1 Ideation Compensation Plan 2016 OVERVIEW F 2.14 VOLTAGE PARTNERS, INC. A Delaware Corporation P.O. Box 1530 Richland, Washington INCOME AND EARNINGS DISCLAIMER An Idea Partner s success depends in great part upon his or her desire, dedication, efforts, motivation, and skills. Becoming an Independent Idea Partner is NOT a guarantee of retail income (from the ultimate development of successful applications) or organizational income (from the development of your own Voltage Partner ideation team). Average income from the Voltage Partner Ideation Compensation Plan has not been established. This document is to be used only for general information and illustration purposes.
2 Page 2 General Voltage Partners is a new kind of company a technology company that develops solutions based on pain points, problems, and challenges people have in their personal and professional lives. But these answers to specific problems aren t just accidently found; they are discovered through a process we call Ideation. Voltage Partners has perfected the ideation process and has an army of Idea Partners around the world who interviews people to identify pain points, problems, and challenges, which might be reduced or eliminated with innovative software applications. Voltage Partners is a new kind of company a technology company that develops solutions based on pain points, problems, and challenges people have in their personal and professional lives. And, to take this innovative and timely approach to technology solutions and software development one step further, Voltage Partners designed a simple compensation plan that provides an opportunity for you to earn points for implementing the ideation process, and to build your own ideation organization, earning commissions and other compensation when your team conducts qualifying Ideation Interviews using the Voltage Partner Ideation process. If you are familiar with traditional network marketing, you ll recognize many of the same terms employed by Voltage Partners such as compensation plan, retail sales, and Group Volume (GV). While these terms, and others, may sound customary to network marketing, they are used differently in the Voltage Partners Ideation model. These differences are imperative to understand as they make us world changers and difference makers. The Voltage Partners Ideation Compensation Plan provides a unique opportunity for individuals and team builders to become an Idea Partner and build their own Ideation and niche software company. While there is no fee to join Voltage Partners, every Idea Partner pays a monthly retainer in exchange for a variety of benefits and services. Voltage Partners offers three
3 Page 3 ways to become an Idea Partner. For those who wish to maximize the Ideation Compensation Plan, Voltage partners offers two participation options: the Professional Idea Partner and the Premium Idea Partner each eligible for earning ideation team income. (See Table 1 for a summary of the Idea Partner benefits and associated costs.) IDEA PARTNER BENEFITS Standard Professional Premium Idea Partner Idea Partner Idea Partner Initial Idea Partner Membership Fee $0 $0 $0 One time Ideation Training Fee $97 $97 $97 Initial Retainer (first and last (1) month) $400 $200 $250 Total Initial Cost to Become an Idea Partner $497 $297 $347 IDEA PARTNER BENEFITS Standard Professional Premium Idea Partner Idea Partner Idea Partner Monthly Retainer $200 $100 $125 Back office Technical Resources Idea Submission Guaranteed Idea Review Development Planning Project Management Technical Support Marketing Customer Support Idea Market Readiness Review VOLTAGE PARTNERS IDEATION COMPENSATION PLAN Standard Idea Partner Professional Idea Partner Premium Idea Partner Initial Idea Partner Costs Retail Income Market Validation Income Affiliate Income Global Development Pool (2) (3) Ideation Team Income Plan Ideation Development Commissions (Fast start) Weekly Binary Commissions Weekly Check Match Bonuses Other Bonuses and Awards (1) Last Active Month (See Definitions). (2) Professional Idea Partners earn 2 Global Development Pool points each month they are Active. (3) Premium Idea Partners earn 12 Global Development Pool points each month they are Active. Table 1: Idea Partner Pricing Model Please note: The monthly retainer for Standard Idea Partners is considerably more than the other Idea Partner options. This is due to the fact that Voltage Partners is an Ideation and solutions marketing organization. The company incurs greater costs and expenses when supporting Idea Partners who choose not to build an Ideation and solutions marketing team. Opportunities to Earn The Voltage Partners Ideation Team Income Plan provides a variety of compensation opportunities for you, as an active and qualified Idea Partner, including: retail income (from developed and cash flowing technology collateral), organizational income (e.g., one time Ideation Development Commissions, weekly Binary Ideation Commissions, weekly Check Match
4 Page 4 Bonuses, leadership incentives, and expense accounts). Every active Idea Partner can also participate in the company s Global Development Pool, as well as several other opportunities (e.g., affiliate based income, etc.) that are offered in addition to the organizational Ideation Team Income Plan. See Table 2: Ideation Compensation Plan Voltage Partners Ideation Compensation Plan Individual Income Plan Active 1. Submitting a successful idea 2. Preselling Market Validation 3. Sell Solutions from MyVIPIdeas.com 4. Global Development Pool Bonus Ideation Team Income Plan Active and Qualified 5. Organizational Income Plan Ideation Development Commissions (Fast start) Weekly Binary Commissions Check Match Bonuses Other incentives and bonuses Table 2: Ideation Compensation Plan Individual Income Plan The ultimate goal for all Voltage Idea Partners is to identify ideas and opportunities to develop viable technology solutions in the form of software and mobile apps. As an active Idea Partner, you participate in each of your successful ideas! Retail income is earned from the sale of developed solutions. Active Professional and Premium Idea Partners can also earn from preselling market validation, selling solutions from their virtual storefronts at myvipideas.com, and from the Global Development Pool. Ideation Team Income Plan Voltage Partners has implemented a network marketing distribution model that provides an opportunity for you to build a Voltage Partner Ideation team and participate in the Voltage Partners organizational Ideation Team Income Plan.
