Messages posted by: Admin

Business Plan 2009 Finalized

Congrats!!

We thank you all of you for your overwhelming support you have shown in finalization of Business Plan 2009.

The plan has been finalized. The following is the highlights.

• 100% distribution of Total business volume.
• True no-Demotion of status.
• Retail margin – upto 20%
• Accumulated group bonus – 45%
• DM Royalty – Gen-wise (8%+17%) – 25%
• Travel & tours fund – 2%
• Dream car fund – 6%
• Sweet home fund – 3%
• Year-end profit sharing bonus – 3%
• Director to Director {D2D} Royalty – 7%
• Board of Directors Club {BoD}Royalty – 9%

The final plan is attached with this post.

Implementation Schedule
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Our software and system is already live with support and implementation of business plan elements up to "Group Performance Bonus".
Further implementation shall be done as follows

Direct Managers Overriding Slab + Founders Group Bonus Slab ------------- 31st May 2009
Direct Manager's Royalty (DMRG) Generation wise (8% + 17% = 25%) -------- 30th June 2009

Further parts of business plan are under implementation and shall be made live in gradual manner.

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Winner of the best suggestion makers shall be announced soon.

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Proposed revamping of Business Plan

We have revamped the whole Business Plan to make it better and help you earn more as well as early. The new enhancements and improvements are the result of your feedback, our analysis and our insight to offer our consultants the best.

We request your feedback and comments as well as any tips you may have that can improve it further.

Please note that consideration on your responses (and this forum discussion) shall continue till 28th of March 2009 only.

The improved plan shall come into effect from the new FY (that is 1st April 2009).

Happy Health.

Aqeel Syed,
CEO,
Herbalage.

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Highlights
• 100% distribution of Total business volume.
• True no-Demotion of status.
• Retail margin – upto 20%
• Accumulated group bonus – 45%
• DM Royalty – Gen-wise (8%+17%) – 25%
• Travel & tours fund – 2%
• Dream car fund – 6%
• Sweet home fund – 3%
• Year-end profit sharing bonus – 3%
• Director to Director {D2D} Royalty – 7%
• Board of Directors Club {BoD}Royalty – 9%
A. Retail margin: Up to 20% of Consultants price
When you purchase a product, company gives you a discount of upto 20% on the product’s CSP (Max selling price of that product). So, you can enjoy this discount when you use the product personally as well as you can earn it as your Retail margin [RM] when you recommend the product others to use.

Example
Product Customer selling price (CSP) Maximum Consultant price (MCP) Retail margin (RM)
Herbalage Triphala-120 tab. Rs. 97/- Rs.81/- Rs.16/-

Formula:
RMx100/MCP
16x100/81 =19.7530 (near 20%)

[b]B. Group performance bonus (GPB) & status slab: 6% - 32%
Group performance bonus is given when you generate business volumes (BV) by your personal purchasing and simultaneously you encourage your down-lines to do the same. Each product carries a fixed BV, which is the basis of computation of your group performance bonus. On every purchase you get corresponding BV. The BV earned by your down-line is summed-up to get your Group BV (GBV). Each months GBV is accumulated to determine the percentage of your group performance bonus. However, computation of your income is based on your current month BV earned by you (Personal BV) and your down-lines (Personal GBV).

Status Accumulated group sales in BV Group bonus (%)
Consultant 500 – 1999 6%
--- 2000 – 9999 10%
--- 10000 – 19999 16%
--- 20000 – 39999 20%
--- 40000 – 79999 26%
Direct Manager (DM) 80000 & above 32%

Eligibility Criteria to draw Group performance bonus:
For below DM consultants - Personal BV of 200 every month
For DM consultants & above - Personal BV of 300 every month

Status: No demotion of status. Means once you have achieved a particular designation, you shall enjoy the status and corresponding benefits whatsoever for ever.

