We apologize to one of our readers who alerted us about the Siomai King Online Franchise a few months ago. Our new project took so much of our time in 2020.
We’re back in 2021 and promise to give you the best reviews and articles about the latest money-making schemes.
Let’s start with the Siomai King Online Franchise.
Our researchers have found several red flags about this scheme. We compiled all of them in this article to warn you.
Read on and find out.
Table of Contents
What is Siomai King Online Franchise?
Siomai King Online franchise is a scheme used by JC Worldwide Franchise Inc. to allow you to market its food products and make money from your referrals.
Our research suggests that this scheme is not a franchise per se. Rather, it is an investment where the investor is promised a return ranging from Php30,000-Php60,000 per month upon payment of Php15,888.00.
Update: Adding Toktok Online Franchise, the price is now at Php16,888.00.
What’s included in the investment package?
Upon payment of the capital, you will have website shop links (affiliate links). These links are used to track your commission for online sales. You can share these on social media if you want to promote the products.
As an investor in Siomai King Online Franchise, you are entitled to sell and earn money from products of other franchises of JC Worldwide. These include Siopao Da King, Noodle House, Burger Factory, SGT. Sisig, Potato King, and Mang Bok’s Manok.
JC premier will handle everything once a customer ordered a product from your affiliate links. The company shoulder the handling, packaging, and delivery of the items.
Also included in the package are marketing and training materials, website maintenance, and the use of trade names.
Other than the freebies of health and food products, you won’t receive any products as inventory for you to sell in this Siomai King Online Franchise.
In reality, what you are buying is the right to sell the products and recruit others.
Like other MLMs we have reviewed, the company and its promoters emphasized its compensation plan more than its products. A claim such as making Php30k-60K monthly is heavily promoted across social media platforms.
Other promoters are saying it’s a pandemic-proof business because it is purely done online. In short, Siomai King Online Franchise is sold as an income opportunity.
Here are the ways to make money with Siomai King Online Franchise:
- Direct Selling- Sell food and JC Premier products and receive a commission of up to a certain percentage based on gross sales.
- Direct Referral Commission- This is where the money is. Receive Php5,000-Php7,000 if you can refer someone. All you must do is sell the “income opportunity”.
- Referral Match Income- Earn Php1,500 every time you refer an investor on your left and right sales group.
- Referral Match Rebates- Get Php300 when you direct recruit earned their referral income.
- Passive Sales Match Commission- When products consumed under your left and right sales reached 100 points, you will get Php1,5000. The higher the points the higher the income.
You see. To make a lot of money from this Siomai King Online Franchise, you need to recruit more people.
It’s a chain of recruitment disguising as an online franchise. People make money from this scheme through the referral system, a typical characteristic of a pyramid scheme.
We have read complaints and comments about this scheme. People have difficulty in selling the products because the costs and shipping fees are expensive.
They realized that to generate profit, you need to recruit and recruit more. Just sell the “business concept’ or the ‘income opportunity”. That’s the easiest way to make money.
Is Siomai King Online Franchise Legit or Scam?
We believe Siomai King Online Franchise is a scam. It’s a pyramid scheme.
People are not buying the so-called online franchise to sell the products. There’s no money on it. You make money via the recruitment scheme.
The more referrals you have, the higher your income will be.
Selling the income opportunity for other people is the focus of the company.
It is called Leverage.
Get more people under you and take a portion of their payments as your income. The rest goes to the top of the line.
In this scheme, people at the top of the pyramid make money at the expense of the poor downlines.
Furthermore, we believe that the Siomai King Online Franchise can be considered an investment contract.
What is an Investment Contract?
An investment contract according to the Amended Implementing Rules and Regulations (IRR) of Securities and Regulations Code (R.A. No. 8799), is a transaction or scheme whereby a person invests his money in a common enterprise. Then, he is led to expect profits primarily from the efforts of others.
Siomai King Online Franchise is an Unregistered Investment
We believe that the Siomai King Online Franchise is an investment contract. Hence, it must have a secondary license from the SEC and register the same before it is offered to the public.
However, we find no evidence that the company operating the Siomai King Online Franchise has complied with the above requirements.
Why do we think this scheme is an investment contract?
First, as to the first requisite, there is an investment in money when an investor commits money to an enterprise. JC Worldwide Franchise sells the investment package for Php15,888.00
Second, there is a common enterprise when two or more investors “pool” their resources. In this case, the invested money is under the control of JC Worldwide Franchise which decides as to what to do with the amount.
JC Worldwide uses part of the money while a portion is paid to pay the promised returns to its members.
Third, investors or members are attracted primarily by the prospects of a return on their investment. The investment in money is made with a view of receiving profits from JC Worldwide Franchise for the Siomai King Online Franchise primarily from the efforts of his downlines.
We recommend that you avoid the Siomai King Online Franchise offered by JC Worldwide Franchise Inc.
We believe it’s a scam because it has the typical characteristic of a pyramid scheme.
Based on the information we gathered, the primary source of income from this scheme is through the recruitment of investors or members. When that investor pays, part of the payment goes to the people above him while the rest goes to the company itself.
While there are food products an investor can sell online, investors focus more on the recruitment side. This business model won’t last long. Eventually, it will fall and people at the bottom will suffer the most.
Moreover, we think that the scheme used in the Siomai King Online Franchise is an investment contract. It’s a security that requires a secondary license and must be registered with the SEC.
We found no evidence that the seller of this scheme has complied with the SEC requirements.
What can you say about the Siomai King Online Franchise? Share it in the comment section below.