Just notice of this from some e-mail. This is a "scam" or a "legit"? bussiness plan is interesting.

Invest RM6000, get RM300 monthly back. The period to get back capital is 20 months, or 1 year & 8 months.

On top of that, they gave you food vouchers of RM100 monthly.

To me, the food vouchers is not a return, since it is the money you already spend on the deposit. It is used & lock you in for consumables items provided by the cafe. Its a good business plan, to lock a customer to spend RM 2400 to the cafe for 2 years. It is worth if you like very much the food there and don't mind the limited choices. Just like you already know you will eat KFC or fried kueh teow from a shop for 2 years might as well pay in advance to enjoy that and get some discount.

So factor this in, RM300 cash + RM100 voucher (don't mind eating there), you get sort of return after 15 months, or 1 year & 3 months of your capital (1/4 portion already spend on consumables).

The profit to roll this wonderful business plan & benefit, the number #1 must be from the recruitment money/deposit by new members as there will be need a steady constant stream of new members and 5 year plan is quite nice before "everybody" in Malaysia that is available to join this system...already join them, though I think 5 years is TOO LONG. Number #2, is the profit from external customer who is not a members, patrons who paid their monies for their food......don't forget, even for Number #2....I believe 30~50% of that steady profit comes from the, remember the food voucher??...yes...from the deposit of the new members ITSELF who spend on those consumables.

I would say, in fact, 75% of the "profit" or "earning", to roll over new outlets & pay members a steady stream of returns COMES from recruitments......25% would be money from "external" sources....non-members expenditures or even members who spend more then their designated voucher value.

The only way this business will bankrupt, collapse or die off...if, THAT 75% revenue from recruitments is no more forthcoming.

*update* and a business plan, that needs to be viable via recruitments = PONZI BUSINESS!! ...yes, this is a scam business alright.

This post has been edited by mssv19: Jun 30 2009, 02:14 PM