People Who Got in at the Start Can Make it Big
Let's find out if that's true.
Here's an example of a guy in the company named Rick S. who joined in 1986 (9 years after the company was founded) and has the highest first year income record. He earned about $232,000 in his first 12 months of getting licensed. Many may feel that 1986 is still a long time ago so let's compare him to another guy named JP V. who joined the company after that.
Rick S. made about $39,000 in one month in 1990 when his whole business did about 600 life insurance sales that month. JP V. made about $46,000 in one month in 2006 when his whole business did about 110 life insurance sales that month. Making $39,000 in 1990 would be like making $60,156 in 2006 (using an inflation calculator). So, JP was able to make 76% of what Rick made ($46,000 / $60,156) with only 18% of the production (110 sales / 600 sales). The compensation that Primerica pays out, has gotten substantially better, hasn't it?
Secondly,
click on: www.scribd.com/doc/58809377/Direct-Selling-Industry-in-Wall-Street-Journal to take a look at the Wall Street Journal article and go to page 6 and 7 to see the top 7 public companies based on Direct Selling News.
Primerica is ranked #7 in terms of Wholesale Corporate Revenue. However, if you divide the Wholesale Corporate Revenue number by the number of distributors, that's $13,000/year per distributor for Primerica ($1.3 billion/year divided by 100,000 distributors). The opportunities in Direct Selling are sold on how much money "you" can make, right?
Try comparing that number to all the others. Avon, for example, which is #1 in terms of Wholesale Corporate Revenue, has $1,677/year per distributor ($10.9 billion/year divided by 6.5 million distributors). A distributor is someone who sells the product or service. The point that's being made is the high money making potential for an individual in Primerica compared to the other companies.
Click on: www.primerica.com/public/primerica_disclosures.html and take a look under Compensation:
The compensation per distributor in 2024 was $7,757 on average. About 85% of the distributors in Primerica are part-time, spare-time, or no-time.
Even if 100% of the Wholesale Corporate Revenue was paid out to the distributors for the other top 7 companies, none of them would even come close to an average of $7,757 in annual compensation per distributor.
Also, refer to Section 3 showing that 5,469 licensed people in Primerica earned over $36,000 over the 2024 calendar year.
Thirdly,
let's take a look at parts of 4 (out of the 7) hierarchal chains that are direct to Primerica Financial Services. The 7 hierarchal chains are Primerica's sales force/agency. The total income for each person over the last 12 months as of June 2012, is shown. Source: Primerica Online (www.primericaonline.com) Competition Scoreboard (anyone in Primerica has a User ID and Password to view this). You'll find many other examples similar to the ones shown below. Does the income necessarily go down as we look down the chain?
1) here's the first 6 people starting at the top level of
this chain and going down:
#2 Bob B. ($2,451,408)
Mike U. ($686,707)
Mike T. ($1,643,881)
Bill S. ($815,247)
Doug
H. ($1,552,040)
#1 Michael S. ($2,471,928)
2)
here's the first 8 people starting at the top level of this chain and going down:
Terry T. ($2,079,705)
Larry W. ($1,567,411)
Andy Y. ($715,161)
Theodore R. ($227,588)
Andy R. ($278,499)
Ron S. Sr. ($177,242)
Ron S. Jr.
($804,839)
Francisco D. ($1,179,818)
3) here's the first
4 people starting at the top level of this chain and going down:
#3 Tom S. ($2,298,119)
Patricia S. ($1,541,962)
Rick C. ($657,188)
#4 Bill W. ($2,105,753)
4) here's the first 5 people starting at the top level of this chain and going down:
Rusty C. ($1,311,996)
Larry V. ($151,696)
James N. ($340,382)
Tim S.
($201,591)
Shane R. ($715,143)
The #1 earner in the company
is Michael S. (6th in the chain), #2 earner is Bob B. (yes, he's been in the company since the beginning), #3 earner is Tom S., and #4 earner is Bill W. (4th in the chain). How many corporate structures or opportunities do you know of where you can earn
more income than someone 1 - 5 or more hierarchal levels above you? Also, you can advance to a higher contract level than the person who recruits you into the business.
Fourthly,
the authors of the critically acclaimed "ABC's of Making Money" (www.abcguys.com) did a comparison of Primerica Financial Services (PFS) versus Multi-Level
Marketing companies (MLM's) based on 10 factors:
PFS: publicly traded vs. MLM's: privately owned
PFS: main-street professional office vs. MLM's: basement office
PFS: public consumption vs. MLM's: internal consumption
PFS: $0 made from Independent Business Application vs. MLM's: money made off of recruits
PFS: real ownership available to all vs. MLM's: owned by a few founders
PFS: over 1,000 making $100,000+/year vs. MLM's: very few make any significant money
PFS: highest regulated industry vs. MLM's: unregulated
PFS: competitive rates, recent price decreases vs. MLM's: inflated prices on products/services
PFS: stable/growing/long-term demand vs. MLM's: artificial/fabricated demand
PFS: > 30 years and 3% market penetration vs. MLM's: need to get in on the "ground floor".
The only amount that is mandatory for joining and being involved with Primerica is: $99 + tax and all of that goes towards your provincial/state licensing
expenses. There is no obligation to recruit in order to sell. There is not even an obligation to own a Primerica product! However, over 70% of people who join, buy a product, and quit, remain clients.
Lastly,
Go to: www.bbb.org/us/Find-Business-Reviews/ (Better Business Bureau site),
type 10 different pyramid/MLM companies (ACN, Amway, Avon, Empower Network, Herbalife, Mona Vie, Nuskin, Pre-Paid Legal, Usana, World Financial Group) into the Search For bar, and Search. You'll notice that "Pyramid Companies" OR "Multi-Level Selling
Companies" is displayed under the Type of Business heading on the 1st, 2nd, or 3rd Results page.
Now, type Primerica into the Search For bar and Search. Where's any mention of either of those under the
Type of Business heading on ANY of the Results pages?
This exercise was done on May 29, 2013.