JubiRev Review: “JubiBucks” investement scheme
There is no information on the JubiRev website indicating who owns or runs the company.
The JubiRev website domain (“jubirev.com”) was registered on the 3rd of January 2013, however the domain registration information is set to private.
A “Federal Trade Commission Compliance” notice is published on the JubiRev website, crediting ownership of the company to “JuviMax, Inc.” No further information is provided.
JubiRev’s Terms and Conditions mention that ‘arbitration shall be conducted in Whilmington, Delaware‘, indicating that the company is, at the very least, registered in the US state of Delaware.
Additional research into the company reveals that in February 2013 JubiRev affiliates promoting the opportunity named Randal Williams (also known as Randy Williams) as company President:
The above screenshot is of a conversation containing a skype transcript in which Randal Williams (of Dream Style Vacations Club, Fast Profits Daily, Profit Racer, Resort Cruise Club and GoFunRewards fame) announced he was “prelaunching” JubiRev.
Supporting this was a press release put out on January 31st 2013 by William’s last MLM venture GoFunRewards, announcing he had resigned from his position there:
Dear GoFun Affiliates,
You may have already learned that Mr. Randal Williams has recently resigned as the President of GoFun Places Inc. The Board of Directors has accepted Mr. Williams’ resignation.
The Board recognizes Mr. Randal Williams’ contribution to the company at early stage and wishes him success in his future career.
GoFun Places Management Team
After the initial chatter by affiliates and GoFunRewards press release however William’s involvement in JubiRev has not been clarified. At the time of publication of this review Williams hasn’t had any public involvement in JubiRev.
A few weeks ago a “J Joshua Beistle” started to appear on JubiRev marketing videos, credited as JubiRev’s President:
On his personal blog Beistle credits himself as being an ‘Attraction Marketing and Internet advertising authority‘ and focuses his efforts on internet marketing and lead generation.
Beistle offers his services through his company MyPhoneRoom, which was launched in 2009:
myPhoneRoom is located in sunny Phoenix, Arizona. Our staff consists of highly trained and courteous professionals that are here to serve your business.
myPhoneRoom specializes in the field of lead generation follow up marketing software systems.
It’s worth noting that Beistle has worked with Randal Williams in the past, with the two launching Dream Style Vacations Club back in 2009:
Dream Style Vacations Club doesn’t exist anymore with research indicating it was a recruitment driven MLM opportunity, paying afiliates commissions based on how many new affiliates they recruited into the scheme.
Putting two and two together, despite no mention of JubiRev’s management structure on their website, it’s highly probably that J Joshua Beistle and Randal Williams have teamed up again to launch JubiRev.
Read on for a full review of the JubiRev MLM business opportunity.
The JubiRev Product Line
JubiRev’s product line revolves around the website JubiMax. At the time of publication JubiMax isn’t live, however a marketing video on the JubiRev website mentions that JubiMax is an “e-commerce portal”.
The video also mentions weight-loss products and a travel portal but does not go into any specifics.
The JubiRev Compensation Plan
The JubiRev compensation plan largely revolves around the investment in JubiBucks by affiliates. These JubiBucks are then converted to JubiPoints which JubiRev then use to calculate an affiliate’s share of a bonus pool, made up of other affiliate’s JubiBucks investments.
JubiRev Membership Ranks
There are eight membership ranks in the JubiRev compensation plan and, along with their respective qualification criteria, they are as follows:
- Associate – entry level affiliate position
- Jade – at least $15 PQV a month
- Ruby – at least $50 PQV a month
- Emerald – at least $100 PQV a month
- Diamond – at least $200 PQV a month
- 1 Star Diamond – at least $200 PQV a month, recruit at least 3 active and qualified Diamond affiliates and have a total of $10,000 GV
- 2 Star Diamond – at least $200 PQV a month, recruit at least 3 active and qualified Diamond affiliates, have at least three 1 Star Diamond affiliates in your downline (only 1 in any given unilevel leg is countable) and have a total of $100,000 GV
- Presidential Diamond – at least $200 PQV a month, recruit at least 6 active and qualified Diamond affiliates, have at least three 2 Star Diamond affiliates in your downline (only 1 in any given unilevel leg is countable) and have a total of $150,000 GV
Note that GV stands for “Group Volume” and I believe includes monthly autoship purchases made by an affiliates downline.
