Rev. 09-2017 1 of 6

ECCT Study Guide Monthly Accrual Option To exercise the Monthly Accrual Option, the BV must be placed in which BDC(s)? What is currently needed to accumulate IBV in your banks month to month? Assuming a new, qualified UnFranchise Owner earns no commissions within his/her first

three-Q-date period, what does he/she need to do within that first three-Q-date period to continue to accrue GBV through the first three-Q-date period?

What is the minimum monthly BV amount for a Coordinator to exercise the Monthly Accrual

Option? What is the minimum monthly BV amount for an Executive Coordinator to exercise the

Monthly Accrual Option? What is the best way to try to ensure that monthly PBV amounts and the monthly subscription

to UFMS are submitted to exercise the Monthly Accrual Option?

On what day of the week does an UnFranchise Owner's monthly end of Q-Date period always

fall?

For how long can Group Business Volume (GBV) continue to accrue?

For how long can Group Internet Business Volume (GIBV) continue to accrue?

If an UnFranchise Owner's initial Q-date falls on January 31, and in a given year June 30 falls exactly on a Friday, what would be the UnFranchise Owner's June monthly Q-date for that year?

UnFranchise AutoShip When do UnFranchise AutoShip orders get generated and charged to my selected payment

method?

Rev. 09-2017 2 of 6

Can you satisfy the Monthly Accrual Option without UnFranchise AutoShip?

What is the Accrual Protection and how does it work?

Qualification If a new UnFranchise Owner is starting off with the Fast Start Kit, how many BV will

automatically be on his/her initial order? How does the UnFranchise Setup help to ensure new UnFranchise Owners are setup

properly?

How much BV must be ordered when applying as an UnFranchise Owner?

Who can pay for a new UnFranchise Owners initial order in the online UnFranchise Registration?

What, if anything, is different when registering a new UnFranchise Owner as a

business entity? Are there special criteria to be able to sponsor within the nutraMetrix program? When can a new UnFranchise Owner expect to receive their UnFranchise Business

Account login information? What would happen (result) if a new UnFranchise Owner signs into their UnFranchise

Business Account before the UnFranchise Registration is completed?

Once an UnFranchise Owner is fully qualified in at least one BDC, when will the Q-date show

up in the computer system?

What condition allows a BDC to begin accruing group business volume?

Rev. 09-2017 3 of 6

What are the requirements to be considered "qualified"?

Minimum Activity What is the minimum quarterly PBV requirement to maintain "qualified" status? If an UnFranchise Owner fails to remain "qualified," what happens to his/her group business

volume totals? If an UnFranchise Owner fails to remain "qualified," what happens to his/her personal

business volume totals? Is this true for all of the UnFranchise Owner's personal BDC’s? If an UnFranchise Owner purges for a quarterly minimum activity requirement, what two

things must be done for any BDC to gain additional commissions? Can a Sales Representative purge? From what date is a Sales Representative's quarter based? If an UnFranchise Owner purges, when does his/her personal business volume adjust on

the UnFranchise® Management System? What is the date of last activity for an unqualified UnFranchise Owner, in relation to the 270-

day rule? In which BDC(s) must BV be assigned to meet the minimum activity quarterly BV

requirement?

Form 1000 (UnFranchise Owner Sales Report) What is the minimum amount of receipts/sales per BDC which must accompany each Form

1000? Those two receipts must total at least how much in retail sales? How often is a form 1000 due for the BDC-001?

How often is a form 1000 due for any other qualified personal BDC?

If an UnFranchise Owner only has one order during a quarter of 150 BV in his/her BDC-002 and the Form 1000 requirement has been satisfied, will the UnFranchise Owner Red Flush at the end of the last month of that quarter?

Rev. 09-2017 4 of 6

Does an UnFranchise Owner receive an extension past the quarter-ending date to turn in a Form 1000 for the BDC-001 simply because he/she earns a commission in the last month of the quarter?

Activation Can an UnFranchise Owner be qualified for any commission if they are not activated? How does an UnFranchise Owner "activate" a BDC? What condition must a personally sponsored UnFranchise Owner maintain in order to count

for activation? Commissions What is the dollar amount of the final commission level in the commission cycle, upon

accruing at least 5000 GBV on both the left and right sides of a BDC? What are the requirements for earning a Management Bonus (Triple Flush)?

What are the requirements to be eligible to receive commissions in the IBV Compensation

Plan?

What must an UnFranchise Owner submit after earning the first commission (Coordinator

level) to continue to receive commissions?

