Items of Importance You Need To Consider When Selecting a Company:
1.) Select a company that has a product which is widely used and desired (while we recommend several companies you can choose from in the areas of nutrion, cards and travel on this website... Travel is by far our favorite ( 43% of all transactions online are travel related), which is a very hefty number.
2.) Verify via a Google Search that the company is in good standing with all Attorney General's Offices throughout the country. To accomplish this simply place the company name (Example: "xyz corp attorney general"), in the Google Search box and search.
3.) The third item of importance is ensuring that your future business partners are “the real deal”, which means that they’ve already built successful distributorships, with six or seven figure yearly incomes. Only then can you be sure that you’re aligning yourself with a winning team. If you're mentored by a top industry earner, your chances of succeeding will be 90% higher!
4.) You Must Find a Mentor...someone you can trust. Someone who has a solid system in place and who already has the results you are looking for. This has to be someone who is willing to listen to your needs and actually cares about your success. Most Important - They must also have a financial incentive in your success. Make sure they get paid EVERY TIME you do, this way you’ll know that they have a vested interest in helping you become successful over the long run. If they don't, you won't be receiving long-term support.
5.) The company should meet the business model critera established by Dr. Charles King, who's the most recognized authorities on our industry in the world today. Dr. Charles King has been quoted as an Direct Sales expert in the Wall Street Journal and numerous other national publications. Dr. King has selected WorldVentures as a Top 10 Growth Pick for 2009. Dr. King authored "The New Professionals and co-authored the "Brilliant Compensation video" with Tim Sales and Wave 3 with Richard Poe.
IF YOU'RE READY TO CHANGE YOUR FUTURE, then make the decision to join our team and align yourself with top earners in the MLM / network marketing industry. Mentorship from a top earner will offer you the greatest opportunity for success. As the Founder of the 500K Success Team, I think it’s only fair that you know a little more about me and why I've made this my passion.
I first entered the MLM industry while attending law school. I retired at age 39 from law enforcement after reaching the rank of Colonel in the 10th largest sheriff’s office in the country. After 9-11 I formed the Terrorism Task Force, handled our country's first Anthrax attack and oversaw 5,300 plus employees, and yearly budget in excess of $350,000,000 million. In short, I had all the headaches associated with running a mega size corporation, but was only earning $140,000 a year! My average work week was 70 plus hours and I struggled to ever see my family, which became a major concern after one of my two children had a severe reaction (grand-mal seizures), upon receiving his 4th DPT chilhood vacination at the age of two. Sean was later diagnosed with Autism and awarded a vacination injury claim!
God presents us with challenges, but these challenges can also be blessings, as Sean's dianosis caused me to enter the MLM industry. Over the past 14 years, I've been featured in numerous MLM magazines and I’ve also had the honor of acting as a corporate trainer and consultant for several network marketing companies'. The experience derived from building four multi-million dollar network marketing distributorships over this 14 year span and from being a consultant / corporate trainer, have given me keen insight into what a company must have in terms of: 1.) Product 2.) Timing in the Market Place Driven by Current Trends & Demands 3.) Compensation Plan Payout / Design. Drawing upon my extensive industry experience, it was clear to me that the next BIG MONEY making company in the MLM industry would be involved in travel. Why? Because Baby Boomers are now retiring at the rate of 10,000 per day and will continue to do so for the next 17 years! This group represents the single largest retirement segment to ever enter the market place and the # 1 thing Baby Boomers want to do is.... TRAVEL! This obviously creates a perfect opportunity to market a niche "Discounted" Luxury Travel Club Membership product "DreamTrips". The Boomers are going to travel, no matter what, so if you fill this need, you win big! Conservative estimates have the travel industry doubling from its current $8 TRILLION in yearly sales, to over $14 TRILLION in sales by 2015. A SMALL HINT MIGHT BE THAT "30" (THAT'S RIGHT), 30 NEW CRUISE SHIPS SET SAIL DURING THE NEXT 5 YEARS!!!