5 Page 5 The Ideation Team Income Plan pays active and qualified Idea Partners Ideation Development Commissions, weekly Binary Ideation Commissions, weekly Check Match Bonuses, and a variety of lifestyle and leadership bonuses. Participating active and qualified Idea Partners can earn commissions for qualifying Ideation Interviews conducted within their ideation organizations. Ideation Development Commissions (Fast Start) You can earn a one time commission for helping the company develop and expand its Ideation efforts by developing your own Ideation organization (i.e., a team that conducts Ideation Interviews). As an active and qualified Idea Partner you will earn a one time $25.00 Ideation Development Commission for each personally enrolled active Idea Partner when they conduct their first Ideation interview. Ideation Development Commissions are paid weekly. Weekly Binary Ideation Commissions The term binary means two and, as it relates to the Voltage Partners Ideation Team Income Plan, simply means having two teams a left team and a right team. As an Idea Partner, your left and right teams grow from personal referrals, their personal referrals, and so on. When you, your team members, and their team members, etc., are active, qualified, and conduct qualifying ideation interviews, Binary Ideation Commissions are earned from the Ideation Team Income Plan. Active and qualified Idea Partners earn Binary Ideation Commissions based on their lesser team s (i.e., their Pay Leg s) Group Interview Volume (GIV). Binary Ideation Commissions have a weekly cap of $25, Weekly Binary Commission Examples For New Personally Enrolled Idea Partners Idea Partners who personally enroll new Idea Partners, will receive a onetime Ideation Development Bonus of 200 GIV points when each new personally enrolled Idea Partner conducts their first Ideation interview. 1 Referred to as the Weekly Binary Cap
6 Page 6 For example, if you personally enroll two new Idea Partners, you would receive a one time bonus of 200 GIV points when each newly enrolled Idea Partner conducts their first qualifying Ideation interview. In this example, assuming you place one new Idea Partner on your left leg and one on your right leg, and each Idea partner conducts a qualifying Ideation interview, one Binary Cycle (200 GIV points) would be created on your Pay Leg 2, earning a $30 commission, in addition to any other compensation to which you may be entitled (e.g., Check Match Bonuses, leadership bonuses, etc.). Group Interview Volume on the Pay Leg Each Idea Partner must conduct at least one Ideation Interview 3 each month in order to qualify for earning any Ideation Team Income. An Ideation Interview is worth 66 Personal Interview Points. For example, an active and qualified Idea Partner who has 264 GIV 4 points on his or her Pay Leg will earn $30. As only 200 GIV points are needed to create a Binary Cycle, 264 GIV points would create one cycle. The remaining 64 GIV points would be carried forward on the Pay Leg to be applied to the next pay period. Active and qualified Idea Partners earn $30 for every Binary Cycle of 200 points of Group Interview Volume (GIV) on their Pay Leg. Note: In order to be eligible to earn Binary Ideation Commissions as an active and qualified Idea Partner, you only need one active Idea Partner on your left leg and one active Idea Partner on your right leg. Check Match Bonuses The Voltage Partners Check Match Bonus program rewards your commitment to expanding the Voltage Partners Ideation efforts, developing your own Ideation organization, and helping your team members succeed in building their own Ideation organization. In addition to your weekly Binary Ideation Commissions as an active and qualified Idea Partner, you can potentially earn Check Match Bonus commissions based on a percentage of 2 An Idea Partner s Pay Leg is their lesser leg (also called the weak leg). 3 An ldeation Interview is the Qualifying Activity for which active and qualified Idea Partners are paid Ideation Team income. 4 Four Ideation Interviews with each interview being worth 66 Personal Interview Points = 264 points of Group Interview Volume (GIV).
