A presentation of Gold Quest

A PRESENTATION OF GOLDQUEST
BY
SYDNEY PEREIRA

We all are here today because we are interested in learning about a new business opportunity that can enable us to earn a considerable income even if we have a regular job. For all of us who here, who live and work in India’s metro cities, I myself live and work in Mumbai, life has become progressively harder every succeeding year. Today no one works for eight hours. It is normally ten to twelve hours, and there is no overtime. We reach our offices in a frazzled condition by our commute in the morning, and we are even more hassled when we reach home at night. Most of us work six days a week, at least I do. How much do we earn? And worse still how much do we save? Can we own a good home in Mumbai? Can we get a good education for our kids? And lastly will our savings ensure us a secure life when we retire?
When we were younger we used to dream, of owning a three bed room home in Bandra, a luxury car and an ordinary one, holidays abroad, kids going to Doon school, medical or engineering higher education, at least two crores invested in securities, a bungalow in Lonavala, and sometimes even when we get older we dream such dreams. If we come back to reality and try to work out what such a dream will cost we will find that we need close to twelve crores. Can a normal person earn such an amount in his lifetime? That seems a dream and not reality. How does one earn money anyway? There are only three ways to earn money.
1. A Salary.
2. Business.
3. Investments.
Assume we have a very good executive position with a salary of two lakhs a month, how much can we save? Seventy thousand will go in taxes, and remember that we will be living at a level equal to our financial position, so we need club membership, we will be paying EMI’s on our home and car, khanna peena and other kharcha, entertaining and socializing, and what do we save? Twenty thousand a month? Not a bad figure actually as most people do not even earn that much in a month. So we save two lakhs forty thousand a year, twenty four lakhs in ten years, or one crore in forty years of working. When you retire what will you have? A home fully paid for, two cars in rotten condition, your building will now need massive repairs, and as long as you haven’t spent for any major acquisitions, you will have one crore in the bank.
Do you know what it costs to become a doctor today? I was asking our family GP and he told me forty lakhs. If both your kids want to become doctors you will be wiped out. My calculations here are very basic, the point I am trying to put across is you can never realise your dreams even with a salary of two lakhs a month. So is there any other solution? The answer is yes there is.


THE COMPANY.
In 1998 a group of economists from the European Union, several ex members of the UN, the World Bank, and the IMF got together to form a company called Goldquest International LTD based in Hong Kong. This company’s aim was RHYTHM, or Raise Yourself To Help Mankind. It wanted to help as many people as possible to raise their standard of living, and it also did a great deal of charitable work. In the fourth year of its existence it did a turnover of US $ 260 million. This is the highest of any company in its fourth year of business, overtaking the turnovers of Microsoft and IBM in their fourth year of business. The turnover this financial year 2006 to 2007 is set to cross a billion dollars.
Goldquest came to India in 2004 setting up headquarters in Chennai. The wholly owned Indian subsidiary is called Goldquest International Pvt Ltd. The mother company is QI LTD a multinational conglomerate with diverse business interests around the globe. Questnet distributes products from several of its sister concerns, it distributes fine gold products from Goldquest, vacation memberships from Quest Vacation International, telecom products from Quest Technologies and financial solutions from Quest Financials.
Questnet is in the process of tying up with the aviation wing of QI which is being set up in Bangalore and which will become operational in 2007.
adviserQuestnet is also certified under ISO 9001 : 2000, the quality management system valid till May 2008, and the financial advisor to the company is Mrs Nalini Chidambaram, wife of our Finance Minister. So much for the company and its background, but how does this help us.
Questnet had done research to find out what would constitute a very comfortable living standard that was international in its scope. Most countries have done the reverse; they have defined what constitutes a poverty level. In India this level is equal to an income of Rupees eighteen thousand a year or less. Questnet’s level was defined as a level that gave you “Financial Freedom”. An income level that would enable you to live in extreme comfort anywhere in the world. And remember that this level was quantified mainly by Europeans. They defined this level at US $ 3000 dollars, not per year or month or even per week, but per day. Questnet takes the figure of Rupees 46 to the dollar for ease in its calculations. At this rate a satisfactory income according to Questnet would be Rupees 1,38,000/- per day. Working for five days a week and 52 weeks per year, this income would total Rupees 3.58 crores per year. If you earn this figure, then Questnet would deem that you are Financial Free.
When this company was formed, its directors had to decide whether to offer a product or a service. They decided to offer a product, but with four stringent criteria. It had to be
1. Universally Accepted. Recognizable all over the World.
2. It had to have instant liquidity.
3. Did not have to suffer from shelf life.
4. It had to have a price that kept steadily appreciating over the years.

