Residual Income Ads Review: $10 a month matrix recruitment
There is no information on the Residual Income Ads website indicating who owns or runs the business.
The Residual Income Ads website domain (“residualincomeads.com”) was registered on the 6th of June 2015, with Tom Taylor listed as the domain owner. An address in the Philippine province of Cebu is also provided.
Tom Taylor (right) first popped up on BehindMLM’s radar as the admin of UltimateAdClub back in February. Taylor then again popped up in March as the admin of MegaCyclerClub.
UltimateAdClub saw affiliates purchase $50 matrix positions and get paid to recruit others who did the same. A lack of interest in the scheme saw the matrix positions later reduced to $30.
MegaCyclerClub similarly saw affiliates purchase $50 matrix positions, on the promise of an advertised $650 ROI.
Interest in UltimateAdClub waned shortly after launch, with MegaCyclerClub generating even less interest. It is likely both schemes being on the path to collapse has prompted Taylor to launch Residual Income Ads.
Read on for a full review of the Residual Income Ads MLM business opportunity.
The Residual Income Ads Product Line
Residual Income Ads has no retailable products or services, with affiliates only able to market affiliate membership with the company itself ($10 a month).
Once signed up Residual Income Ads affiliates are given access to an e-book library.
The Residual Income Ads Compensation Plan
The Residual Income Ads compensation plan sees affiliates sign up for $10 a month. This subscription is attached to a matrix position in a 3×5 matrix, through which Residual Income Ads affiliate are paid to recruit new affiliates.
A 3×5 matrix places an affiliate at the top of the matrix, with three positions directly under them (level 1):
These first three positions split into another three positions each to form the second level of the matrix, and so on and so forth until all five levels of the matrix are generated (363 positions in total).
Commissions are paid out as positions in the matrix are filled, with positions filled via the recruitment of new affiliates.
How much of a commission filled per position filled, depends on what level of the matrix the position is filled on:
- levels 1 to 3 = $1 per position filled
- level 4 = $2 per position filled
- level 5 = $2.90 per position filled
As Residual Income Ads is a monthly subscription payment, the above commissions are paid monthly recurring.
Note that if a Residual Income Ads affiliate fills all positions in their matrix, the affiliate who recruited them is paid a $20 bonus.
Joining Residual Income Ads
Affiliate membership with Residual Income Ads is $10.
Residual Income Ads … is an incredible income opportunity, because we pay up to 90% of each membership payment BACK to our members.
Residual Income Ads first launched in June, with the opportunity halted shortly after launch.
In an email sent out to affiliates on June 28th, Tom Taylor wrote:
Hi, it it (sic) with great regret to announce that I am closing RIA!! 11 payment disputes in the past 48 hours is an absolute Joke guys!
I constantly have to compress the matrix to fill holes and yet referral commissions are staying as is = I am at a LOSS already.
Thanks to those that gave it their best shot! Good Luck in your future endeavors.
The closure was later changed to a restart, with Residual Income Ads relaunching on the 5th of July.
Similar to Taylor’s previous schemes, Residual Income Ads does nothing more than pay affiliates to recruit new affiliates.
Then, as long as everyone continues to pay their $10 a month, commissions are paid out.
The reality of such recruitment-driven schemes however is that eventually recruitment slows down. At that point those at the bottom of the company-wide matrix stop paying their $10 a month fee.
When that happens those above them stop getting paid, and ultimately stop paying their monthly $10 fee too.
This effect slowly trickles up the company-wide matrix, eventually triggering an irreversible collapse.
With Tom Taylor positioned at the top of said matrix, it follows that he and whoever he assigns matrix positions to stand to make the majority of commissions paid out.
Everybody else who fails to fill enough positions in their matrix to at least cover $10 a month in fees, loses out.