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Sales Rep Cost


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									                     Miche Bag™ Gulf Coast FAQ
Who is Miche Bag™ Gulf Coast, llc?
Miche Bag™ Gulf Coast is an independent company and an authorized distributor of
Miche Bag™ products. Miche Bag™ Gulf Coast and Miche Bag™ Corporate are not
multi-level marketing companies. Miche Bag™ Gulf Coast purchases product in bulk
from Miche Bag™ Corporate, maintains inventory and markets those products along the
Gulf Coast area via three methods; selling wholesale to retail stores, retailing at
craft/trade shows/fairs and home party demonstrations via a network of independent sales
representatives. Only authorized distributors may purchase Miche Bag™ products
directly from Miche Bag™ Corporate.

What is a Home Party Demonstration?
This is the primary method of marketing for sales reps. A home party is simply a
gathering of friends for the purpose of being introduced the Miche Bag™ products. Sales
reps bring a sample of products to the home party, demonstrate them to the guests and
take orders and payment.

What is a Hostess?
The Hostess is the person who opens their home (or office or any other space), invites
guests and allows an independent sales rep to demonstrate products.

What is the difference between a Hostess and a Sales Representative?
The Hostess invites friends to their home party and can qualify for free and discounted
product based on the sales at the party. Hostesses are only compensated for their effort
with product and discounts on purchasing product. Hostesses typically host only one or
two home parties. Sales reps attend many parties. They are the demonstrators of the
product and are paid commissions bases on sales at the home parties. The sales rep takes
orders and payment, delivers them to the area manager, picks up the order and delivers
the product back to the hostess for delivery to their guests.

How much does it cost to become a sales rep?
There is no required out of pocket expense to become an independent sales rep. Sales
reps need product to demo at home parties, but the products are typically earned through
your initial “qualifying” sale. Future purchases of demo product and marketing material
are made at the discretion of the sales rep.

Can anyone become a sales rep?
Anyone may apply for the position.

What are the requirements to become a sale rep?
Successful sales reps come in all forms, but there are a few traits that most of them share.
           • You must love the Miche Bag™, (and who doesn’t?) You can’t sell a
               product that you do not believe in.
           • Be personally motivated and possess the ability to work independently
               (but not alone). Your first shows will be co-hosted with an experienced
               sales rep but ultimately it’s your responsibility to find hostesses and work
               with them to have parties.
           •   Basic computer skills are a tremendous asset. Don’t be scared yet! If you
               can send and receive email then you have all the computer experience you
               need. Working with simple spreadsheets is also a plus.
           •   Be responsible for taking orders at parties, collecting payment, delivering
               the payment and order to your area manager and then bringing the fulfilled
               orders back to your hostess.
           •   Sell a total of $1500 in retail sales, your “qualifying” sales amount

What are the commissions that reps can earn?
Commission percentages vary from 15%-25% and are based on monthly sales volume

Is there a quota I am required to maintain?
There is no required sales quota, but your commission rate varies based on your sales
volume. Reps are required to host an average of one home party per month, calculated
over the previous 2 months. (For example, if you hosted 2 parties last month and none
this month, your average is still one per month, so your party requirement is satisfied)
Reps that have not hosted a home party for 2 consecutive months will be considered
inactive. Re-instating inactive reps is at the discretion of the distributor.

Can I hire reps “under” me?
No. Miche Bag Gulf Coast is not a multi-level marketing company. All reps work
directly with Miche Bag Gulf Coast. There may be opportunities to earn one time
bonuses for referring new reps. Inquire with your area manager if you have a referral.

Can I earn higher positions in the company?
If you are referencing “levels” like Diamond Rep or Master Distributor like other multi-
level marketing companies, no there aren’t higher positions that can be earned. The
commission varies based on sales volume and reps with top sales may be offered
additional incentives, but it is still all contained within the Independent Sales
Representative position.

Are there other positions in the company?
Just like any business, there are other positions in Miche Bag™ Gulf Coast besides Sales
Reps. These limited job openings vary with the growth of the business and will be
published to the public as they are available. Talk to your area manager if you have
interests outside the sales rep position.