Now these criteria can obviously be met by any precious metal, Gold Silver Platinum and so on, what about price? That was the real issue. I am going to write a word below and I will ask you whether you can recognize it.

NUMISMATICS
Numismatics is the science of collecting coins, medallions, currency and other rare objects. But, intrinsic to this numismatic concept is the rarity factor. Following the simple laws of demand and supply, if something is in demand and the supply is limited obviously, the price goes up. I will give you the example of an American Double Eagle coin, Double Eagle is 20 dollars, minted in 1933. This was not a specially minted coin but was released in a limited quantity. One such coin in mint condition was auctioned at Sotheby’s two years ago for, seven point six million dollars. Last year Questnet had sold to its IR’s (Independent Representatives) a Mother Theresa Gold coin which was snapped up. This year it was auctioned by Ebay for US $ 6000. This is six times more than was paid for it last year. If you go to Google or Yahoo and type in Numismatics, you will be hit by over 3 million sites. Even the Government of India is in the business of numismatic coins. Last year they released a three coin set of Veer Durgadas. Three coins of denominations of a hundred, a ten and a one rupee coin. These are non circulated tender. These coins were available under stringent conditions. You had to deposit a demand draft with the Reserve bank of India during a stipulated period, and they made as many sets as there were drafts. Delivery was after eighteen months, with the government having the right to extend this period. The price of the coins? Rupees 1175, a premium of at least 1000%. And how were they able to charge such a premium? Because the Government is aware of the huge interest in numismatic coins, and the large number of collectors.
Questnet decided that they will get these coins made in 24 carat gold, or 999.9 fineness as it is know in the industry. These coins would be minted at the H Meyers mint in Germany, one of the twenty three private mints in the world, and one of the top two or three in the world. The coins would be minted to what they call Mint Proof Standard of Excellence. They are so good that if you saw a coin, you would see your face in it, and if you take off the protective cover and put your fingerprint on it, you cannot blow on it and wipe it off. That stain for that little defect will not be removed, and you will have to send it back to West Germany. These coins are limited mintage coins, ranging from 2999 to 10,000, depending on the series. Now the series covers famous persons like Lady Diana, Nelson Mandela, Mahatma Gandhi, Jawaharlal Nehru, famous sportsmen, Don Bradman, Rudy Hartono the badminton ace, sporting events Fifa World Cup, Athens Olympics, revered persons like Mother Theresa, Pope John Paul the Second, Shirdi Sai Baba and places of worship, the Holy Kabba, the Siddivinayak temple. The Siddivinayak temple coin, as a matter of fact was launched by the Chief Minister Vilasrao Dehmukh in July 2005, and it was made to a limited mintage of 4999 coins. Within four months this coin was snapped up by those of us in the business, and it is not surprising because every Tuesday, if you are aware of what’s going on in Dadar, thousands and thousands of pilgrims come from all over Mumbai, to receive Prasad, Prasad at the Siddivinayak Temple. The holy Kabba, 2999 coins. When this series is over, with a billion Muslims worldwide, the mind boggles at the numismatic value that the coin will get in future. Remember that the coins once made have their moulds destroyed so that you cannot get another coin of the same type same weight etc. These coins are issued or minted under exclusive licenses from various official issuing Authorities, various Governments and so on.
Now let’s say that you like what you hear, well let me also tell you that the Siddivinayak coin that was sold last year is reported to have risen by 45%, the Mother Theresa coin was auctioned for US $ 6000, and what the other coins will fetch is unknown. We would only be speculation if we set any price. What we do know is that the coins will fetch a much higher price than what we paid for them, if we offer them for sale later. So assuming that all I have told you has made you decide to buy a coin, you will come to me and say, “Sydney, I would like to buy a coin, can you tell me where is it available?” And I will have to tell you that there is no dealer or distributor or retailer. You can only get it by being referred into the purchase by a satisfied customer of Questnet. It is similar to opening a bank account. Without an introduction you will not be able to open a bank account. So the referral is like the introduction. You can introduce any number of people to open a bank account, but you get only two referrals per coin. Once you get a referral, you can open your account with Questnet. You get a virtual office on the website of Questnet, you get the equivalent of an account number with a password facility, you get a nomination facility, and you have to furnish several pieces of personal information for security purposes. All transactions can be done by e-commerce using a credit card, or by issuing a pay order to the company. They will then issue you with the equivalent in e-cards which you can use to make to make payments on the net.
Anyone who purchases a coin gets only two referrals for his lifetime. So you get your own referral first, register yourself and purchase the coin of your choice. The coin normally takes eight weeks to be delivered, as it goes from Germany to Hong Kong, from there to Chennai, and from there to Mumbai. All deliveries in India are done by Blue Dart couriers.
Now when you buy the Goldquest coin you get three values to the coin.
The value of the precious metal, i.e. the cost of the raw gold.
The numismatic value of the gold.
A business opportunity. This opportunity puts the first two values in the shade.
This business opportunity is based on the Binary plan, and is very very powerful in execution.
Just to explain how powerful it is I will give you an example where I offer you a choice between two proposals.
For a period of a month (30 days) I can offer you one lakh on the first day, one lakh on the second day, and so on and so forth till the last day. OR:-
For the same period of one month, I can offer you one rupee on the first day, double it to two rupees on the second day, double it to four rupees on the third day and so on and so forth till the thirtieth day, which offer will you accept?