What are the requirements once an UnFranchise Owner earns his/her first flush commission

(5000/5000) to continue to receive commissions?

Shopping Annuity Master Member (SAMM) What is the BV/IBV criterion for the Shopping Annuity Master Member (SAMM)?

What is the Partner Store criterion for the Shopping Annuity Master Member (SAMM)? Cashback Where can your PCs see a record of the Cashback they have earned on SHOP.COM?

Rev. 09-2017 5 of 6

Additional BDC’s When an UnFranchise Owner is allowed to add a new BDC after earning the first flush

commission (5000/5000) for a particular BDC, what is this called?

How many times is a re-entry authorization awarded per BDC? How does the inside leg policy apply to re-entries? Annual Renewal Are both UnFranchise Owners and Sales Representatives required to submit the Annual

Renewal Form to keep from purging? What happens to an UnFranchise Owner who submits an Annual Renewal Form, but does

not submit the Annual Renewal fee?

When an UnFranchise Owner has to submit an Annual Renewal depends on which date?

What is the program that makes Annual Renewal easy? Sales Representative What determines whether a new applicant is a Sales Representative or an UnFranchise

Owner? If a subscription is not purchased, can that new applicant participate in the MPCP?

How can a Sales Representative convert to UnFranchise Owner status? Same Household Can an approved same household UnFranchise businesses count for activation? Business Volume Excluding an UnFranchise Owner's first-time order, what are the criteria to place volume in

another UFO’s BDCs?

Rev. 09-2017 6 of 6

Senior Partners Who should an UnFranchise Owner contact when he/she has a challenge or concern?

Global Shipping Can you ship products to unopened countries?

GMTSS What are the similarities and differences between Speakers Bureau Category I and Category

II?

UFMS Reports Within 2 weeks of becoming qualified, where will you be able to find YOUR Qualifying Date

(Q-date) in the UnFranchise Business Account? Where would you go to confirm that your Annual Renewal has been received and accepted

by Market America? Which UFMS Management Report confirms the dates of completion for various Forms and Qualifications? Which report should you reference for current week commissions?

Inside Leg Policy

What is the Inside Leg Policy?

Rev. 06-2013

SALES REPRESENTATIVE vs. UNFRANCHISE OWNER

Sales Representative Qualified UnFranchise Owner

Pays no subscription fee. Pays subscription fee.

Cannot participate in MPCP. Can participate in MPCP.

Does not accrue BV or IBV. Accrues BV and IBV toward earning commissions.

Will receive 3 BDC’s. Will receive 3 BDC’s.

Does not get Subscription Kit (includes SHOP.COM site, Global.SHOP.COM site, and custom product sites)

Gets Subscription Kit (includes SHOP.COM site, Global.SHOP.COM site, and custom product sites)

Quarter based on Start Date. Quarter based on Q-date.

Must submit Form 1000 each quarter Must submit Form 1000 each quarter

Must submit Annual Renewal form only (no fee), cannot use Auto Renewal.

Must submit Annual Renewal form and fee, can use Auto Renewal.

RED FLUSH VS. PURGE

RED FLUSH is dependent on

Monthly Accrual Option criteria

PURGE is dependent on

Quarterly Activity Requirements

Can occur monthly. Can occur quarterly or annually.

Monthly Accrual Option criteria: 1. 50/100/150 PBV in 001 BDC 2. 10/20/30 PIBV in 001 BDC 3. UFMS

Quarterly Activity Requirements: 1. Form 1000 2. 150 PBV in any personal BDC 3. Annual Renewal

PBV amount is dependent on UnFranchise Level.

PIBV amount is dependent on IBV Level.

PBV requirement is the same for everyone.

BV and IBV must be assigned to the personal BDC 001.

BV can be assigned to any personal BDC's (same ID#).

Red Flush resets GBV or GIBV in all personal BDC's to 0.

Purge resets GBV, GIBV, PBV, and PIBV in all personal BDC's to 0.

Red Flush does not affect the upline's GBV.

Purge does directly affect the upline's GBV if they have not already flushed on your volume.

Does not affect Qualification or “Active” status.

Causes loss of Qualification and you are no longer considered “Active” until you requalify with 200 PBV.

Volume starts to accumulate again the next day.

Must requalify with 200 PBV before volume will accrue.

Does not affect activation status of sponsor.

May cause sponsor to no longer be activated until you requalify.

Does not pertain to Sales Reps or unqualified UnFranchise Owners since they cannot accrue volume.

Pertains to all UnFranchise Owners and Sales Reps.