Our # 1 Pick Based On Product & Compensation Plan
This impressive company has ethical ownership with extensive MLM experience and an executive staff that's hard to match. WorldVentures also has a very low start up cost and a very low distributor attrition rate (MLM industry Attrition rate average is 60% to 70%), as well as, offerring a very low monthly overhead. WorldVentures easily reached the top of our list for the following reasons:
FEATURED IN NATIONAL MAGAZINES
- YOUR BUSINESS AT HOME (2007)
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- Dr. Charles King selected WorldVentures as one of his Top 10 MLM Industry Growth Picks for 2009. Dr. King is one of the most respected authorities on the MLM industry, as well as, co-author of "Wave 3", as well as, co-author of the very well known "Brilliant Compensation" video. Dr. King teaches the only fully accredited university level MLM course. A favorite MLM authority for the Wall Street Journal and FTC.
- Exceptional 4 year track record - Since launching in late 2005, generating $15,000,000 (15 Million), in sales 2006. In 2007 the company jumped to $50,000,000 (50 Million), in sales and WorldVentures broke the $100,000,000 (100 Million) sales mark for 2008. Companies that have broken 100 Million sales mark in only 3 years, have gone on to become giants within the MLM industry. Timing Is Everything & Now's The Time!
- Company Growth & International Expansion - Success University Joins WorldVentures - This move further expands our emphasis on leadership development amongst our 100,000 plus LTC's. WorldVentures opened for business in the United States in 2005 and has since expanded into the United Kingdom (UK), South Africa, Kenya and Botswana. We will soon be opening additional international markets as we continue our rapid expansion around the world.
- Recognized Member IATA, ASTA, ARC & CLIA - This is a "Real" travel company, with IATAN certification courses available for individuals wishing to become Booking Travel Agents (70% Commissions), or Fully Accredited IATAN Travel Agents (80% Commissions).
If you're wondering why we're so hot on a travel company / product, it's really very simple and purely mathematically driven for top dollar earnings and probability of success. First, the "juice wars" are out of control within the MLM industry and attrition rates amongst Juice / nutrition companies are sky rocketing. If your company's autoship is $100.00 or more per month, it's way to expensive for monthly hits on the average person(s) credit card in this economy. Demand.... 43 cents of every dollar processed online is spent on travel, nothing else comes close to peoples interest in either taking a cruise or traveling to an exotic location, so they're still buying!
WorldVentures "DreamTrips" membership program delivers a knockout punch and it offers deeply discounted exotic travel packages and has already developed a big fan base in our current depressed economy. Bottom line, everyone still wants to travel, they just want the best price and no travel company has anything that can compare with this well designed Leisure Travel product. So forget about any discussion on avoiding a travel business! because money's tight! 30 new cruise ships will set sail over the next 3 years....clearly travels strong!
Another important item to consider if you've only been active in "nutrition" MLM's...... The total combined sales of the nutrition industry have yet to reach 1 trillion dollars yearly, while travel grew by more than 1 trillion in just one year (2006 to 2007), and is now well over 7 trillion dollars in annual sales. That figure is estimated to reach 14 TRILLION per year by 2015! Additionally, there are only a handful of network marketing or MLM travel companies and WorldVentures is clearly "head and shoulders" above its competition in technology, executive leadership and compensation plan.
Now compare this limited Travel Industry competition discussed above to say a skincare (Mary Kay, Avon, Bueati-Control, Arbonne), exotic juice (Xango, Zrri, Noni, MonaVie) or general nutrition / house hold product companies, there's literally thousands of them within the MLM industry! Plus the vast majority of these companies autoships (required monthly orders) cost in excess of $225.00 dollars. In our rocky economy $225.00 dollars a month (plus shipping costs), for supplements / juice is a big overhead for the average person to swallow. And if you're involved with a juice company, the market is way over saturated..... So diversify quickly into a non-competing MLM product.... we obviously recommend that it be travel related!
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Network Marketing Compensation Plans
What You Need To Know & Why Choosing The Right Compensation
Plan Is Critically Important To Your Success!
IF YOU’VE BEEN RESEARCHING DIFFERENT COMPANIES', YOU’RE PROBABLY FEELING A LITTLE CONFUSED RIGHT NOW. YOU’VE ALSO NO DOUBT NOTICED THAT EACH COMPANY HAS A DIFFERENT COMPENSATION PLAN, WHICH THEY ALL CLAIM IS THE BEST IN THE INDUSTRY. SO, YOU'RE LEFT TRYING TO FIGURE OUT WHAT MAKES ONE COMPENSATION PLAN BETTER THAN ANOTHER.......