Most people accept the first offer, why? Because they see straight away that in thirty days you will receive thirty lakhs, in the second case you are starting with one rupee on the first day, two on the second day, four on the third day. How much can it reach? You will be shocked. Look at the table below. I have calculated the figures as they double every day till the last day.

SUNDAY
MONDAY
TUESDAY
WEDNESDAY
THURSDAY
FRIDAY
SATURDAY
1
2
4
8
16
32
64
128
256
512
1024
2048
4096
8192
16348
32768
65536
131072
262144
524288
1048576
2097152
4194304
8388608
16777216
33554432
67108864
134217728
268435456
53,68,70,912






You will see from here that the amount received on the thirtieth day itself is Fifty Three Crores, sixty eight lakhs, seventy thousand nine hundred and twelve rupees. And the total amount received in the thirty days? It is the astonishing Rupees One Hundred and Three Crores, thirty seven lakhs, forty one thousand, eight hundred and twenty three only. And you opted for thirty lakhs?
This is the power of a geometric progression or duplication as it is called by Goldquest. And this is the way sales of Gold coins are conducted and the way vast profits are distributed as commissions. So let us go on to the plan.

THE PLAN. ( please refer a ms word file prepared with diagrams)
The plan as devised by Goldquest is a Binary plan.
It has a Left side and a Right side, and the levels or steps go down in powers of 2. So we will have “YOU” on top as 2º, then on the next line 2¹, followed by 2² on the next line, and 2³ on the next line and so on. This corresponds to one on the top, followed by two on the line below, followed by four on the line below, followed by eight on the line below, and so on and so forth.
Let us draw a chart to show the plan clearly.

YOU
LEFT RIGHT








You are right on the top of this chart. You have just purchased a coin, and you have two direct referrals which you can use. The referrals can enable friends or family members or anyone for that matter to purchase a coin each. There is a left and a right side to the plan and the centre dividing arrow separates the left from the right.
No human being lives like a hermit. Everyone has what I would call a sphere of influence, or a circle of influence. This would include those people who are closest to you, and who trust you and believe you completely. They could be friends, colleagues or family. Normally a circle of influence on an average would comprise of at least two to five individuals. You have to really believe in this business yourself before you can persuade someone close to you to join you. Now when you explain the business plan to people in your circle of influence, you will surely get two people to join you. They can purchase a coin each through your two referrals, and you can place them one on the right and one on the left. The figure will now have changed with you above and two below you.

YOU
A B

LEFT RIGHT





Here we see “You” on top with A on your left and B on your right. Now all three of you have purchased a coin, and does it benefit you? “YES”. When A and B purchase a coin each, you are credited with a sum of Rupees 1917/- from A and B each. Let us round it up to Rupees 2000/- so that our figures are easier to calculate. At the end of this step, you have a credit of Rs 4000/- from A and B.
What happens next?
A and B both have two referrals each which they can use, so they reach out into their circle of influence and get two people each to purchase a coin. We have now reached the next step, and the figure will have changed again. Let us see what it looks like.
YOU
A B

LEFT RIGHT

D C E F













In the new figure A has C on his left and D on his right, below him, and B has E and F similarly below him. As explained earlier,
A will now be credited with Rs 2000 from C and D,
and B will be credited with Rs 2000 from E and F.
What about YOU? Will you get anything?
The answer is YES, You too will be credited with Rs 2000 from C, D, E, and F. So at this point you will be credited with a total of Rs 12,000. When will all this credit be converted into cash?
YOU
A
B
LEFT
RIGHT
D
C
H

F When you have three coins on your left, matched by three coins on your right, your credit is converted into a cheque. Questnet will now send you a cheque of Rs 11,500, less TDS of 5.6%.
This would not have been possible in a MLM (Multi Level Scheme). In an MLM scheme, if C purchased a coin, A would get Rs 2000 and You would get say Rs 1000. If someone below C bought a coin, C would get Rs 2000, A would get Rs 1000, and You would get Rs 500. The amount of commission you get depends on the level on which you are. In this business, everyone gets the same commission, independent of which level you are on. Another thing to remember is that you do not need to have every body placed in such a symmetrical position. It could be any three coins on the left balanced by any three coins on the right.













