There’s a lot of misinformation out there making QNET out to be a scam or a pyramid scheme. Most of this misinformation is founded in a lack of understanding of the direct selling business model and how it differs from fraudulent pyramid schemes. The difference is easy to see once you understand how each operates.
Pyramid Scheme Vs Direct Sales
What’s the Difference?
An illegal pyramid scheme pays participants a commission when they recruit people who then purchase the product the company is offering. The entire business model is built on constantly recruiting new people to make a large initial investment.
In contrast, a direct selling company pays a commission solely based on when products are sold. Pyramid schemes are only designed to get more people recruited into the program.
QNET’s compensation plan is designed to only pay commissions on volume
of product sales and not on recruitment. In fact, the business model does
not have any options to make money based on adding people to the network.
In addition to the regular commissions, QNET has also designeda recognition platform to reward high achieving distributors based on achieving specific
QNET Operates In Countries With
Stringent Legal Systems
QNET does business in and has offices in countries such as Singapore, Hong Kong and Germany that are known the world over for having a strong regulatory system and consumer protection laws. In fact, these countries also recognise the direct selling business as a legitimate industry.
If QNET was a scam as so many reports allege, they would never be able to operate in these countries. QNET always endeavors to comply with local laws and regulations, but sometimes there are instances of miscommunication. Most of the time this has to do with a lack of understanding of how direct selling works.
Other times QNET has difficulty when emerging economies have difficulty adapting their laws and regulations to new business models. For example, the Ministry of Finance in Rwanda banned QNET operations within the country in 2009. But this was due to the fact that QNET did not have localized offices within the country.
By 2012, QNET was able to establish a local office and Rwanda’s Ministry of Finance overturned the ban. Now QNET operates their entire East Africa hub out of Rwanda.
QNET’s Name Change Explained
QNET was founded as GoldQuest in 1998, offering a single product: commemorative gold coins. Over the years, the company continued not only to add more products to its catalogue, but also embraced the e-commerce platform. To reflect these changes, the company’s name was changed to QuestNet.
Today, it is known as QNET, a shortened version of QuestNet.
Why Does QNET’s Wikipedia Page Contain Disparaging Information?
Wikipedia is a public forum where anyone can publish or edit an entry. It is not considered a reliable source of information. Unbiased media outlets and academia do not accept any information found on Wikipedia as being factual.
Jimmy Wales, Wikipedia’s founder, has acknowledged the fact that his website has a host of quality issues. QNET has disputed many claims on it’s Wikipedia page to no avail. Companies are not allowed representation for editing or fact checking information on Wikipedia.
The company has lodged a complaint with Wikipedia’s administrators about the extreme bias of the information within, and has taken other steps to have it corrected such as opening a debate on the ‘Neutral Point of View’ noticeboard.