Policies and Procedures

Vision Statement

BeCause Cosmetics is making the world a better, more beautiful place through quality products that enhance our customers’ lives, engaging company programs that support Affiliates in achieving their goals, and a charitable focus that affects real change through causes we support. BeCause – people matter more than products.

Introduction

Thank you for choosing BeCause Cosmetics. This agreement is a guide for you as an Affiliate of BeCause Cosmetics, LLC. It provides you with rules that establish an environment of fairness among all other Affiliates. This agreement also gives you certain rights and protections. Please read it carefully, understand it, and abide by it.

Terms and Conditions

I understand that as an Affiliate for BeCause Cosmetics, LLC (“the Company” or “BeCause Cosmetics”):

1. I have the right to offer for sale products and services in accordance with these Terms and Conditions and Policies and Procedures (“Agreement”).
2. I may have the right to enroll others as Affiliates with the Company.
3. I have the right to earn commissions according to the rules of the Compensation Plan provided by the Company.
4. I acknowledge that I am an Independent Contractor and not an employee, partner, legal representative, or franchisee of the Company. I agree that I will be solely responsible for paying all expenses that I incur, including but not limited to travel, food, lodging, secretarial, office, and other business expenses. I UNDERSTAND THAT I SHALL NOT BE TREATED AS AN EMPLOYEE OF BECAUSE COSMETICS, LLC FOR FEDERAL OR STATE TAX PURPOSES OR FOR ANY OTHER REASON. The Company is not responsible for withholding and shall not withhold or deduct from my commissions and incentives earned, if any, FICA, payroll or income taxes of any kind. I understand that I am not entitled to workers’ compensation or unemployment security benefits of any kind from the Company.
5. I understand that I may terminate my agreement with the Company at any time and for any reason by providing written notice to the Company.
6. I agree to follow the Policies and Procedures as outlined below. The Policies and Procedures will be updated periodically. Changes will be made available to me online and my consent will be required to proceed in my relationship as an Affiliate with the Company.
7. The Company may terminate my agreement at any time and for any reason by providing me written notice.
8. In the event of a termination, I waive all rights I have, including but not limited to property rights, to my former Stack and to any commissions or other remuneration derived through the sales and other activities of my Stack.
9. I may not sell, transfer, or assign any rights under the Agreement without prior written consent from the Company.
10. I understand that I must be in good standing, and not in violation of the Agreement, to be eligible for commissions or incentives from the Company. I further agree that if I fail to comply with the terms of the Agreement, the Company may, at its discretion, impose upon me disciplinary actions as set forth below, which may include the termination of my agreement and relationship with the Company.
11. If any provision of the Agreement is held to be invalid or unenforceable, such provision shall be stricken and reformed only to the extent necessary to make it enforceable, and the balance of the Agreement will remain in full force and effect.
12. If my Affiliate account is a business entity, all members associated with that entity are also parties to the Agreement.
13. I authorize the Company to use my name, photograph, personal story, testimonial, likeness, and/or any material I submit to the Company, or associate through posting or tagging on any website or social media channel, in advertising or promotional materials and waive all claims for remuneration for such use.

Definitions

Active is an account status of an Affiliate who has satisfied the Minimum Sales Requirement.

Affiliate is an independent sales and brand representative of BeCause Cosmetics.

Affiliate Referral Link is a unique URL that identifies website visitors, customer browser sessions, and sales orders attached to you as an Affiliate.

BeCause Cash is a coupon code that can be used as a discount on an order. For more information, see becausecosmetics.com/because-cash.

Branch is a section of your Stack that includes all Affiliates under one Direct Affiliate.

Branding Kit is a bundle of products that may be purchased at the time of Enrollment as an Affiliate. These products can be used for sampling or for resale.

Commissions are earned as a percentage of Sales based on the Compensation Plan. You may be eligible to earn Commissions on your Personal Sales as well as the Sales of other Affiliates in your Stack. You must also be in good standing with the Company (following the Policies and Procedures) to be eligible to receive Commissions. Commissions are paid on a weekly and monthly basis, via PayPal or Venmo.

Direct refers to Affiliates you have personally Sponsored or to whom you are currently a Sponsor (in the situation of a roll-up or change of Sponsor).

Enrollment occurs when you become an Affiliate of BeCause Cosmetics.

Lifetime Sales is your total amount of Sales while an Affiliate with BeCause Cosmetics.

Monthly Bonuses are paid by PayPal or Venmo on or before the 10th of month. For example, you will be paid out for your January Monthly Bonus on or before the 10th of February.

New Affiliate is a term used to describe an Affiliate whom you refer to join the Company.

Open is an account status of an Affiliate who is eligible to place or receive orders.

Personal Sales are sales orders received by the Company by anyone using your Affiliate Referral Link, or who selects your name as their Affiliate at Checkout.

Pool Bonus is a Monthly Bonus paid to Affiliates who meet the Qualifications in the Minimum Sales Eligibility for Pool Bonus.

Rank is determined by your Lifetime Sales. See Qualifications in the Compensation Plan.

Rank Advancement is the term used when you have reached the next level in the Compensation Plan according to the Qualifications.

Sales are equal to your order subtotal minus discounts (like BeCause Cash), shipping and sales tax. So, for example, if your order subtotal is $100, then you use $20 in BeCause Cash, the Sales total for that order is $80. Sales include non-commissionable items.

Sponsor (or Up 1) is the individual who is your current Sponsor, or who is immediately above you in the sales organization. This individual is responsible for mentoring you and ensuring you have the support you need to be a successful Affiliate. Your Sponsor may or may not be the original individual who enrolled you into the company. If your original Enroller left the company, you are “rolled up” to the next person above you in the sales organization, who becomes your Sponsor.

