10 IBV
• Level 2 (UnFranchise Owner who has received
£170 IBV commission) – 20 IBV
• Level 3 (UnFranchise Owner who has completed
one commission cycle and received £340
[5000/5000] IBV commission) – 30 IBV
BV & IBV commissions are calculated weekly
5,000
3,600
2,400
1,200
5,000
3,600
2,400
1,200
1,200 total BV from your left and right = £170
1,200 total IBV from your left and right = £170*
2,400 total BV from your left and right = £170
2,400 total IBV from your left and right = £170
3,600 total BV from your left and right = £170
3,600 total IBV from your left and right = £170
5,000 total BV from your left and right = £340
5,000 total IBV from your left and right = £340
*The first time going through the IBV pay cycle, when you reach the 300/300 IBV criteria, a £40 commission is earned. When you reach the
600/600 IBV criteria, a £45 commission is earned. When you reach the 1,200/1,200 IBV criteria, an £85 commission is earned for a total of
£170 commissions earned when reaching 1,200/1,200 IBV.
Management Bonus
• £340 bonus paid for demonstrating management
and growth.
• In the same week that a BDC earns a
Commission for reaching the 5000/5000 GBV pay
out criteria, a BDC on the left side and a BDC on
the right side each earn Commissions for
reaching the 5000/5000 GBV pay out criteria.
• Also called a “Triple Flush”
Every time you and any BDC in your left sales organisation
plus any BDC in your right sales organisation completes the
BV commission cycle in the same week, you receive a
management bonus of £340.
Re-Entry
• Gives an UnFranchise Owner the ability to place another
BDC in their organisation.
• Earned when a BDC earns the commission for
reaching the 5000/5000 pay level the first time
• Only awarded once per BDC
• Must be placed according to policy
Open additional Business Development Centres to increase your commissions
200 BV
Building Share of Customer
10-15 Customers shopping regularly
• Offer existing customers more products/services
through your UK.SHOP.COM site
• Match products to people, and people to products
Building Share of Customer
Principle #1: Selling more products to
fewer people is easier
•
•
•
•
Within the Product Line
Within the Store
Within the Mall
Within the Partner Stores
Customer of Customer
Building Share of Customer
Principle #2: Sustaining dialogue and
obtaining feedback
•
What do your customers really want?
•
What does this individual customer really
want?
•
What would they purchase
from you, if you had it?
Building Share of Customer
Principle #3: Building unique relationships
with these customers
•
Demonstrate an active
interest in customers
as individuals.
•
Communicate on a periodic and frequent
basis – Not Just The Sale.
•
Utilise mail, telephone, voicemail, email,
social media (facebook, Twitter, Linked In,
Blogs, etc.), and website.
Building Share of Customer
•
Survey, collect, warehouse, data mine, and
analyze information to identify products goods
and services Preferred Customers would
purchase, if it were made available!
•
Find those products, goods,
and services and bring them
to the customer…instead of
the customer to the product!
Partner Stores
Partner Stores
Partner Stores
UnFranchise Levels and Requirements
Coordinator
An UnFranchise Owner who is qualified, activated, and has
earned at least their first Commission.
• Must submit Form 1001 - Executive Coordinator
Qualification and Application Form
Agreement to accept responsibility of Executive Coordinator
• Must submit Form 925 - Executive Coordinator
Acknowledgement & Agreement
Agreement to certify your attending all three required trainings and
complied with the 70% rule proving a Form 1000 (UnFranchise Owner
Sales Report) with at least £115 in retail sales.
Both of these forms are part of the Online UnFranchise
Registration and have probably already been done.
UnFranchise Levels and Requirements
Executive Coordinator
An UnFranchise Owner who has accrued a minimum
of 5000
GBV on both the left and right sides of a BDC and has
earned that £340 Commission.
• Must attend an Executive Coordinator
Certification Training (ECCT) – within 28 days of
earning the £340 commission
• Prerequisites for the ECCT are attendance/completion
of a NUOT and a Basic Five
• UFMS is a requirement for Executive Coordinator
and above
UnFranchise Levels and Requirements
Master Coordinator
An UnFranchise Owner who has Triple Flushed
(earned the £340 Management Bonus)
UnFranchise Levels and Requirements
All UnFranchise Levels beyond Master Coordinator are
based on commissions and bonuses received from the
MPCP in a four week pay cycle.
We are not employees of Market United Kingdom. We are
Independent UnFranchise Owners. Our income should not
be advertised.
