Want more money coming to your mailbox without doing anything? Are you a commercial property loan originator? Are you looking to change your life and spend more time doing the things you want to do? Well, you are watching the best video right now.
My name is Kenner French of VastSolutionsGroup.com, VastCapitalManagement.com and also have been involved in commercial properties for over two decades. We are going to go over the finer details of the Commloan.com rev share program that is perfectly suited to providing passive income for commercial property loan originators. Lets get right to it.
All CommLoan Loan Originators are automatically enrolled in the CommLoan, Inc. Revenue Share Plan (“Revenue Share Plan” or rev share). CommLoan’s Originators who have contributed to the company’s sales growth by recruiting new Originators are rewarded
monetarily through the CommLoan Revenue Share Plan. The Revenue Share Plan’s payout to Originators is directly proportional to their level of Organizational production. Company Dollar is that dollar amount that CommLoan retains from commission earned on funded Transactions. The Originator’s commission will be on a
sliding scale of loan volume funded in a 12-month period based on the anniversary date as defined in the ICA.
A. DEFINITIONS
Adjusted Gross Commission Income (“AGCI”) is the GCI adjusted by a factor to achieve 50% of the Company Dollar in the overall monthly Revenue Share Plan.
Tier: The hierarchy of Originators that are sponsored in succession beginning with the Originator and each group of Originators thereafter, as follows:
• Tier 1: the group of CommLoan Originators sponsored by the
CommLoan Originator.
• Tier 2: the group of CommLoan Originators sponsored by Tier 1
CommLoan Originators.
• Tier 3: the group of CommLoan Originators sponsored by Tier 2
CommLoan Originators.
• Tier 4: the group of CommLoan Originators sponsored by Tier 3
CommLoan Originators.
• Tier 5: the group of CommLoan Originators sponsored by Tier 4
CommLoan Originators.
Revenue Share Organization: A CommLoan Originator’s Revenue Share Organization is made up of both the Originators the Originator directly sponsored to CommLoan’s sales team and the Originators who were sponsored as a result of the initial sponsorship(s).
Revenue Share Eligibility: To maintain Revenue Share Eligibility (or “Revenue Share Eligibility”), an Originator must be in Good Standing with CommLoan at all Times.
B. REVENUE SHARE EXPLAINED
As a CommLoan Originator recruits other active and productive Loan Originators to join the Company and is named the Sponsor of these new CommLoan Loan Originators, the Contractor will begin earning the standard Tier 1 – 25% of AGCI revenue share amount on the Funded Loan Transactions of the Contractor’s Tier 1 group of CommLoan Loan Originators.
As the Contractor’s Tier 1 group of CommLoan Loan Originators (Contractor’s directly sponsored Loan Originators) become Sponsors of more new CommLoan Loan Originators, each new CommLoan Loan Originator added to the Contractor’s Revenue Share Organization has the potential to expand the Originator’s ability to earn additional Revenue Share. The Contractor will receive Revenue Share from each of these Funded Loan Transactions from the Company Dollar earned from Funded Loan Transactions by CommLoan Loan Originators in Contractor’s Tier levels. Way BIG, people.
The Revenue Share Plan is paid out as a percentage of AGCI (ie commissions), which is the GCI multiplied by a factor, and is calculated each month in an endeavor to achieve and pay out 50% of Company Dollar in the form of Revenue Share. Depending on the number of Loan Originators in each Tier, actual rewards on individual Transactions may exceed or fall below the target payout of 50%. The respective percentage collected for Revenue Share will be paid out to the tiers
Accordingly.
• Tier 1: 25% of the Revenue Share portion of the AGCI
• Tier 2: 20% of the Revenue Share portion of the AGCI
• Tier 3: 15% of the Revenue Share portion of the AGCI
• Tier 4: 15% of the Revenue Share portion of the AGCI
• Tier 5: 25% of the Revenue Share portion of the AGCI
To be qualified to receive revenue share, Originator must be Revenue Share Eligible on the date when a Loan Transaction funds, and Originator must be in good standing with the Company. All Revenue Share payments will be paid out on or about the 21st of the month following the month that the loan closed. If the 21st
day of the month falls on a weekend or bank holiday, then payment will be made on the next business day following.
The Revenue Share Plan is entirely funded by the percentage of Adjusted Gross Commission Income retained by CommLoan on closed Transactions. Therefore, no revenue share dollars are distributed when no Company Dollars are earned.
If an Originator is no longer eligible for Revenue Share for whatever reason that Originator’s place in their Revenue Share Group will be assumed by CommLoan.
For example, when an Originator who is not vested departs CommLoan, the position that Originator held in other sponsors’ Revenue Share Organizations becomes an CommLoan position immediately. The structure of revenue sharing does not compress or “roll up”.
Lets go over a demonstration:
The Loan Originator directly sponsors 15 new Loan Originators (Tier 1 group),
who in turn sponsor 25 more new Loan Originators (Tier 2),
who in turn sponsor 40 more new Loan Originators (Tier 3),
who in turn sponsor 30 more new
Loan Originators (Tier 4),
who then in turn sponsor 50 Loan Originators (Tier 5). The original Loan Originator will now earn:
1. 25% of Revenue Share portion of the AGCI on each Funded Loan
Transaction of the 15 new Loan Originators (Tier 1 group); and
2. 20% of Revenue Share portion of the AGCI on each Funded Loan
Transaction of the 25 new Loan Originators (Tier 2 group); and
3. 15% of Revenue Share portion of the AGCI on each Funded Loan
Transaction of the 40 new Loan Originators (Tier 3 group); and
4. 15% of Revenue Share portion of the AGCI on each Funded Loan
Transaction of the 30 new Loan Originators (Tier 4 group); and
5. 25% of Revenue Share portion of the AGCI on each Funded Loan
Transaction of the 50 new Loan Originators (Tier 5 group).
Example 1: You close a deal that is worth a total of $40,000 in Rev Share. your upline consists of his sponsor, Amy, plus the 4 additional people above Amy. You may not even know John directly.
Your SPONSORSHIP UPLINE
5 – YOU – so you sponsor Mark’s (thus becoming his Sponsor)
4 – Mark (Sponsors April)
3 – April (Sponsors Chris)
2 – Chris (Sponsors Amy)
1 – Amy (Sponsors John)
John acting as a loan officer acts as an LO and does the deal.
The example REVENUE SHARE is as follows:
You make $10,000 (because John is YOUR Tier 5) – again, you make $10K on this deal. Boom
$8,000 (John is Cliff’s Tier 4)
$6,000 (John is Chris’s Tier 3)
$6,000 (John is Bonnie’s Tier 2)
$10,000 (John is Bill’s Tier 1)
So there you have it. Commloan’s rev share program makes you more money without having to do a bunch of work as a commercial property loan originator than most organizations out there. All good stuff.
Hope that helps. Again, my name is Kenner French of VastSolutionsGroup.com and VastCapitalManagement.com and if you have any questions at all feel free to stop by VastCapitalManagement.com as many resources are there which may help your journey as a commercial loan originator.
Kenner French, is a former small business contributor at Forbes.com, author of three books, an executive at AI-focused VastSolutionsGroup.com and VastHoldingsGroup.com, a keynote speaker, and a Dave Matthews Band fan!
