Perpetual Leverage and the Aussie 2-Up System are two very different compensation plans that are frequently believed to be the same by home biz newbies. Perhaps better than a definition of each is a quick contrast between the two. Let's go.
First we'll examine the Aussie system. If you've read about the 2-Up, you understand that you give your first two sales to the person above you, your director. After that you will never send your commissions to anyone--they will all go to you for as long as you make sales.
So really after you send your first two commissions to your upline director, you become autonomous and by no means will you ever have to send your commission up to another. Every commission that you make from that day forward is yours to keep. Okay, now for the tricky part....
Right when you free yourself to earn money, you depend on your downline to produce it by sending up their "training" sales. After their two sales, however, they turn into your competitors.
So what's really going on? What's happening is that you are expending valuable time and energy training your members the skills and wisdom that you had to learn the hard way so they can earn their pass-up sales--only to see them separate and challenge you for future sales.
Now for the purposes of analogy, let's say you do some detailed research about Pay-Per-Click (PPC) advertising. After a several weeks of trial and error, you discover the perfect combination of keywords and link building. Success! Traffic is now flowing to your landing page and with that soon comes one sale and then another. You are very happy.
Well, everything's good as gold until they receive their director's releases. Then one morning as you're checking your Google PPC's, you find that they've altered their PPC ads slightly, and are now bragging about how they are better than the other guy-you. Bam! They are now your competitors.
Do you see my point? In the 2-Up system you expend precious time and effort to train people to become your competitors. That's like starting out with a whole pie (the marketplace) and continually slicing it into smaller and smaller pieces. Who makes out in that deal? No one.
Now this is where Perpetual Leverage is completely opposite. You never make a challenger because you build a team and never release anyone. That means that if you have eight personally sponsored members, you will have eight Web sites out there working, generating money for you. Why? Because your commission is attached to theirs. If they make $500, you make $500 also. Even if you stop marketing your memberships entirely, you will remain attached to your team, bringing you a passive income.
First we'll examine the Aussie system. If you've read about the 2-Up, you understand that you give your first two sales to the person above you, your director. After that you will never send your commissions to anyone--they will all go to you for as long as you make sales.
So really after you send your first two commissions to your upline director, you become autonomous and by no means will you ever have to send your commission up to another. Every commission that you make from that day forward is yours to keep. Okay, now for the tricky part....
Right when you free yourself to earn money, you depend on your downline to produce it by sending up their "training" sales. After their two sales, however, they turn into your competitors.
So what's really going on? What's happening is that you are expending valuable time and energy training your members the skills and wisdom that you had to learn the hard way so they can earn their pass-up sales--only to see them separate and challenge you for future sales.
Now for the purposes of analogy, let's say you do some detailed research about Pay-Per-Click (PPC) advertising. After a several weeks of trial and error, you discover the perfect combination of keywords and link building. Success! Traffic is now flowing to your landing page and with that soon comes one sale and then another. You are very happy.
Well, everything's good as gold until they receive their director's releases. Then one morning as you're checking your Google PPC's, you find that they've altered their PPC ads slightly, and are now bragging about how they are better than the other guy-you. Bam! They are now your competitors.
Do you see my point? In the 2-Up system you expend precious time and effort to train people to become your competitors. That's like starting out with a whole pie (the marketplace) and continually slicing it into smaller and smaller pieces. Who makes out in that deal? No one.
Now this is where Perpetual Leverage is completely opposite. You never make a challenger because you build a team and never release anyone. That means that if you have eight personally sponsored members, you will have eight Web sites out there working, generating money for you. Why? Because your commission is attached to theirs. If they make $500, you make $500 also. Even if you stop marketing your memberships entirely, you will remain attached to your team, bringing you a passive income.
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