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bonus buying

Bonus buying is purchasing products that a consultant doesn’t need, for themselves or to resell in the short term (30 days or so), in order to maintain or increase their rank. The consultant might also be buying in order to get a one time cash or prize bonus.

Think of it as “buying the bonus.”

This can be risky as it can lead to excessive inventory the consultant cannot sell. It can lead to debt. If the consultant is buying to maintain rank, they may need to buy excess inventory again the following month. Most MLM guidelines prohibit bonus buying, but few enforce the policies. 

See also: inventory loading

7 Comments

  1. […] It Works!. But, it’s hard to tell if most purchases are just by It Works! distributors (see bonus buying and inventory loading). Previous versions of the compensation plan explain that purchases of this […]

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