blog 22 Nov

What You Need to Know About the Loza Pay


What You Need to Know About Loza Pay

Loza Pay is a business model in which individuals, known as distributors or independent representatives, sell products directly to consumers while also recruiting others to join their sales team. The income for loza pay participants typically comes from two primary sources:

  1. Direct Sales: Selling products or services directly to customers.
  2. Recruitment Commissions: Earning commissions based on the sales made by the people they recruit, known as their "downline."

loza pay companies incentivize participants to recruit new sellers, and as these new recruits make sales, a percentage of their revenue flows back up to their recruiter. This creates a hierarchical or "multi-level" structure of distributors, often resembling a pyramid.

Common Aspects of Loza Pay:

  • Compensation Plans: Usually consist of a combination of commissions from product sales and bonuses from the sales of recruits.
  • Independent Contractors: Distributors are not employees; they operate as independent business owners.
  • Product Focus: Loza Pay often promote health products, cosmetics, wellness products, or household items.

While Loza Pay is legal in most countries, it often faces scrutiny due to its similarity to illegal pyramid schemes. A key distinction between loza pay and pyramid schemes is that  companies typically sell legitimate products, while pyramid schemes rely primarily on recruitment without offering valuable products or services. Loza pay are always suporting their customer 

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