What is the Stair Step/Breakaway MLM plan, and How does it work?

In the world of MLM compensation plans, most people emphasize either sales or recruitment. However, the Stairstep/Breakaway MLM plan stands apart from the rest as it focuses on the growth of network members. Let us delve deeper into this advanced plan and understand its implications in MLM businesses.

The most essential aspect of any MLM network is its network marketers. With the Stair Step MLM compensation plan, companies commit to providing a thriving work culture to their individual marketing network members. It gives plenty of opportunities for them to grow and advance. The plan also encourages leadership and independence within the network.

What is the Stair Step MLM plan?

The Stair Step MLM plan is an advanced network marketing strategy that provides plenty of growth prospects for its distributors. It is also known as the Stair Step Breakaway Plan. The hierarchy is in the form of stairs or levels. Distributors are rewarded based on their individual sales volume and the sales volume of their downline team.

The Stair Step MLM plan is perfect for individuals who are new to the MLM business and looking for growth opportunities. The plan also provides unlimited earning potential, making it a lucrative option for individuals with good selling skills.

How does the Stair Step breakaway compensation plan work?

The Stair-Step breakaway compensation plan is quite simple and easy to understand. The MLM company sets a specific sales target for each level of the network hierarchy. These are visualized in a stair-step formation. Once the distributor attains the target, they move to the next level. They receive higher sales commissions and bonuses when they advance a level.

Let us understand the concept of working of Stair Step Breakaway MLM plan with the below example :-

A Visual representation of working of Stair Step breakaway compensation plan.
  • Distributor A heads the Network marketing team in Company X. The company employs the Stair Step breakaway plan with four levels, level 4 being the highest level a distributor can achieve.
  • Distributors A1, A2, A3, A4 and A5 join the network as the frontlines of Distributor A. They form their own downlines and recruit members B1, B2, B3, B4 and more.
  • The distributors are placed in Level 2 of the company marketing network. They proceed to the subsequent levels based on the team sales volumes.
  • In due time, Distributor A3 achieves all the sales targets and reaches level 4.
  • He then breaks away as the downline of Distributor A to form his own marketing network.

Why MLM business should opt for a Stairstep Breakaway MLM plan?

The Stair Step Breakaway compensation plan is perfect for organizations wanting to build a reliable network marketing team. The plan effortlessly combines the power of motivation through a clear hierarchical structure and autonomy through the breakaway feature. Moreover, this innovative plan encourages both individual achievements and group efforts.

The reasons why MLM business should opt for a Stair Step Breakaway MLM plan are:

1) The Stair Step MLM plan provides a clear and distinctive goal to distributors in increasing their sales efforts.

2) The straightforward structure of the plan makes it easy for distributors to understand, promoting better engagement and reducing confusion.

3) The Stair-Step plans can be adapted to different product lines or markets, providing organizations with flexibility.

4) Clear bonuses and tangible rewards help organizations retain the best talent.

5) The plan focuses on performance, encouraging distributors to consistently strive to reach their goals.

6) The Stair step plan offers a unique selling point, attracting individuals seeking incentives and growth in the MLM space.

What are the various Bonuses in the Stair Step compensation plan?

Network members can earn various bonuses in the Stair Step compensation plan, depending on their performance. Members can earn leadership bonuses for achieving higher ranks. The Stair Step Breakaway MLM plan provides incentives for both individual and group efforts.

Some of the Bonuses in the Stair Step plan are:

1) Fast Start Bonus :- Distributors receive a Fast Start bonus when they achieve a specific sales target set by the company in a time frame.

2) Leadership bonus :- Distributors receive a Leadership bonus when they achieve higher ranks in the MLM network and gets leadership positions.

3) Rank Advancement Bonus :- This is a one-time payment done to distributors when they achieve a specific sales target and move up a rank in the MLM network.

4) Matching bonus :- Distributors receive a percentage of the sales commissions made by their personally sponsored members in their downline.

5) Overriding bonus :- Overriding bonus is rank-based. A distributor receives an overriding bonus for adding a new distributor to their downline. In fact, every distributor in the new member’s upline receives a bonus. However, the bonus amount depends on their rank.

6) Sales bonus :- Network members receive a percentage of the sales made by their downlines. This percentage is based on the rank. Higher the distributor rank, higher the sales bonus percentage.

What is Stair Step MLM software?

Stair Step MLM software is a type of MLM software designed to manage and support the Stair Step MLM compensation plan. This software helps companies track various partner commissions/bonuses and hierarchical structures, which is the main essence of the Stair Step MLM Plan.

Automation in business operations can help businesses save time and effort. With technologically advanced software like the Stair Step MLM Software from Global MLM, you experience superfast and accurate functions that will help automate your network marketing needs and propel you to the path of success in the MLM World.


1) What is the significance of maintaining a certain rank in the Stair step MLM plan?

Maintaining a certain rank signifies bringing in consistent sales volume over a period, usually set by the company. Distributors who are consistent with their sales volume can unlock various bonuses and increase their earning potential.

2) Can a distributor in a Stair step MLM plan earn from more than one leg or team?

Generally, the Stair Step compensation plan usually allows distributors to earn from multiple legs or teams. Some MLM companies permit distributors to operate various teams based on their network marketing requirements.

3) Is there a cap on earnings in the Stair step MLM plan?

Usually, there is no cap to the earning potential for network members in the stair-step MLM plan.

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