Rev. 08-2014

Rev. 5-2015 1 of 4

Red Flush/Purge Practice Sheet

1. Q-date: 3-11-16

PBV Orders UFMS Ordered

Form 1000 Date PBV Amount PBV Assigned to

3-11 325 BDC- 001, 002, 003 6-23 6-16 4-20 50 BDC-001 7-19 8-17 6-23 50 BDC-001 7-19 50 BDC-001 9-16 50 BDC-001

1st Qtr

3-12 4-15 5-13 6-17

2nd Qtr 6-18 7-15 8-12 9-16

Based on the given information, answer the following questions. A. Will the UnFranchise Owner purge on 6-17? Yes No N/A B. Will the UnFranchise Owner red flush on 6-17? Yes No N/A C. Will the UnFranchise Owner red flush on 7-15? Yes No N/A D. Will the UnFranchise Owner red flush on 8-12? Yes No N/A E. Will the UnFranchise Owner purge on 9-16? Yes No N/A F. Will the UnFranchise Owner red flush on 9-16? Yes No N/A

Rev. 5-2015 2 of 4

2. Q-date: 3-11-16

PBV Orders UFMS Ordered

Form 1000 Date PBV Amount PBV Assigned to

3-10 603 BDC- 001, 002, 003 6-23 6-16 6-17 50 BDC-001 8-12 6-23 50 BDC-001 8-16 7-15 50 BDC-001 9-16 50 BDC-001

1st Qtr

3-12 4-15 5-13 6-17

2nd Qtr 6-18 7-15 8-12 9-16

Based on the given information, answer the following questions. A. Will the UnFranchise Owner purge on 6-17? Yes No N/A B. Will the UnFranchise Owner red flush on 6-17? Yes No N/A C. Will the UnFranchise Owner red flush on 7-15? Yes No N/A D. Will the UnFranchise Owner red flush on 8-12? Yes No N/A E. Will the UnFranchise Owner purge on 9-16? Yes No N/A F. Will the UnFranchise Owner red flush on 9-16? Yes No N/A

Rev. 5-2015 3 of 4

3. Q-date: 3-11-16

PBV Orders UFMS Ordered

Form 1000 Date PBV Amount PBV Assigned to

3-9 300 BDC- 001, 002, 003 6-2 3-31 3-15 50 BDC-001 6-23 9-15 6-23 50 BDC-001 8-12 8-6 50 BDC-002 8-17 9-16 50 BDC-001

1st Qtr

3-12 4-15 5-13 6-17

2nd Qtr 6-18 7-15 8-12 9-16

Based on the given information, answer the following questions. A. Will the UnFranchise Owner purge on 6-17? Yes No N/A B. Will the UnFranchise Owner red flush on 6-17? Yes No N/A C. Will the UnFranchise Owner red flush on 7-15? Yes No N/A D. Will the UnFranchise Owner red flush on 8-12? Yes No N/A E. Will the UnFranchise Owner purge on 9-16? Yes No N/A F. Will the UnFranchise Owner red flush on 9-16? Yes No N/A

Rev. 5-2015 4 of 4

4. Q-date: 3-11-16

PBV Orders UFMS Ordered

Form 1000 Date PBV Amount PBV Assigned to

3-9 300 BDC- 001, 002, 003 6-17 6-23 6-17 50 BDC-001 7-15 6-20 200 BDC-001 8-17 8-06 50 BDC-001

1st Qtr

3-12 4-15 5-13 6-17

2nd Qtr 6-18 7-15 8-12 9-16

Based on the given information, answer the following questions. A. Will the UnFranchise Owner purge on 6-17? Yes No N/A B. Will the UnFranchise Owner red flush on 6-17? Yes No N/A C. Will the UnFranchise Owner red flush on 7-15? Yes No N/A D. Will the UnFranchise Owner red flush on 8-12? Yes No N/A E. Will the UnFranchise Owner purge on 9-16? Yes No N/A F. Will the UnFranchise Owner red flush on 9-16? Yes No N/A

Commissions Cycle

GBV Commission UnFranchise Level

Monthly Accrual

Option (BV) Other

Requirements L R

1200 1200 $300.00 UnFranchise Owner

to Coordinator

50 to 100 - Form 925 - Form 1001

2400 2400 $300.00 100

3600 3600 $300.00 100

5000 5000 $600.00 Coordinator

to Executive Coordinator

100 to 150 - ECCT - MAPS

Management Bonus

(Triple Flush) $600.00

Executive Coordinator to

Master Coordinator 150

Rev. 08-2014

Rev. 07-2014 1 of 3

Annual Renewal – Frequently Asked Questions

(1) What does the Annual Renewal fee cover?