Recognition statement of Income earned:
“has earned at least ________ in a 4 week pay cycle”
UnFranchise Levels and Requirements
• Senior Master Coordinator –
earned ≥ £1,700 in a 4 week pay cycle
• Professional Coordinator –
earned ≥ £2,550 in a 4 week pay cycle
• Supervising Coordinator –
earned ≥ £4,250 in a 4 week pay cycle
• National Supervising Coordinator –
earned ≥ £5,700 in a 4 week pay cycle
• Executive Supervising Coordinator –
earned ≥ £8,500 in a 4 week pay cycle
• Director –
earned ≥ £10,200 in a 4 week pay cycle
• Executive Director –
earned ≥ £14,200 in a 4 week pay cycle
UnFranchise Levels and Requirements
• Field Vice-President –
earned ≥ £20,000 in a 4 week pay cycle
• Executive Field Vice-President –
earned ≥ £25,000 in a 4 week pay cycle
• Senior Executive Field Vice-President –
earned ≥ £35,000 in a 4 week pay cycle
• Field President –
earned ≥ £45,000 in a 4 week pay cycle
• International Field President –
earned ≥ £57,000 in a 4 week pay cycle
• International Field Chairman –
earned ≥ £70,000 in a 4 week pay cycle
Tools and Requirements
UnFranchise Management System (UFMS)
A system of management services and tools designed to help
manage your sales organisations, maximise your time, and
grow your UnFranchise business.
* Monthly Subscription Charge for UFMS £14.
Features of UFMS
• UFMS – Management Reports
• Management training audios
• MARVIN – Market United Kingdom Responsive Voice
Information Network.
Tools
MARVIN - Market United Kingdom Responsive Voice
Information Network
Designed to answer your basic inquiries pertaining
to your UnFranchise business
• Voice response system
• Q-date, Annual Renewal date, the date that your Form
1000 was received, etc.
• Simply call 0845 257 8041 to experience the ease and
convenience of MARVIN
Tools
UnFranchise AutoShip (Transfer Buying) –
• A standing order that is shipped monthly
automatically.
• Paid for by bank draft or credit card.
• Set-up two weeks prior to Q-date.
• Can be changed as needed
• Designed to satisfy the criteria of the Monthly
Accrual option.
Terms & Conditions
Forfeit
• This means you have enough volume on the left
and right of a BDC to meet a given pay out criteria
but you do not get the commission..
Terms & Conditions
Reasons for Forfeit
• You do not have your 2 personally sponsored
UnFranchise Owners (one on the left and one on
the right) when you reach a payout increment.
Example: Reaching 1200 BV on the left and 1200 BV on
the right before becoming activated.
Terms & Conditions
Reasons for Forfeit (cont.)
• You have not sent in the required forms 925, 1001.
They both must be completed after you earn your
first £170 BV commission.
• You have not completed the three required
trainings NUOT, B5 and ECCT, All three must be
completed after you complete the BV pay cycle the
first time (5000 BV/5000 BV).
Flush
Terms & Conditions
• Flushing resets your GBV banks to zero (0).
Good (Green) Flush – Your banks reset because you
accumulated 5000 GBV in the left and right banks of that
BDC and received the £340 Commission.
Bad (Red) Flush – All of your banks reset because you
choose to not exercise the Monthly Accrual Option.
Reasons for Red (bad) Flush
• You did not exercise the Monthly Accrual Option.
• Place 50/100/150 BV in your 001 BDC
(will affect BV only).
• Purchase your monthly UFMS subscription
(will affect both BV and IBV).
• Place 10/20/30 IBV in your 001 BDC
(will affect IBV only).
Purge
Terms & Conditions
• Your BV and IBV totals on the left and right reset to zero in
all BDC’s.
• The UnFranchise Owner becomes Inactive
• Must re-qualify BDCs with 200 PBV before they will
begin to accrue GBV and GIBV again.
• All PBV and PIBV disappears from upline banks.
NOTE: This affects everyone upline who has not flushed on your volumes as this
purge volume is removed from their GBV and GIBV totals.
Reasons for Purge
• You did not meet your Minimum Activity Requirements of
at least 150BV for the quarter.
• You did not submit your Form 1000 (quarterly sales report)
in a timely manner.
• You did not submit your Annual Renewal in a timely
manner.
Value Added Tax (VAT)
Back Office Orders (UnFranchise.co.uk)
• When an UnFranchise Owner places a direct order from their Back Office,
they are charged at UnFranchise Cost (UC) which includes UK VAT
(currently 20%). Their order will be sent with a packing slip/invoice
displaying both the Including VAT UnFranchise Cost per item, and the
VAT element for the entire order
• If an UnFranchise Owner is VAT registered with HMRC (i.e.
UnFranchise Owner has his/her own VAT # and submit a VAT report
either monthly or quarterly), they can use the packing slip/invoice to track
and submit their UK VAT paid on purchases. They will also need to record
and submit their customer sales records and VAT collected on sales.