Stack refers to Affiliates below you in the sales organization. When you refer another individual to become an Affiliate of the Company, they join your Stack. Then when that Affiliate refers others who join as well, they also join your Stack.

Up 1, Up 2, Up 3, Up 4, and Up 5 refers to Affiliates above you in the sales organization. They offer you support and leadership. The Affiliate immediately above you may be referred to as your Sponsor, or as your Up 1. The Affiliate above that person is your Up 2. When eligible in the Compensation Plan, Affiliates above you in the sales organization may earn commissions on your Sales.

Weekly Bonuses are bonuses paid for weekly sales performance in addition to Weekly Commissions. They include:

• Big Week Bonus - $25 for each $500 in Sales in a calendar week. ($25 for $500, $50 for $1,000, and so on)
• More coming soon...

Weekly Commissions are paid each Wednesday for Personal Sales made the previous calendar week (Sunday through Saturday). Weekly Commissions are paid by PayPal or Venmo.

Eligibility to become an Affiliate

To become an Affiliate with BeCause Cosmetics, you must:

1. Be at least 18 years old on the date of enrollment
2. Be a US Citizen or legal resident
3. Have a Social Security Number or Tax Identification Number
4. Have a valid email address for communication
5. Have a PayPal or Venmo account for Commissions
6. Agree to the Terms and Conditions and Policies and Procedures

Code of Ethics

1. I will provide accurate information about products and services, sales and marketing methods, and the Compensation Plan to my customers and other Affiliates.
2. I will maintain records that are accurate and complete.
3. I will train any Affiliates in my Stack on ethics, marketing practices, sales organization interactions, and business rules of the Company. This will always be consistent with the training resources and opportunity information provided by the Company.
4. I will not possess at any time more product inventory than I can reasonably sell to customers within 30 days. This is called “inventory loading” and may be cause for termination of my agreement.
5. I will not “Bonus Buy” by purchasing products to earn any rank advancement, incentive or prize without associated bona fide customer orders or a written agreement associated with an event within 30 days wherein I can reasonably sell the products. Bonus buying includes, but is not limited to, purchasing product through a straw man, purchasing product from another Affiliate, or any other deceptive selling or sponsoring activity.
6. I will market income representations and product descriptions consistent with company directives and ethics training.
7. I will provide a receipt from the Company that permits my customers to withdraw from a purchase order within three days from the date of the purchase transaction and receive a full refund of the purchase price.
8. I will obey all federal, state, and local laws that pertain to my association with BeCause Cosmetics.
9. I will always conduct myself with professionalism and courtesy, acknowledging that I am a representative of the Company, its brand, and values. I will not disparage or defame any employee, officer, vendor, Affiliate, or any other associate of BeCause Cosmetics.

Selling Products

Affiliates and customers purchase BeCause Cosmetics products at retail price. You may only offer products for sale at prices published by the company. You may sell products in person or through referrals to the Company’s website. No other online sales of BeCause Cosmetics products are allowed. You may not sell BeCause Cosmetics products to other Affiliates on commissionable orders. You may not make any product claims or representations that are not published by the Company.

Selling BeCause Cosmetics products in a physical storefront:

• You may not sell BeCause Cosmetics products at a retail store, salon, or any other commercial business. You may, with the permission of the business owner, maintain a display at a retail location with marketing materials, samples, and/or your contact information.
• You may sell products at a temporary event for a maximum of 21 consecutive days per quarter, and/or a maximum of 21 total days per quarter. As the contracted party for the event, you must be present at your booth for at least 75% of the event. There is no limit to the number of BeCause Cosmetics Affiliates allowed at a temporary event. However, event organizers may impose such a limit. As Affiliates are representatives of the Company, they are expected to obey all event rules and act with professionalism and courtesy.

Forms of Payment

All online payments must be made with a credit or debit card or using PayPal payment methods. The Company accepts PayPal, Venmo, VISA, MasterCard, American Express, and Discover. You may be required to provide the Company with written documentation or a receipt for transactions with your customers.

At your personal events, you may accept cash, check, or credit card payment (using your own merchant service, such as PayPal, Venmo, Stripe, etc.) from your customers. Checks must be payable to you, not to the Company. It is your responsibility to safeguard all credit card or personal financial information from customers. Please clearly communicate to your customers when you expect to submit their orders and approximately when to expect delivery.

Sales Tax

The Company collects sales tax on each order placed and will remit to the appropriate tax jurisdictions on your behalf. It is your responsibility to calculate and collect the appropriate amount of sales tax from each customer order. Sales tax is calculated based on the shipping address of each order. If you receive products in one location and sell it in another taxing jurisdiction, please inform the corporate office so that remittance may be adjusted.

You are not required to have a sales tax identification number of your own. If you are participating in an event that requires a sales tax permit, please contact the corporate office for the Company’s sales tax information.

Commissions and the Compensation Plan

General Information:

Weekly Commissions and Weekly Bonuses are paid each Wednesday for Sales from the previous week (Sunday through Saturday). Monthly Bonuses are paid on the 10th of the month for Sales from the previous month. For example, any Monthly Bonuses you earn in January will be paid on February 10th.

You may not make specific income claims when discussing BeCause Cosmetics or your personal business as an Affiliate including, but not limited to, showing bank deposits, bank statements, commission checks, tax records, etc.

Qualifications:

All Ranks are based on Lifetime Sales (see chart below). Rank Advancements occur each Sunday, for Affiliates reaching a new lifetime benchmark during the previous calendar week (Sunday through Saturday). You can never move backwards and do not need to re-qualify at each Rank.