PQV stands for “Personal Qualifying Volume” and includes an affiliate’s own purchases or that of their personally recruited affiliates and customers.
JubiRev Commission Qualification
In order to qualify for commissions, JubiRev affiliates must be both active and qualified and have generated at least 2 separate non-affiliate sales.
Active and qualified status is achieved when an affiliate spends $15 of their own money each month within the company and generates $30 of sales through 2 non-affiliate customers.
Note that this is an ongoing monthly requirement.
JubiBucks is a virtual currency within the JubiRev compensation plan. JubiRev affiliates can either exchange real money for JubiBucks directly themselves, generate them via the sale of products through their replicated JubiMax shopping portals to retail customers, or generate them via participation in the Daily Leadership Bonus Award (see below).
JubiBucks can be used to purchase products and services via the JubiMax e-commerce portal or given away to JubiMax customers.
JubiRev offer affiliates retail commissions when customers purchase products through an affiliate’s replicated JubiMax shopping portal.
- Associate and Jade – 5%
- Ruby – 7%
- Emerald – 8%
- Diamond or higher – 10%
Note that JubiRev do not pay out retail commissions in cash, they are paid out in JubiBucks.
Daily Leadership Bonus Award
JubiRev’s Daily Leadership Bonus Award revolves around the generation of JubiPoints by its affiliates.
JubiPoints are generated by affiliates when they give away JubiBucks to JubiMax customers (1 JubiBuck = 1 JubiPoint). They can also be generated by an affiliate using them to purchase products or services through JubiMax, however only 0.5 JubiPoints are generated per JubiBuck spent.
JubiBucks are generated either via direct investment by an affiliate of real money, or paid out as a commission when a customer purchases products through an affiliate’s replicated JubiRev shopping portal.
When an affiliate generates JubiPoints, they are then used to calculate an affiliate’s share of a daily revenue pool, which JubiRev claims is made up of around 50% of the company’s ‘commissionable sales volume and other metrics‘.
In regards to the 50% figure, the JubiRev compensation plan cited for this review states the following contradiction:
The company will share up to 50% or more of this award with Active Qualified Promoters based upon their qualifications at time of calculation.
Whether less than and up to 50% or more than 50% is put into the Daily Leadership Award Bonus is unclear.
Note that in order to qualify for the Daily Leadership Bonus Award, JubiRev affiliates must be active, publish a JubiMax ad on the internet daily (supplied by the company), be at the Jade membership rank or higher.
For each day an affiliate qualifies, they are then entitled to a share of the Daily Leadership Bonus Award, provided they have JubiPoints.
JubiPoints continue to pay out a share of the Daily Leadership Bonus Award but do eventually expire, dependent on an affiliate’s membership rank:
- Jade – 80 days
- Ruby – 85 days
- Emerald – 95 days
- Diamond – 105 days
Affiliates can cash out up to 60% of their Daily Leadership Bonus Award, with the remainder paid out as JubiBucks. If an affiliate does not wish to cash out 60% (or a lower percentage) of their daily award, they can opt to receive their entire daily award in JubiBucks.
These JubiBucks can then be used to generate more JubiPoints, thus increasing an affiliate’s share in the Daily Leadership Bonus Award over time (on the assumption that enough JubiBucks are generated each day to cover the expiry of existing JubiPoints).
Initially an affiliate must maintain 45 PQV points a month, with 30 of these points ($30) coming from customer autoships or JubiMax replicated shopping portal purchases.
After 25,000 JubiPoints have been generated however these requirements increase to 200 PQV a month, with 60 points coming from customer autoships or JubiMax replicated shopping portal purchases.
JubiPoint balances greater than 25,000 are also capped 20 times an affiliate’s downline, customer JubiBuck purchases (including JubiRev replicated store purchases).
A weekly payment cap is also enforced, with affiliates able to withdraw a maximum of $100,000 a week.
Daily Leadership Bonus Award Matching Bonus
Two matching bonuses are available to JubiRev affiliates.
