Welcome to Neways
Transcription
Welcome to Neways
Welcome to Neways Dear Neways Distributor: Congratulations on your decision to become a Neways Distributor, and may I personally welcome you to the Neways Family! Founded in the U.S. in 1987, Neways has a distinguished track record and has been operating in the U.K. and Ireland since 1992. Neways is a Business Opportunity that’s available to anyone who wants to improve their quality of life through the use of safer, effective products and who wants to achieve financial security by sharing the Products and Business Opportunity with others. Neways is a concept that incorporates the very best features of a franchise: a proven plan of action; support of an established, financially secure company; a corporate identity and image; a dynamic marketing system and world-class products . . . but without the prohibitive costs. The Neways Business Kit contains everything you will need to begin building your Business from day one, including a proven business-building System. In addition, you have the support of the person who introduced you to Neways—your Sponsor, who should always be your first point of contact—and his or her Upline in turn. You are now in business for yourself but not by yourself. I am convinced that you will feel proud and confident to recommend our Products and Opportunity to everyone you meet, helping us to develop Healthy Homes throughout Europe simply by sharing our Products with one person at a time. Remember: Neways succeeds only when you succeed! May I conclude by wishing you every success with your new Business, and I look forward to meeting you at one of the many Neways meetings that are regularly held throughout the U.K. and the rest of Europe. Yours in Health and Wealth, Shaun Charity Country Manager Corporate Mission Statement Neways’ mission is to enhance the health, wealth, and well-being of people around the world by providing safer, effective products and a dynamic business opportunity. The Neways Healthy Homes Mission To create Healthy Homes around the globe, one home at a time, one family at a time, one person at a time. CONTENTS WELCOME TO NEWAYS GETTING STARTED ...........................................................................................................1 Contact Details.......................................................................................................................................1 Placing & paying for your Order.............................................................................................................2 Delivery of your Order............................................................................................................................4 Returning Product..................................................................................................................................5 Commission Payments...........................................................................................................................5 Introducing other Distributors (Sponsoring).........................................................................................6 Signing up a Preferred Customer..........................................................................................................6 International Sponsoring & Retailing....................................................................................................7 BUILDING YOUR BUSINESS..............................................................................................8 The Neways Business System...............................................................................................................8 Six Steps.....................................................................................................................................8 Four Wheels.............................................................................................................................. 10 Memory Jogger.................................................................................................................................... 11 Do you purchase any of these Products?............................................................................................. 12 SALES AIDS, EVENTS & COMMUNICATIONS..................................................................13 Publications.......................................................................................................................................... 13 Events .................................................................................................................................................. 14 Neways, You and the Internet............................................................................................................... 14 Public Area............................................................................................................................... 15 Distributor Area........................................................................................................................ 15 Preferred Customer Area......................................................................................................... 16 Your Personal Web Page.......................................................................................................... 16 Videos and Presentations..................................................................................................................... 16 Webinars & Conference calls............................................................................................................... 18 COMPENSATION PLAN, REWARDS & AWARDS.............................................................19 Guide to the Neways Compensation Plan............................................................................................ 19 First Steps............................................................................................................................................ 19 Simple Glossary of Terms.................................................................................................................... 21 At a glance Guide.................................................................................................................................. 22 Achievement Award Programme......................................................................................................... 26 Car or Home Payment Programme..................................................................................................... 27 POLICIES & PROCEDURES .............................................................................................29 Neways is a proud member of the DSA. Getting Started CONTACT DETAILS The Neways Support Centre Europe, located in Diegem, Belgium, is the central point of contact for Distributors and Preferred Customers in relation to virtually all Neways activity. Effectively a ‘one-stop shop’, the office is staffed by multilingual colleagues utilising state-of-the-art telephony and communication systems, ensuring a prompt and efficient service as you develop your Neways Business. In addition, a U.K.-based sales and marketing team supports the local U.K. and affiliated markets by developing market-specific initiatives, events, promotions, and training. However, all orders, applications, and product and customer-service queries should be directed through the Neways Support Centre. Remember to always quote your unique Neways ID in all correspondence with Neways. CORPORATE ADDRESS Neways Europe BVBA Kouterveldstraat 20 1831 Diegem Belgium Website: www.neways.eu Main switchboard (international call rate): + 32 2 711 6998 Main fax number: +32 2 711 69 80 See overleaf for separate Freephone numbers for Distributors and Customers to use when placing orders and for business-related enquiries. E-MAIL ADDRESSES General Enquiries: [email protected] Orders: [email protected] Applications: [email protected] Commissions: [email protected] Parcels: [email protected] OFFICE OPENING HOURS Monday to Friday (except on Wednesday): 9am – 5pm Central European Time (CET) 8am – 4pm U.K. time Wednesday: 9am – 4pm Central European Time (CET) 8am – 3pm U.K. time In addition, there is an extended hours service for telephone ordering for U.K. and Irish Distributors from 4pm until 8pm Monday to Friday inclusive and from 3pm on a Wednesday. This service is only available for placing orders. 1 Getting Started PLACING & PAYING FOR YOUR ORDER Orders can be placed by telephone, e-mail, post, fax, or via the website. To keep your account active, Neways asks that you place a personal order at least once every twelve months. There is no minimum order value. Orders can only be processed if accompanied by credit/debit card payment. Neways accepts the following credit/debit cards: All countries: Visa, MasterCard U.K. only: Switch, Maestro, Delta, Access, and Solo We are unable to complete your order if insufficient funds are available on the card provided. Bank Transfer (not available for online ordering) Should you choose to pay by bank transfer, please inform Neways Europe Support Centre. You will be provided with the correct amount to pay and the bank account details relevant to your country of residence. Please always use the relevant order number and your Neways ID number as a reference when paying by bank transfer. Kindly note that no order will be shipped before verification that the transferred amount has been received. Please be aware that payment by bank transfer can delay the shipping of an order. Please note that this service is only available in the UK. ORDERING ONLINE The Neways online store is the most convenient way to place your order; it is open 24 hours a day every day! The online store has many useful features, including up-to-date stock availability, comprehensive product information and a quickshop order form. To log in to the website, you will require a password. To obtain your password, follow the guide in the Website section of this manual. Also see that section for details on how to set up your own personal web page, free of charge. If you encounter any problems whilst using the website, you can e-mail [email protected] or call the Neways Support Centre. ORDERING BY PHONE The following free-call numbers will operate only when called from the specific country. Cost of calls from mobile phones may vary, please contact your service provider for details. 2 European Country Freephone Direct Phone* Austria 0800 005 892 + 32 2 711 6990 Belgium 0800 389 01 + 32 2 711 6995 France 0805 110 782 + 32 2 711 6989 Germany 0800 664 6699 + 32 2 711 6994 Ireland 1800 936 375 + 322 711 6997 Italy 800 897 587 + 32 2 711 6993 Luxembourg 800 211 28 + 32 2 711 6996 Malta 800 620 33 + 32 2 711 6988 Netherlands 0800 0201 251 + 32 2 711 6999 Spain 800 300 409 + 32 2 711 6992 Switzerland 0800 222 288 + 32 2 711 6987 United Kingdom 0808 238 9514 +32 2 711 6998 Getting Started Before telephoning to place your order, it will save you time if you have the following information ready: • Your unique Neways ID number • Your credit/debit card details • A list of the items you would like to order and their item codes ORDERING BY E-MAIL E-mail: [email protected] To place your order, simply send an e-mail to the above address and provide the following information: • Your unique Neways ID number • Item code, product description, and how many of each item you require • The name and address of who the order is for and where the order is to be sent • Your credit/debit card number, with valid from and expiry dates Please note that e-mails may not be secure, but secure online orders can be placed via the Neways website. ORDERING BY FAX OR POST Fax number: +32 2711 6980 Postal address: Neways Europe Orders Kouterveldstraat 20 1831 Diegem Belgium Simply complete a Product Order Form and return it to Neways at the postal address or fax number shown above. A copy should be retained for your records. These forms are included with your Business Kit, and additional copies can be downloaded from the Neways website. Please see your Distributor Price List for prices and item codes. Month-End Deadlines The end of the month is the busiest and most important time of the month for Distributors to ensure that your volume and that of your Organisation are in place. These volumes will count towards your qualification in accordance with the Neways Compensation Plan. Deadlines for Qualification purposes are as follows for any given calendar month: Via website, fax and email: 10:59pm (UK) 11:59pm (CET) By post: The deadline for the receipt of orders by post is the arrival date at the Neways office and not the sending date. By phone: End of business hours on the last working day of the month. For more details on Neways’ business hours, please refer to our website at www.neways.eu or earlier in this section. MOBILE POINT OF SALE Mobile Point of Sale (MPOS) is a unique credit card transaction processing system that enables Distributors to process credit and debit card payments via mobile devices such as a mobile phone or PDA, as well as in the office via the Internet. To use this service, no special equipment is needed. MPOS accepts all major cards including American Express and Diners Club. Every transaction is made in real-time and the service is available 24/7. Neways Distributors in the U.K. can use this service for their retail business and can contact our Support Centre for registration or to request further information. 3 Getting Started PREMIUM PARTNER PROGRAMME An automatic order each month takes away the hassle of placing a set order manually every month. To facilitate this, Neways has introduced the Premium Partner Programme (PPP) for Distributors and Preferred Customers who wish to order the same goods at the same time every month or (for example) to ensure that regular qualification of 75PV is achieved. In addition, members of the Programme are also eligible for discounts, promotions, and rewards as published from time to time. This service is only available for online ordering, and there is no minimum order level. Orders may be changed to retain some flexibility, although no changes may be made fewer than 48 hours before the order is due to be shipped. Full details of how this Programme works can be found in the Back Office of the Neways website. DELIVERY OF YOUR ORDER Neways aims to despatch orders within 24 hours of the order being processed. Our standard service delivers within five working days. For full details of all shipping charges, please see the current Distributor Price List or contact the Neways Support Centre. SHIPPING ADDRESS All orders will be sent to the ‘ship-to’ address supplied with the order (we regret that we cannot deliver to P.O. boxes). If a ‘ship-to’ address is not supplied, the order will be despatched to the registered address in our system. DROP-SHIPPING AN ORDER We are happy to deliver products on your behalf, to friends, relatives, or customers. Known as a ‘dropship’, this service is available at the standard delivery rate, without any extra charges. To take advantage of this service, simply provide the name and full address for delivery. Please be advised that the invoice for this order will not be included in the parcel, but will be sent to you separately via email. Therefore your customer will not be able to see any prices but will receive a dropship packing list detailing the contents of their order. This is particularly useful if you choose to retail Neways Products. Neways Distributors can place orders and ship directly to their retail customers in Neways’ main markets; although Distributors registered in a Not For Resale (NFR) market cannot use the drop ship service in these markets. Also please note that due to local regulations, non-EU countries cannot use the drop-ship service. NOT FOR RESALE (NFR) At the time of going to press, Neways’ main markets in the European region are the UK, Ireland, Malta, Austria, Germany, Belgium, France, Hungary and Switzerland. However, Neways can deliver in most EU countries and also in Norway and Liechtenstein. In NFR markets, Distributors may purchase Neways Products for their personal consumption but may not retail these Products. Please consult the Policies and Procedures section in this manual for more details on NFR definitions. You can also consult our website or contact the Neways Europe Support Centre via email or by phone. 