Slovak Republic

SLOVAK REPUBLIC

SLOVAK REPUBLIC

COMPANY DETAILS

Amway Česká republika s.r.o.

Nad Kazankou 29
171 00 Praha 7 – Troja
Czech Republic

Phone: 421-2-4920 4444
Fax: 421-2-4920 4446

 

 

 

 

www.amway.sk (Public & Distributor Website)
Sk_dokumenty@amway.com(email) – for documents only

Opened 1994

Plan Basics

Overview

Purchasing Products
All Amway Business Owners (ABOs), Member Plus (M+) and Members (M) may purchase products directly from Amway.

Bonus Payment
Bonuses will be paid directly to all Amway Business Owners who have earned the bonus. Bonus payments will be paid in Euro directly to the Amway Business Owner's bank account number.

PV/BV Transfers
PV/BV transfers are not available.

Rebate
Members Plus (M+) can receive a rebate up to a total maximum of 50% based on his personal net purchases.

Consolidated Line of Sponsorship (CLOS)
Twelve Eastern European Amway markets: Croatia, Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Romania, Slovakia, Slovenia, Turkey and Ukraine, are combined into a Consolidated Line of Sponsorship (CLOS) Region. This will allow all current and new ABOs, AIEs and Members Plus to personally sponsor within and into each of these countries. Option of international sponsoring between the countries within CLOS Region is discontinued. (All businesses established before August 31, 2003 will continue to count according to international sponsoring rules.) International sponsoring from outside the CLOS Region continues to be available. If an ABO has no business in any of the countries that make up the CLOS Region, he will be allowed to establish one new business in the CLOS Region. An ABO, AIE or Member Plus who already has at least one business in the CLOS region will not be allowed to establish another one.

Performance Schedule

PV Performance Bonus
10000            21%
7000              18%
4000              15%
2400              12%
1200               9%
600                 6%
200                 3%

PV/BV Ratio
The average PV/BV ratio for Amway products as of March 2016 is 1,598.

Retail Margin
Retail margin or mark up for Amway products averages about 30% but varies with each product. The average retail margin for this market is 29.8%.

Starter Kit Purchasing

Registration and Starter Kit Purchasing
In relation to the AMC (Amway Business Owner, Member, Client) model, a two-part Starting Kit has been implemented and updated from January 1, 2003:

Registration Kit and Starter Kit
The Registration Kit contains basic literature necessary for registration of Amway Business Owners or Member Plus and for placing the first discount order. This kit is provided by the Sponsor. Included in the Registration Kit is the Amway application and order form. The Amway Application needs to be completed and signed by the new applicant and sent to Amway Slovensko for processing. First order/purchase can be sent to Amway Slovensko within 30 days after registration or can be placed online at www.amway.sk within 30 days. The Amway Application consists of a cover page plus three-ply application:

- White - returned to Amway
- Pink - applicant copy
- Blue - sponsor copy

The Starter Kit
To register, an applicant must send a singed Amway Application and purchase a Starter Kit. The first order will be discounted by 10% when the order amount is equal to or exceeds 100 PV or 20 % when the order amount is equal to or exceeds 200 PV within the first 10 days after registration.

The Starter Kit can not be ordered by a sponsor. It can only be ordered by a newly applying Amway Business Owner or Member Plus and only one can be ordered.

An online sponsorship is available on www.amway.sk site. This function gives an opportunity for ABOs to offer their friends and acquaintances to become an Member Plus through online registration.

A new Member Plus can purchase Amway products through any convenient sales channel after his registration is confirmed in Amway database.
The Amway Starter Kit 2 will be added to the first order.

Please note! With online registration it is not necessary to buy the Starter Kit 1.

Cost of Starter Kit

- Registration Kit:
Online registration is available for free

- Starter Kit:
30,00 EUR (including VAT)

Sponsoring
Personal (local business)/International and Foster:

All new applicants are introduced to the Amway business by a Sponsor. Foreign applicants may Internationally Sponsor and must have a local (Foster) Sponsor. If the new applicant and his International Sponsor do not know any potential local (Foster) Sponsors, they are advised to contact the local affiliate (Amway Slovakia) for assistance.