The first is paid out on the Daily Leadership Award Bonus paid out to direct recruits, their recruits and their recruits (3 levels), as follows:
- Jade – 5% on level 1 and 1% on levels 2 and 3
- Ruby – 7% on level 1, 3% on level 2 and 1% on level 3
- Emerald – 10% on level 1, 3% on level 2 and 1% on level 3
- Diamond or higher – 10% on level 1, 5% on level 2 and 1% on level 3
The second matching bonus is paid out on an affiliate’s entire downline (down 8 levels of recruitment), again subject to the affiliate’s membership rank as follows:
- Emerald – 0.5% on levels 1 and 2
- Diamond – 0.5% on levels 1 to 3
- 1 Star Diamond – 0.5% on levels 1 to 4
- 2 Star Diamond – 0.5% on levels 1 to 6
- Presidential Diamond – 0.5% on levels 1 to 8
Both matching bonuses are paid out daily as JubiBucks, with 60% being redeemable as cash.
Any cash withdrawn as matching bonuses is not subject to the $100,000 Daily Leadership Award Bonus withdrawal cap.
Team Power Bonuses
Offered in addition to retail commissions, JubiRev affiliates are also able to earn Team Power Bonuses on ‘the sales on all JubiBuck Packages, JubiBrands and JubiResort membership’ by their downlines and customers.
The Team Power Bonus offered in two variants, as per the Daily Leadership Award Bonus above (3 levels of direct recruitment and 8 levels of team recruitment).
JubiBucks Autoship Bonus
When a recruited affiliate or customer signs up for a monthly autoship of JubiBucks, JubiRev pay out a “Customer Acquisition Bonus” on the first month’s autoship fees.
This bonus is paid on three levels of affiliate recruitment as follows:
- Jade – 10% on level 1
- Ruby – 15% on level 1
- Emerald – 15% on level 1 and 5% on level 2
- Diamond – 15% on level 1 and 5% on level 2 and 3
- 1 Star Diamond – 20% on level 1 and 5% on levels 2 and 3
- 2 Star Diamond – 20% on level, 10% on level 2 and 5% on level 3
- 3 Star Diamond – 20% on level 1 and 10% on levels 2 and 3
Paid out on 8 levels of a unilevel compensation structure (direct recruits on level 1, their recruits on level 2, their recruits on level 3 etc.), JubiRev’s unilevel commissions are paid on monthly autoship fees and JubiMax products and services purchased by an affiliate’s downline and their customers.
- Associate – 5% on level 1
- Jade – 5% on levels 1 and 2
- Ruby – 5% on levels 1 to 3
- Emerald – 5% on levels 1 to 4
- Diamond – 5% on levels 1 to 5
- 1 Star Diamond – 5% on levels 1 to 6
- 2 Star Diamond – 5% on levels 1 to 7
- Presidential Diamond – 5% on levels 1 to 8
These unilevel commissions are paid out as JubiBucks, with 60% of each payment able to be cashed out.
Unilevel Check Match Bonus
The Unilevel Check Match Bonus is paid out on the unilevel commission earnings of an affiliates recruited downline.
The Unilevel Check Match Bonus is paid out on three levels of recruitment, dependent on an affiliate’s membership rank:
- Ruby – 5% on level 1
- Emerald – 5% on levels 2 and 3
- Diamond – 10% on level 1 and 5% on levels 2 and 3
- 1 Star Diamond – 15% on level 1 and 5% on levels 2 and 3
- 2 Star Diamond – 15% on level 1, 10% on level 2 and 5% on level 3
- Presidential Diamond – 15% on level 1 and 10% on levels 2 and 3
Referred to as the JubiStyle Bonus, Diamond or higher ranked JubiRev affiliates qualify for a $700 a month car bonus.
This car bonus can be exchanged for a $375 cash bonus, upon condition that an affiliate’s own personal car is branded with JubiRev logos.
Affiliate membership to JubiRev is free for the first year and $49 each year thereafter
Affiliates do need to be active and qualified to earn commissions which can be an additional cost, as per the JubiBucks autoship packs:
- Jub-15 – $15 a month (generates 15 PQV)
- Jub-50 $50 a month (generates 50 PQV)
- Jub-100 – $100 a month (generates 100 PQV)
- Jub-200 – $200 a month (generates 200 PQV)
If I didn’t know any better, I’d suggest that JubiRev appears to have been created by someone who is upset the SEC put a stop to their participation in the $600M Zeek Rewards Ponzi scheme.
Point for point, the two schemes are pretty much identical in their core revenue-sharing aspect. Whereas Zeek Rewards was hitched to a penny auction, JubiRev is hitched to an e-commerce shopping portal.
The idea seems to be that in shifting to an e-commerce shopping portal that JubiRev will somehow not suffer the same fate as Zeek Rewards.