4 Getting Started RETURNING PRODUCT Neways’ Product Guarantee If you are not satisfied with the Product for any reason, it may be returned, at Neways’ cost, for a 100% refund (including shipping costs) if written notice of cancellation is sent to Neways within 14 days from the time of delivery. Timely despatch of the mailing before expiration of the 14 days will suffice. Any clause whereby the consumer would waive this right is null and void. If goods received are faulty or non-conforming, statutory rights apply. The Personal Volume (PV) attributable to returned Products will be deducted in the month in which the refund is given, and continuing every month thereafter until the PV balance is cleared. Please report problems with orders to Neways’ Support Centre within 30 days of shipment so that any packing mistake or damage can be remedied. The procedure for returning Products can be found in the Policies and Procedures section of this Manual. COMMISSION PAYMENTS As a Distributor, you are eligible to receive Commissions based on the volume of Products purchased by you and your Organisation, either for personal use or for resale. The amount of Commission earned is calculated in accordance with the Neways Compensation Plan. In order to qualify for Commissions under the Compensation Plan, a Distributor must satisfy the minimum volume requirements and be in compliance with the terms of the Distributor Agreement. IMPORTANT! Commission payments are made directly to the Distributor’s bank account, on or around the 20th of the month. To enable Neways to pay any Commission entitlements, Distributors MUST provide Neways with their bank details, including IBAN and BIC/Swift information. Without this information, Commissions cannot be paid directly on your bank account and will simply be credited to your Neways account. You can also choose to leave your Commission entitlement on your Neways account and use these credits to pay for your orders. The Neways Bank Data Form can be found online in the back office section of the website. Confirmation of the Personal Volume (PV) value of an order and the Volume Month to which it has been credited is available through the following methods: 1) On the invoice sent to the Distributor, relating to the order 2) Via receipt of a Downline report, available as a download from the website 3) By contacting the Commissions Team in the Neways Support Centre For more information on Commissions, please review the Policies and Procedures or contact the Commissions Team by phone or email at [email protected] To learn more about how you can earn Commissions, see the Compensation Plan section of this Manual. The Volume Month (VM) in which a Distributor achieves the necessary qualification in order to move up in rank is called the Qualifying Month. The Effective Month is the month in which the new rank takes effect this is the month following the Qualifying Month. 5 Getting Started INTRODUCING OTHER DISTRIBUTORS (SPONSORING) As well as supplying a superb range of personal care, nutritional, and household products, Neways also offers a fantastic Business Opportunity. Taking full advantage of our Compensation Plan requires you to develop a Downline—in other words, introduce others who open an account. Introducing other Distributors is the quickest, smartest, and most effective way to grow and earn an income from your Neways Business. To introduce someone else who wishes to open an account and either buy at preferred price and/or introduce other people, you must help him or her to complete and sign an Order and Application Form and place a first order (no minimum value). Opening an account may be done by post, fax, or easiest of all, online. There is a minimal joining fee for Distributors, for which they also receive a Business Kit, which is despatched with the first order. Ensure the Order and Application Form is completed, signed and the top copy is returned to Neways at the postal address or fax number shown previously. Please also ensure that all parties retain a copy of this form. Forms are included with your Business Kit; additional copies are available from Neways. Please see your Distributor Price List for prices and item codes. SIGNING UP A PREFERRED CUSTOMER Some customers may simply wish to purchase Neways products on a regular basis as a smart consumer. Neways has a programme known as Neways Preferred Customers, whereby a person can sign up and purchase product at preferred prices for personal use, but they are not eligible to sell product, sponsor others, or take advantage of the Neways Compensation Plan. The benefits to someone signing as a Preferred Customer include the following: • No joining fee – your prospect can become a Preferred Customer completely free of charge. • Upon receipt of the Application Form, a full information brochure is sent to them direct from the Company. • Preferred Customers can order by phone, fax, post, or via the website and pay preferred prices. The benefits to you as a Distributor include the following: • All sales volume from your Preferred Customers is paid into your Affinity volume, upon which you earn a commission according to your rank, up to 20%. (Preferred Customers are treated as Consultants for the purposes of the Compensation Plan. Preferred Customer volume does not count towards your Multiplex volume. For more details about volume and about Distributor ranks such as Consultant and Executive, please see this manual’s Compensation Plan section.) • Neways will contact your Preferred Customers with special offers at regular intervals throughout the year, potentially increasing your volume. Developing a base of Neways Preferred Customers can help you capitalise on the Compensation Plan and your own qualifications. For example, consider the following scenario: • You have 20 Preferred Customers • Each spends 40PV per month • 20 x 40PV = 800PV • You achieve your 75PV • You receive automatic Executive qualification every month! 6 Getting Started Becoming a Preferred Customer is just like opening a shopping account with any other company, but remember that Preferred Customers are unable to sponsor others. They may upgrade to full Distributor status at any time by simply completing an Application Form and sending it in to the Support Centre. None of the volume that a Preferred Customer has achieved to that date counts towards qualification to higher ranks—in other words, they start as a Consultant with 0PV. INTERNATIONAL SPONSORING & RETAILING Neways currently operates in approximately 30 countries around the world. With Neways’ Global Sponsoring programme, it’s as easy to sponsor someone outside the European region as it is to sponsor someone in your own country or within the European region. You don’t have to fill out any extra forms or pay any special sponsoring fees. There are no limits to building your worldwide Neways organisation. For information regarding conducting your business in Neways markets outside the European region, please visit our corporate website (www.neways.com) or contact our Commissions team. To receive international commissions, you must qualify at Executive or above in your own country of residence. You are required to familiarise yourself and comply with the laws, regulations, and statutes of any country in which you conduct your Neways business. An internationally sponsoring Distributor will be paid any commissions due from the Neways office in the relevant country and in that country’s currency, and in accordance with the Compensation Plan operating in that country. Thanks to Neways’ global business presence, Distributors can buy products all around the world and do not need to be an international Distributor to do so. Personal Volume on such orders will be automatically transferred to your affiliated Neways office. 7 Building Your Business Building Your Business THE NEWAYS BUSINESS SYSTEM Behind every successful Distributor is a proven business system, a tried and tested business-building formula that is easily duplicated and put into practice by people you introduce. An effective system makes it easier to share the Products and Opportunity with others and show them how to build their own business, which means that your business grows and gathers momentum quickly whilst building solid foundations for the future. The Neways Business System consists of the following two parts: Six steps: This sequence of activities has been proven to bring results, based around a series of videos, the Neways website, your personal webpage, a duplicable business presentation, and a business presenter. These tools are effectively an advertisement for your business and provide your prospects with all the information they need to make a decision as to whether they want to hear more or open an account. All you have to do is show these tools to others. Four wheels: The second part of the system is designed to keep you on track and develop a regular process of reminding you to do the business-building basics consistently. The real key to developing a successful Neways business is to build relationships with people and find out what they are looking for, whether it’s better health, wealth, or a combination of both, and then share the right information with them. SIX STEPS 1. MAKE A LIST OF PEOPLE YOU KNOW Don’t prejudge anyone or assume that they won’t be interested. You have something to offer everyone, and it will depend on the person’s circumstances at the time. All you are going to do is give them some information to let them make up their own mind. To help you make your list of people, there is a memory jogger elsewhere in this manual. 2. CONTACT YOUR PROSPECT Contact your prospect and build a relationship. Ask how they are, how the family is, the job, their health, etc. The purpose of this contact is purely to arrange a meeting or send them some information after qualifying them through the initial conversation to find out if there’s something in their life that they may wish to change. Contact may be made by phone or e-mail, but by far the best method is face to face. Don’t say too much at this stage; the purpose of the initial contact is just to arrange a presentation. You may tell them that there’s something that they may be interested in, or you’ve just found out some important information about products that they probably use on a daily basis, or that you’d like their opinion on a business you’ve started—whatever you feel comfortable with. If they ask you what it is, then you can take the next step. 3. GIVE THE PRESENTATION You now have several choices of how to present the Products and Opportunity to your prospect: • Meet face to face, using the business presenter in this Kit (in which case you will need to set up a confirmed venue and time to meet). Your Sponsor should be willing to attend that first meeting and help you to do the presentation. 8 Building Your Business • Send them to the website. Later in this manual, you will find details of how to set up your personal webpage, with links to various videos and, in particular, a PowerPoint presentation with voiceover, which does the presentation for you (if you’re using the presenter face to face, this presentation will also give you a script to follow). • Use whichever method your Sponsor recommends. 4. FOLLOW UP & SIGN UP YOUR PROSPECT If your prospects go to the website to view your personal webpage, it’s vital that you contact them within 48 hours to ask their opinion on what they saw. You may have directed them to a specific area, the online catalogue, the PowerPoint presentation, or a particular video, for instance. By asking questions and, most importantly, listening to what your prospects want, you will be able to recommend the best entry level for them. Ask them where they see themselves, taking your cue from the presentation. For new Distributors, you may find it useful to keep an extra Business Kit with you, which you can give to them and replace when their first order comes through. This will allow you to go through the Kit with them right there and then. To sign up a new Distributor, complete the Independent Distributor Application & First Order Form (use the catalogue and the transfer spend worksheet in this manual to prompt them). If they have seen the presentation via your personal webpage, they can sign up online, and your details will be automatically input into the application form. 5. PLUG THEM INTO THE SYSTEM Explain any special offers running at the time, sign them up for any events about to happen, and register them to receive the free e-newsletter (send an e-mail to [email protected]). For new Distributors, go through the Business Kit with them and answer any questions they may have. If you don’t know the answer, promise to get back to them after you’ve spoken to your Sponsor. It is your responsibility, with the help of your Upline, to work with and help anyone you introduce to the business, because your success is dependent on their success. Find out what their goals are and what they really want to achieve from their Neways business. Knowing their goals will help you motivate them and develop an action plan to achieve them. 6. WHO ELSE DO THEY KNOW? Then the process starts again. Help them make their list of people they know who may be interested in Neways. If they had just invested £20,000 in their business, who would they want to spearhead its launch? Neways is a simple yet powerful business that allows you to achieve everything you want in return for consistent effort, whether full time or part time. Follow this simple system, and you can achieve your goals faster than you thought possible. A sim busin ple, mode ess co r nceptn Availab le to an yone, • Sim regard ply less of • Start recommend backgro Ne par und • Be you t time along ways! side you r own boss— r when, you dec current job ho w, and • No with wh ide where fin you wo om • Full ancial risk rk, support and tra ining pro vided Our B 9 usine 9 9 ss P r incipl e S u cc produess is sim ply cts an d opp about sh ortun a ity wit ring the h othe rs Building Your Business FOUR WHEELS People join Neways for all kinds of reasons. Whatever your own reason was for joining, here are some key points that will help you stay focused and develop your Neways business. Think of your business as a vehicle—a racing car, for instance—that takes you wherever you want to go at the speed that you want to drive it. You are in control. You make the decisions, but for the vehicle to move forward, it needs all four wheels on the road. If one is missing, then your vehicle is unable to move forward and gather momentum. Each wheel has a purpose, a reminder of the basics of building a Neways business: Product of the Product Plug into the System Know your “Why” Make your List WHEEL 1: BE A PRODUCT OF THE PRODUCT Go through the list of products that you use in your home, and transfer your spending on those products to Neways Products. Become a 100% Product user. This will allow you to talk to others with confidence about the quality and efficacy of the Neways range. See the page ‘Do you purchase any of these products’ to help you. Multiplex commissions (see this manual’s “Compensation Plan” section) are there to reward you and others on your team who transfer their spending to Neways. Ultimately, this part of the plan can reward you enough to allow you to get your own Products completely free. WHEEL 2: PLUG INTO THE SYSTEM Commit to following the Neways training programme, attend meetings and events, use the six-step system, and above all work with your Sponsor. Be aware of other support from the Company. Get to know your Upline Executives and Diamond. If you haven’t already, get yourself an e-mail address, set up your personal Neways webpage, and subscribe to the free Neways e-mail newsletter. WHEEL 3: DEFINE YOUR WHY You joined Neways for a reason or for a number of reasons, which we call your “why”. Write down your personal goals and share them with your Upline or a personal mentor. Define what you want to achieve from your Neways business and when you want to achieve these goals. Break down your goals into an action plan, and work on them consistently. WHEEL 4: MAKE A LIST OF PEOPLE YOU KNOW The Neways Opportunity is simply about sharing the Products and the Business with other people, so a good start is to make a list of all the people you know. Use the accompanying “Memory Jogger” to create your prospect list, and keep adding to it. After all, we meet new people every day! Make your list without prejudging anyone. Give everyone the chance to make up his or her own mind. Your objective should simply be to share Neways information with people, not to pressure them. The choice to ask for more information or get involved will always be theirs. 