7 Page 7 the total ideation commissions earned by your personally enrolled Idea Partners and their personally enrolled Idea Partners, through five generations! As an active and qualified Idea Partner you can earn Check Match Bonuses based on a percentage of the total ideation commissions earned by your personally enrolled Idea Partners and their personally enrolled Idea Partners, through five generations! For example, if you personally enrolled six Idea Partners, who each earned a total weekly commission check of $2,000 (for a combined total of $12,000), as an active and qualified Consultant you would receive a 20% check match, or $2,400. See Appendix A for an additional weekly Check Match Bonus illustration. Lifestyle and Business Builder Bonuses All Inclusive Vacation Packages Voltage Partners recognizes that it takes effort and energy to grow your business. And, as your business grows, so do your expenses. In an effort to recognize the commitment and dedication of leaders and builders, Voltage Partners offers several all inclusive annual vacation packages for active and qualified Idea Partners who meet the applicable organizational growth and interview volume requirements. But relaxing vacations are just the beginning! Automobile and Expense Account Bonuses Voltage Partners also offers a generous automobile and expense account bonus, up to a combined total of $1,500 per month, rewarding your efforts as a successful leader and builder while simultaneously helping you offset the cost of building your Voltage Partner Ideation business. The automobile bonus and the expense account bonus are paid monthly to active and qualified Idea Partners who meet the applicable organizational growth and volume requirements.
8 Page 8 Other Bonuses and Incentives Thank You Bonuses Voltage Partners understands that Idea Partners who have significant others or families don t build their Ideation businesses alone. While you are building your business, someone is most likely managing the home life, taking care of children, and family matters, in addition to a myriad of other activities. For that, we want to say THANK YOU. In recognition of the commitment and support made by these important people, as an active and qualified Idea Partner, you can designate a significant other or family member you would like to thank who then receives a monthly Thank You Bonus from Voltage Partners and you! The Thank You Bonus is available for all active and qualified Idea Partners at the leadership levels. 5 Promotions From time to time, Voltage Partners initiates promotions that may reward organizational growth (i.e., increases in Group Interview Volume). While some of these promotions may include cash based awards, incentives, and prizes, many consist of non cash awards and prizes, such as travel and vacations. Such promotions are designed to help you promote your Voltage Partners business and grow your organization, fostering participation, and teamwork at every level. Advancing in Rank and Growing Your Organization As you meet the personally enrolled active Idea Partner requirements and your Group Interview Volume (GIV) on your lesser team (i.e., your Pay Leg) grows, you advance in rank (see below) and the level on which you are eligible for Check Match Bonuses increases. Once an active Idea Partner is qualified as and meets the GIV requirements of Executive Consultant, they earn maximum Check Match Bonuses (i.e., five levels). 5 Thank You Bonuses are paid at the election of the Idea Partner to either the Idea Partner themselves or another party which may be designated by the Idea Partner (e.g., spouse, significant other, etc.).
9 Page 9 Rank and Title Qualifications Ranks Personally Sponsored 6 R / L 7 Group Interview Volume Leg Minimum 8 Representative 0 0 N/A N/A Consultant 2 1 / 1 2,500 1,250 Regional Consultant 4 2 / 2 10,000 5,000 National Consultant 6 3 / 3 20,000 10,000 Global Consultant 8 4 / 4 40,000 20,000 Executive Consultant 10 5 / 5 80,000 40,000 Figure 1: Rank, Title, and Maintenance Qualifications The Global Development Pool Every month, Voltage Partners sets aside a portion of its gross receipts to support the scaling of future technologies and applications. Every active Idea Partner, regardless of their rank or title, earns points in the Global Development Pool (GDP points). GDP points accumulate indefinitely, pro rata to your monthly retainer option. The longer you are an active Idea Partner, the more GDP points you will accumulate over time. When the company earns retail income from its share of successful solutions and applications, a portion of the company s income is deposited in the Global Development Pool and subsequently shared with all active Idea Partners, based upon each active Idea Partner s GDP points. 9 Idea Partners begin accumulating GDP points immediately upon becoming an active Idea Partner. Professional Idea Partners earn two GDP points each month they are active. Premium Idea Partners earn 12 GDP points each month they are active. Idea Partners who are inactive for more than 60 days lose their accumulated GDP points. 6 Personally enrolled must also be active 7 Personally sponsored and active left and right binary leg requirements 8 Either binary leg 9 Idea Partners who are Inactive for more than 60 consecutive days lose their accumulated GDP points.
