Unicity FranchiseCareer Compensation Plan

Franchise EarningsUnicity Franchise

The success of any franchise depends on the amount of product or services sold through the franchise. As a Unicity Franchise Partner, you earn income based on the amount of sales generated by you and your extended franchise team. You may build your franchise at your own pace, although there are benefits to building your franchise as quickly as possible. The most successful Franchise Partners focus on expanding their franchise while adding to their customer base over time.

To better understand the Career Plan, it is recommended you turn to the back of this booklet and review the glossary.

Income Streams

There are eight different income streams available to each Unicity Franchise Partner:

1. Retail Profit 5. Infinity Bonus 2. Personal Rebate 6. President’s Club Bonus 3. Fast Start Bonus 7. Additional Franchise Positions 4. Team Builder Bonus 8. Chairman’s Club Bonus

Each income stream is earned as you achieve specific volume (sales) levels through your franchise.

Retail Profit

Simply purchase products at wholesale prices and sell at retail prices. You keep the profit. Unicity’s plan includes two customer pricing levels: — Retail Customer prices generate a profit margin of 30% to 100% — Preferred Customer prices generate a profit margin of up to 15%

Personal Rebate

You are eligible for a monthly 5% Personal Rebate—beginning in your second month as a Franchise Partner—once your Personal Volume (PV) reaches at least 100 points. If your PV reaches or exceeds 5,000 points in a given month, your Personal Rebate will increase to 30%.

Note: Earnings for Volume generated in a Franchise Partner’s first Volume Month is paid through the Fast Start Bonus.

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Fast Start Bonus

Fast Start Bonus is paid on a new Franchise Partner’s first Volume Month.

You may be eligible to receive a Fast Start Bonus when a new Fran-chise Partner joins your team and you have qualified for one of the two Fast Start Bonus levels. The amount you are eligible to earn is locked in based on the Personal Volume you generate in your first Volume Month:

Fast Start Bonus Levels– Builder Fast Start Bonus—Achieve at least 1,000 PV points in

your first Volume Month– Standard Fast Start Bonus—Achieve at least 500 PV points but

less than 1,000 PV points in your first Volume Month

Fast Start Bonus is paid to the Enroller and the next upline, as well as six upline Franchise Partners starting with the first Sr. Director or above:

Standard BuilderLevel 1

Level 2

15%

3%

30%

5%

Senior Director 3% 3%

Executive Director 3% 3%

Presidential Director 3% 3%

Presidential Sapphire 3% 3%

Presidential Ruby 3% 3%

Presidential Diamond 3% 3%

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Note: The New Franchise Partner will receive the first level FSB on any Personal Volume exceeding 1,000 points in their first Volume Month, with the Enroller receiving level two FSB on that volume.

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Team Builder Bonus Payouts

To earn a Team Builder Bonus, you must achieve the above rank and corresponding OV for two months (consecutive or non-consecutive) within any seven month period.

If you skip any of the above levels, you will still be paid 50% of the skipped level’s bonus. To earn the remaining 50%, you must achieve the skipped level again within the next six months. If you do not, the bonus is still available to you. To earn the remaining bonus (50%) you must reach the level again for two months within any seven month period.

Note: A Franchise Partner may earn each bonus only once. There is no time limit for achieving the bonuses.

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Team Builder Bonus

You will be eligible to receive Team Builder Bonuses (TBB) as you build and expand your franchise. The bonus is earned as your Rank, Organizational Volume (OV), and Leg Balance is confirmed at the specific level and you confirm that level a second month. Below is a table listing the Team Builder Bonus Levels and amounts:

ranK leVel OV leG BalanCe BOnuSSr. Manager 1 3,000 1,200 $500

Director2 5,000 2,000 $1,000

3 7,500 3,000 $1,500

Sr. Director

4 10,000 4,000 $2,000

5 15,000 6,000 $2,000

6 20,000 8,000 $2,000

Ex. Director

7 25,000 10,000 $2,500

8 30,000 12,000 $2,500

9 40,000 16,000 $3,000

Pres. Director 10 50,000 20,000 $3,000

tOtal $20,000

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Infinity Share Bonus Infinity Share Bonuses are paid beginning with a Franchise Partner’s second Volume Month. There are nine Infinity Share Bonuses of 5% available from the ongoing volume generated by the Franchise Partners in your downline. To qualify for any of the Infinity Share Bonuses, you need to qualify for the respective Franchise Rank.