• If an UnFranchise Owner is NOT VAT registered with HMRC then the
VAT element on purchases made are for their records only. When they
sell products onto their customers, they do so at the Suggested Retail
price (SR) which includes VAT
NOTE: Market United Kingdom is not responsible for any aspect of an UnFranchise
Owner’s tax affairs or reporting, including but not limited to any VAT obligations arising
from sales of Market United Kingdom products by UnFranchise Owners. Independent
UnFranchise Owners take full responsibility for all HMRC related applications and
submissions.
Value Added Tax (VAT)
UK.SHOP.COM Orders
• When an UnFranchise Owner directs customers to their UK.SHOP.COM
and the customer places an order, Market United Kingdom is processing
orders for mukBranded products on their behalf (Partner Store orders are
processed by the individual Partners, the UnFranchise Owner and Market
United Kingdom are not responsible for VAT related to these orders).
• As such, Market United Kingdom is the merchant of record and charges
the customer the Suggested Retail price (SR) which includes VAT
• Market United Kingdom, then remits to the UnFranchise Owner the Retail
Profit from that sale.
• Retail profit is calculated based on: SR (inc. VAT) – DC (inc. VAT) – VAT
on the difference* - An administration charge of 3% (on SR inc. VAT) –
Any Customer Loyalty Incentive offered (x% on SR inc. VAT)
*As Market United Kingdom is VAT registered with HMRC it is obliged to
report the UK.SHOP.COM sale within its quarterly VAT return, and
thereby submit the VAT collected.
Record keeping - Expenses
•
•
•
•
•
•
•
•
•
•
•
Advertising & promotional materials
Automobile expenses (mileage)
Travel expenses (airfare)
Lodging and meals
Entertainment of prospects and downline
Trainings and admission fees (tickets)
Freight, Administrative, shipping costs
Postal charges
Business equipment (computer, fax, furniture)
Office supplies (paper, ink)
Professional fees (tax preparation etc.)
Record Keeping - Income
• Profit from retail sales of products
• Commissions and bonuses received from the
Management Performance Compensation Plan.
Building a Solid Foundation
for
Profitability and Stability
The Objective For
Every New UnFranchise Owner
• Create a cash flow through building a repeat
customer base. Base 10 Seven Strong
• Create distribution through other UnFranchise
Owners – earn £170 monthly in commission
• Short-term goal – Personally sponsor 2 who
sponsor 2 each and attain Base 10
Business Goals Begin with Base 10
• Personally purchase and use at least
100 BV and 15 IBV per month
• Establish 10 Repeat Customers – Base of >
10 purchasing a minimum of 30 BV and 20
IBV monthly within 90 days (2 per week, first
12 weeks)
• This generates 400 BV and more than 200
IBV each month. Duplicate this within your
organization.
Retailing Goal – Base 10, Seven Strong
After Three-Six Months, Earn > £170/Monthly (BV)
and Earn £170 every 2nd month (IBV)
1200 BV & 600 IBV
1200 BV & 600 IBV
400 BV & 200 IBV
400 BV & 200 IBV
400 BV & 200 IBV
400 BV & 200 IBV
400 BV & 200 IBV
400 BV & 200 IBV
400 BV & 200 IBV
The UnFranchise Business Account (“Back Office”)
It is the UnFranchise Owner-only Web site that provides you
with all of the tools necessary to measure, monitor, adjust
and control your business.
Your Profile, Company Information, Customer Data, Order
History, Forms, Reports, Marketing Tools, and much more
are found on the UnFranchise Business Account.
Your Rep ID or Email and password are required to login to
the UnFranchise Business Account at your UK.SHOP.COM.
Do not give your back office password to any other
UnFranchise Owner or log on to the back office of any other
UnFranchise Owner, including upline, crossline and downline
because every UnFranchise Owner is responsible for
managing his/her own UnFranchise business.
www.unfranchise.co.uk
Enter your Rep ID
(7 digit) or the
E-mail address that
is on file with
Market United
Kingdom
Enter your
password
Click “Login!”
TRAINING MODULES
Go to: www.unfranchisetraining.com
NUOT Review Questions
• What are the three required trainings?
• What is the difference between a Sales Representative
and an UnFranchise Owner?
• How do you Qualify your BDC?
• What does the term BV mean?
• What is your start date?
• What is your Q-Date?
• What are your Q-Date Quarter periods?
• What is MPCP?
NUOT Review Questions
• What do you need to do to remain “Active”?
• What does it mean to Activate?
• How do you earn a Management Bonus?
• When do you earn a Re-entry?
• Where do you find the training modules?
• What do you need to login to the UnFranchise Business
Account (“Back Office”)?
• Why did you start your UnFranchise Business?
• What is Market United Kingdom?
Your Next Step
• Develop your “What is it?”
• Develop your 2 minute commercial.
• Develop you Goal Statement.
• Purchase products for personal use.
• Develop a customer base of 10 Preferred Customers.
• Attend all three required trainings.
New UnFranchise Owner Training
(NUOT)