C. Direct Mangers’ over-riding slab: 3%
You are recognised with various DM statuses and benefitted with DM over-riding when you produce more than one direct DM in your down-line as per chart given below:
Status Eligibility Group bonus (%)
Direct Manager (DM) - 32%
Direct Silver Manager (DSM) 2 direct DM downlines 34%*
Direct Gold Manager (DGM) 3 direct DM downlines 35%*

*Eligibility Criteria to draw DM over-riding Group bonus: Personal BV of 500 every month.

Status: No demotion of status. Means once you have achieved a particular designation, you shall enjoy the status and corresponding benefits whatsoever for ever.

D. Direct Managers’ Royalty Generation-wise (DMRG) {8%+17%}: 25%
Herbalage awards a total of 25% monthly Group BV as DM Royalty to Direct Managers’ and above as a result of their development of Direct Mangers’ down-lines and above in their respective down-lines. This Bonus is given generation-wise as per the slab given below:

Generation Royalty PBV+PGBV Total PGBV criteria
1st 9% 500+2500 3000
2nd 6% -do- -do-
3rd 3% 600+4400 5000
4th 2% -do- -do-
5Th 1% -do- -do-
6th 0.75% 900+9100 10000
7th 0.75% -do- -do-
8th 0.50% -do- -do-
9th 0.50% -do- -do-
10th 0.50% -do- -do-
11th 0.50% -do- -do-
12th 0.50% -do- -do-

PBV: Your personal purchase in a month.
PGBV: Purchase from your non-direct DM down-lines in a month.
Note: DM’s get respective %age of unused BV as DM Royalty ‘Generation-wise (not used for the purpose of providing DMRG) portion of respective generation.

E. Founders’ Group Bonus Slab: 10%When you start producing direct managers’ down-lines, you are promoted to Founders’ status and become eligible for Founders’ group bonus as per the chart given below:

Status Eligibility Group bonus (%)
Founders’ Pearl Manager (FPM) 4 direct DM down-lines 36%
Founders’ Emerald Manager (FEM) 4 FPM + 4 new Direct DM’s 40%
Founders’ Diamond Director (FDD) 4 FEMs+(4 Direct DM’s)+4 Direct DM’s 45%

Eligibility Criteria to draw Founders’ Group bonus:
For FPM - Personal BV of 600 every month.
For FEM & above - Personal BV of 900 every month.

Status: No demotion of status. Means once you have achieved a particular designation, you shall enjoy the status and corresponding benefits whatsoever for ever.

F. Travel & tours fund (TTF) – 2%: Allocated to all Founders’
Herbalage distributes an awesome 2% of its monthly total GBV as TTF to all Founders’ consultants as per the formula given below:

Formula: 2% of Company’s monthly BV x GBV of TTF achiever in that month/Total GBV sum of all Founders’ in that month
= TTF of the achiever

Pre-requisites:
• The Travel & tours fund shall only be utilised for Consultant’s educational tours/Family leisure tours announced/prescribed by the Company and shall not be cashable by any other means.
• The achiever shall be allowed to participate in maximum 2 such tours a year.
• Travel & tours fund is subject to maximum Rs. 25,000/- in a month.

Eligibility Criteria to draw TTF:
PBV: Personal BV of 600 every month.
GBV: Group BV 80000 every month.

G. Dream car fund (DCF) – 6%: Allocated to FEM & above
Herbalage distributes a handsome & generous 6% of its monthly total GBV as DCF to all Founders’ Emerald Managers and above consultants as per the formula given below:

Formula: 6% of Company’s monthly BV x GBV of dream car fund achiever in that month/Total GBV sum of all FEM & above consultants in that month = DCF of the achiever

Pre-requisites:
• The Dream car fund shall only be utilised for purchasing a car approved by the Company and can be used as margin money/repayment of EMIs etc. The Consultant shall use the Dream car fund within 3 months of qualifying for the Dream car fund, in case of any delay a written explanation mentioning justifying reason shall be submitted by the Consultant. By doing this the Consultant may request for an extension of a time period. During extended time period the Dream car fund shall be hold back by the Company.
• The Dream car fund can also be used for exchanging the achieved car after a period of seven years.
• Dream car fund is subject to maximum Rs. 50,000/- in a month.