10 Building Your Business Taking Action to Build Your Business Memory Jogger WHO DO YOU KNOW? Actor/actress Angler Antique dealer Architect Auditor Badminton player Baker Bank cashier Banker Bowler Bricklayer Bus driver Business proprietor Butcher Car tuner Carpenter Carpet layer Catalogue agent Chauffeur Chess player Civil servant Cleaner Clock repairer Clothes salesman Coach driver Cobbler Computer programmer Conductor Contractor Cook Customer services worker Cyclist Dance teacher Dancer Darts player Delivery agent Dental technician Dentist Dietician DIY enthusiast Dog breeder Draughtsman Dressmaker Driving instructor Dry cleaner Editor 11 Electrician Engineer Entrepreneur Estate agent Farmer Financier Fireman Fisherman Footballer Foreman Funeral director Gardener Gas engineer Golfer Grocer Groundsman Guesthouse owner Hairdresser Hang glider Headhunter Health food eater Hire shop worker Hospital worker Hotel worker Interior designer Investment advisor Ironmonger IT worker Jeweller Jogger Keep fit enthusiast Lab technician Labourer Lecturer Librarian Locksmith Magistrate Manager Mechanic Messenger Meter reader Midwife Miner Model Motor dealer Motorbike rider Music teacher Musician Nanny Networker Nurse Nursery nurse Nutritionist Off licensee Office manager Osteopath Packer Personnel consultant Pharmacist Photographer Physicist Physiotherapist Pilot Plasterer Plumber Policeman PR officer Printer Psychologist Publican Rally driver Removal man Restaurateur Riding school instructor Rock climber Roofer Rugby player Runner Sailor Salesman Schoolteacher Scout leader Seamstress Secretary Security guard Self-employed Shop fitter Social worker Solicitor Squash player Stamp collector Statistician Steward Stockbroker Student Surgeon Swimmer Switchboard operator Tailor Telephonist Tennis player Therapist Tobacconist Travel agent Truck driver Typist Tyre stockist Upholsterer Vat inspector Vet Waitress Welder Welfare officer Window cleaner Wine maker Wine merchant WHO... Was my best man? Are our baby sitters’ parents? Are my old school friends? Is my former boss? Are my children’s teachers? Was my bridesmaid? Did we meet on holiday? Belongs to my club? Works for themselves? Is popular at work? Do I have lunch with? KEEP ADDING TO YOUR LIST ON A DAILY BASIS. You meet new people every day. Building Your Business DO YOU PURCHASE ANY OF THESE PRODUCTS? Why not look through this list of things you use every day and then check the Neways Catalogue or website to find our equivalent product? Don’t forget that Neways Products are free from scientifically controversial ingredients (there are over 3,000 ingredients which we AVOID) and have not been tested on animals! Become a product of the Products. Transfer your spending from the supermarket to your own Neways Business. HAIR PRODUCTS NUTRITIONAL SUPPLEMENTS q q q q q q q q q q q q q q q q Shampoo Conditioner Hair spray Hair gel BATHROOM PRODUCTS q q q q q q q Shower gel Bubble bath Toothpaste Mouthwash Shaving gel Deodorant Soap Bar SKIN PRODUCTS q q q q q q q q q Anti-ageing products Cleanser/ Clarifier Moisturiser Body lotion Hand cream Baby care products Sun protection After-sun lotion Lip balm Aloe vera Antioxidants Calcium Energy enhancement Healthy heart High fibre Joint care Noni juice Omega 3 Probiotic Vitamin and mineral supplement Energy drinks CLEANING PRODUCTS q q q q q q Laundry liquid/soap powder Fabric conditioner Stain remover Washing up liquid Window cleaner Household cleaner FITNESS AND SLIMMING PRODUCTS q Meal replacement shakes q Metabolism support q Muscle rub COSMETICS q q q q q q q q q q q Blusher Concealer Eyebrow pencil Foundation Lipstick Lip-gloss Lip pencil Eye shadow Mascara Eye liner Makeup remover 12 Sales Aids, Events & Communication Sales Aids, Events & Communication Neways prides itself on having probably the best support programme currently available in the network marketing industry. As your Business develops, you will doubtless become familiar with all elements of this programme, from sales aids to newsletters, training, and promotions. Whether you choose to focus on building a retail business or a solid Distributor organisation, these tools will prove invaluable along the way. Some of them are included with this Business Kit, so take the time to look through them and decide how you can best utilise them to grow your business. PUBLICATIONS THE NEWAYS HEALTHY HOMES PRODUCT CATALOGUE • Your ‘shop window’ and the ultimate, comprehensive guide to your Product range • Updated at regular intervals, to take into account Product introductions and updates • Easy to use with a focus on best-selling brands, simple Product explanations, bullet-pointed text, clear and basic Product instructions, and usage rates An online, browsable version is also available to you and your Customers by visiting www.neways.eu. PRODUCT BROCHURES AND FLYERS To support the Product Catalogue and provide additional marketing opportunities for key Product launches and top-selling brands, we also provide a range of mini-brochures. PDF versions of Product flyers and factsheets can be downloaded from the Distributor Back Office section of the website. These files are ideal for you to print at home, at a printing agency or to forward by e-mail. PRODUCT PRESENTATIONS When we launch a new Product, a PowerPoint presentation is often made available, which you can use for your own reference, to share with others, or to present at a Distributor meeting. These presentations can be found in the Distributor download section of the website. PRICE LISTS We do not normally print prices on our literature, as Distributors may market products to a wide consumer base. The Price List features various price columns depending on your country of residence. In addition, a Recommended Retail Price List is available to download where applicable. HEALTHY HOMES EXPRESS NEWSLETTER Included in parcels and updated each month, this full-colour newsletter is available in English, German and French. It is Product-oriented and focuses on special offers, Product news, operational information, event news and general corporate announcements. Copies of the latest issue and back issues are available to download in the back office section of the website. NEWAYS E-NEWSLETTER • This is an invaluable tool and one of the easiest methods for Neways to contact you in a hurry. • Issued on a weekly basis, the free E-Newsletter provides you with the latest announcements, product offers, operational updates, and more. • From time to time, bespoke newsletters will be sent out to cover important announcements. • To subscribe, simply send an e-mail to [email protected], stating the language in which you would like to receive our E-Newsletter (English, French or German) and you will automatically receive the next issue. If you wish, you can unsubscribe at any time by simply sending an email to the above address and 13 Sales Aids, Events & Communication quoting ‘unsubscribe’ in the subject line. Remember, if you change your e-mail address you will need to re-subscribe! EVENTS DISTRIBUTOR MEETINGS & TRAINING EVENTS Distributors are encouraged to attend their local meetings and as many national events as possible. These meetings provide invaluable training opportunities and the chance to meet with other Distributors and learn from their knowledge and experiences. Meeting content can vary depending on the type of meeting. To make it easy to understand the subjects covered at the various meetings, the meeting styles are usually classified thus: • PRODUCT ACADEMY: Pure Product Training • SUPER SUNDAY/SATURDAY: Product and Business Training • LEADERSHIP WEEKENDS: Advanced Business Training Invariably, speakers at these events are either Diamond Ambassadors (successful Distributors), corporate personnel, specially invited external guest presenters, or more usually a combination of some or all. Full details of meetings throughout the U.K. and Ireland are provided in the Back Office of the website and in the E-Newsletter. CONVENTION The highlight of the Neways events calendar is the Convention and Gala Dinner awards ceremony. This highly motivational and enormously informative event is a showcase for Distributor recognition, Product launches, promotional announcements, and a celebration of success. Attendance is a must for Distributors wanting to build their business. Convention is promoted on the website and in the E-newsletter. Distributors are advised to book early to avoid disappointment. It’s the ultimate in mixing business with pleasure! NEWAYS, YOU, AND THE INTERNET The Internet offers a huge opportunity to you in the development of your Business. Similarly, Neways recognises the value of this communication medium and has developed a number of tools that will allow you to get maximum benefit from using the Internet. Please note: The Neways Website is frequently updated in style, content, and functionality, and the procedures below may be subject to change. It is impossible to map out the entire website in detail, so we recommend you take the time to go online and explore it yourself. Here is a quick overview of some of the facilities at your disposal: WWW.NEWAYS.EU There are three primary domains within the website: 1. The Public area 2. The Distributor Area (requires a log-in) also called the Back Office 3. The Neways Preferred Customer Area (requires a log-in) also called the Back Office There is also a fourth vital area for you, which is covered later in this section: 4. Your Personal Webpage 14 Sales Aids, Events & Communication 1. The Public Area • This is the entry level to the Neways website. Most of the content in this domain is for public information. • From here you can easily access the other sections of the website via a simple navigation bar near the top of the page. • Content in the public area is primarily intended to provide a summary of the Neways Organisation, Corporate Mission, Product line and offers, Business Opportunity, and Distributor meetings, together with links to the various videos listed later in this section. 2. The Distributor Area • This is the “operational” domain of the website. • From here you can perform a variety of tasks, including placing your order online; access business training and Downline activity reports; download promotional materials and operational forms; check stock availability; and also create your very own Distributor Homepage. • To access the Distributor Area, you must apply for a log-in password. To apply for your Distributor log-in: • On the Distributor Area/Login Homepage, click on the “Forgot my password” link. • You will be prompted to enter your Neways ID into a field and to click on “Submit.” Your password will be immediately sent to the e-mail address that we have on our records. • Should we not yet have your e-mail address on our records, please communicate this detail to us by sending an e-mail to [email protected]. Online Store: The Neways online store is the most convenient way to place your order, as it is open 24 hours a day, every day! There are two main ways you can place your order within the online store: Quick Shop: This screen simply requires you to enter the Product item code and quantity you require and then click “Add/Amend” to update your shopping basket. Browse & Buy: To use this facility, simply click on the Product category listed and choose the individual item you require, enter the quantity you require and click the “Add to Basket” button to update your shopping basket. Downline Report: The Downline Report facility allows you to study the activity of your Downline Distributors and see who is ordering, how much they are ordering and how they are doing in terms of progressing through the ranks in the business. In the Distributor Section of the website, click on the tab “My reports”. When you do so, you will be requested to accept our terms and conditions in order to access this secure and sensitive information. Upon clicking “yes” you will be redirected to your report section page, where you can view the report in two ways: When you click on “View Downline”, your report opens. With this display you are able to filter your data subject to a number of criteria, which becomes more helpful as your Downline grows. For instance, you can set a filter to specify all those people who may not have ordered in the last month, which would allow you to contact them with an offer (the Company runs various Product offers from time to time) or encouragement to order. You can also run the report according to levels or width and decide if you want all the data displayed on one single page, or export your data as it appears on screen in a Word or Excel format, allowing you to manipulate your data as you wish. A seperate function allows you to single out a particular member of your Downline to see how he or she has progressed over the period since he or she joined your organisation. The second option is to enter your e-mail details into the designated field and request your Downline report to be sent to you via a link in an email. Hard copies of Downline reports can be requested from the Neways Europe Support Centre but may be subject to a fee. 15 Sales Aids, Events & Communication Another report that can also be accessed through this area of the website is the Commission Statement Report. Available as PDF files, these files are your earning statements and will be accessible only in the months in which you generate a Neways commission payment. The reports can be downloaded and archived on your personal computer. 3. The Preferred Customer Area Similar to the Distributor Area, the Preferred Customer section of the website can be accessed by entering both your Neways ID and a valid password, which can be obtained in the same way as described for a Distributor. Once logged in to this section of the website, Preferred Customers can place an online order, access news articles, and view a selection of the download files also available to Neways Distributors. Preferred Customers are not able to produce a Personal Webpage, since they are not able to participate in the Compensation Plan, introduce others, or offer Products for resale. 4. Your Personal Webpage This service is effectively free of charge and allows you to create your own bespoke web page, with your own domain name that you can use in the promotion of your Business. Effectively, your own professional webpage packed with Product information, business testimonials, videos, and an online catalogue, together with an online Opportunity Presentation, could possibly be the first time someone hears about Neways—and that’s YOUR Business. The site mirrors the style of the Neways Corporate site. This simple webpage reinforces your association with Neways and can be an invaluable marketing tool for you, adding another dimension to your marketing channels. The design of your page works through the use of a series of simple-to-follow-and-use templates so that you can have a professional-looking web page within minutes. And the great thing is you can redesign the look and feel of your website as often as you like! It’s important to follow up on Prospects who have viewed your page. As soon as a Prospect views the website through your PWP (Personal Web Page), his or her details are automatically logged against your account number so that he or she is signed within your team, should they wish to open an account of their own as either a Distributor or Preferred Customer. Once you have your URL and website up and running, it’s the ideal medium to share with others whether by e-mail, over the phone, in person, or via social networking sites. VIDEOS AND PRESENTATIONS A number of videos and multimedia tools are available in the public area of the Neways website for you to access or direct your prospects to. Most of them can also be incorporated into your own Personal Webpage. Amongst others, these videos and tools include: Neways Opportunity PowerPoint Presentation This 15-minute slide presentation with automatic voiceover takes the viewer through the Neways story, our Mission, our Products, and our Business and earning opportunity. It also helps you as a Distributor to learn a script for when you’re using the Business Presenter, (another component of your Business Kit) with someone face to face. 12 Reasons Why Neways There are a whole host of reasons why people choose Neways, and we narrowed it down to 12 key reasons why we believe that Neways’ Products and Business Opportunity are such a tempting proposition right now. By accessing this video, you will learn why Neways is the right choice for you and, of course, for anybody you know who might benefit from opening a Neways account and trying our Products. 