This is a very common concern / question, especially if you’re looking at this industry for the first time. Don’t feel bad though, most individuals involved in our industry only understand about 50% of the compensation plan of the company they’re with, let alone the compensation plans of their competition or other MLM companies' in general.
While a company’s product is clearly important, it’s the compensation plan that will actually tell you more about its long-term viability, as well as, offering you a clear picture of the intensions of the owners / executive officers. A quality management team, whose pursuit is to build a solid long-term company, will design a compensation plan so that both novices and experienced MLM professionals can succeed in their business.
You need to understand right now, that executive management teams and the owners of Network Marketing / MLM companies' design compensation plans to do one of two things:
1.)They design it to strongly favor the owners and the reps get a weak, compensation plan.
2.)They establish a partnership with the distributors/reps, creating a win/win scenario.
PUBLIC vs. PRIVATELY OWNED, WHICH IS BETTER & WHY?
Inherent to public MLM companies' is the fiduciary responsibility to financially reward the share holders first (The owners are of course large share holders), so in these cases the independent distributors are not paid as well as they would be in the vast majority of privately held companies'. Two examples of companies' in the fields of nutrition and travel that have lower paying comp plans because they're design to be inherently owner / shareholder leaning on profits would be: Pre-Paid Legal, Herbalife, USANA & YTB. All reputable MLM companies, but their compensation plans are not very lucrative for their average distributors. So, the objective in selecting desirable network marketing companies, is to discover opportunities that offer a product you can get excited about sharing with friends / family. Also, the company needs to have a minimum of a 50/50 split, of the gross revenue between the owners and the independent distributors. If the company says that it has a 50/50 split ratio, check to make sure their statements are accurate.
LOOK FOR COMPENSATION PLANS WITH LIMITED BREAKAGE
MLM compensation plans are most often stated in terms of "levels of pay", having to do with organizational structure, or layers of distributor positions under you in the network of members. One key element to examine is the term "Breakage". Some MLM / Network Marketing companies' trying to be slick, will use wording such as "you can earn up to 75% on your overall volume", while in reality this doesn't take into account the computation process of breakage. Simply stated, breakage results in generating extra revenue for the company and puts less in your pocket. It is recommended that you seek companies with limited breakage compensation plans.
LOOK FOR NUMEROUS INCOME STREAMS WITHIN THE COMPENSATION PLAN
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What’s The Bonus for selling the standard enrollment product package relative to its cost?
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What Type of Fast Start Bonus program does the pay plan have?
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Does the Pay Plan have a Strong Front End (new sales) & Backend (residual), monthly reorders?
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If You’re a Builder, or Plan on Becoming One, Make Sure The Company Offers “Life Style” Monthly Bonuses (House, Vehicle, Travel, Medical, etc...), For Upper Leadership. This is a Very Important Item Since it Can Be As High As $3,000 to $6,000 a Month, which will be between $30,000 to $60,000 a Year in Additional Income on Top of The Normal Compensation Plan formulas. Every Good Company Will Have This in Place!
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How Strong is The Residual Income or Back End of The Pay Plan? The Back End of Any Compensation Plan is The Most Critical if You’re Truly Interested In Attaining long-term Financial Freedom. Don’t Get Distracted by Quick Front End Cash, Commonly Referred To as “Flash Money” in The MLM Industry. These Plans Rarely Allow The Average Person To Every Achieve Financial Freedom Through True Residuals. Instead They Leave The Rep on a Perpetual Hamster Wheel Always Having To Personally Sponsor New Reps to Make The Bonuses. If the Compensation Plan is Heavily Front End Loaded With a Weak Back End, You'll Never be Able to Take Your Foot off the Gas Pedal, Since You're Check Will Start Getting Smaller the Minute You Do!
MLM Compensation Plans and Terminologies
Generally the pay plan type (design), describes the structure or design of the desired network of member participants. Each compensation plan has its inherent benefits and short comings, so let's run through a quick overview of the main compensation plans utilized by MLM company's.
BINARY - Watch This Video Before Proceeding Any Further: ( CLICK HERE )
This plan has been voted as the top compensation plan (easiest to build, quickest payout), design throughout the industry over the last 9 years by MLM INSIDER & NETWORK MARKETING LIFESTYLES MAGAZINES. Many of today's largest and quickest growing MLM companies utilize the Binary (MonaVie, Agel, WorldVentures, etc..) The Binary plan generally pays out considerably more to the average distributor than most of the other models we'll discuss, but there are exceptions to every rule that you should be aware of.