Business Type

Amway Business Owner
In the position of an Amway Business Owner, you can use the many benefits and opportunities to earn income. At the same time, you are entitled to register new Amway Business Owner´s and Member Plus and supply products to Clients.

Member Plus (M+)
This status offers significant benefits to anyone who wishes to know more about the Amway business and products. A Member Plus purchases products for their own consumption at the same price as an Amway Business Owner, and is involved in a Discount Program.

Member
This status can, after paying a small annual fee, buy products at Amway Sales prices and gain other benefits.

Client
These are customers who purchase product on an ongoing basis.

Marketing Advisor
A status which allows European Amway Business Owners to sponsor and purchase products for personal consumption in other Marketing Advisor Markets (MAM) without maintaining a formal, legal presence there while maintaining the same benefits of the Sales and Marketing plan as a multiple business. It does not provide for combining volumes between markets for purposes of bonus calculations.

Eligibility:
Platinum Pin and above in any of the markets listed below. Diamond Pin in any existing Amway market that has multiple businesses in any of the markets participating in the program.

Participating Markets:
If you have a traditional Amway Business Owner business and local address in one of the below countries (home market) you can have businesses in the remaining countries (marketing advisor countries) as a Marketing Advisor.

Austria, Belgiím, Croatia, Czech Republic, Denmark, Finland, France, Germany, Hungary, Italy, Netherlands, Norway, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden, Switzerland and United Kingdom.

Benefits:
- Receive individual MAM commission checks in your home country in home currency
- Minimal business and tax registration and reporting requirements
- Maintain and develop lines of sponsorship within each market
- Renewing distributorship in the home country will automatically renew your Marketing Advisor Businesses, although an annual Amagram subscription fee will be charged for each market
- Amagrams, LOS information, bonus statements will be mailed directly to your home market address
- You will continue to be recognised in the Marketing Advisor Markets for your achievements

Activities Allowed as a Marketing Advisor:
- Sponsoring & Demonstration of Sales and Marketing Plan
- Speaking Engagements
- Product purchase for personal use only

Activities not permitted as a Marketing Advisor:
- Retailing product
- Travel to the market more than 8 out of 90 days

Establish a Second Business

International Sponsoring
International sponsoring is always an option and an excellent means of expanding your business while avoiding many of the costs and complexities associated with establishing a second business. Please note: For those markets where foreigners are able to establish a second business, they must be the international sponsor of their second business in another country.

Business Entities
Amway Business Owners may establish a second business in the Slovak Republic. The most common forms of businesses are: Sole Proprietorship, Partnership and Limited Liability Company. You should consult with local counsel to obtain the best business entity to accomplish your business goals. If you wish to operate in a form other than a Sole Proprietorship, you should contact the affiliate to discuss Amway’s policy concerning the formation of the business entity.

Visa Requirements
Any foreigner intending to do business in the Slovak Republic must obtain a Residency Permit. If the foreigner will be working in the Slovak Republic as an employee, he will be required to obtain a Work Permit. If the foreign employee works as an employee, he will be required to obtain a Work Permit. If the foreign employee works as a co-owner, the Work Permit will not be needed.

The Slovakian Consulate in your country of residence should be contacted in advance to obtain a general idea of the appropriate immigration requirements for your business purposes. Laws relating to visa requirements are constantly changing. Amway Business Owners must consult experts in the country to obtain advice on the appropriate immigration requirements. Consulting an expert is also important if you do not intend to reside there.