16 Sales Aids, Events & Communication Healthy Homes Survey This is a fun, exciting and interactive graphical representation of a typical home. Send prospects on a tour of ‘their home’ to help them uncover some of the scientifically controversial ingredients that may be lurking in every room of their house. The survey asks the participant a number of questions to raise understanding and awareness of the potential hidden ingredient risks surrounding us. On completing the survey, your prospect will have an even better appreciation for the Neways Product ingredient philosophy. 3,000 Ingredients A short, dramatic graphic video highlighting the Neways philosophy and our Mission to avoid over 3,000 scientifically controversial ingredients in the formulation and manufacture of Neways’ safe, effective range of personal care, home care, and nutritional products. WWW.NEWAYSSCIENCE.COM The Neways Product range and our Mission are based on and supported by science. The science website is an amazing, informative tool for Neways Distributors and features the views and opinions of the Neways Scientific Advisory Board (SAB), together with some of the Company’s most eminent staff and scientists. Neways developed this resource for its Distributors to be able to find the answers to their Product and ingredient questions. The site draws upon the expertise of Neways’ Scientific Advisory Board, which is staffed by distinguished, highly qualified scientists who help the Company fulfil its Mission to provide our Distributors with safe, effective, and scientifically advanced Products, free from potentially harmful ingredients. To access the Neways Science Website, visit www.newaysscience.com. When you land on the home page, you will see that some sections (“Home” and “Member Bios”) are accessible to the public. To access all other areas of the site, you will need to log in, just as you do when you log into the Distributor section of Neways Website. When the log-in screen appears, simply follow the instructions: 1. Enter your ID number (username) 2. Enter your Neways password 3. Finally, select your market from the drop-down menu Key Features: The Neways Science Website offers several innovative tools, including but not limited to: • INGREDIENT GLOSSARY: Neways prides itself on using safety-conscious ingredients to minimise harmful effects. This ingredient glossary is part of our ongoing effort to make it crystal-clear which ingredients the Company uses in its various nutritional and personal care products. • SCIENCE LIBRARY: Neways scientists and Scientific Advisory Board members continually comb global scientific literature for new insights and innovations in the fields of nutrition and personal care. Many of the latest scientific articles are available for Distributors to review on this site. Additional functionalities include: • Podcasts: Video and audio messages from SAB Members and key Corporate Staff. • Newsletter Archives: Documenting previous SAB communications. • Frequently Asked Questions (FAQ): Useful and interesting insight into ingredients, products, R&D, technologies, etc. An evolving tool that will provide you with conclusive and substantiated information relating to Neways Products and fascinating information to share with others. The more questions we receive from Distributors, the more information you can access, and, of course, we will learn more about the needs and concerns of Neways Distributors worldwide! 17 Sales Aids, Events & Communication WWW.NEWAYSTV.COM Visit Neways’ very own TV channel. This site is home to all Neways’ video material and is a great resource for potential Distributors or to use as an enhancement for your prospects or team presentations. The site currently features video material in English, French, and German to support our European region. For those who sponsor Distributors internationally in Neways’ key markets around the globe, it is important to note that the site is segmented into a number of regions/markets, so you can direct prospects to view the videos applicable to the Products and business practices in their markets. WEBINARS & CONFERENCE CALLS Neways organises webinars, which are online audio-visual presentations that you can dial into from the comfort of your home office, via the Internet, completely free of charge, although call costs may apply. These presentations are hosted by some of Neways’ key Research and Development Staff, Product Managers and members of the Scientific Advisory Board. Using this medium, Neways can guarantee direct and regular communication with you, our valued Distributors, without you having to step out of the comfort of your home. Predominantly product focused, these seminars can be accessed simply by pre-registering and then dialling in at the allotted time. Details are announced via the E-newsletter, which also carries the link required to register. You simply click on the link, and once you have entered in your e-mail details, you will be sent a further link that enables you to access the webinar. Then all you have to do is turn your speakers up and sit back and enjoy. What more convenient way can you think of to build up your product knowledge? Make sure you listen carefully, as in most webinars we give away prizes! Missed one? All webinars are recorded and are downloadable from the Back Office section of the European website 24/7. 90-DAY E-MAIL CAMPAIGN The 90-day e-mail campaign is geared toward supporting brand-new Distributors and Preferred Customers in their first three months of association with Neways. When a person opens a Neways Distributor or Preferred Customer account and supplies us with a valid e-mail address, we will send an initial e-mail to welcome that person to Neways. E-mails are then sent at five-or-six-day intervals, varying in content between Product information and hints and tips on how to build a Neways Business. Should a person wish, he or she can unsubscribe at any time by clicking on the link at the bottom of each e-mail. In summary, Neways is proud to boast a whole variety of tools that complement each other and support you as you develop your business and share the Neways Products and Opportunity with others. Neways doesn’t have the associated costs or the enforced targets that a traditional franchise would have, but in terms of brand awareness and marketing support, we believe Neways is amongst the very finest opportunities available to anyone today, anywhere in the world! 18 Compensation Plan, Rewards and Awards Compensation Plan, Rewards and Awards Guide to the Neways Compensation Plan The Neways Compensation Plan is the system through which you receive your financial compensation and recognition awards. You will not only be paid on your personal effort, but also on the success of your team, or Downline as we call it (those people who you have introduced and they have introduced and so on). It follows then that support of your Downline is one of the most important elements in developing a successful, secure, and profitable business for yourself. When you help them, they learn to help others, and when they grow, you grow! A comprehensive explanation of the Compensation Plan and how it works can be found on the Neways website, but for the purposes of this manual we have kept it as simple as possible, with the aim of providing you with a general overview of how the plan works and what you have to do to achieve the various ranks and requalify at those ranks to maximize your earning potential. Every new Distributor starts in the same place as a Consultant. You will see from the following diagrams that the quickest way to increase your earnings is to progress upward through the ranks of the Compensation Plan. Take a little time to understand and work through the short examples we’ve provided here, and remember that your Sponsor and their Uplines are always available to help you. First Steps Our Business—and your Business—is simply about using the Products and recommending them to others. If the people you recommend Neways to then decide to transfer their spending from the supermarket to Neways and buy at preferred prices, you will earn a commission based on their purchases and the purchases of anyone they in turn introduce. It’s just like recommending a good restaurant you’ve eaten at or a film you enjoyed; the only difference is, you get paid when they order from Neways in response to your recommendation. Your personal (and honest) recommendation is more effective than expensive glossy brochures or even radio or TV advertising. You’re not selling anything, merely talking about Neways and our Products. Previously you read about the basic Neways six-step Business System and the four wheels. These two simple programmes are designed to help you introduce the Neways Products and Business to others and, as a result, begin to build a Downline. In simple terms: • Use the Products yourself. • Recommend the ones that you love the most to other people. • They may then want to: o Try them for themselves (become a Retail Customer and buy from you) o Buy them at Preferred Prices for themselves (open an account as a Preferred Customer) o Buy at Wholesale Price and recommend them to others (open an account as a Distributor). Note: Only Distributors can take advantage of the Compensation Plan. 19 Compensation Plan, Rewards and Awards A Downline Develops… When you introduce other people to Neways Products and they open an account, your own Downline develops. The diagram below illustrates how a typical Downline could start to build. Let’s say you personally introduced Mary, John, and Jane. These three people are on your first level and are front-line to you. YOU Consultant Mary John Jane Preferred Customer Consultant Consultant David Consultant Brian Preferred Customer Dianna Consultant • Since Mary would like to buy the Products more cheaply but does not want to build her own Downline yet, she would open an account as a Preferred Customer. • John and Jane want to share the Products and earn an extra income, so they open accounts as Distributors (starting rank is Consultant) and are eligible to build their own Downline. • After that, John introduces David as a Distributor, whilst Jane introduces Brian as a Preferred Customer and Dianna as a Distributor. Tip: As your Business builds and you progress through the ranks, you will learn that the key to building a secure Business and to getting maximum benefit from the Compensation Plan is to build in width (never stop introducing people personally) and in depth (work with your Downline and support them in building their own teams). The First Rank All Neways Products (not including marketing materials) have a point value attached to them. This value is referred to as Personal Volume (PV). The commission you receive as a Distributor depends on your rank, your own purchases (your PV), and the combined Personal Volume of each of your Downline (your Group Volume or GV*). When you reach a higher rank, it can mean one or more of the following: • You get access to additional rewards • A higher percentage is paid to you • You earn money on Distributors who are deeper in your Downline. 20 Compensation Plan, Rewards and Awards To maximise your income from the Neways Compensation Plan, you should constantly aim to achieve three things: 1. Qualify each month at the set levels 2. Increase your GV 3. Improve your rank. The next two ranks up from Consultant are Supervisor and Manager. Both can be reached through your own effort, but the easier and faster way is to develop a team (or Downline), since progression to these ranks is based on your Cumulative Group Volume (CGV), which is the total PV of yourself and your team (GV) since the day you joined Neways. In the qualifying month you must also achieve at least 75PV. If you reach the qualification criteria for a new rank in a particular Volume Month, you get the title in the following Volume Month and will be paid accordingly in that following month, if you reach at least 75PV (the level required for re-qualification). If, for example, you qualify as a Supervisor in Volume Month March, you will be paid as a Consultant in March and as a Supervisor starting in Volume Month April. To qualify from Consultant to Supervisor, you have to achieve at least 75PV and 750CGV in the month. There is no time limit on reaching these levels.** * GV does not include the volume of anyone in your Downline who has achieved the rank of Executive or above, but in the early part of a Distributor’s development, you are unlikely to have an Executive in your Downline. ** From time to time the Company may run promotions to qualify at certain ranks with reduced volume criteria. Simple Glossary of Terms Affinity Volume (AFF): All PV over the first 75PV of a Distributor in the Volume Month. For example, a 100PV order can be broken down into 75PV Multiplex and 25PV Affinity. Cumulative Group Volume (CGV): Your total GV accumulated since joining Neways as a Distributor. Downline: All the people in your organisation who have been introduced by you, or by people you introduced, or by people they introduced, etc. Group Volume (GV): Includes your Personal Volume (PV) and all the PV of your Downline Preferred Customers and Distributors, down to but not including the next Executive Distributor (or higher rank) and their group, placed in the Volume Month. Leg: Each personally sponsored Distributor is the start of a Leg, which includes all Downline from that Distributor. Multiplex Volume (MPX): The first 75PV of a Distributor in the Volume Month. Personal Volume (PV): The sales volume associated to products directly purchased by a Distributor or by a Preferred Customer within the Volume Month (VM). Preferred Customers: Preferred Customers may not participate in the Neways Compensation Plan. Preferred Customers are treated as Consultants for the purpose of the Plan, and their volume is counted in your Affinity Group Volume. Qualified Executive Leg: A Leg containing an Executive or above who has qualified at the rank (by earning Executive Leadership Commissions) in the Volume Month. Qualified Multiplex Leg: A Leg containing a Distributor who has ordered at least 75PV in the Volume Month. Volume Month (VM): The month into which volume is credited for commission and qualification purposes. Please refer to Policies and Procedures and the Compensation Plan for more definitions. 21 Compensation Plan, Rewards and Awards At-a-Glance Guide to the Neways Compensation Plan The higher you go, the more money you can make! Car or Home Payment Programme Additional 10% of earnings up to 750 points Affinity Leadership Commission 3 - 8% Executive Leadership Commission 5% Group Development Commission (Affinity Profit Centre) 5– 20% Personal Compensation (Affinity Profit Centre – All volume over 75PV) 10 – 20% Multiplex Leadership Commission (Paid in Multiplex) 2 – 6% paid on first 75PV of Distributors in your organisation Multiplex Commission 7 – 10% paid on first 75PV of Distributors in your organisation Consultant Supervisor Manager Executive Senior Executive Master Executive 4 Executive Legs Register as an Independent Distributor 75PV and 750CGV 75PV 75PV 75PV and 2000CGV 75PV Presidential Executive Ambassador Diamond Ambassador 5 Executive Legs 7 Executive Legs 9 Executive Legs 800GV incl. 75PV & 350 AFF + 4500CGV OR 3000CGV over 1 or 2 months incl. 75PV As Executive + 3 qualifying Executive legs in your Downline (All criteria [except CGV] must be achieved in a single Volume Month*) 800GV incl. 75PV & 350 AFF 800GV incl. 75PV & 350 AFF + 3 qualifying Executive legs What you need to do each month to get paid at this rank What to do to achieve this rank (Monthly re-qualification criteria) * Except when qualifying as Executive using the two-month option. 