Venezuela

VENEZUELA

VENEZUELA

COMPANY DETAILS

Amway de Venezuela, L.L.C.

Centro Gerencial Las Mercedes
Calle Paris c/c Calle La Trinidad
Planta Baja
Urb. Las Mercedes
Caracas 1060
Venezuela

Phone: 58-212-9508902
Fax: 58-212-9508902

www.amway.com.ve (Public & Distributor Website)

serviciosespeciales@amway.com (Customer Service Email)

Opened June 1998

Plan Basics

Overview

Purchasing Products
All Amway Business Owners purchase products directly from Amway.

Bonus Payment
Bonuses will be paid directly to all Amway Business Owners (ABO) who have earned the bonus. Bonus payments will be paid by direct deposit. Beginning January 1, 2009, an ABO must generate 150 personal points in a month in order to receive a bonus. This applies to any bonuses (personal, group differential, leadership, etc.). This new requirement is a monthly requirement meaning that an ABO must generate 150 personal points every month that he is receiving a bonus to be eligible to keep it. This requirement has been waived for Foreign ABOs with a Number two business in Latin America. The assumption is that these ABOs are fulfilling requirements in their Home Market.

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

Single Line of Sponsorship
Amway Latin America is integrated by 12 affiliates:
Argentina
Brazil
Colombia
Costa Rica
Chile
El Salvador
Honduras
Guatemala
Mexico
Panama
Uruguay
Venezuela
As of September 2007, Latin America began operating as a Consolidated Line of Sponsorship (consolidated market) where Amway Business Owners (ABOs) are able to personally sponsor from and to any market within the Latin America Region without the need to establish as second business. The consolidation of the Latin American line of sponsorship means very important opportunities for ABOs. Some of the benefits are:
- Cross border sponsoring allows for personal sponsoring in all markets
- ABOs can place orders in any market different from their home country, only to be shipped to local addresses within the affiliate where the order is placed
- Combined volume from all markets allows an ABO to reach the 21% level more quickly
- Regional Business Kit
- Regional GIP Program
- Regional Bonus Statement

Performance Schedule

PV Trade Discount
10000         21%
7000           18%
4000           15%
2400           12%
1000            9%

PV/BV Ratio
The average PV/BV ratio for Amway products as of October 2016 is 415.

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 30%.

Starter Kit Purchasing
In order to buy a Business Starter Kit and become a new Amway Business Owner (ABO), the prospect must be at least 18 years age and contact an Amway Business Owner for purchase of the Starter Business Kit. The new Amway Business Owner must complete, sign and submit the Registration form (original) by post mail. (He/she may also fax the Registration Form before sending the original so he/she can buy products immediately).

This process can also be completed using the Internet site www.amway.com.ve where the applicant, together with the sponsor, completes the Registration Form. The new Amway Business owner is registered at that moment and he/she can buy products on-line. The Business Starter Kit will be automatically included in the order. The Registration Form must be printed and signed by the applicant and submitted to Amway de Venezuela within the first 90 days.

Cost of Sales Kit
350,00 Bs.

Sponsoring
In order to register a new Amway Business Owner, the sponsoring Amway Business Owner must ensure that all independent Amway Business Owners registered are provided with an official Amway Business Starter Kit (without substitution or alteration of the contents) and the ABO Contracts are completed, signed and submitted to Amway de Venezuela.

Business Type
In addition to the Amway Business Owners, Amway Latin America established one additional alternative to have access to the Amway Products and Services called Client.

An Client is able to buy Products directly from Amway de Venezuela at retail price. Clients cannot sponsor and bonuses are not received.

To become a Clinet the person can be register by internet, the 800 number, in the Amway Shop or AEC by providing their name, telephone number, e-mail address, name of the ABO who is registering him/her. In the case that the person has not been referred and is not an Amway Business Owner, Amway will assign one based on a database of retailers of the affiliate. There is no cost to become a client.

A sponsor is required to be registered as an ABO and can choose if he/she wants to be contacted by the Client. Legal entities can clients.

Establish a Second Business

Amway Business Owner Registration Requirements

- To be of legal age
- To have a Fiscal Information Registry in Venezuela (RIF)
- Identification document (copy)

Visa Requirements
Visa requirements may apply depending on the citizenship and residency of the ABO. We recommend contacting a lawyer on such a matter.

Formation and Registration of Your Business
Any foreign ABO can have a business in Venezuela as an International Sponsor (as outlined in the Business Reference Guide) or as a Local Sponsor.

As in other countries, it is necessary to define the kind of ABO business is desired:
- A Single Person ABO (we recommend this option), or
- A legal Entity ABO (Corporation or LLC)

Single Person ABO
- Buy a local starter kit, to be sponsored (payment in local currency)

Legal Entity ABO (Corporation or LLC)
An ABO can choose to be an owner of a legal entity (Corporation or LLC). In this case, it is necessary to open a Venezuelan Corporation or LLC company. The Registration form must be submitted and processed in the individual name(s) of the ABO. The ABO can then request the transfer of ownership to the Corporation or LLC through the affiliate. Please note the sole purpose of the Corporation or LLC must be the operation of the Amway business. No other business activity can be conducted through the Corporation or LLC.