Note: If a Franchise Partner in your downline generates 5,000 PV points or more in a specific month, the Infinity Share Bonus for that specific volume is one Manager share of 5% and eight shares of 2%.

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ranK BOnuSManager 5%

Senior Manager 5%

Director 5%

Senior Director 5%

Executive Director 5%

Presidential Director 5%

Presidential Sapphire 5%

Presidential Ruby 5%

Presidential Diamond 5%

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President’s Club Bonus

The President’s Club Bonus is a one-time cash payment to Franchise Partners as they build their franchise to specific levels known as the President’s Club. Once the rank has been achieved for three consecutive months, the bonus will be paid on the 20th of the following month.

ranK BOnuS

Presidential Director $10,000

Presidential Sapphire $20,000

Presidential Ruby $30,000

Presidential Diamond $50,000

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tOtal $110,000

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Triple Diamond

Additional Franchise Position

When you achieve the Rank of Presidential Diamond, you will be eligible to start an Additional Franchise Position (AFP). The AFP is placed front line to your original franchise. This allows you to earn nearly double the percentage on volume generated in your AFP. When your Additional Franchise Position reaches at least 100,000 OV for three consecutive months and your total OV reaches 500,000 points, you are then recognized as a Double Diamond and may begin a third franchise—with the goal of becoming a Triple Diamond. This process may be duplicated one additional time to achieve the highest Franchise Rank of Crown Diamond. The following table shows the Leg, Additional Franchise Position, and Total OV requirement for each of the Chairman’s Club Ranks.

The following diagram depicts the minimum requirements to become a Crown Diamond. The original Diamond Position must maintain Diamond Rank with no more than 25,000 points from the AFP leg counting toward the leg balance requirement of the original Franchise Position.

ranK leG requirement tOtal OVDouble Diamond 3 @ 5,000 plus 1 AFP @ 100,000 500,000

Triple Diamond 3 @ 5,000 plus 2 AFP @ 100,000 each 1 Million

Crown Diamond 3 @ 5,000 plus 3 AFP @ 100,000 each 2 Million

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Note: This diagram reflects leg qualification assuming there is at least two million in total Organizational Volume.

Note: No more than 50% of total OV may come from one leg.

Double DiamondDiamondFirst

Position

Leg 15,000

Leg 25,000

AFP

100,000

100,000

AFP

AFP

Crown Diamond100,000

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For more details about the Chairman’s Club bonuses please check with your respective Country Manager.

Chairman’s Club Bonus

As you achieve the ranks of Double Diamond, Triple Diamond, and Crown Diamond, you become a member of the Chairman’s Club and receive Chairman’s Club Bonuses. These bonuses are lifestyle bonuses—not cash bonuses—and are tailored to fulfill the individual dreams of the recipient. As such, the exact bonuses may vary by country and by Franchise Partner. The following table reflects the general dollar value of each bonus in USD.

Double Diamond

ranK BOnuS Value

$150,000

$500,000

$1,000,000

Triple Diamond

Crown Diamond

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Active Franchise Partner. A Franchise Partner in good standing who has accumulated a minimum of 100 Personal Volume (PV) in a calendar month. A person must be an Active Franchise Partner to be eligible for earnings in the Compensation Plan. Auto-Refill. Auto-Refill (or “Automatic-Refill”) is a program in which products are automatically shipped to Franchise Partners or customers pursuant to the terms of an Auto-Refill Agreement. A Franchise Partner must have a monthly personal Auto-Refill of 100 PV in order to receive commissions and awards.

Commission. Awards or earnings that are a percentage of your total Personal Volume (PV) and the PV of the Franchise Partners in your Downline Organization for that Calendar Month.

Franchise Partner. An independent contractor who has signed and completed the official Unicity Franchise Partner Franchise Agreement and whose Franchise Partner Agreement has been accepted by Unicity and whose relationship is not otherwise terminated. Preferred Customers and Retail Customers are not Franchise Partners.

Downline Organization or Downline. A Downline Organization consists of all Franchise Partners who are directly or indirectly sponsored by a Franchise Partner or by Franchise Partners in his or her Downline. Enroll and Place. The Enroll and Place feature allows you to Enroll a new Franchise Partner and place him/her Frontline to someone else on your team. This allows leaders to place a new Franchise Partner in natural teams, creating strength, and a higher probability of success.