For Instance: USANA Health Sciences (an outstanding manufacturer of nutritional supplements), has arguably the worst "Breakage factor" inserted into any Binary pay plan within the industry that I'm aware of. USANA'S Binary is also one of the oldest Binary's in existence today. Our recommendation is to take the nutritional supplements, but skip getting involved as a distributor. This company definately has a pay plan to avoid, if you're goal is to make significant money in 2 to 4 years. Since USANA opened its doors in 1992, they've only had 2 distributors consistantly break the MILLION DOLLAR yearly earner mark and it took those distributors nearly 12 years to do so. In stark contrast MonaVie (Note of interest: MonaVie's Founder was a Vice President with USANA and then left to launch Monavie), WorldVentures, Agel and other newer Binary pay plan companies have distributors breaking the MILLION DOLLAR yearly income mark in less than 24 to 36 months!
USANA'S extreme "breakeage factor" is based upon a very low $1,000 per week maximum payout per business center, so it's not a true 2 leg infinity Binary, since USANA also promotes opening with 3 business centers, which subsequently forces you to focus on 4 teams' / legs rather than only concentrating on 2, which is the real power behind a true 2 leg "infinity" Binary. What's even worse than having to run multiple legs, is that USANA'S "breakage factor", flushes any volume over 5,000 points per business center leg per week, and that's about as bad as it gets! Because of this significant breakage factor, your upline or personal sponsor won't be sending any "spillover" enrollments your way since they wouldn't be compensated on any of their activity after the 5000 point weekly threshold each week. The average $100,000 plus yearly income earner with USANA is forced to work 10 to 18 business centers!!!! Some of their top earners work as many as 24 different business centers.
A Binary Design That Rocks, will only require that you build 2 teams / legs and there won't be a "weekly" or even "monthly" flush of volume points. Working to balance your 2 legs should be your only significant challenge in building a Binary for maximum earnings potential. One of the major advantages of a true infinity Binary, is the potential to receive “spillover” enrollments generated by your upline on your shared or common leg. Make sure there’s also a strong backend component to support long-term residuals and that the pay plan is not just front end money based only on the recruitment of new reps using large product order enrollments, otherwise known as "front-loading" within the MLM industry. Front-loading is used 99.9% of the time by nutritional MLM companies that promote high initial orders to secure higher discount pricing.
If the Binary plan has a solid front end (weekly cycles based on new product sales by your team), as well as, a solid back end (supported by loyal customers monthly re-orders), it’s likely to offer you the greatest earning potential of any compensation plan within the MLM / Network Marketing industry.
BINARY PAYOUT CAPS & REMOVAL OF VOLUME (What You Need To Look For)!
Make sure the Binary compensation plan has a weekly payout cap of no less that 50%, and no more than 70%, combined with a banking system. Product sales volume / points should not be removed (flushed) weekly or every month, but instead at the 180 day (6 month) to 270 day (9 month), threshold. A pay out cap of 50% to 70% and 6 to 9 months retention of volume from the day it is generated is more than enough to ensure a huge pay out to you, if you choose to work the business. These pay plan items will ensure the long-term financial health of the company. If you find a Binary setup like this, that also has a product which costs less than $100 a month to stay fully qualified & you can get excited about, you’ve hit the mother load, all you need to do is go to work!
MATRIX (Can offer great payout if it has enough depth to the plan)
- Older Matrix's are commonly referred to as a "Black Sheep" MLM Compensation model within our industry. Generally members build for example a 3x7 or 3x9 matrix ( 7 to 9 levels deep is to shallow to build a significant paycheck), which consists of three (3) positions, or legs, directly under you on your first level. Taking the "Breakage" factor discussed above, if people drop out, which is normal (attrition), then you earn far less on your Matrix (don't look at this model unless the MLM company plan allows you to fill in the cancelled positions with new members).
A modern matrix will offer a buildout depth of 12 to 15 levels and the ability to fill in any cancelled positions with new recruits. If a Matrix has these 2 components, than you can make some money!