22 Compensation Plan, Rewards and Awards Multiplex & Multiplex Leadership Commission Multiplex is the foundation of your Neways business, able to deliver commission regardless of rank and offering payouts from your first month of joining Neways. Multiplex Volume is up to the first 75PV placed each month by every Distributor. It allows rapid commission development, maximising your commission and opening up all levels of your Downline through the Multiplex Leadership Commission. You are not paid on your own Multiplex Volume. Any with 0-3 qualified legs* 75PV 75PV with 4-6 qualified legs* with 7-11 qualified legs* 1 7% 10% 5% + 2% = 7% 5% + 4% = 9% 5% + 6% = 11% 2 7% 10% 10% + 2% = 12% 5% + 4% = 9% 5% + 6% = 11% 3 7% 10% 10% + 2% = 12% 10% + 4% = 14% 10% + 6% = 16% 4 7% 10% 10% + 2% = 12% 10% + 4% = 14% 10% + 6% = 16% 5 7% 10% 10% + 2% = 12% 10% + 4% = 14% 10% + 6% = 16% 6 5% 5% + 2% = 7% 10% + 4% = 14% 5% + 6% = 11% 40PV Paid Levels Personal Volume 75PV 75PV with 12+ qualified legs* 7 5% + 6% = 11% * A qualified Leg is a Downline Leg that includes at least one Distributor who has met the monthly 75PV requirement. M u lt i ple x L E A D E R S H I P C O M M I S S I O N Group Development Commission (Affinity Profit Centre) The Group Development Commission builds upon your Multiplex foundations to rapidly advance you through the ranks. In doing so, it increases your commission payouts further and propels you to Executive status, the first leadership position. Affinity volume is all PV placed over and above the initial 75PV Multiplex volume generated by each member of your group. Executive 3000CGV in any one or two consecutive months incl. 75PV OR 4500CGV with 800GV with minimum 350AFF and 75PV in a qualifying month Manager 2000CGV with 75PV in a qualifying month Supervisor 750CGV with 75PV in a qualifying month Consultant Starting rank—no criteria AFF........Affinity Volume OCG.......Override on Consultant Group (incl. Preferred Customers) 20% PC 15% 5% 10% 5% 10% 10% 15% 20% PC PC 0% PC OCG OSG OCG OMG OSG OCG OMG.......Override on Manager Group OSG.......Override on Supervisor Group PC..........Personal Compensation 23 Compensation Plan, Rewards and Awards Executive Leadership Commission & Affinity Leadership Commission When you reach the rank of Executive, your Neways Business is at a key stage. You can now inspire the members of your Downline to follow your success. By working with and developing your leaders beneath you, you can realise the full potential of your Neways Business and advance to the most prestigious rank of all, Diamond Ambassador. Executive Leadership Commission is paid on the Affinity Volume of your Downline Executive groups (qualified and non-qualified). Affinity Leadership Commission is paid at Senior Executive and above, opening up all levels of your Downline. 800GV 800GV 800GV 800GV 400GV 200GV 200GV Executive Senior Executive 3 qualified Executive legs Master Executive 4 qualified Executive legs Presidential Executive 5-6 qualified Executive legs Ambassador 7-8 qualified Executive legs Diamond Ambassador 9+ qualified Executive legs 1% AFFINITY Diamond 9+ qualified Executive legs 5% 5% + 3% = 8% 5% + 4% = 9% 5% + 5% = 10% 5% + 6% = 11% 5% + 7% = 12% 5% + 8% = 13% 5% 5% + 3% = 8% 5% + 4% = 9% 5% + 5% = 10% 5% + 6% = 11% 5% + 7% = 12% 5% + 8% = 13% 5% 5% + 3% = 8% 5% + 4% = 9% 5% + 5% = 10% 5% + 6% = 11% 5% + 7% = 12% 5% + 8% = 13% GIVES ACCESS TO Car and Home Payment Programme Qualification 5% + 4% = 9% 5% + 5% = 10% 5% + 6% = 11% 5% + 7% = 12% 5% + 8% = 13% 5% + 6% = 11% 5% + 7% = 12% 5% + 8% = 13% With 150,000 organisational volume and maintain afterwards A ff i n i t y leadersh i p C omm i ss i on How Is Your Commission Calculated? The first commission you receive from Neways is called Multiplex (calculated on the first 75PV of any order placed by a Distributor in your Downline; you do not earn on your own Multiplex Volume). • If you achieve 40PV in the month, you receive 7% on your Distributors’ Multiplex (down to five levels). • If you achieve 75PV in the month, you maximise your earnings and you receive 10% commission on your Distributors’ Multiplex Volume (down to five levels). • To maximise your earnings in any single month, it is recommended that you always aim to achieve a minimum of 75PV. How Much More Does a Supervisor Earn? When you progress from Consultant to Supervisor, you receive an additional two commissions on top of the Multiplex Commission. You earn on your own Affinity Volume and on the Affinity Volume of your Consultants and Preferred Customers. Affinity Volume is all PV over the first 75PV placed by a Distributor. RANK Earning Potential Consultant..........................10% on the Multiplex Volume of your Downline Distributors on the first five levels Supervisor..........................10% on the Multiplex Volume of your Downline Distributors on the first five levels +10% on your own Affinity Volume +10% on the Affinity Volume of your Consultants and Preferred Customers 24 Compensation Plan, Rewards and Awards The following table explains the different commissions for a Consultant and a Supervisor with an identical Downline, assuming that the various people in the Downline achieve the PV shown: YOU Consultant or Supervisor 120PV Mary John Jane Preferred Customer 80PV Consultant 75PV Consultant 160PV David Consultant 50PV Level 0 Commission on… Your Personal Volume PV 120 Level 1 Brian Dianna Preferred Customer 80PV Consultant 80PV PV is split as Multiplex Affinity 75 45 Level 2 Earnings as Consultant as Supervisor --4.50 1 Mary (Preferred Customer) 80 --- 80 0.00 8.00 1 John 75 75 0 7.50 7.50 1 Jane 160 75 85 7.50 7.50 + 8.50 2 David 50 50 0 5.00 5.00 2 Brian (Preferred Customer) 80 --- 80 0.00 8.00 2 Dianna 80 75 5 7.50 7.50 + 0.50 Overall Points (GV) 645 350 295 Total Earnings in £ £27.50 £57.00 Total Earnings in € (2010) €36,30 €75,24 See for yourself the financial benefits of doing exactly the same amount of work but qualifying at a higher rank! Commissions are converted to Euros for markets outside of the U.K. (such as Ireland and Malta), using the prevailing corporate rate at the time. A final recap of some key points in building your Neways Business: • Start by working with two or three people and helping them do the same. • Set yourself the goal to reach the rank of Supervisor as quickly as possible. • Continue to talk to new people. • If someone does not want to become a Distributor but would still like to try the products, offer them the opportunity to open an account as a Preferred Customer. • Build your Downline so that it grows in width and depth. • Don’t just follow these guidelines yourself; encourage your Downline to follow them too. All you have to do now, as covered in the previous section, is find some people to talk to and share the Neways Products and Business Opportunity with. There’s no time like the present! 25 Compensation Plan, Rewards and Awards ACHIEVEMENT AWARD PROGRAMME In addition to the Compensation Plan and the earning opportunity, Neways also likes to recognise its Distributors for other areas of achievement and success. When was the last time you were patted on the back and recognised in front of your peers for a job well done? Neways prides itself on recognition at all levels in the business, and we regularly recognise and celebrate Distributor achievements at all events, from local business opportunity meetings to National Conventions and sometimes International Conventions. RANK PINS Pins are sent out through the post to all Distributors who advance through the ranks, or pins may be awarded separately at events. The pins available at each level of achievement are shown below. Consultant Master Diamond Ambassador Supervisor Presidential Diamond Ambassador (4 Diamond Ambassador legs) (5 Diamond Ambassador legs) Manager Executive Ambassadorial Diamond Ambassador (7 Diamond Ambassador legs) Senior Executive Crown Diamond (9 Diamond Ambassador legs) Master Executive Double Diamond Presidential Executive (18 Executive legs) Ambassador Triple Diamond (27 Executive legs) Diamond Ambassador Quadruple Diamond (36 Executive legs) Senior Diamond Ambassador (3 Diamond Ambassador legs) 26 Compensation Plan, Rewards and Awards CRYSTAL EXECUTIVE AND CRYSTAL DIAMOND QUALIFICATION Crystal Executive qualification is a measure of consistent effort in your Neways Business, and it’s a prime driver for achieving success. Crystal Executive qualification is awarded to any Distributor at Executive rank and above who qualifies at that specific rank for five out of six months. The two six-month periods run from March to August and September to February, but from time to time, as announced in newsletters and on the website, these time periods are varied to coincide with particular promotions or incentives. Crystal Diamond is a special aspirational award, recognising the exceptional achievement in consistency in business development, awarded to those who qualify as Diamond for 10 out of 12 months. Crystals are recognised on stage at Convention and at various other events throughout the year, sometimes qualifying for extraordinary privileges above and beyond the usual Compensation Plan. SPECIAL PROMOTIONS Promotions are designed to increase your sales and hence your income, as well as to reward you for consistent or outstanding effort as you build your Neways Business. As you aim for promotions and encourage your team to do the same, your Business will invariably benefit and expand. From time to time, the Company runs Product-specific promotions, such as special prices or pack offers, for you to capitalise on and offer to your retail Customers or simply buy for yourself. Neways also runs business-building promotions. Unlike most traditional employers, Neways prides itself on rewarding its Distributors for their efforts in promoting the Neways brand and increasing sales. This is a business like no other, and occasionally Neways will even send promotion qualifiers on all-expenses trips abroad or international Leadership weekends or to foreign Conventions in five-star style! All promotions are communicated through the newsletter and website. Watch out for them—they are there for you to take advantage of! CAR OR HOME PAYMENT PROGRAMME As further reward for consistency of effort, Neways uniquely offers you an opportunity to drive the car of your dreams or own the home you’ve always wanted, and Neways will help to pay for it! The Car or Home Payment Programme operates on a points system. To participate in the Car or Home Payment Programme, you must qualify at the rank of Senior Executive or higher, with monthly earnings equivalent to 1,000 points or higher for a period of three consecutive months. Neways then helps you pay for your car or home installment at a rate of 10% of your monthly Neways earnings or 150 points, whichever is greater. The ceiling is 750 points or the amount of the car or mortgage payment, whichever is less. CAR PAYMENT PROGRAMME If payment is being made towards a car lease or loan, then this payment is made for a period of up to 36 months, after which time a new agreement for payments on a different car should be made. HOME PAYMENT PROGRAMME If payment is being made towards a home mortgage, then this payment is made for a period of up to 36 months, after which time the agreement on the same property should be resubmitted in order for payments to continue. In order to continue receiving either the Car or Home payment, you must continue to qualify monthly at the Senior Executive rank or higher and generate at least 1,000 points in total monthly commissions. Full details and Terms and Conditions are provided on the Application Form, available from the Neways Europe Support Centre and also available to view online. 27 Compensation Plan, Rewards and Awards Wish You were here? Neways: Mixing Business with Pleasure 28 Policies and Procedures Policies and Procedures These Policies and Procedures are the rules that Neways implements and uses to regulate activity for the protection of all parties including Distributors, Preferred Customers, Distributors’ Customers, and Neways BVBA. They are based on current European legislation and on the regulations approved and enforced by the Direct Selling Association, the industry’s governing body, of which Neways is a member. The Policies and Procedures included in this section are primarily applicable for the UK, Ireland and Malta. There may be significant differences in the methods of operation that Neways and its Distributors adopt from country to country. Please contact Neways if you require the Policies and Procedures for another country. It is the Distributor’s responsibility to ensure that he or she visits the official Neways Distributor website applicable to their home market for the full and complete Policies and Procedures applicable and, to remain up to date with any changes that may be implemented from time to time. SECTION 1: DEFINITIONS Compensation Plan: The Compensation Plan currently in effect which stipulates under what conditions and in what percentage a Distributor has a claim to a commission. Customer: A person who purchases Neways Products directly from a Distributor. Distributor: An independent business owner appointed as a Neways Distributor by virtue of a Distributor Agreement. Distributor Agreement: The written agreement between Neways and each Distributor that includes collectively the Distributor Application, the Neways Policies and Procedures, the Neways Compensation Plan, and any related forms required to be completed or signed by a Distributor, all in their current form as amended from time to time. Distributor Application: The application form and accompanying Terms and Conditions required to be executed by a person to become a Distributor. Downline: Consists of the Distributors and Preferred Customers enrolled underneath a Distributor and their respective organisations. Downline Report: A report generated by Neways that provides data relating to the identities of Distributors, sales information, and enrolment activity of each Distributor’s organisation. Neways: Neways Europe BVBA, a company incorporated under the laws of Belgium (company number 0893292596). Neways Products: The products and services which Neways or its affiliates offer for sale. Policies and Procedures: The Neways Policies and Procedures currently in effect and as amended from time to time; the most recent version can always be found on Neways’ official website (see overleaf for details). Preferred Customer: A person who purchases Neways Products at preferred prices directly from Neways but does not participate in the Compensation Plan as a Distributor and cannot offer the Neways products for retail. Rolled-up: A former Distributor’s Downline organisation is “Rolled-up” by moving each Distributor in the first level immediately below the former Distributor to the first level of the former Distributor’s Upline. Sales Aids: Neways training materials and business support literature. Sponsor: A Distributor who has introduced a Distributor or a Preferred Customer to Neways and who is designated as such in the Distributor or Preferred Customer’s Application. 29 Policies and Procedures SECTION 2: INTRODUCTION 2.1 Policies and Compensation Plan Incorporated into Distributor Agreement The Distributor Application, the Policies and Procedures, the Compensation Plan and related forms are incorporated into, and form an integral part of, the Distributor Agreement. By executing a Distributor Application, the Distributor agrees to comply with and be subject to all of the terms and conditions of the Distributor Agreement in its current form and as amended from time to time. The Distributor Agreement is valid for one year which can be renewed for successive one year periods upon payment of a renewal fee as provided for in Section 5.6. Each Distributor is responsible for reading and understanding the Distributor Agreement in its most current version as published on Neways’ official Distributor website and other official Neways publications. 