If there are any Network Marketing companies reading this post maybe you could consider changing your compensation plans to meet the Perpetual need.Īnyway, we are looking for this elusive company so if you find it let us know.
Now doesn’t Perpetual Income sound like the type of compensation you would like to have? Although that definition is correct in the scope of personal finance, in terms of equity valuation residual income is the income generated by a firm after accounting for the true cost of its capital. occurring continually: indefinitely long-continued We are looking for a company that defines their compensation as Perpetual.Ģ. That just doesn’t set well with us and we want to see a more positive message in the company’s compensation plan we choose to represent. Whenever the retailer sells an item, they then order that item from the supplier, who ships it directly to the buyer. Dropshipping involves selling something without housing the actual inventory of the items you sell. Being derived from residue, residual resonates of something that was left over after the company took everything. Here are 8 common ways people can earn money through residual income: 1. Well, we don’t like the way residual sounds. Residual income is a common concept used in valuation and can be defined as the excess return generated over the minimum rate of return (often referred to as the cost of capital) of the net income. Now you may be asking yourself why we are being so picky about the terminology that the company has chosen for the name of their compensation plan or the terms they use to describe it. Webster’s Definition of Perpetual Perpetual Income Webster’s dictionary defines residual as a residual product or substance. We checked the Webster Online Dictionary and the word Residual comes from the Latin word “Residue”. Now really, why would Network Marketing companies refer to their on-going income streams as Residual Income? Think about it, Residual income is what would be left over after some event or occurrence. If you are a network marketer or you are just investigating the whole Network Marketing arena, then you should ask yourself this same question. “So why then would we want to settle for something called residual income?” In our quest to find the company that we will represent with our marketing efforts we hope to eventually choose a network marketing company that will pay us a Perpetual Income and will compensate us for the hard work that we will be performing to promote them! What we mean by this is that we want to earn a steady ongoing income for the remainder of the foreseeable future. But why is it called Residual Income as opposed to calling it something more positive like Perpetual Income? The idea behind residual income compensation is that you are compensated based on your efforts in marketing their product and or services. If you review the compensation plans for any network marketing company eventually you will see something that they call Residual Income, some companies also call this Passive Income but we see it mentioned as Residual Income more frequently.
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