04/15/23Sankalp Computer and Systems Pvt Ltd

Differential Plan

A differential plan is a multilevel marketing compensation plan which runs on the difference of the commission between sponsor and the downline.

A person can sponsor unlimited number of distributor in his downline. The commission distributed to any sponsor is the difference between the

total percentage of amount to distribute & the amount which is distributed to his downline.

In this plan commission in calculated on PV/BV’s. PV/BV’s are of three types.

– Self PV/BV or Own PV/BV

– Downline PV/BV

– Group PV/BV

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Differential Plan Advantages:

As there is no concept of a spill in the differential plan so all the directs added in the direct downline of the sponsor.The sponsor will get paid from the business for any of his directs. This plan allows you to get paid to UNLIMITED depth in your team. Differential Plan is a long term plan so the risk factor is less.

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Advantages

Different Types of PV/BV’s in Differential Plan Self or Own PV/BV Downline PV/BV Group PV/BV

Self PV/BV or Own PV/BV: Self PV/BV defines the repurchase done by the sponsor himself.

Downline PV/BV: Downline PV/BV defines the repurchase done by the downline members of the sponsor.

Group PV/BV: Group PV/BV defines the repurchase done by both the downline members as well as the sponsor.

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Types of PV/BV

CONCLUSIONDifferential Plan is known as the long term plan in the mlm industry. As it is a long term plan so it is comparatively less risky plan in mlm business. Most of the reputed direct selling company like Amway, Herbalife etc. uses the differential business plan. So if you want to run a safe & long term direct selling business then choose the differential plan.

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