I can show you mathematical proof that this system will not collapse and can grow indefinitely with enough reserves left over to cover operating costs by the parent marketing company "Gold Quest International".

I was concerned about the stablity of this marketing structure myself so I went ahead and did the calculations.

In this system every tracking center, called a TC, has a maximum earning potential of $2400 per cycle with at most 1 cycle per day. Below this each TC will also be getting payments for referrals.

If you get as few as 5 sales on each side you get paid $400. You can go up to $2400 for 30 accumulated sales on each side of your tree.

In a worst case scenerio ( worst case for Gold Quest International ) the tree will be balanced and from the $2400 down point they will pay $12,000 to owners of tracking centers for 80 sales.

Since each step up the ladder the maximum is $2400, and that income is paid out of two branches of the tree, the amount from each branch that goes towards the payment is half of what one branch makes. So going toward the trunk the cost per each node on the branch decrease going from $1200 to $600 to $300 and so on... The total cost going towards the trunk asymptotically approaches but never exceeds $2400.

Can you believe it? I was surprised myself to find that the cost per sale of maintaining the old TC's up the tree is 5 times less than those at the bottom!!!

This does not mean those TC's up the tree are making less, they are still making $2400 per cycle!!! But the amount paid out of the branch is cut in half every step up the ladder. So it is per sale that they get a smaller percentage.

Sales revenue   = $56,000    = 80 * $700
Est. Prod. Cost = $24,000    = 80 * $300
TC cost         = $14,400    = $12,000 + $2,400 ( combined cost )
Remainder       = $17,600

The remainder left over is what the parent company "Gold Quest International" uses for operating costs. This is 33% of the selling cost. I have done a second calculation which shows profit is actually closer to 27%. In this first calculation I neglected to compute that actually when the tree grows only 6 new coins are sold rather than 10, see Accurate Calculation .

Note that most times when you go and buy things from the store the markup cost is 100 - 500 % so I find this operating cost of 33% is quite reasonable! What does GQI do with this money? One thing they do is provide support centers, training, and materials to the TC owners!!!

Furthermore, if you go to any store and buy an item, the markup cost is at least 100% further increasing your cost over the value of the item sold. The total price for most of these products is around $770 but you don't need to pay this!!! You can pay as low as $370 first and makeup the remaining balance with referrals, and you can pay by credit card!!!

The cost of these coins to you is only $370 per coin plus the shipping fee. When you you buy, you agree to pay $770 but after your first 5 referrals on each branch of your tree, you don't have to pay the remaining $400!!! Remember this tree is going to make you money someday, and soon!

If you or your referrees get referrals, you will never have to pay more than the down-payment for the products plus you can make that back in just a couple weeks with your rapidly growing referral business.

You may not even have to make more than a single referral, we guarentee that we will add new referrals below yours. This will help both you and us at the same time! Just mention this plan to a few people on the web, give them your TC id and you're in business!!!

In the mathematical calculation above, note that I used the price of each item as $700 ... since each customer waives the first $400 payment for 5 referrals on each side the parent company does not need to pay this, so it cancels out and the above calculation is correct.