2.2 Modifications to the Distributor Agreement Because applicable laws as well as the business environment periodically change, Neways reserves the right to modify the Distributor Agreement in its sole reasonable discretion, provided that Neways gives Distributors at least a 30 day’s notice of the modification (60 day’s notice if the modification affects the Distributor’s financial obligations). Such modifications shall be effective 30 or 60 days (as applicable) following notice to all Distributors that the Distributor Agreement has been modified. Notification of amendments shall be published in official Neways materials. Neways shall provide or make available to all Distributors a complete copy of the amended provisions by one or more of the following methods: (1) Posting on Neways’ official Distributor website; (2) E-mail; (3) Fax-on-demand; (4) Inclusion in Company periodicals; (5) Inclusion in product orders or commission payments statements; or (6) Special mailings. SECTION 3: BECOMING A DISTRIBUTOR 3.1 Requirements to Become a Distributor Neways reserves the right to accept or reject any Distributor Application. To be eligible to become a Distributor, each applicant must: (i.)Be a natural person of at least 18 years of age residing in a European country as approved by Neways; or a business entity registered within the European countries supported by Neways. For the most updated list of countries we service please contact Neways Europe; (ii.) Have a valid national number, tax identification number, or similar number; (iii.) Submit a properly completed and signed Distributor Application; and (iv.) Make an initial product purchase in any amount chosen by the applicant. Aside from the initial product purchase and, in some markets, the purchase of a Business Kit, there are no charges or fees required to become a Distributor. Neways offers Sales Aids to Distributors for purchase at a cost. UK Distributors: Pursuant to UK law, Neways may not accept payments exceeding £200 (VAT inclusive) from a Distributor within the first 7 days following the commencement of a Distributor Agreement. This clause does not apply to Preferred Customers. 3.2 Application Methods 3.2.1 Online Applications Distributors may sign up online on Neways’ sponsored websites in most of the Neways markets. Online acceptance of the Distributor Agreement has the same legal effect as if the applicant had physically signed it. 3.2.2 Applications by email Distributor Applications forms can be submitted to Neways via email. The form must be signed and attached as a scanned document. 30 Policies and Procedures 3.2.3 Applications by Fax Distributor Applications submitted to Neways via fax constitute originals and there is no need to submit a subsequent copy. Faxed applications must be clear and include a signature. Signed applications can also be sent to Neways by post. Phone applications are not possible. 3.3 Data Consent The Distributor agrees that the personal data specified in the Distributor Agreement, as well as the personal data collected by Neways in the performance of the Distributor Agreement, is necessary for Neways to operate its distribution network and to carry out its obligations under the Distributor Agreement. The data is used by various entities within the Neways corporate group involved in the operation of the distribution network. It may also be transferred to other Distributors pursuant to the terms of this Agreement. The Distributor consents to the use of this data by various entities within the Neways corporate group, including outside the European Union or the European Economic Area (EEA), involved in the operation of the Distributor network. The Distributor has a right to access and to rectify the data concerning him or her and to object at any time without cost to the further processing of the data for direct marketing purposes. 3.4 One Distributorship per Individual A person may own, operate, or have equitable interest in only one Neways Distributorship. Business entities, trusts, or other devices may not be used to avoid this policy. 3.4.1 Spouses and Children Spouses (including common-law relationships) must jointly hold one Distributorship. Exceptions to this policy will be considered on a case-by-case basis upon receipt by Neways of a written request in cases such as two Distributors marrying or a Distributor receiving an interest in another Distributorship through inheritance from an immediate family member. Children of Distributors who are otherwise qualified to become Distributors and who reside in the same household as a Distributor may own and operate separate Distributorship from the parent Distributor, provided that the child is an independent tax payer. 3.4.2 Joint Liability; Actions of Household Members or Affiliated Individuals Where a Distributorship is held jointly by two or more persons, those persons shall be jointly and severally liable for the performance of any obligations under the Distributor Agreement. If a member of a Distributor’s immediate household or an individual associated with a corporation, partnership, trust or other entity engages in any activity which, if performed by the Distributor, would violate any provision of the Distributor Agreement, such activity will be deemed a violation by the Distributor and Neways may take disciplinary action pursuant to the Distributor Agreement against the Distributor. 3.5 Independent Contractor Status Distributors are not purchasers of a franchise or business opportunity. Distributors are independent contractors and have no authority (expressed or implied), to bind Neways to any obligation. Each Distributor shall establish his or her own goals, hours, and methods of sale, so long as it complies with the terms of the Distributor Agreement. Each Distributor may delegate the performance of their services under this Agreement to such third party or parties as may, at their request, be approved by Neways in writing as properly trained and competent for that purpose, provided that (i.) Such third party undertakes to Neways to adhere to the terms of the Agreement and (ii.) No such delegation shall relieve the Distributor from any obligations or liabilities under the Agreement, the Distributor shall be fully responsible for the acts and omissions of its delegates to the same extent as the Distributor is responsible for their own acts and omissions pursuant to this Agreement, and the Distributor shall at all times indemnify and hold Neways indemnified in relation to the acts and omissions of its delegates accordingly. 3.6 Compliance with Laws Distributors shall comply with all applicable local, national and other laws and regulations in the conduct of their business, such as social security, tax, and any other applicable laws including consumer protection laws, and shall be solely responsible for the fulfilment of all applicable statutory obligations. 31 Policies and Procedures 3.7 Changes to Distributorships 3.7.1 Additions of Co-Applicants A Distributor may add a co-applicant to an existing Distributorship by written request and the submission of a properly completed Distributor Application. The original Distributor must remain as a party to the original Distributor Agreement. In order for the original Distributor to leave the Distributorship, the Distributor must transfer or assign the Distributorship in accordance with the transfer and assignment section below. Otherwise, the Distributorship shall be cancelled upon the withdrawal of the original Distributor. 3.7.2 Sale, Transfer or Assignment of Neways Business A Distributorship may only be transferred to the Distributor’s first Upline, a person sponsored by the Distributor, or a person who is not currently a Distributor. Written consent of Neways is required for a transfer, which consent may be withheld by Neways at its sole discretion. The selling Distributor must be in good standing, complete the documentation requested by Neways and not in violation of any terms of the Distributor Agreement. The transferee must qualify as a Distributor and complete the documentation requested by Neways. The selling Distributor’s direct Upline shall have a right of first refusal. Neways will withhold its consent if it believes that the selling Distributor’s Upline or Downline will be disadvantaged by the transfer. No changes in line of sponsorship can result from the sale or transfer of a Neways business. If a Distributorship is sold to the Distributor’s direct Upline the Distributorship will be rolled-up or assigned to the new Distributor. There may be a fee to finalise a transfer of Distributorship. 3.7.3 Separation of Distributorships If a marriage ends in divorce or a business entity is dissolved, arrangements must be made to assure that any separation or dissolution is accomplished so as not to adversely affect the Upline or Downline. If, in the reasonable discretion of Neways, the separating parties fail to provide for the best interests of other Distributors and Neways, Neways will terminate the Distributor Agreement and rollup the organisation. Under no circumstances will the Downline organisation of divorcing spouses or a dissolving business entity be divided. In the event that parties to a divorce or dissolution proceeding are unable to resolve a dispute over the disposition of commissions and ownership of the business within six calendar months from the date on which the divorce action was filed or the dissolution proceedings instituted, the Distributor Agreement shall be terminated. If a former spouse has completely relinquished all rights in the original Neways business, the person is free to immediately enrol under any Sponsor. Former entity affiliates must wait six calendar months before enrolling under a different Sponsor, but may re-enrol immediately under the same Sponsor who had been the Sponsor of the dissolved entity. In such cases, however, the former spouses or business affiliates shall have no rights to any Distributors or Preferred Customers in their former organisations. 3.7.4 Succession Upon the death or incapacitation of a Distributor, the Distributor’s business may be passed to his or her heirs or trustee. Appropriate legal documentation, such as but not limited to a will, must be submitted to Neways to ensure the transfer is proper, and the transferee must meet all of the qualifications for the original Distributor’s status and sign a Distributor Agreement. If a will or other testamentary document is contested, and the business is not awarded within six months from the date of the Distributor’s death, or if the successor does not complete all of the requirements within such six month period, the business shall be terminated. If a Distributor dies without providing for the disposition of the Neways business by will or other testamentary device, the business shall be terminated. 3.8 Distributor Benefits Upon appointment as a Distributor, the Distributor shall be entitled to: (i.) Purchase Neways products and services at the Wholesale price for personal consumption or for resale, if permitted in that particular market, to Customers in the Distributor’s own name and account; (ii.) Participate in the Neways Compensation Plan; and (iii.) Sponsor new Distributors and Preferred Customers. 32 Policies and Procedures 3.9 Preferred Customers In some markets, a person may become a Preferred Customer and shall be entitled to purchase Neways products at preferred prices directly from Neways. Preferred Customers are part of a Distributor Downline but are not entitled to participate in the Compensation Plan and offer Neways products for retail sale. A Preferred Customer may transfer to a Distributor status by writing to Neways and requesting a Distributor Application Form. They will remain under their current Upline. Neways reserves the right to change the status of a Distributor to Preferred Customer when the Distributor’s Distributorship Agreement is terminated due to inactivity (see Termination due to Inactivity). A Distributor who becomes a Preferred Customer due to inactivity may reapply under a new Sponsor as Preferred Customer or even as a new Distributor by writing to Neways and requesting an Application Form, but only if the former Distributorship has made no product purchases, has no sponsoring activity, and has not participated in any other form of Distributor activity (including attending events) within the previous 6 months. A Preferred Customer may reapply under a new Sponsor after the expiration of six months from the previous signed application, as long as they have not placed an order during this time. A Preferred Customer who has not placed a single order over a period of 24 months, or longer, is no longer regarded as an active Neways customer. Neways reserves the right to delete their personal data from the distribution network and relevant reports. SECTION 4: OPERATING A NEWAYS BUSINESS 4.1 Adherence to the Neways Compensation Plan Distributors must adhere to the terms of the Neways Compensation Plan and shall not offer the Neways opportunity through, or in combination with, any other system, programme, or method of marketing other than that specifically set forth in official Neways literature. 4.1.1 Direct Selling Method; Retail Outlets and Trade Shows Distributors may sell Neways Products through person to person contact only (commonly referred to as “direct selling”). Distributors may not display or sell Neways Products in any retail or services establishment. However, Neways Products may, to the extent permitted by law, be displayed and sold in health spas, hair, nail and or skin salons, tanning salons, gyms or health clubs, and offices of health care practitioners, provided that someone in the establishment is a Distributor and someone knowledgeable about Neways products is present at all times. Distributors may display and sell Neways products at trade shows and professional expositions only with the prior written approval of Neways. Neways reserves the right to refuse authorisation to participate at any function which it does not deem a suitable forum for the promotion of its products or opportunity, and may sometimes only grant approval for one stall per event. Approval will not be given for swap meets, garage sales, flea markets, farmer’s markets and the like as these events are not conducive to the professional image Neways wishes to portray. 4.1.2 Not For Resale Purchasing Distributors may not resell products in countries where a Neways affiliated company is not in operation. Product purchases in these markets are to be for personal consumption only and must be limited to personal use volumes. 4.1.3 Direct Selling Associations As Neways is a member of national and international direct selling associations, Distributors must, in carrying out their businesses, strictly comply with the applicable standards of conduct set up by these associations for the members and their independent distributors. For an up to date list of countries in Europe in which Neways is a member of the Direct Selling Association, please visit Neways’ website. 4.2 Advertising All Distributors shall safeguard and promote the good reputation of Neways and its products. The marketing and promotion of Neways Products and the Neways opportunity shall be consistent with the public interest, and must avoid all discourteous, deceptive, misleading, unethical or immoral conduct or practices. 4.2.1 Advertisements, Promotional and Sales Materials Distributors may not use any written sales aids, promotional materials, advertisements, and other literature (including Internet advertising) produced by them unless first submitted to Neways and 33 Policies and Procedures obtaining written approval from Neways. These materials must expressly identify the Distributor as the producer thereof as an “Independent Distributor” and must avoid any impression that they are Neways materials. 4.2.2 Distributor Websites Distributors may utilise an Internet web page to promote their businesses, provided that: (i.) All websites must receive the prior review and written approval by Neways; (ii.) Distributors shall not offer for auction any Neways products on the Internet; (iii.) Only Neways products may be advertised on the website, and the website may not have any links to other websites; and (iv.) The content of the website must be otherwise compliant with Neways policies. 