Stairstep

The members are encouraged to sponsor an unlimited amount of frontline people also commonly known as or referred to as distributors.

These distributors are then encouraged to further sponsor other and also start marketing the products or services of the company.

The sales generated will then create the compensation plans whereby the commissions are paid based on them. Therefore the higher the sales amounts the higher the commissions paid and even for the main sponsor there is the ability to earn a percentage from these distributors’ sales. Basically denoting the term stairs which is as the volume continues to increase so does the corresponding percentage of compensation incentives paid.

As for the breakaway term part of the compensation plan there are a few other aspects to consider. When a particular individual is able to generate an impressive amount of sponsors and sales alike then there would be a breakaway effect whereby the said individual will split from the original group to start another on its own.

This does in some way impact the original sponsors generated commissioned as it no longer is based on the group that broke away thus causing quite a dent in the original earning s derived. However some percentage of commission is still paid even after the breakaway occurs. These now come in the form of overriding commissions and bonuses.

Generally this is not a style that is considered laid back and less demanding simply because the income generated would be directly linked to the amount of activity within the group and also the rate of new members joining.