Matrix New Comers With What Looks To Be A Bright Future: Companys using a hybrid model of a 3 x 15 Matrix, which is also being referred to as a "HoneyComb" design looks to be a winner. One companys comp plan has eliminated leadership rank requirements, so it offers individuals a chance at real financial rewards without limiting their commissions based on leadership rank. Lastly the comp plan offers a "community" spillover potential as your Matrix goes deeper...
People have made millions thousands of times in both the Binary and Unilevel compensation plans. Most do it in 1- 4 years if they're serious builders. But until just recently with the newer 3x15 Matrix and community spillover we never heard about Matrix lovers making a million dollars a year... There were a couple, but it took them 8 - 12 years in one of the bigger old fashioned Matrix's formed in the 1980's, which was Melaleuca! Melaleuca's pay plan (5x7 Matrix), leaves a lot to be desired. Join a shallow (7 to 9 levels deep), Matrix if you're looking to make a couple hundred extra a month or maybe a thousand, but that's it.... If you want to make big bucks in a Matrix, I recommend the newer 3x15's, which ensures a big paycheck if you're willing to do the work required to get there.
Most serious Builders that were foolish enough to join an old fashioned (7 to 9 levels of depth), Matrix walk away from it the day that they sign up a heavy hitter! The Builder wants the Big Hitter to be put on their first level where they could generate big $Dollar Sales from the Builder. But, since the Builder filled up his Matrix with those who rushed in to get in on the early spill-over... disaster hits! With some of the newer Matrix's however, you can fill in any cancelled spots so this problem will no longer exsist.
STAIRSTEP-BREAKAWAY (Don't Even Consider It)
Offers one of the lowest success ratios/percentages on payouts as a rule, and often times forces the independent distributor to invest additional monies into product purchases in order to qualify for monthly income. This model is ancient and outdated, plus it has significant disadvantages almost to numerous to list. Companies still using this type of model are usually 15 to 40 years old (Amway, Nu-Skin, Beauti-Control, Herbalife.... good companies', bad pay plans). No sophisticated network marketing builder will go anywhere near these ancient companies' / compensation plans, since what can be accomplished in 3 years with a properly formulated Binary or Unilevel can take 9 to 13 years to create with a StairStep-Breakaway model. I won’t go any further in depth here since we’re strongly recommending that you avoid this compensation model.
UNILEVEL (The Grand-Daddy of All Compensation Plans)
Unilevel pay plans are certainly not the best. This pay plan may have the WORST ability for YOU to earn with it. Should You Avoid it? That depends on how much money AND time YOU have to make it work. You see, this is the grandfather of all pay plans and typically is the simplest in that it allows a person, a distributor for a company, to sponsor as many people as desired and therefore go as wide as desired. What do I mean by going "wide"? I mean that if you sponsor 27 people you can be their direct sponsor and essentially have them all directly underneath you. Companies using Unilevels today (YTB (Your Travel Biz), Tahitian Noni, XanGo, Zrri SOC and ACN ... All good companies, but they have poor success records at building wealth for the average rep.... The only company with a reasonably attractive UNILEVEL compensation plan in our opinion is Free-Life, but we don't like their product, since it's another "juice" and the MLM opportunity around specialized juices is quickly disappearing due to mainstream production of exotic juices entering the local grocery store at half or even 1/3rd the price of the MLM products. If you're in a juice company, start thinking about a backup plan or go international where Costco doesn't exsist.
This type of MLM pay plan has an aspect of it that warrants serious consideration before delving in too deeply with a company that uses this unilevel type of plan. And what is that serious consideration? It's about the actual percentage of compensation that one gets with this MLM pay plan. You see, in order for a pay plan like this to give a good payout, it usually has to spread the pay out over many of these levels. Essentially, the payout goes deep, which is ok if you're a major recruiter, but no one else.... so read the fine print in the comp plan!
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NO MATTER WHICH COMPANY YOU'RE WITH, IF YOU'RE BUILDING VIA THE INTERNET, YOU MUST HAVE A MARKETING SYSTEM IN PLACE. WARM MARKET (FAMILY / FRIENDS), CONTACTS DRY UP QUICKLY AND "NEW ENROLLMENTS" BY BOTH YOU AND YOUR TEAM WILL DETERMINE WHETHER YOU FAIL OR SUCCEED IN THIS INDUSTRY. ALSO, YOUR COMPANY'S "REPLICATED WEBSITE" MAY BE GREAT, BUT IT WON'T HELP YOU WITH COLD MARKET LEADS.