10 Page 10 Definitions Active Binary Cycle Binary Tree Business Center Carryover Volume Enroller Enrollment Genealogy Enrollment Tree An Active Idea Partner is one who is current with their Monthly Retainer (current means paid as of the most recent monthly due date, i.e., the monthly payment anniversary). Every 200 points of Group Interview Volume (GIV) equals one Binary Cycle, paying 15%, or $30.00 (200 GIV points x 0.15 = $30.00). Your Binary Tree is the organizational structure that determines your Binary Ideation Commissions. It consists of two legs or teams a left team and a right team (the larger of those teams will be your Strong Leg and the lesser of those teams will be your Pay Leg). When you enroll a new Idea Partner, you will have the option to place them at the bottom outside of either of your teams. When new Idea Partners are placed under you by your enroller or anyone in their up line, they will also be placed on the bottom outside of one of your binary teams. An Idea Partner s position in a Binary Tree is considered a Business Center. Every Business Center must be associated with a unique Social Security Number (SSN), Employer Identification Number (EIN), or other applicable tax identification number. Idea Partners who achieve the rank of National Consultant will be authorized to initiate a second Business Center. Active Idea Partners are allowed to bank unused Group Interview Volume (GIV) from either leg, from week to week, provided they remain Active. Any Idea Partner who becomes Inactive for more than 60 days forfeits all their Carryover Volume and any associated commissions or other compensation for which they may have been eligible. See Inactive. An Idea Partner who personally sponsors another Idea Partner. See Personal Sponsor. An Idea Partner s Enrollment Genealogy consists of their first generation of Personally Enrolled Idea Partners, those Idea Partners Personally Enrolled by the first generation (i.e., second generation), those Idea Partners enrolled by the second generation (i.e., third generation), and so on, regardless of any Placement Genealogy. An Idea Partner s Enrollment Tree is the organizational structure used to determine their rank within the Voltage Partners Ideation Team Income Plan. It is also used to determine an Idea Partner s Check Match Bonuses. An Enrollment Tree consists of the Idea Partners who you have personally enrolled and the Idea
11 Page 11 Gross Payout Cap Group Interview Volume Ideation Interview Inactive Ineligible Partners that they have personally enrolled and so on. See Enrollment Genealogy. The company imposes a gross payout cap of 50.0% of all the compensation paid throughout the entire commission plan; this includes Binary Ideation Commissions, Check Match Bonuses, Leadership Bonuses, Pools, other compensation, awards, etc. The Gross Payout Cap is applied to the sum of all compensation paid through the Ideation Compensation Plan to all Idea Partners each pay period. If a pay period exceeds the Gross Payout Cap, the payout is adjusted in accordance with the then current Ideation Compensation Plan adjustment policies and procedures. Note: Retail Income and Global Development Pool payments are not subject to the Gross Payout Cap. Group Interview Volume (GIV) is all the Personal Interview Points in an Idea Partner s organization (i.e., their left and right binary legs through an infinite depth). Any fact finding interview conducted by an Idea Partner. In order to remain eligible to earn commissions and other compensation, every Idea Partner must be Active and conduct at least one Ideation Interview each month. Only Ideation Interviews generate Personal Interview Points and, in turn, Group Interview Volume). Idea Partners may conduct more than one Ideation Interview in any given month; however, only one Ideation Interview is required each calendar month and Personal Interview Points can only be earned for one Ideation Interview each month. Any Idea Partner who is not Active. Inactive Idea Partners are Ineligible to earn compensation for which they may otherwise be qualified to earn as an Active Idea Partner. Idea Partners who remain Inactive for more than 60 consecutive days (which also means they failed to complete their Qualifying Activity and thus were Ineligible during said 60 day window) lose their Group Interview Volume and their accumulated Global Development Pool points. Note: While Idea Partners who remain Inactive for more than 60 days lose their Group Interview Volume, they do not lose their position in the Binary Tree, and they may at any time become Active and assume their previous position, minus accumulated points and earnings. An Idea Partner is Ineligible to earn any commissions (e.g., Binary Ideation Commissions, Check Match Bonuses, other bonuses, etc.) or any other compensation (e.g., retail income, affiliate fee income, Global Development Pool payments, etc.) if 1) they are either Inactive or 2) have not conducted any Qualifying Activity within the previous 30 days or the prior calendar month.