4.2.3 Trademarks and Copyrights Distributors must always represent themselves as independent business owners and avoid any impression that a Distributor is an employee or agent of Neways. The name of Neways, the names of Neways Products and other names adopted by Neways are proprietary trade names, trademarks and service marks of Neways. Neways copyrights its printed materials, sales aids, etc. Distributors may only use Neways names, copyright materials, designs, logos, trade names, trademarks, slogans, symbols colour schemes, etc. in a manner expressly authorised by Neways. Without limiting the foregoing, the following restrictions apply unless otherwise expressly authorised by Neways: (i.) Sales materials, product information and other literature produced by Neways may not be copied without the prior written consent of Neways. (ii.) Use of the “Neways” name on any materials (including Internet) not produced by Neways is prohibited except for the designation “Independent Neways Distributor”. (iii.)Distributors may not register or use any Neways trade names, trademarks, service names, service markers or product names, or any derivative thereof, for any Internet domain name or in any portion of an e-mail address. (iv.)Distributors may not use any Neways name or logo as an element of their company name. (v.)Distributors may not place telephone, Internet, classified or other directories using any Neways name or logo. (vi.)Distributors may not answer the telephone using any Neways name or in any manner that would lead callers to believe they have reached the Neways offices. (vii.) Distributors may not, without the prior written permission from Neways, produce for sale or distribution any recorded Neways events and speeches, or reproduce for sale or for personal use any recording of any Neways audio or video tape presentations. (viii.) Distributors may not re-package, relabel, refill or alter the labels on any Neways products, information, materials or programs in any way. Neways Products must be sold in their original containers only. 4.2.4 Media and Media Inquiries Distributors must not respond to media inquiries regarding Neways or their independent Neways business, and shall immediately refer such inquiries to Neways. A media enquiry is defined as an unsolicited contact from a media representative. 4.2.5 Help Wanted Ads Distributors shall not advertise in the “Help Wanted” section of newspapers, periodicals, websites, or other media. Under no circumstances shall a Distributor place an advertisement seeking to attract new Distributors that states or implies that an employment opportunity exists. All advertisements, regardless of the media utilised, must specify that the Neways programme is an opportunity to run and own an independent business. 4.2.6 Spamming and Telemarketing Distributors may not use or transmit unsolicited or mass faxes or e-mails to advertise or promote Neways Products or business opportunities. The use of automated telephone solicitation equipment or telemarketing operations is also prohibited. 34 Policies and Procedures 4.2.7 Product Claims Distributors may not make any claim that Neways Products are useful in the cure, treatment, diagnosis, mitigation or prevention of any diseases. No claims as to beneficial properties of any Neways Products may be made except those contained in official Neways literature. 4.2.8 Income Claims Distributors may not represent the Neways business opportunity in an exaggerated manner. Distributors may not make income projections, income claims, representations, or disclose their Neways income or the income of any other Neways Distributor. Distributors must provide prospective Distributors with a full and accurate explanation of the Neways business opportunity and Compensation Plan, and must emphasise the following: (i.) The extent of any obligations to make any purchases or pay any fees; (ii.) A Distributor’s success depends on personal suitability for the business and personal effort and commitment; and (iii.) A Distributor will not receive any remuneration solely for the sponsorship of new Distributors. Distributors must ensure that invitations to prospective Customers/Distributors to attend presentations must be truthful and accurate and should make clear the purpose of the occasion, describe the goods supplied by Neways, state the name and address of the promoter(s) and contain the following wording: “It is illegal for a promoter or a participant in a trading scheme to persuade anyone to make a payment by promising benefits from getting others to join a scheme. Do not be misled by claims that high earnings are easily achieved.” 4.2.9 Unauthorised Claims and Actions Distributors are fully responsible for their verbal and written statements made regarding Neways Products and business opportunity which are not expressly contained in official Neways materials. Distributors agree to indemnify Neways and Neways’ directors, officers, employees, and agents, and hold them harmless from any and all liability including judgments, civil penalties, refunds, attorney fees, court costs, or lost business incurred by Neways as a result of their unauthorised representations or actions. 4.3 Sponsoring All Distributors in good standing can, but are not obliged to, sponsor new Distributors and eventually Preferred Customers in accordance with the Distributor Agreement. Distributors who wish to sponsor others outside of the European area must comply with the applicable laws in addition to the Policies and Procedures of such countries. When recruiting in a different region, the Distributor is then compensated according to the governing compensation plan of this region. New Distributors and Customers can have only one Sponsor, and they have the right to choose their Sponsor when submitting a Distributor Application. If more than one Distributor claims to be the Sponsor of the same individual, Neways reserves the right to accept the first properly completed application received by Neways by any accepted means. 4.3.1 Change of Sponsor Distributors may not change their Sponsors, with the exception that they may do so by voluntarily cancelling their Distributor Agreement and remaining inactive (i.e. no product purchases for personal consumption or resale, no sponsoring, no participation in any other form of Distributor activity or event) for six months. Following the voluntarily cancellation of their Distributor Agreement and a six month period of inactivity, the person may complete a new Application Form and reapply under a new Sponsor. Preferred Customers also may change their Sponsor after a six month period of inactivity; refer to the Preferred Customer section for more details. 4.3.2 Poaching Distributors are prohibited from directly or indirectly enrolling or attempting to enrol existing Distributors or Preferred Customers from other organisations or Downlines (who have been within the last six months) with a different Sponsor. Distributors shall not demean, discredit or defame other Distributors in an attempt to entice another Distributor to become part of their own Distributor organisation. 4.3.3 Holding Applications or Orders Distributors must not manipulate enrolments of new Distributors or retail product sales. All Distributor Applications and product orders must be sent to Neways within seven working days from the time they are signed by a Distributor or placed by a retail customer. 35 Policies and Procedures 4.3.4 Other Prohibited Practices Distributors are prohibited from attempting to circumvent the terms of the Distributor Agreement, including but not limited to the following practices: (i.) Using the spouse’s or relative’s name, trade names, assumed names, business entities, or fictitious names or identification numbers; (ii.) Enrolling persons without their knowledge and/or execution of a Distributor Application by such persons; (iii.) Enrolling non-existent persons; (iv.) Purchasing Neways Products on behalf of another Distributor or Preferred Customer in order to qualify for commissions (unless specifically authorised by Neways); and (v.) Providing financial assistance to new Distributors for the purpose of maximising compensation under the Compensation Plan. 4.3.5 Downline Support Obligations Sponsors have an ongoing obligation to provide training, support and assistance to the people they sponsor. All Distributors are responsible to motivate and train their Downline. Distributors must also monitor their Downline organisations to ensure that improper product or business claims are not being made, or that any illegal or unethical conduct is occurring. Upon request, every Distributor should be able to provide documented evidence to Neways of the fulfilment of these responsibilities as a Sponsor. Regardless of their level of achievement, Distributors also have an ongoing responsibility to personally promote sales through the generation of new customers and through servicing existing customers. 4.3.6 Non-disparagement Distributors shall not make any negative or disparaging comments about Neways, employees of Neways, other Distributors or Neways Products. Similarly, Distributors shall not make disparaging comments about other companies, particularly competitors, or their employees, distributors, or products. 4.3.7 Competitive Activity and Nonsolicitation Distributors are free to participate in other multilevel or network marketing or other business opportunities. However, during the term of the Distributor Agreement, Distributors may not recruit or attempt to recruit, in whatever form, other Distributors or Preferred Customers for any other multilevel or network marketing business. For one year following the termination of a Distributor Agreement for any reason, the Distributor shall not recruit any Distributor who is in the Distributor’s current or past Downline or Upline or with whom the Distributor became acquainted by virtue of the Neways business activities. During this period the Distributor shall not seek to persuade any such Distributors to terminate their position with Neways, or to become less active as Distributors of Neways products or to sell the products of or otherwise be actively involved in any direct selling business, which competes with the business of Neways. Notwithstanding the foregoing, Distributors may recruit their personally sponsored Distributors and immediate family members. These restrictions apply in all countries in which Neways operates. Distributors stipulate that violation of this provision will irreparably harm Neways, but calculation of damages will be extremely difficult. Distributors thereby stipulate that for each violation of this paragraph, Neways shall be entitled to immediate injunctive relief and liquidated damages in the amount of 1,700 Euros for each occurrence. Distributors may not offer the Neways opportunity or products to prospective or existing Distributors or Preferred Customers in conjunction with any non-Neways approved program. Distributors may not offer any non-Neways approved opportunity or products at any Neways related meeting, seminar or convention, or immediately following such event. 4.3.8 Governmental Approval or Endorsement Governmental agencies or officials have not specifically approved or endorsed any direct selling or network marketing company or programmes. Therefore, Distributors shall not represent or imply that Neways, or its Compensation Plan, has been “approved,” “endorsed” or otherwise sanctioned by any government agency. 4.3.9 Reporting Policy Violations Distributors observing a violation by another Distributor of Neways Policies and Procedures should submit a written report of the violation directly to Neways. 36 Policies and Procedures 4.4 Insurance 4.4.1 Business Pursuits Coverage Distributors may wish to arrange insurance coverage for their businesses. Neways also recommends adding a will or relevant legal document for succession purpose and making it know in writing to the company to take all provisions to protect your business. 4.4.2 Product Liability Coverage Neways maintains insurance to protect Neways and Distributors against product liability claims. Neways’ insurance policy contains a “Vendors Endorsement” which extends coverage to Distributors so long as they are marketing Neways Products in accordance with Neways policies and applicable laws and regulations. Neways’ product liability policy does not extend coverage to claims or actions that arise as a result of a Distributor’s misconduct in marketing the products. If clarification of the insurance cover provided is required please contact Neways International. SECTION 5: COMMISSIONS 5.1 Commission Qualifications A Distributor’s compensation will be determined in accordance with the Compensation Plan. In order to qualify for commissions under the Compensation Plan, a Distributor must satisfy the minimum sales volume requirements and be in compliance with the terms of the Distributor Agreement. 5.2 Commission Statement Neways will provide to Distributors an electronic statement of account and payment of the applicable commissions on a monthly basis. Distributors can also request hard copies of the statement for a fee. Distributors must report any errors or objections within 30 working days. The minimum amount for which Neways will issue a payment transaction is 5 Euro or 5 GBP (before VAT). Please note that in countries where a Neways affiliated company is not in operation the minimum amount may be different. Contact Neways Europe for more information. A Distributor can recover any commission amounts by requesting payment in writing. 5.3 Self billing: Acceptance & legal framework The Distributor agrees to accept the self-billing application in the calculation of the commissions paid by Neways to the Distributor. As a company registered in Belgium, Neways chose to apply the legal instruction: AOIF No. 48/2005 (E.T.110.313) dated 08/12/2005, available from the Belgian VAT authorities. Neways agrees to pay commission entitlements to the Distributor according to the Neways Compensation Plan and supplies the Distributor with an electronic self-bill (together with the Commission Statement). VAT is not applicable to the commissions as stated on the self-bill. It is the Distributor’s responsibility to maintain their own records and to retain copies of the self-bill. Distributors should seek personal advice from their own accountants and it is their responsibility to notify their local VAT office on the application of the self-billing and VAT as applied by Neways. The self-bills are produced solely to reflect commission calculations relating to Distributor compensation according to the Compensation Plan. Any other activities are not catered for in the self-billing procedure. In cases where the Distributor does not accept the calculation, the Distributor must notify the Company within 30 working days. 5.4 Research Reports and Fees Distributors can easily obtain Downline reports free of charge by logging on to the Neways website. Distributor may also requests copies of Downline activity reports, invoices, applications, or other records from the Neways Support Centre for a fee, as periodically determined by Neways. Activity reports provided by Neways, including information about individual and/or group sales and/or activity reports of Sponsors, will be regarded as accurate and reliable at that specific day and time. Notwithstanding the above, and as a result of various factors, such as human errors and/or mechanical errors; the rejection of credit cards; accuracy and supply at a given time, or products that were returned, Neways will not be responsible for the information created or given. All personal or group information, whether displayed or given, is provided “AS IS”, and without liability for information, direct, indirect or implied. It is hereby clarified that there will be no warranty with regard to merchantability, designated use or noninfringement. 37 Policies and Procedures In all possible legal situations, Neways and/or any other person creating or giving the information, will not be exposed to a claim by a Distributor and/or any other person in any direct, indirect, circumstantial, incidental, special connection or liable for any damage which is caused due to utilisation of the said information (including a loss of profits, commissions, a loss of opportunity and/or damages which may result due to inaccuracy, a lack of information, a delay or loss of information). The foregoing will be firm and abiding also if Neways and/or any other person have received warning of possible damage. Neways and/or any other person will not be exposed to any claim and/or liability vis-à-vis the Distributor and/or any other person on account of any agreement, negligence, personal liability, a defective product or any other theory relating directly and/or indirectly to any subject in such agreement or any stipulation relating thereto. Access to the online reports of Neways and the Distributor’s reliance on the information received therefrom will be the Distributor’s sole responsibility. All information given is given “AS IS”. Should the Distributor not be satisfied with the quality of the information received from the online services, it is hereby clarified that access to and the use of Neways’ online information services may be cancelled. 