Amway Business Owner Registration Requirements
There are various registration requirements for Amway Business Owners in the Slovak Republic, which include:
1. Trade Register - registration fee of 33,19 EUR for licensed 66,39 EUR. Completion time: One to three weeks.
2. Trade Register in the district or municipality where the entrepreneur has his/her seat and place of business (fee for amendment of registration is 10% from registration fee). Completion time: Undetermined.
3. Commercial Register (registration fee for a limited liability company is 99,58 EUR for Ltd, and 331,94 EUR for Inc. and amendment fee 3,32, 6,64 or 16,60 EUR depending on number of changes). Completion time: One to three months.
4. Tax Office (no fee required). Completion time: Within 30 days after registration in the Commercial Register or commencement of business activities.
5. VAT (Value Added Tax) Registration (no fee required). Completion time: Within 20 days after the beginning of the month following the month when the turnover threshold is met.
6. Social Security Registration (no fee required). Completion time: Within 8 days after commencement of business activities.
7) A local bank account
8) A local address

Click the link below to display additional details on how to start a multiple business in this market.

Market Framework Requirements

Ordering

- Mail:
Amway Česká republika s.r.o.
Nad Kazankou 29
171 00 Praha 7 – Troja
Czech Republic

Phone: 421-2-4920 4444
Fax: 421-2-4920 4446

Monday through Thursday
8:00 to 16:00
Friday
8:00 to 13:00

- E-mail: info@amway.sk

- Amway online - Electronic business and shopping opportunity:
www.amway.sk

No Product Selection Centers are available. Delivery of the Amway products is through the mail home delivery system only.

Payment Methods

- Bank transfer
- Positive balance in the distributor’s account receivable account with Amway Czech republic
- Cash on Delivery
- Credit Card (VISA or EUROCARD/MASTERCARD)
- Bank account for bank transfer – for payment in Euro: CITIBANK:
IBAN: SK6781300000002012670107
BIC (Swift): CITISKBA

Returns/Refunds
Starter Kit returns will be accepted 180 days from date of purchase.

- Return of non-durable corlines items: 100% satisfaction guarantee - 100% Satisfaction Guarantee is unlimited for every product with PV/BV
- Return of durable products: 90 days satisfaction guarantee
- Price of return: full original distributor purchase price will be refunded.
- Required documentation: Invoice/customer receipt and statement of return reasons completed by the end consumer will be the required documents for refund.
- Handling of returns: A copy of the purchase invoice of the Amway Business Owner, Member Plus or Member is required. Customer returns are handled by the Amway Business Owners. Amway Business Owners and Member Plus returns are handled by Amway.

Access Information

- Office (Prague)
Fax:  421 2 4920 4446
Monday through Thursday
8:00 a.m. to 5:00 p.m.
Friday
8:00 a.m. to 2:30 p.m.
Saturday and Sunday closed

Receive Bonus Payment
Amway Business Owners who have earned the bonus need a local bank account or the bonus will be transferred to their accounts receivable account.

Renew
Please note: Renewal only necessary once in home market for CLOS (Croatia, Slovenia, Slovakia, Czech Republic, Turkey, Poland, Romania, Hungary, Ukraine, Lativa, Lithuania, and Estonia)

Cost/Timing:

- Regular renewal for ABO/M+
Cost: 27 EUR
Timing: September 1 - December 31, 2016
- Late renewal for ABO /M+ (only with approval of Platinums and up)
Cost: 34 EUR
Timing: January 1 - August 31, 2017
- Renewal for Member (M)
Cost: 8,29 EUR
or minimum purchases in amount 215 EUR within calendar year 2016
Timing: until December 31, 2016
Late renewal cost for Member is 8,29 EUR until August 31, 2017

Renewal methods:

- Together with product order or separately
- Mail: Amway Česká republika s.r.o.
Nad Kazankou 29
171 00 Praha 7 – Troja
Czech Republic
Fax: 421-2-4920 4446
- E-mail: info@amway.sk
- Amway online: www.amway.sk
- Automatic renewal for Diamonds and higher PINs only

Payment Methods:
- Credit card
- Bank transfer
- Positive balance in the ABO's accounts receivable with Amway Czech republic