12 Page 12 Last Active Month Lesser Leg Monthly Retainer Pay Leg Personal Interview Points Personal Sponsor Personally Enrolled Personally Sponsored Placement Sponsor The calendar month immediately following the month an Idea Partner voluntarily terminates his or her Idea Partner status in accordance with the terms and conditions of the Idea Partner independent contractor agreement and Voltage Partner s then current Idea Partner policies and procedures. An Idea Partner s Last Active Month could be any month (e.g., 2 nd, 6 th, 14 th, 61 st, 120 th etc.) See Pay Leg. Idea Partners pay a monthly retainer in exchange for a variety of services (e.g., guaranteed idea evaluations, market validation assistance, project planning, development, management, sales and marketing, service and support, etc.). An Idea Partner s Pay Leg is the leg with the least amount of Group Interview Volume (GIV), regardless if it s the right or left binary leg. An Idea Partner s Binary Ideation Commissions are based on the GIV points of their Pay Leg (sometimes referred to as the lesser leg or weak leg). Idea Partners earn Personal Interview Points when they conduct an Ideation Interview. One Ideation Interview equals 66 Personal Interview Points. A Personal Sponsor is the Enroller of an Idea Partner. If Adam personally enrolls Bill, then Adam is Bill s Enroller and Personal Sponsor. An Idea Partner s first generation (i.e., their first level) are those Idea Partners whom they personally brought into the Voltage Partners business opportunity. See Personally Enrolled. A Placement Sponsor is the person who is directly above an Idea Partner in the Binary Tree. Qualified An Idea Partner who, during the applicable pay period 1) has, at a minimum, at least one Active Personally Sponsored Idea Partner on the left binary leg AND one Active Personally Sponsored Idea Partner on the right binary leg, and 2) is current with their Qualifying Activity (i.e., current meaning at least one Ideation Interview within the previous 30 days or the prior calendar month). Qualifying Activity Qualifying Interview A qualifying Ideation service (i.e., an Ideation Interview) for which an Idea Partner earns Personal Interview Points. Only Active Idea Partners can conduct Qualifying Activity. Note: Recruiting other Idea Partners does not constitute a Qualifying Activity. See Ideation Interview
13 Page 13 Strong Leg Weekly Binary Cap Every pay period, whichever leg of your Binary Tree (left or right) generates the most Group Interview Volume (GIV) is your Strong Leg. Any GIV amount in your Strong Leg that is greater than the Pay Leg amount for a pay period carries over (forward) to the same leg for the following pay period. An Idea Partner cannot earn more than $25,000 per weekly Binary Ideation Commission period through the binary component of the Ideation Compensation Plan. Note: The Weekly Binary Cap does not apply to any Check Match Bonus or other components of the Voltage Partners Ideation Compensation Plan.
14 Page 14 APPENDIX A Check Match Bonus Example Check Match Bonuses are the real power of the Voltage Partners Ideation Team Income Plan. As an active and qualified Idea Partner, you can potentially earn additional commissions, through five generations, that include a 20% check match of your personally enrolled Idea Partners (i.e., your first generation), a 10% check match of your second and third generation Idea Partners, and a 5% check match of your fourth and fifth generation Idea Partners. Weekly Check Match Bonus Example Weekly Check Match Bonuses, determined using a one month look back period, are available through five levels for active and qualified 10 Idea Partners. Weekly Check Match Bonuses are not included in the Weekly Binary Cap. Earn Check Match Bonuses through 5 Generations! Level / Generation Sponsored / Downline Combined Income 11 Check Match 1 (20%) 10 * $1,350 $ (10%) 25 $3,375 $ (10%) 50 $6,750 $ (05%) 150 $20,250 $1, (05%) 250 $33,750 $1, Total Weekly Check Match $3, * Personally enrolled Idea Partners (i.e., First Generation) Figure 1: Executive Consultant Check Match Example 10 Qualified by rank 11 For the example, an average check size of $135 for each sponsored/downline Idea Partner was used.
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