Do I have a set territory?
We are currently licensed to do business in Florida and Alabama. Although Home
parties can be hosted anywhere in these states, it’s typically very difficult to sell outside a
comfortable driving range from where you live.
Are there venues we can’t sell in? (Retail stores, flea markets, etc)
Sales reps can only sell product through home parties. The distributor retains the right to
market thru all other venues like retail stores, trade shows and fairs. Many other types of
shows that the distributor markets thru require multiple people to support the event. In
these cases, the top sales reps will be offered the opportunity to work the event along
with the distributor. These events don’t always produce a lot of products sales, but are
great for generating leads for home parties. There are many events in the surrounding
communities and it would be impossible for the distributor to know about or even attend
all of them. Therefore, the sales reps are encouraged to submit information to the
distributor for review. If the event has not already been planned or attended by a rep
previously, then, if approved, the referring rep will have first right of refusal to work the

How do we order/maintain inventory?
No. The distributor, along with select area managers, maintain inventory.

Do I have to “buy in”?
There is no required out of pocket expense to become an independent sales rep. Sales
reps need product to demo at home parties, but the products are typically earned through
your initial “qualifying” sale of $1500 in retail sales (can be achieved through more than
one party). The qualifying sale earns the sales rep a starter demo package (2 Base purses,
15 shells, 2 sets of long straps, and an initial set of marketing material). The package
may also be purchased for $350. Additional and future purchases of demo product and
marketing material are made at the discretion of the sales rep

How do you market? (tv, radio, etc) And how are leads “split”?
There is no set advertising venue. Reps are encouraged to advertise but need express
written permission from the distributor for each instance of public advertising. Approval
of one specific ad or method of advertising does not automatically give permission for
any other specific instance or method. This is necessary in order to confirm all methods
of marketing are in compliance with company standards. In the instance of distributor
advertising, the distributor retains the right to share or not share the leads.

Is there anything I need to purchase to become a rep (business cards, marketing
materials, etc.)?
Sales reps require a starter demo package in order to demonstrate the product at home
parties. The package is given to the rep after reaching a total of $1500 in retail sales.
Alternatively, the package may be purchased for $350. Additional and future purchases
of demo product and marketing material are made at the discretion of the sales rep.
Business cards are recommended and must be reviewed by the distributor first. It is
recommended that you use the standard format already designed by the distributor. We
currently have a printer that has the format on file and all that is needed is to submit the
reps information. Reps purchase directly from the printer and cost varies by quantity.
Marketing materials are purchased at the reps discretion and are purchased directly from
Miche Bag™ Corporate.
Are we paid monthly, bi-weekly?
Commissions are paid monthly since the commission rate is calculated on monthly sales.

Are there sales meetings, conf calls? If so, where and how often?
There are not any regularly scheduled meetings of any kind that the rep is required to
attend. Email will be the main form of communication from the distributor as well as
regular contact with your area manager. There are always new and exciting products
coming out, so it’s important to keep yourself updated with this information.

What kind of support to you provide to the reps?
Each rep will be assigned an area manager. The area manager is your first line of
communication and support. Your first few parties will be co-hosted by an experienced
rep in your area. This is when you will learn the basics of the product and the business.
There is no other standard level of support except to say that your area manager is there
to help make you successful, so make sure you keep an open line of communication with
them. Ask them questions and let them know what you need to keep your sales rolling!

Is this a salaried or commission position?
The sales representative is an independent contractor of Miche Bag™ Gulf Coast and is
paid sales commissions only. An IRS form w-9 must be submitted to the distributor
before any commission is paid. IRS form 1099 will be sent annually to each rep totaling
the payments made to them for the calendar year. No taxes are withheld from
commission payments and all taxes due are the responsibility of the rep.

Is this part time or full time?
The sales rep is an independent contractor and determines their own schedule of work.
Sales can be made at anytime and you can work a little or a lot! How much you work
and how much you can earn is up to you!

Will I need a business license?
Miche Bag™ Gulf Coast already has the appropriate license to conduct business. As an
independent contractor, you are marketing and selling the products on be-half of Miche
Bag™ Gulf Coast and do not need a business license. All money and sales tax are
processed through Miche Bag™ Gulf Coast and a commission check is cut back to you
based on your sales.

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