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In Business Since: 1993

Comments: ACN is a good opportunity due to their track record of success, very knowledgeable and dynamic management team, financial strength, and the fact that they are the leading home business companies that focuses on Home Services / Telecommunication (Local & Long distance, cell phone services, digital and video phone services, satellite TV services, and home security) products that are marketed through home businesses. They offer better services and value on things that we all use every day with a business opportunity to make income in the sales of these products.

Advantages: 6 Year track record of success, strong financially, simple but very lucrative compensation plan, utilities. Mainly we like this because of how it canbe used to support Non Profit revenues and fund raising over a longer period of time.

Disadvantages: $499 startup cost can be too much for some, but customer acquisition bonuses are worth it. Also attracts more professionals and more committed representatives. You really have to be a sales person to be able to move the products and services.

Approximately 15 to 20% of every dollar spent is on their products. The reasons for such low payout percentages are due to the services they are selling. They are in a very competitive market which is going up against companies like Vonage, who also offers a digital phone service for under $25 a month.

Low profit margins are the result of trying to compete in this type of market. They're is a need to maintain an active residual income to reach your desired income level. ACN can't rely on their sales because of the fierce competition that has saturated the market, thus giving them a low percentage of the company's payout.

With such a low comp rate, according to the industry averages, hurts the distributors. The products associated with ACN are great, there is no argument there. They provide a great service for the customers. The main drawback is that a distributor will need to have a team of huge proportions in order to make this a full time income. If you are looking for a great product and the money is not so much of an issue with you, then this would be a great company to look into.

Entities:

Transferable	Saleable	Willable	Structure as Corporation Entity
Yes	Yes	Yes	Yes, but limited

Financial Strength: Very strong. Annual revenue for 1998 was over $100 million dollars with a dramatic increase predicted for 1999 and 2000. Rated as #22 in the INC 500's fastest growing privately held companies.

Management: Dynamic management with strong backgrounds. The fact that ACN has been in business since 1993 and is rated as #22 in the INC. 500 fastest growing privately held companies, is a good indicator of just how capable the ACN management team is. Further, after watching ACN for many, many months now, and attending their meetings and regional trainings, we witnessed a team that knows what it truly takes to build an organization and keep it growing.

Online Training & Support: Excellent online support with 4 websites: one for the business opportunity, one for their internet service, one for their utilities division, and one for their newly added global mall. More comprehensive support is available through their representative's only area where reps can access the latest corporate news, current events, important documents, as well as order products and marketing tools, and view genealogy reports. Recently added is an online sign-up system that can be used by anyone with internet access.

Field Training & Support: This is where ACN really shines. In addition to annual conventions, quarterly regional training events are held all over the country. Through these regional, reps are trained to gather customers by utilizing a simple and very effective technique, as well as duplicatable techniques for prospecting and recruiting. Quick Start trainings are also provided at weekly business briefings held by Regional Vice Presidents, in addition to their business opportunity presentations.

Motivational Support: Available via ACN corporate websites, monthly newsletters, online discussion groups, weekly meetings, regionals, and national conventions.

Products/Services: Long Distance, Paging, Internet, Global Mall, Electricity, Gas

Compensation Plan: 7 Level Unilevel with 1/2% infinity bonus below the 7th level for reps who reach RVP, the top position in the comp plan. Lucrative customer acquisiton bonuses creates substantial front end income as well as long term residual. What we would like to see from ACN's comp plan are coding bonuses, but perhaps we are nitpicking. On the other hand, maybe not. What we would also like to see is an infinity bonus added to the 7 level plan prior to reps reaching the RVP position. In any case, this compensation plan is already very lucrative just the way it is, and combined with the mass market potential of ACN services and highly competitive pricing puts this program in a league that is out of reach by many companies.

Health Insurance Plan Available: Unsure

Disclaimer and special notes: Please note that the opinions and statements expressed in this report are ours and do not necessarily represent the opinions of others or the company we are reviewing. All information found herein is believed to be accurate at the time of publication, but errors may exist.