Eligibility Criteria to draw DCF:
PBV: Personal BV of 900 every month.
GBV: Group BV 80000 from your non Founders’ pearl down-lines every month.

H. Sweet home fund (SHF) – 3%: Allocated to FDD & above
Herbalage awards for a prestigious 3% of its monthly total GBV as SHF to all Founders’ Diamond Director and above consultants as per the formula given below:

Formula: 3% of Company’s monthly BV x GBV of sweet home fund achiever in that month/Total GBV sum of all FDD above consultants in that month = SHF of the achiever

Pre-requisites:
• The Sweet home fund shall only be utilised for buying/acquiring/constructing/re-constructing a residential premises approved by the Company. And the fund can be used as margin money/repayment of EMIs/cost of construction/re-construction etc. The Consultant shall use the fund within 6 months of qualifying for the same; in case of any delay a written explanation mentioning justifying reason shall be submitted by the Consultant. By doing this the Consultant may request for an extension of a time period. During extended time period the Sweet home fund shall be hold back by the Company.
• The Sweet home fund can also be used for buying another residential property after a period of ten years of buying/acquiring/constructing/re-constructing previous property.
• Sweet home fund is subject to maximum Rs. 100,000/- in a month.

Eligibility Criteria to draw SHF:
PBV: Personal BV of 900 every month.
GBV: Group BV 80000 from your non Founders’ Emerald down-lines every month.

Note: To enjoy TTF/DCF/SHF continuously, the entitled consultant shall produce the supporting documents/evidences of fund usage in appropriate corresponding purpose on quarterly basis.

I. Year- end profit sharing bonus (YPSB) – 3%
Herbalage awards for a generous 3% from its annual total GBV as year-end profit sharing bonus among Founders’ have status of FEM and above. Percentage slab of YPSB is distributed as per the formula and the status mentioned in the chart given below:

Formula: %age of Company’s annual total GBV/Total number of achievers
=YPSB amount per achiever

Status YPSB
To FEMs 2% of Company’s annual total GBV is distributed amongst all FEMs & above equally.
To FDDs 1 of Company’s annual total GBV is distributed amongst all FDDs & above equally.

Eligibility Criteria to draw YPSB:
PBV: Personal BV of 900 every month.

Note: YPSB is calculated on monthly basis and paid out annually on financial year ending.

Upper limit:
For FEMs : Rs. 100,000/- per month
For FDDs : Rs. 150,000/- per month

J. Director to Director {D2D} Royalty – 7%
The Moment you have one Founders’ Diamond Crown Director or more in your direct down-line you become eligible to get the prestigious D2D Royalty as per the chart given below:

Status of FDD Number of direct FDDs Royalty from Royalty from Eligibility/month 1st generation FDDs 2nd generation FDDs and below

Founders’ Diamond Crown Director 1 3% 0.5%
Founders’ Double-Diamond Crown Director 2 3% 1% -do-
Founders’ Triple-Diamond Crown Director 3 3% 2% -do-
Founders’ Quadra-Diamond Crown Director 4 3% 2.5% -do-
Founders’ Penta-Diamond Crown Director 5 3% 3% -do-
Founders’ Royal-Kohinoor Crown Director 6 3% 4% -do-

Eligibilty : PGBV 10000 (incl PBV 900) + Group BV 160000 from non-FDD down-lines
Note: D2D Royalty is distributed upto the generation of FDD with the same status.

K. Board of Directors {BoD} Club Royalty – 9%
Membership in the highly prestigious BoD Club is based upon a strict screening criteria and then by invitation only. Only Founders’ consultants are invited in the club by selection committee after successful performance of their Founders’ consultant-ship for a period of one year and above. The membership in the club shall be bound by its terms & conditions and violation of which may lead to the termination of the same. Expenses to run the BoD club shall be managed from the 9% company’s Total BV that shall include the Club member’s remuneration/incentives decided by the committee.

PS.: please excuse us for any typo/grammatical error as this is the copy of juvenile file of finalised business plan. The more details/terms & conditions/definitions you shall find in the Business plan manual very soon as it is already in the printing process.