Amway recommends that you consult qualified professionals and pertinent government authorities to prepare the required documents that need to be filed.

As with your primary business, your second business must be renewed each year with the affiliate.

It is necessary to open a Bank Account in order to receive a bonus from Amway. Payment is made through bank transfer only – no paper check is issued.

Required Documents for Registration

A single person:
- Identification document (copy)
- Fiscal Information Registry (RIF copy)

A Legal Entity:
- Mercantile Registry
- Identification document of legal representative
- Fiscal Information Registry of incorporation (RIF copy)

Cost and Bonus Payment

Cost: Business Kit BsF$251.04

Costs to open a LLC
Lawyer and accounting costs
Additional fees for translating, notary and maintenance costs. These are dependent on the size and volume of the activity of the company.

Bonus Payment
Bonus payments are made through deposit in a local bank account. The ABO should provide bank account. The ABO must also provide the invoice to Amway Venezuela, LLC for the bonus generated the before month, including VAT.

Ordering
ABOs, Associates and Clients can order Amway products from Amway de Venezuela by:

Order Entry:
Phone: 1-800-1627342

Hours of Operation:
09:00 to 09:00 pm Monday through Friday
09:00 to 04:00 pm Saturday

Following the next steps:
- Provide your ABO, Associate or Client Number to place an order
- Confirm that the product sku number is correct when you are ordering; you can verify this number in the Price List.
- Have handy the address where you wish Amway de Venezuela to deliver your order. This addresss has to be within the country of Venezuela.

Internet Orders:
You can also order products through our website:
www.amway.com.ve

Amway Shop:
Hours of Operation: 9:00 am to 6:00 pm
Tuesday though Saturday

Amway Experience Center:
Hours of Operation: 11:00 am to 8:00 pm
Tuesday through Saturday

Payment Methods

Order Entry and Internet Orders
- Credit Card (Master, Visa and Dinners)
- Deposit in Bank Account: Bco. Mercantil 0105-0030-30-1030262977 Bco. De Venezuela 0102-0501-850003033728

Amway Shop
- Credit Card (Master, Visa and Dinners)
- Debit Card
- Cash

Returns/Refunds
Starter Kit returns will be accepted 90 days from date of application submission depending on returned contents. All Amway Business Owners returning Starter Kits in perfect selling conditions will be charged a 10% handling fee.

Products may be returned under the Customer Satisfaction Guarantee policy. All Amway Business Owners returning products will have to complete a Return of Merchandise Form (SA-112-VZ). A PV/BV adjustment will occur if the return is made in a different month from the purchase month. Products that are No Longer Available (NLA) cannot be returned.

Access Information

Customer Service Center direct dial:
Phone: 0-800-AmwayVe (0800-2692983)
Hours of Operation:
Monday through Friday
08:00 am to 05:00 pm

E-mail: serviciosespeciales@amway.com

Fax: 58-212-205-38-96

Personal attention:
- In Amway Shop
Hours of Operation: 09:00 to 06:00 pm
Tuesday through Friday

In Amway Experience Center
Hours of Operation: 11:00 am to 08:00 pm
Tuesday through Saturday

Receive Bonus Payment
Beginning January 1, 2009, an ABO must generate 150 personal points in a month in order to receive a bonus. This applies to any bonuses (personal, group differential, leadership, etc.). This new requirement is a monthly requirement meaning that an ABO must generate 150 personal points every month that he is receiving a bonus to be eligible to keep it.

This requirement has been waived for Foreign ABOs with a Number two business in Latin America. The assumption is that these ABOs are fulfilling requirements in their Home Market.

ABOs, who have earned a bonus, may receive the payment via bank, electronic transfers by registering the bank account.

The ABO must send a data modification informing their bank account number data:
- Bank
- Branch
- Account Type
- Account Number
- The bank account could be Santander Río or Standard Bank and the titular account name has to be the Amway Business Owner’s name.

If the ABO does not provide a bank account, a check is generated automatically and submitted by post mail to the ABO’s mailing address.

Also the ABO can choose that all the bonus payments earnings will stay in A/R forward so that amount can be use for future purchases.

Renew
Please note: Renewal is only necessary in one market for Colombia / Venezuela

Cost/Timing:
Bolivares 195,00 Approximately $24.86 US dollars
September 1 - December 31

Renewal Methods:
- With product order or separately
- Phone
- Website: www.amway.com.ve
- Amway Shop
- Amway Experience Center

Payment Methods:
- Cash
- Debit Card
- Credit Card (Visa, Master, Dinner)
- Bank Transfer