Monday, June 18, 2007

Compare YTB to Burnlounge

My YTB Travel business ~ www.ReferringTravelAgent.com

Industry: Travel
Target Market for the retail product: People who travel, especially Baby Boomers with high disposable income
Corporate structure: Public – full disclosure
Track record: 4 yrs
Social Network Distribution: None
Cost to consumer: Same as Travelocity etc
Inconvenience factor: Low: book travel through a friend by book-marking a different URL

Worst case financial scenarios:

Initial Investment: $450
Monthly $50 x 12 : $600
Year One Investment : $1,050

Success from Home Magazine marketing option, $100/mo : $1,200
Guaranteed Minimum Commissions: $6,000
Guaranteed Profit to the “little guy” $3,750

[This worst case scenario assumes Zero travel commissions, Zero commissions from selling travel agencies, Zero discounts from being an RTA, Zero tax benefits].

Realistic Scenario would improve the outcome considerably:

Home Business Tax Deductions: Yes
Ability to write off Vacations: Yes
Approximate Potential Retail Profits: $120/cruise; $10/flight; $10/hotel night; $5/day car rental
Fringe benefits: Travel agent discounts of 40%+, upgrades, fabulous FAM trips
Direct Commission on Business Center Sales: $100
Amount Paid per 6 Sales cycle in Power Team: $1,300-$1,600
Attracts this business opportunity mindset: Matching bonus encourages perpetual recruiting and support.

Upside Potential for business builders:

Matching Bonus for Personal Enrollees: 50%
Bonuses for each 100 business centers added: $10,000
Bonus at 500 business center level: $25,000
Guaranteed Monthly Salary at Director Levels: $2,000 - $8,000
Benefits at Director level (500 active business centers): Health & Life Insurance
Bonus at 2,000 business center level: $50,000
Bonus at 5,000 business center level: $100,000
Bonus at 10,000 business center level: $250,000
Bonus at 25,000 business center level: $1 million

(Yes, YTB has actually paid $1MM bonuses to two representatives, both of who I know personally - this is real).