The Marketing Plan and Management Performance Compensation Plan, (the MPCP), the policies and procedures in Part 2 of this UnFranchise Manual, and the Independent UnFranchise Owner Application and Agreement (IUA&A) constitute the entire agreement between Market Hong Kong and UnFranchise Owners regarding their business relationship.
Market Hong Kong, at its sole discretion, may amend the MPCP, the policies and procedures, or the terms of the IUA&A at any time. Such amendments will be effective immediately upon being posted to UnFranchise.com. Your continuance as an UnFranchise Owner or Sales Representative with Market Hong Kong after a modification or change to the policies and procedures and/or the terms of the IUA&A have been posted will mean that you accept and agree to any changes that have been posted.
All UnFranchise Owners must complete an IUA&A to be accepted by Market Hong Kong as an Independent UnFranchise Owner. Market Hong Kong reserves the right to accept or reject: anyone as an UnFranchise Owner applications for new Business Development Centers (BDCs) or applications for renewal.
Please note: UnFranchise Owners must submit the original hard-copy application or sign up with the assistance of the sponsor via the online sign-up process. No faxed applications will be accepted.
All new applicants must submit a copy of their Hong Kong identification card within 10 calendar days of their application start date to avoid cancellation of the UnFranchise Business.
All Hong Kong UnFranchise Owners are required to have a Hong Kong ID number and card or Hong Kong business license number (for business entities).
All UnFranchise Owners must be the age of majority in Hong Kong to sell and distribute Market Hong Kong products.
An individual is not required to purchase Market Hong Kong products, services or sales aids, or pay any fee in order to become a Market Hong Kong Sales Representative.
(A) Rights: Sales Representatives may purchase Market Hong Kong products at UnFranchise Owner Cost (UC) for retail sale and/or personal consumption.
(B) MPCP Eligibility: Sales Representatives may NOT participate in the MPCP until they change their status to an UnFranchise Owner (i.e., submission of the subscription fee with a new IUA&A and submission of the renewal fee each year thereafter).
(C) Limitations: Business Volume generated by Sales Representatives shall count towards Group Business Volume of qualified upline UnFranchise Owners. However, Sales Representatives will not count toward activating their sponsor’s BDC. Because they have not submitted a subscription fee, Sales Representatives will receive none of the benefits derived from purchasing the subscription.
The status of an UnFranchise Owner is given to applicants upon completion of an IUA&A, and submission of a subscription fee with the application, and acceptance of the application by Market Hong Kong. The subscription kit is provided at Market Hong Kong’s cost and additional monies are used for the processing of mailings throughout the year. Market Hong Kong reserves the right to change or modify the subscription kit. However, the subscription fee will, at a minimum, provide:
• A Getting Started Guide
• Subscription to Market Hong Kong’s UnFranchise Owner Magazine
• The Market Hong Kong UnFranchise Manual
• The Market Hong Kong Global Annual Report
• The Market Hong Kong Product Catalog
All Market Hong Kong Independent UnFranchise Owners (Including Sales Representatives) are required to timely submit a complete Annual Renewal Form (Form 1052), filled out completely OR renew with the Auto Renewal Program by the last business day of their Start Month each year. Each UnFranchise Owner must pay his/her own Annual Renewal fee with an acceptable method of payment. No other person, current UnFranchise Owner or otherwise, may pay for another UnFranchise Owner’s Fee.
All current Market Hong Kong Global UnFranchise™ Owners who registered as a Global UnFranchise Owner are required to submit a Global Renewal form OR renew with the Auto Renewal Program In the month of their global expansion each year. To obtain the Annual Renewal form for your Global Country(s) site; login to that country(s)’ UnFranchise Business Account print the specific Annual Renewal form for the country(s) they wish to Globally renew in. Global UnFranchise Owners may set up Auto Renewal in that country(s)’ UnFranchise Business Account for the country(s) that they wish to globally renew in. All Global Renewals must be paid for by a UFMS credit card due to currency rates. Please contact your upline Sponsor or UnFranchise Owner Services with any questions you may have.
NOTE: You must be an active UFO to renew as a Global UnFranchise Owner. Sales Representative status is not available for Global sign-ups or renewals.
UnFranchise Owners must always use the word independent to describe their status. This means, for example, Sales Representative or Independent UnFranchise Owner. If the UnFranchise Owner has a business telephone, the telephone may not be listed under the Market Hong Kong name, or in any other manner that does not disclose the independent contractor status of the UnFranchise Owner.
UnFranchise Owners are independent contractors, responsible for their own business. The Agreement between the Independent UnFranchise Owner and Market Hong Kong should not be construed to create a relationship of employer-employee, agency, partnership or joint venture between the UnFranchise Owner and Market Hong Kong, or between the UnFranchise Owner and sponsor. The Agreement does not constitute the sale of a franchise or a distributorship, and no fees have been or will be required from an UnFranchise Owner for the right to distribute Market Hong Kong’s products pursuant to the Agreement.
(A) An UnFranchise Owner must follow all local laws, rules and regulations pertaining to this Agreement and/or the acquisition, receipt, holding, selling, distributing or advertising of Market Hong Kong products;
(B) An UnFranchise Owner has no authority (expressed or implied) to bind the company to any obligation with a third party. Each UnFranchise Owner shall indemnify and hold harmless the company from any claims, damages or liabilities arising out of the UnFranchise Owner’s business practices;
(C) An UnFranchise Owner must make, execute or file all reports and obtain all licenses as are required by law or public authority with respect to the Agreement and/or the receipt, holding, selling, distributing or advertising of Market Hong Kong products; and
(D) Each UnFranchise Owner is encouraged to set up his/her own hours and to determine his/her own methods of sale, so long as he/she is in compliance with the policies, procedures, rules and regulations set forth in the UnFranchise Manual and amendments.
(E) UnFranchise Owners are not employees of Market Hong Kong under any local laws.
All UnFranchise Owners are responsible for taxes, including taxes due on profits generated as an UnFranchise Owner, as required by law.
(A) General Business Records: Complete and accurate record keeping of all business transactions and promotional activities is the sole responsibility of the UnFranchise Owner.
(B) Retail Sales Records: UnFranchise Owners must maintain records of retail sales, turn in a minimum of HK$1,500 in retail receipts every three- Q-date or three-Start-Date period, and be able to furnish all receipts requested by the company in order to qualify for commissions.
Either party may terminate the IUA&A for any reason and at any time upon giving thirty (30) days written notice to the other party. However, Market Hong Kong may terminate the IUA&A with less than thirty (30) days written notice for serious violations of the policies and procedures, in accordance with the Corrective Action Procedure described in Chapter 14, Sec. 1 of this UnFranchise Manual. The written correspondence must include the canceling UnFranchise Owner’s signature(s). If an UnFranchise Owner cancels his/her UnFranchise Business or if the UnFranchise Business is terminated for any reason then he/she cannot submit another application to Market Hong Kong until after 270 days from the last date of inactivity (date of the last purge) (see 270-Day Rule). This includes submitting an application under a different name, a corporate name, a spouse’s name, or in any other manner which will result in the UnFranchise Owner having more than one UnFranchise Business at any time. The only exception to the 270-day rule is a business-entity UnFranchise Business that has been cancelled by Market Hong Kong because of non-compliance with the business entity documentation policy (see Business Entity UnFranchise Businesses).