And that’d make sense, except for the fact that penny auctions are not illegal in the US. Neither are e-commerce shopping malls for that matter but that’s besides the point.
The SEC didn’t bust up Zeek Rewards because it was a penny auction, they busted it because it was a $600M Ponzi scheme.
Despite all the marketing crap you might hear about the shopping mall, travel portal and whatever else is attached to JubiRev – at the end of the day functionally it’s pretty much identical to Zeek Rewards.
You sign up as an affiliate, you invest in JubiBucks (Zeek Rewards was “sample bids”), you dump these on fake customer accounts (let’s not pretend these are real people, the SEC report on Zeek Rewards confirmed the complete absence of legit customer activity), and JubiRev pay you a daily share of money.
Where does that money come from? Whatever was invested that day in JubiBucks by new and existing JubiRev affiliates.
In order to convert JubiBucks to points JubiMax customers have to “register” their JubiBucks (click their mouse button a few times?).
This will most likely stop the automation of fake customer accounts we saw with Zeek Rewards, however there’s nothing stopping an affiliate from creating their own. Typically family member’s names are used, although depending on the security setup on JubiRev’s end, bogus details are also likely.
Moreso when you consider 2 accounts need to be created for each JubiRev affiliate participating in the daily revenue share.
With no cap on the amount of JubiBucks able to be dumped on these accounts, realistically unless a JubiRev affiliate is looking to reach the higher ranks of the compensation plan (the only benefit being to increase the days JubiPoints pay out for), most affiliates are only going to wind up creating 2 dummy customer accounts.
Up until the Diamond membership rank, an affiliate can pretty much self-fund their qualification for their share of JubiRev’s daily Ponzi scheme payouts. The JubiBucks autoship amounts matching the PQV requirements is obviously no co-incidence.
Affiliates will still need to funnel some of the money back through dummy customer accounts but the key ingredient of actually selling something to retail customers is completely missing.
I’d like to say the MLM industry learnt something from the collapse of Zeek Rewards (if they weren’t the SEC didn’t shut them down they were mathematically scheduled for collapse in the next few months anyway), but it seems that’s not the case.
Here we have a near identical Ponzi scheme points style compensation plan with the only difference being they’ve changed “sample bids” to “JubiBucks” and exchanged the Zeekler penny auction for the JubiMax “e-commerce shopping portal”.
Some additional rules have been created to prolong the inevitable collapse (or regulatory shutdown), such as a weekly withdrawal cap and 60% daily withdrawal rule, however sooner or later inevitably the liabilities owed to existing investors will exceed new money being pumped into the scheme.
As with Zeek Rewards, we can sit around and pretend this isn’t going to wind up being another affiliate funded Ponzi scheme but with the demonstratable example of Zeek Rewards that defense isn’t going to carry much weight.
Amusingly JubiRev provide the following compliance disclaimer on their website:
INVESTMENTS, STOCKS & EQUITY
YOU AGREE THAT WE ARE NOT PURCHASING “STOCK” OR ANY OTHER FORM OF “INVESTMENT” OR “EQUITY”, AND THAT THERE ARE NO INCOME GUARANTEES MADE OR ASSUMED.
It’s almost like they’re preempting the inevitable. Honestly, when was the last time a legitimate MLM company had to warn everyone they weren’t purchasing ‘stock or any other form of investment or equity’?
And as for income guarantees, come off it guys. As with Zeek Rewards this system doesn’t work unless affiliates invest in JubiBucks on the assumption JubiRev will pay them enough money over 8o to 105 days to not only cover their initial investment, but provide enough to grow an affiliate’s JubiPoints point balance.
The same implied guarantee that existed in Zeek Rewards quite obviously exists in JubiRev too. Hell it has to, all Ponzi schemes have one otherwise nobody would participate in them.
JubiRev could legitimately pay out if JubiMax was used as such by legitimate retail customers, but Zeek Rewards showed us that when coupled with a points based revenue sharing scheme, that this is not the case.
In Zeek Rewards less than one-quarter of one percent of bids given away were actually used by the “customers” these bids were given to. With a near identical compensation plan, you think an e-commerce shopping portal is going to change that?
Whether JubiRev is left to collapse on its own or the SEC shut them down for selling unregistered securities in the form of JubiBucks after they get big enough to attract attention, this isn’t going to end well.