A: The Annual Renewal fee renews the Entry Subscription fee that the UnFranchise Owner originally submitted to become a UnFranchise Owner (as opposed to a Sales Representative), which allows him/her to continue to participate in the Management Performance Compensation Plan (MPCP).

(2) Do Sales Representatives have to renew each year?

A: Sales Representatives are required to renew annually with a completed Annual Renewal Form, but they do not submit the renewal fee.

(3) What happens if an existing Sales Representative fails to submit a valid Annual Renewal

Form?

A: The Sales Representative will purge any existing personal business volume (PBV). (4) If an existing Sales Representative wants to upgrade to UnFranchise Owner status, can s/he

submit an Annual Renewal Form along with the Annual Renewal fee?

A: No; an existing Sales Representative would need to submit an Application and Agreement form along with the Entry Subscription fee to upgrade to UnFranchise Owner status. This includes UnFranchise Owners who have been reduced to Sales Representatives previously due to non-renewal.

(5) What happens to existing UnFranchise Owners who fail to submit an Annual Renewal Form

altogether?

A: They will be locked out of the UnFranchise Business Account until they do a late renewal, lose their original Q-date, and have all personal business volume (PBV) and group business volume (GBV) reset to 0 (they will purge).

(6) What happens to existing UnFranchise Owners who fail to submit an Annual Renewal fee with

their Annual Renewal Form?

A: They will be reduced to Sales Representative status, lose their original Q-date, and have all group business volume (GBV) reset to 0 (they will in essence Red Flush, but they will not purge).

Rev. 07-2014 2 of 3

(7) If an UnFranchise Owner has been inactive 270 days (nine months) or more, can s/he submit

an Annual Renewal Form and/or fee to become active again?

A: No; UnFranchise Owners who have been inactive 270 days (nine months) or more must submit a new Application and Agreement with a new placement under the original inactive BDC. Now UnFranchise Owners can reapply online after 270 days with a correct payment and BV to be considered active again in the computer database.

(8) When do UnFranchise Owners renew each year?

A: Before the end of their Start Month (refer to the Career Manual). The month of your Start Date becomes your Start Month.

(9) What are the deadlines for Annual Renewal?

A: The deadline is the last business day of the UnFranchise Owner’s Start Month. (10) When is the business volume actually purged from the system for non-renewal?

A: Very similarly to the weekly purge for BV and Form 1000 requirements, the purge for non-renewal is run two weeks (approximately 12 days) after the Friday of the week in which the last business day of the UnFranchise Owner’s Start Month.

(11) Will I see if a particular UnFranchise Owner is in danger of purging for non-renewal on my

Purge Warning Report on UFMS?

A: Yes. (12) How do UnFranchise Owners who have already purged for non-renewal become active

UnFranchise Owners again?

A: They must submit a new Application and Agreement filled out completely except for the Sponsor Information and the Placement Information (leave these blank), with the Late Annual Renewal box checked. If they want to remain at Sales Representative status, then they only need to submit the Late Renewal Application, but if they want to regain or upgrade to UnFranchise Owner status, then they also must submit the Entry Subscription fee along with the Late Renewal Application.

(13) What happens to the quarter dates of UnFranchise Owners who have been reduced to Sales

Representative status due to non-renewal?

A: Their quarter dates are now based on their Start Date instead of their original Q-date, which they lost when they were reduced to Sales Representative status.

Rev. 07-2014 3 of 3

(14) When UnFranchise Owners who have already purged for non-renewal reestablish their active

status by submitting a Late Renewal Application and Agreement along with an Entry

Subscription fee, are they required to requalify their Business Development Centers (BDCs) at

the time they submit their Late Renewal?

A: No, but if they want to be considered a Qualified UnFranchise Owner who is eligible to accrue group business volume in the MPCP, or to count for Activation for their Sponsor, they must requalify at least their BDC-001 with 200 personal business volume (PBV). They can wait to requalify any other personal BDCs whenever it is convenient for them to do so.

(15) When UnFranchise Owners who have already purged for non-renewal reestablish their active

status by submitting a Late Renewal Application and Agreement along with an Entry

Subscription fee, and they requalify at least their BDC-001 with 200 personal business volume,

do they receive a new First-Quarter Grace Period along with their new Q-date?

A: Yes (16) If an UnFranchise Owner is canceling his/her UnFranchise business, can s/he receive a refund

of the Annual Renewal fee?

A: No; the Annual Renewal fee is non-refundable.