When you utilize the Enroll and Place feature, you are referred to as the Enroller and the immediate Upline of the new Franchise Partner is referred to as the Sponsor. This feature

provides both the Enroller and Sponsor as mentors to the new Franchise Partner.The Fast Start Bonus on the new Franchise Partner’s first Volume Month is paid to the Enroller and Upline. The first month’s Personal Volume of the new Franchise Partner also is credited to the Enroller’s Group Volume. Beginning with the second month, the Franchise Partner’s volume is applied and paid to the Sponsor and Upline.

Enroller. The Franchise Partner who directly recruits and/or refers an applicant to become a Unicity Franchise Partner and is recognized as the Enroller on the Franchise Partner Agreement. May also be the Sponsor.

First Volume Month. The calendar month in which Unicity accepts a Franchise Partner’s Franchise Agreement and the Franchise Partner purchases product from Unicity.

Franchise Ranks. There are fourteen ranks in the Unicity Career Compensation Plan. Each rank reflects the size and scope of an individual Franchise. As you extend your Franchise, the amount of sales (Volume) generated through your Franchise will also grow. This will lead you to achieve higher and higher ranks in the Unicity Career Compensation Plan.

The chart on the opposite page shows the rank, name, and volume structure requirements.

Frontline. A Franchise Partner who is immediately below the Sponsor in the Sponsor’s Downline.

Group Volume (GV). The total Personal Volume (PV) of a Franchise Partner and his/her Downline Franchise Partners who have not yet achieved Manager, plus the PV points for the first-month orders of new Franchise Partners who you Enroll and the Monthly Volume points from Auto-Refill orders of Frontline Managers directly sponsored by you.

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Glossary

Franchise Ranks

ranK reCOmmended StruCture

pV/autO reFill GV leG OV tOtal

OVleG BalanCe

OV

Jr. Manager -- 100 PV -- -- -- --

Manager Self 100 PV -- -- -- --

Sr. Manager Mgr, Self 100 PV 1,000 1 @ 1,000 2,000 --

Director SM, SM, Mgr 100 PV 1,000 3 @ 1,000 5,000 2,000

Sr. Director D, D, SM 100 PV 1,000 3 @ 1,000 10,000 4,000

Ex. Director SD, SD, D 100 PV 1,000 3 @ 1,000 25,000 10,000

Pres. Director ED, ED, D 100 PV 1,000 3 @ 3,000 50,000 20,000

Pres. Sapphire PD, PD, D 100 PV 1,000 3 @ 5,000 100,000 40,000

Pres. Ruby PS, PD, D 100 PV 1,000 3 @ 5,000 150,000 60,000

Pres. Diamond PR, PS, D 100 PV 1,000 3 @ 5,000 250,000 100,000

Double Diamond N/A 100 PV 1,0003 @ 5,000 plus 1 AFP @ 100,000

500,000 250,000

Triple Diamond N/A 100 PV 1,0003 @ 5,000 plus 2 AFPs @ 100,000

1 Million 500,000

Crown Diamond N/A 100 PV 1,0003 @ 5,000 plus 3 AFPs @ 100,000

2 Million 1 Million

Note: Additional Monthly Qualification Requirements1) Auto-Refill of 100 PV is required to receive Commissions, Awards and Bonuses – excluding Personal Rebates.2) One time 500 GV required for Jr. Manager. One time 1,000 GV required for Manager.

Glossary

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Horizontal Compression. Unicity’s proprietary process of summing a Franchise Partner’s leg OV—while excluding the two largest legs—to create a single leg that may be used to Qualify for a Rank of Director or higher.

Infinity Shares. The share percentage of a Franchise Partner’s PV paid to qualifying Upline Managers and higher.

Leg. An entire Downline organization beginning with a Frontline Franchise Partner.

Leg Balance OV. Organizational Volume amount needed outside of your largest leg.

Leg Volume. The total number of points in a leg beginning with a Frontline Franchise Partner in a calendar month (also known as Leg OV).

Level. A position in a Franchise Partner’s Downline based on sponsorship without compression.

Manager. To achieve the Rank of Manager a Franchise Partner must have a minimum of 100 Personal Volume (PV) and 1000 Group Volume (GV) in a Calendar Month. Ongoing monthly qualification at Manager requires 100 PV as an Auto-Refill order.