5.5 Adjustments for Returned Products The personal volume (PV) attributable to returned products will be deducted in the month in which the refund is given, and continuing every month thereafter until the PV balance is cleared. Similarly, when a payment has been stopped although the goods have been shipped, the personal volume (PV) linked to these unpaid goods will immediately be deducted from the relevant Neways account until the amounts due are collected. 5.6 Maintenance and Renewal fee Neways leverages a standard maintenance fee when a Distributor commission entitlements reaches £100 (before VAT) and above, in a given month; or its equivalent in Euros. Commission entitlements beneath this amount, will not be subject to a maintenance fee. Neways may deduct a Distributorship renewal fee from the Neways account on a yearly basis, in the month following the Distributor’s yearly anniversary of joining. Neways deducts maintenance and renewal fees from Distributor’s commission entitlements. These fees can also be directly paid to the company. Both maintenance and renewal fees may change. Please consult the Neways fee list on the Neways website or contact Neways for the latest information on these fees. 5.7 Other Deductions Neways will deduct required fees, e.g. bounced bank transfer, other extra charges and services provided by Neways that carry a fee. Neways further reserves the right to deduct sums from a Distributor’s commission that constitute disciplinary sanctions. 5.8 Errors or Omissions If a Distributor believes any errors have been made regarding commissions, or charges, the Distributor must notify Neways within 30 days of the date of the purported error or incident in question. Neways will not be responsible for any errors, omissions or problems not reported to Neways within 30 days. SECTION 6: PRODUCT PURCHASES AND RETURNS 6.1 Excess Inventory Neways prohibits the purchase of products in unreasonable amounts primarily for the purpose of qualifying for commissions or advancement in the Compensation Plan. Distributors may not purchase more inventory than they can reasonably consume or resell on a monthly basis. Such a practice may be evidenced by excessive returns and will subject a Distributorship to cancellation. Distributors may be required to certify that they have consumed or supplied not less than 70% of all products purchased by them, prior to making additional purchases. 6.2 Product Satisfaction Guarantee If a Distributor or Preferred Customer is not satisfied with a product for any reason, it may be returned. If the product is returned in resalable condition, it will be 100% refunded at Neways’ cost provided written notice of cancellation of the order is mailed within 21days from the time of delivery. Neways shall deduct from the Distributor’s subsequent commission entitlement and/or from the refund paid to the Distributor any commissions, rebates or other incentives received by the Distributor that were associated with 38 Policies and Procedures the merchandise that is returned. Neways will also honour the relevant cooling off requirements for consumers and related statutory rights applicable in the Distributor’s jurisdiction. 6.3 Confirmation of Orders A Distributor, Preferred Customer and/or recipient of an order must confirm that the product received matches the product listed on the shipping invoice, and is free of damage. Failure to notify Neways of any shipping discrepancy or damage within 30 days of shipment will cancel a Distributor’s right to request a correction. This does not affect the purchaser’s statutory rights regarding returns of nonconforming or defective products. 6.4 Retail Pricing Distributors are not required to sell Neways Products at the suggested retail prices published on the Neways websites. Distributors may sell Neways Products at any price they choose according to the local regulations. 6.5 Return of Products and Sales Aids upon Termination 6.5.1 Termination by Distributor A new Distributor has a 14 days cooling off period to terminate this Agreement and will benefit from a full refund of their purchases provided they submitted a written notice by registered letter to Neways during the first 14 days after they entered into the Agreement. Distributors may terminate this Agreement at any time without penalty by giving written notice of termination to Neways at its current address (consult Neways websites for accurate information). If the Distributor gives notice to terminate this Agreement more than 14 days after the Distributor entered into the Agreement, the Distributor may return to Neways: (a) Any goods which the Distributor has purchased under the scheme within 90 days prior to such termination and which remain unsold. Neways will pay the Distributor the price (inclusive of VAT) which the Distributor paid for the goods, less, where the condition of any such goods has deteriorated due to an act or default on the part of the Distributor, an amount equal to the diminution in their value resulting from such deterioration and a reasonable handling charge (which may include the cost of repackaging returned goods for resale); and (b) Any goods (including training and promotional manuals, business manuals and kits) which the Distributor has purchased under the scheme more than 90 days but within one year prior to such termination and which remain unsold and Neways will pay the Distributor an amount equal to 90% of the price (inclusive of VAT) which the Distributor paid for the goods less an amount equal to (i.) Any commissions, or other benefits (in cash or in kind) received by the Distributor in respect of those goods (ii.) Any amounts due from the Distributor to Neways on any account, and (iii.) A reasonable handling charge; provided always that (1) the goods have not been purchased or acquired by the Distributor in breach of the Distributor Agreement, (2) the Distributor returns the goods to Neways in an unused, commercially resalable condition not more than 14 days after the date of termination, and (3) Neways has not clearly informed the Distributor that the goods were seasonal, discontinued or special promotion products which were not to be subject to the one year buy- back provisions under this Clause. 6.5.2 Termination by Neways If Neways terminates the Agreement at any time and for any reason, the Distributor may, at Neways’ cost, return to Neways all Products and Sales Aids purchased within the last 90 days prior to the termination for a 100% refund provided they are returned within 21 days of termination in resalable condition. 6.5.3 Set-Off Neways reserves the right to deduct from the cancelled Distributor’s remaining commission entitlements and/or from the refund paid to the cancelled Distributor any commissions, rebates or other incentives received by the Distributor that were associated with the merchandise that is returned. 6.5.4 Other Rights Neways will honour any buy-back rights required by relevant statutory requirements of direct selling association rules to the extent they are more favourable. In addition, if products are supplied in a damaged, defective, or non-conforming condition, statutory rights apply. 39 Policies and Procedures 6.6 Procedures for Returns The following procedures must be followed for returns: (i.) All merchandise must be returned by the Distributor or Preferred Customer who purchased it directly from Neways. (ii.) All products to be returned must have a Return Goods Authorisation Number which is obtained by contacting Neways. This number must be written on each carton returned. (iii.) The return must be accompanied by the properly completed and signed return form, a copy of the original sales receipt, and the unused portion of the product in its original container. (iv.) Proper shipping carton(s) and packing materials are to be used in packaging the product(s) being returned for replacement, and the best and most economical means of shipping is suggested. All returns must be shipped to and the risk of loss in shipping for returned product shall be on the Distributor or Preferred Customer’s cost. 6.7 Distributor Purchases from Neways If a Distributor purchases Neways Product from another Distributor or from any other source other than direct from Neways, the purchasing Distributor will not receive credit for the personal sales volume associated with that purchase for purposes of the Compensation Plan. 6.7.1 Events Tickets for Neways organised events are sold on a non-refundable basis. SECTION 7: TERM AND TERMINATION 7.1 Term The term of the Distributor Agreement is one year from the date of its acceptance by Neways. It shall be renewed for additional one year terms and may be subject to a yearly renewal fee which can be deducted from the Distributor’s commission’s entitlements or directly paid to the company. The accurate renewal fee amount can be found on the Neways websites. It is the responsibility of the Distributor to remain up to date with amendments to the Policies and Procedures which are notified from time to time in corporate communications and on the website. Renewal implies the automatic acceptance of current Policies and Procedures. 7.2 Termination Events 7.2.1 Voluntary Cancellation by Distributor A Distributor may cancel their Agreement at any time, regardless of reason, by providing written notice to Neways. Unless specified to the contrary, a Distributor whose Distributorship is cancelled for any reason will, at the discretion of the Company, be reclassified as a Preferred Customer. This will allow them to purchase Neways Products at the Distributor price but will not entitle them to participate in the Neways Compensation Plan and they will lose all rights to their Downline and former volumes. 7.2.2 Termination due to Inactivity If a Distributor has not placed an order at least once in twelve months, the Distributor Agreement shall be terminated for inactivity. Neways may, at its discretion, reclassify an inactive Distributor to a Preferred Customer from the month following the 12 months inactivity. The former Distributor, now a Preferred Customer, remains bound by the Neways Policies and Procedures, is entitled to purchase Neways products at preferred price, but will not be entitled to participate in the Neways Compensation plan or offer products for retail sales. Once the Distributorship is reclassified as a Preferred Customer, the Distributor loses all title, volumes, rights, and interest in the Distributor’s Downline. The Downline will roll-up to the first Upline Distributor. A Distributor reclassified as a Preferred Customer may request a change of Sponsor due to that 12 month inactivity period. Refer to the section on Preferred Customers for more details. A Preferred Customer who does not order during 24 months is regarded as inactive and his or her Application shall be terminated. Written confirmation for the termination of a Distributor or a Preferred Customer’s Agreement/Application for reason of inactivity will not be provided by Neways. 40 Policies and Procedures 7.2.3 Termination or Sanctions due to Breach Without prejudice to Neways’ other rights by virtue of law or the Distributor Agreement, if a Distributor is in breach of the Distributor Agreement or engages in illegal, fraudulent, deceptive or unethical business conduct, Neways is entitled to, in its discretion, impose reasonable disciplinary actions including, but not limited to, issue written warnings, clarifying the meaning and application of a specific policy or procedure, and advising that a continued breach will result in the imposition of further sanctions, require corrective measures, impose fines, or other penalties permitted by law, withhold commission entitlements, withdrawal or denial of an award or other official publication or restricting participation in Neways’ sponsored events for a specified period of time or until certain conditions are satisfied; suspension of certain privileges of a Distributorship, including but not limited to placing an order, participating in Neways programmes or participating as a Sponsor for a specified period of time or until certain conditions are satisfied; and/or suspend or terminate the Distributor Agreement. A Distributor may appeal a disciplinary sanction by registered mail within 15 days from the date of Neways’ disciplinary notice. If the appeal is not received by Neways within the 15-day period, the sanction will be final. If the Distributor files a timely appeal, Neways will review and reconsider the sanction, consider any other appropriate action, and notify the Distributor in writing of its decision. 7.3 Effects of Termination Following a Distributor’s non-renewal, voluntary or involuntary cancellation of the Agreement, the former Distributor shall lose all rights as a Distributor and shall have no right, title, claim or interest to the Distributor organisation which he or she operated or any commission from the sales generated by the organisation. A terminated Distributor shall receive commissions only for the last full pay period of activity prior to cancellation (less any amounts withheld during an investigation preceding a termination). In addition, the Distributor’s Downline organisation will be immediately and permanently rolled-up to the Distributor’s first Upline organisation. Each Distributor in the first level immediately below the terminated Distributor on the date of the cancellation will be moved to the first level of the terminated Distributor’s Upline. Neways reserves the right to not roll up a business, or delay a roll up, in contested cases, in cases where the beneficiary of the roll up is not in compliance with Neways’ policies, or in other circumstances deemed appropriate by Neways. Without affecting the above, termination of the Distributor Agreement shall not affect any rights or liabilities of either party which have arisen on or before the date of the termination. Subject to the provisions of this Section 7, section on Competitive Activity and Nonsolicitation, as well as the section on Dispute Resolution and other Final Provisions, which provisions shall continue in force after termination of the Agreement, a Distributor shall be released from all future contractual obligations upon termination. SECTION 8: DISPUTE RESOLUTION AND OTHER FINAL PROVISIONS 8.1 Applicable Law and Forum Unless the law of a Distributor’s residence requires otherwise, any dispute between the parties arising from the Distributor Agreement and any ensuing sales agreement shall be governed by Belgian law, and shall be submitted to the competent court in Brussels. This shall not affect Neways’ right to submit such a dispute to a court of law which would have competent authority had this choice of forum not been made. 8.2 Severability of Provisions If any provision of the Distributor Agreement, in its current form or as may be amended, is found to be invalid, or unenforceable for any reason, only the invalid portion(s) of the provision shall be severed and the remaining terms and provisions shall remain in full force and effect and shall be construed as if such invalid or unenforceable provision never comprised a part of the Agreement. 8.3 Delay Neways shall not be responsible for delays or failures in performance of its obligations when performance is made commercially impracticable due to circumstances beyond its reasonable control. This includes, without limitation, strikes, labour difficulties, riot, war, fire, death, curtailment of a party’s source of supply, or government decrees or orders. 41 Policies and Procedures 8.4 Waiver No failure of Neways to exercise any right or power under the Agreement or to insist upon strict compliance by a Distributor with any obligation or provision of the Agreement, and no custom or practice of the parties at variance with the terms of the Agreement, shall constitute a waiver of Neways’ right to demand exact compliance with the Agreement. Waiver by Neways can be effectuated only in writing by an authorised officer of Neways. Neways’ waiver of any particular breach by a Distributor shall not affect or impair Neways’ rights with respect to any subsequent breach, nor shall it affect in any way the rights or obligations of any other Distributor. Nor shall any delay or omission by Neways to exercise any right arising from a breach affect or impair Neways’ rights as to that or any subsequent breach. Neways Europe BVBA Kouterveldstraat 20 1831 Diegem Belgium www.neways.eu A company registered in Belgium. VAT number: BE0893.292.596. 42 Notes Notes Notes Notes