Coiros Review: 2 cents a recruit?
There is no information on the Coiros website indicating who owns or runs the business.
The company’s website domain was first registered back in 2002 but was last transferred on the 4th of August 2008, indicating this is when the current owners acquired it.
Coiros’ domain registration information is public but not being a Spanish speaker, doesn’t really make much sense to me:
(Ozedit: email address removed)
c/CIudad Cultural nA2
I have no idea what “Almacenet” or “ciudad Culutural nA2″ is (Google turned up nothing relevant). Looking at that bogus phone number though, I can’t help but wonder if the rest of the entry contains legitimate information.
Vilalba Lugo (no double “L” in Vilalba) is a municipality in Spain and with much of the Coiros website targeting Spanish speakers, it appears that this is Coiros’ target market.
As always, if an MLM company is not openly upfront about who is running or owns it, think long and hard about joining and/or handing over any money.
The Coiros Product Line
Coiros has no retailable products or services, with members only able to market membership to the company itself.
Bundled with Coiros membership is “free” access to a series of ebooks and software.
The Coiros Compensation Plan
The Coiros Compensation plan is built around the recruitment of new members using a unilevel compensation structure.
A unilevel compensation structure places an affiliate at the top of the structure, with every personally recruited new affiliate placed directly under them (level 1).
If any of these level 1 affiliates go on to recruit new affiliates of their own, they are then placed on level 2 of the original affiliates structure. If any level 2 affiliates recruit new members, they are placed on level 3 and so on and so forth.
Using the above unilevel compensation structure, Coiros pay out on the recruitment of new members down 10 levels of recruitment.
Directly recruited members (level 1) pay out 20 cents a month and members on levels 2 to 10 pay out 2 cents (not a typo) a month.
A minimum commission balance of $10 is required before a Coiros members can cash out their earnings.
Coiros themselves appear to be a bit confused as to whether or not they charge a monthly membership fee.
Taken straight from the Coiros FAQ,
What is the price of the membership account?
100% Free. Totally free.
but then in the same FAQ just a few points down you have this:
I have to pay a membership fee?
We do this for two major reasons. The first is that so reduce the fees charged by payment gateways and banks.
The other reason and no less important, so we give users much more motivational than a year will see its highly developed network and will have the option to renew membership with the balance of your account.
With membership fees being the only source of revenue used to pay out monthly commissions, I have no doubt that Coiros do indeed charge members a monthly fee. How much that is though is not disclosed on the Coiros website.
Looking at the commissions Coiros pay out however, I’d be very surprised if this exceeded $5-$10 a month.
Despite Coiros’ claim on their website that their business opportunity is “100% legal in all countries”, what we have here is the simplest of pyramid schemes.
There are no products being sold to retail customers and 100% of the commissions Coiros pay out are derived from ongoing membership fees paid by new and existing members.
The amount of commissions Coiros members earn is dependent on how many members they and their up and downlines have recruited, with new members having to recruit if they wish to earn any money.
At the bottom of the pyramid you have new Coiros members who have to recruit in order to generate commissions. If they can’t find any new members they stop paying their monthly membership fees, meaning their uplines stop earning commissions.
These uplines then also stop paying their monthly membership fees and before you know it the pyramid has collapsed.
I don’t know what Spain’s economy is like but at 20 cents a direct recruit and 2 cents indirect, as far as pyramid schemes go Coiros is definitely on the “third-world” side of things.