Organization Volume (OV). The total number of points generated by you and your entire Franchise team in a calendar month.

Personal Rebates. Awards given to a Franchise Partner in the second Volume Month forward, based on his or her PV, which is based on the Franchise Partner’s personal product purchases and product purchases made by his or her customers.

Personal Volume (PV). The volume accumulated from a Franchise Partner’s Unicity product purchases and the product purchases made by his or her customers through Unicity during a Volume Month.

Qualify. To meet the requirements to achieve a given Rank, benefit or award under the Compensation Plan in a Volume Month while the Franchise Partnership is in good standing.

Qualifying Month. The Volume Month in which a Franchise Partner meets the requirements for a given Rank or benefit.

Rank. Qualification title in Compensation Plan.

Retail Profit. The difference between wholesale price and retail price paid by a customer.

Share. A grouping of Downline Franchise Partners, organized for the purpose of calculating Infinity Bonuses. A Share may also be referred to as a Generation.

Share Compression. How Infinity Share Bonuses are awarded to the Upline:

– First Infinity Share of a Franchise Partner’s PV is awarded to the first Upline Franchise Partner that is at least a Manager

– Second share is awarded to the first Franchise Partner above the Manager that is at least a Sr. Manager.

– Third share is awarded to the first Franchise Partner above the Sr. Manager that is at least a Director.

– Fourth share is awarded to the Franchise Partner above the Director that is at least a Senior Director.

– Fifth share is awarded to the Franchise Partner above the Senior Director that is at

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least an Executive Director.– Sixth share is awarded to the Franchise

Partner above the Executive Director that is at least a Presidential Director.

– Seventh share is awarded to the Franchise Partner above the Presidential Director that is at least a Presidential Sapphire.

– Eighth share is awarded to the Franchise Partner above the Presidential Sapphire that is at least a Presidential Ruby.

– Ninth share is awarded to the Franchise Partner above the Presidential Ruby that is at least a Presidential Diamond.

The GV of a non-active Manager is included in the GV of the first Upline active Manager for share calculations.

Sponsor. The first Upline position to a Franchise Partner. To Sponsor is to be recognized on the Franchise Partner Agreement as the Sponsor and/or to have the new Franchise Partner placed on the Sponsor’s frontline.

Upline. A Franchise Partner’s Sponsor and successive Sponsors of each upline.

Volume. Also known as Product Points. Each Unicity product is assigned a certain point level. The points are used to calculate the amount the Franchise Partner earns on the Volume of product that is purchased through their franchise or through their expanded team of Franchise Partners. The points are commonly referred to as commission Volume points, bonus points or product points. The aggregation of these points at each level of franchise development impacts your ability to maximize earnings.

Volume Month. The period of time used to calculate awards and ranks under the Compensation Plan. Also referred to as a Commission Month or Calendar Month.

Volume Roll-Over. Volume Roll-Over allows a new Franchise Partner that joins Unicity and places their first order from the 25th to the end of the Volume Month, the ability to have their Volume roll over into the next Volume Month. Payments for all commissions and Fast Start Bonus earnings will be made in the regularly schedule month. However, the Roll-Over Volume will count toward the Fast Start Bonus qualification, Group Volume requirement, Organizational Volume requirement, and Team Builder Bonus qualifications in the second month. In order for Volume to roll over, the new Franchise Partner must have a 100 PV Auto-Refill order in their second month. The new Franchise Partner’s Volume will not roll over to the second month if:

– The new Franchise Partner qualifies for any level of the Team Builder Bonus in the current month —or—

– Someone in the new Franchise Partner’s Downline qualified for any level of the Team Builder Bonus in the current month.

Weekly Pay Program. Unicity’s Weekly Pay Program is designed to pay Fast Start Bonuses quicker. The first level of the Fast Start Bonus is paid weekly, allowing you the ability to turn your franchise investment quicker.

– Weekly building period runs from Sunday midnight to Sunday midnight.

– Weekly payment will be credited to your Unicity Awards Visa Prepaid Card on the following Thursday.

As the Enroller you must have met your 100 PV Auto-Refill requirement for that month before the first level Fast Start Bonus can be paid.

It could initially take up to two weeks to process the Citi Card application. Any first level Fast Start Bonuses earned during the processing period will be paid when the card is activated.