There are a few reasons why someone can fail with a business in direct selling, things like unrealistic goals, lack of commitment to the process and the hard work it takes to succeed, are definitely on the list, but nothing tops our list of ways to make your direct selling business fail, as the five we’ve listed for you today.
If you’re new to the business, take notes, and if you’re a seasoned IR, this is a good refresher!
At QNET, we have zero tolerance towards malpractices, misrepresentation and unethical practices of any kind, and our commitment to empower you, our customers, with relevant tools, training and well drafted policies and procedures, ensure that you understand how to conduct your business the right way.
The instances listed here are based on real cases that led to the termination of IRs and their businesses, after due investigations and processes were conducted.
1 . Intentionally registering more than one distributor account
Having more than one account in QNET makes you accountable for violating Clause 3.05 or Multiple Online Representative Application Forms in the Policies and Procedures with appropriate penalties which includes, but not limited to the termination of your second and/or subsequent accounts without prior notice.
The person who advised you to register more than once and sponsored you will share with you the penalties of another P&P violation called ‘Cross Lining’ or otherwise known as Clause 5.08.
2. Publicising adverse or abusive statements against QNET .
QNET welcomes feedback. In fact, the feedback we receive from Independent Representatives are guide us in the changes we implement to help improve their experience with us.
Our words are very powerful but they come with an immense list of moral responsibilities. One basic obligation is to understand the difference between constructive and damaging statements. One should understand that commenting or reporting dodgy situations through proper channels and publicly humiliating an entity for unresolved issues without the right intentions are entirely different.
Ask yourself, what are your intentions? Do you genuinely want to resolve the situation? Or do you just want aimless retribution? If you believe that you have been mistreated or cheated in the business, there are always proper channels and processes to report unwanted situations and breaking P&P Clause 5.14 Obligation to the Company is definitely not the right way to do things.
3. Cheating people by collecting money and using it for purposes that have not been agreed upon.
Collecting money for a specific reason, like for IR registration and/or product purchase, and using it for other purposes that have not been agreed upon, falls as theft and fraud. This unscrupulous act does not only put your integrity into question, this abuse also makes you liable for a breach of Clause 5.12 – Legal Compliance in the QNET Policies and Procedures.
4. Misrepresenting the company’s products and compensation plan on purpose to get sales
QNET Independent Representatives earn commissions based on the amount of product sales that they have achieved along with their sales team. In simple terms, no product sales mean no earnings and this sometimes triggers the sales-at-all-costs mentality.
There is something intolerably wrong in the statement “sales-at-all-costs”.
As a responsible distributor, it is your obligation to ensure that you truly understand the products and business opportunity to the core, with complete confidence that you are sharing only official and true information to your prospects and direct referrals. If you are unsure, you can always refer to official QNET materials in your Virtual Office.
Misrepresentation of the products and business model is not only a deceitful act, it can also subject you to investigation because you have breached the following clauses in the QNET Policies and Procedures.
11 Promotion of Representative’s Business
11.02 Income Claims
11.11 Product and Services Claims
5. Joining other MLM companies while earning from an active account in QNET
The QNET business model requires one to focus on product sales and in building professional sales teams — these are the only ways to ensure successful and sustainable Direct Selling businesses.
Participating in many business plans create conflict not only for QNET as a company but mainly to the distributors. Referring or attempting to refer other people in your QNET sales team to join other Direct Selling companies does not only take away their focus on sales and growth, being involved in many business plans also reduces their chances to maximise their earnings they can achieve in QNET by decreasing their focus and allowing many kinds of conflicts into the business.
Like any other businesses, QNET values and rewards loyalty and hard work. This is why breach of any parts of Clause 5.10 or Obligation of Not Referring to Other Programmes is a serious breach of the P&P and may lead to the immediate suspension or even termination of the perpetrators’ accounts.
Now, the Policies and Procedures is indeed a tedious read due its numerous pages of rather legal-ish terminologies but understanding it is truly the way to go if you want to have a fail-proof business in QNET. See the QNET Policies and Procedures here.
At QNET, we protect the rights of our customers and regulate the methods by which QNET businesses are conducted through the carefully established Policies and Procedures and Code of Ethics. We require complete adherence to these sets of rules and we take violations of our policies and code of conduct very seriously.