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HOW CAN YOU CREATE DUPLICATION AFTER YOU ENROLL A NEW DISTRIBUTOR VIA THE INTERNET? BOTTOM LINE, THEY MUST BE TIED INTO A COMPLETE TURN KEY MARKETING & REFERRAL SYSTEM, OR THEY'LL LIKELY BE GONE IN 90 TO 180 DAYS!
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Sponsor Daddy "autoresponder complimentary leads" that come with your monthly plan will now include: first name, last name, email, phone number, address, city, state, zip, date of birth, gender, opt in date and time stamp and ip address. The leads are fresh, direct from the source each Tuessday. Many lead companies sell these same type autoresponder leads for 10 cents upwards to 50 cents each, but you receive them at no additional cost! SponsorDaddy is providing a huge value just on your monthly plan leads, not to mention all the other tools of the system.
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- Why Everyone Needs A Home Business As A Back-Up Plan"
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Think You Don’t Need A Home Based Business?
Take The “TAX QUIZ”: Did You Know…?
Taxes are the largest expense for most people. It exceeds what they pay for food,
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According to the American Taxpayer Union, in 1958, the average American paid 18%
of their gross income on federal, state, and Social Security taxes.
Today, the average American spends 41% of their gross income on taxes.
That means you are likely working 5 months of every year to support the government instead of your family!
What You May Not Know About the IRS...
As a small business owner you have more tax breaks available to you than anyone else. Unfortunately, these tax breaks go unused because most small business owners don't know about them - and the IRS isn't telling. Any home-based business, even part-time, that is not a hobby, and is in pursuit of a profit, can qualify for huge tax breaks - it's US Government law.
Want a Fast Way to Make More Money?
The fastest way to get that raise you want is by just being able to keep more of what you make now. The only kind of income that counts is what you can keep. By owning a home-based business and taking advantage of the tax breaks available to you, you can keep more of your income, even if your business isn't producing a profit! You just need to know the laws, and how to apply them.
Could You Use an Extra $3,000 to $9,000 a year minimum?
Every American taxpayer who works a full-time job and does not have a side business is probably overpaying taxes to the tune of $3,000 to $9,000 every year. Even self-employed people who do have businesses are collectively overpaying their taxes as a result of lack of tax knowledge to the tune of about $160 billion annually.
Deduct most of your fun such as movies, plays, and season tickets.
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How to deduct any vacation anywhere by being a travel agent.
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How to deduct two or even the cost of three or more cars in your business.
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Whether it is better to buy or lease your car. This program includes a complete detailed analysis as to when leasing is, and is not, better.
How to avoid the mistake that over 90% of business people make that costs over $5,000 per year in lost automobile deductions. This one is a killer!
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CPA and Former Top IRS tax attorney - As an IRS attorney Mr Botkin worked for the chief Counsels office of the IRS in Washington, and trained other lawyers on how to get more tax dollars from the public.
Important Note: The 500K Success Team believes that Mr. Botkin’s “Tax Strategies for Business Professionals” is one of the finest programs available today. All above referenced "potential" tax saving ideas have been taken directly from Mr. Botkin's materials. You should also consult a tax professional prior to making any tax decisions.
Disclaimer – The 500K Success Team doesn't pretend to be MLM Attorney's nor do we practice MLM Law under any circumstances. We act only as Top MLM Consultants / Producers within the Network Marketing Industry. Statements surrounding the compensation plans and companies discussed above are merely our professional opinions formed by years of experience within the MLM / Network Marketing Industry. Before making any business decisions you should always seek legal advice.
REMEMBER, THERE'S NO MAGIC GENIE WAITING TO GRANT YOU SUCCESS & GOOD FORTUNE, YOU MUST MAKE THE DECISION TO SEIZE UPON THIS WEALTH BUILDING OPPORTUNITY IF YOU WANT YOUR FUTURE TO BE DIFFERENT THAN YOUR CURRENT REALITY!
Late Dr. Randy Pausch of Carnegie Mellon University
Randy Pausch delivered a one-of-a-kind last lecture that made the world stop and pay attention. It's an hour lecture and worth every second. Don't pass this one, it will change your life. CLICK HERE TO WATCH VIDEO