Here we have an unsymmetrical figure. The left is balanced but the right is not, B has no one on the left, F has no one on the left, and H has nobody below. But You have three on the left and three on the right so you will collect your commission of Rs 11,500.
In the next step, C, D, E, and F, will use their two referrals each, to get eight more people into the business. The figure, if drawn, will become unwieldy, so we will use a table, and a time frame of one week for every step. This time frame would very well be even one day or even two months in practice, but one week is convenient for our calculations. Let us start the table in the first week where you get your two referrals.


Week
Number of People
Earnings
1st
YOU+ 2
None
2nd
YOU + 2 + 4
11,500
3rd
YOU + 2 + 4 + 8
11.500
4th
YOU + 2 + 4 + 8 + 16
34,500
5th
YOU + 2 + 4 + 8 + 16 _ 32
57,500
6th
YOU + 2 + 4 + 8 + 16 + 32 + 64
1,26,500
Total Received

2,41,500

· In the first week with two coins below you, you earn nothing.
· In the second week you have six coins below you, with three on the left and three on the right, and you receive Rs 11,500.
· In the third week you have eight more people joining under you, four on each side. You will receive your commission of Rs 11,500 for three plus three, leaving a balance of one plus one coin, to be used in the calculated commission of the next step.
· In the fourth week we have sixteen more people who have joined, eight on the left and eight on the right. With the balance of one plus one left over from the previous step, we will have nine plus nine coins on the left and right respectively. This gives us three sets of three on each side, and a commission of Rs 11,500 multiplied by three, which is Rs 34,500.
· In the fifth week we have thirty two new people joining, sixteen on each side. We now have five sets of three on each side with a balance of one plus one, giving us a commission of Rs 57,500.
· And in the sixth and the last week of this calculation, we have sixty four more people joining, thirty two on each side, with the previous balance making up eleven sets of three on each side and giving us a commission of Rs 1,26,500.
· In all, the figures for the six weeks total up to a grand sum of Rs 2,41,500.

As you can see from the calculations above, you have received Rs 1,26,500 in the sixth week. Divide this by a five day working week and you have earned Rs 25,000 per day. This will gradually increase to 50,000, 75,000, 1,00,000, to 1,25,000, and 1,50,000 a day. But you will not receive anything above 1,38,000 a day. At this point, the company Questnet will say you are financially free, and anything earned above this will revert to the company.
This is the basic plan that has been shown to you here. The next question is what will it cost me to enter this business?
If we had to earn Rs 3.58 crores a year, what would it cost in terms of either doing traditional business, or from investments?
If we assume that the return from business is 20% per annum, we would need an investment of approximately eighteen crores, to get a return of three point six crores a year. If we had to earn this sum from mutual funds, which give an average return of 10%, our investment required would be Rs Thirty six crores. No ordinary person can afford these sums. So what is the cost of the coin that can earn you a return of Rs three point six crores? If I told you six lakhs, would you consider it a good investment? Yes, the returns are very good, but I cannot afford six lakhs. If I said now said that I would be willing to give you the coin for Rs 60,000, would you consider it a good investment? Again “Yes”, an excellent return for a sum of Rs 60,000. OK. Take the coin for its selling price which is Rs 28,100. Now what do you think of this business opportunity?
Let me show you another table where we want to invest Rs 30,000. We can invest in the coin, or say in mutual funds giving us a return of 10% per annum. And also assume that the coin costs Rs 30,000, a round figure, and for each coin below us we earn a round figure of Rs 2000.

Year
Amount invested
Return from MF
percentage
Number of coins below you
Return from Goldquest
Percentage of return
1st
30,000
3,000
10%
20
40,000
133%
2nd
30,000
3,000
10%
200
4,00,000
1333%
3rd
30,000
3,000
10%
2000
40,00,000
13,333%
4th
30,000
3,000
10%
20,000
4,00,00,000
127000%
Total

12,000


4.44.40,000


From the table we can see that our earnings from mutual funds remains constant at 10% per annum or Rs three thousand per year, but what happens when we invest it in a coin?
We have to use our referrals to enable two of our friends to purchase gold coins, and them help the new people to do the same. We had in a previous example taken two months for one step. If we calculate at that rate, in a year we ought to have 126 people below us. Perhaps this is too optimistic a figure. Assume that in a whole year, we succeed in convincing only twenty people to join the business; we will still have earned Rs 40,000. Also assume that in the succeeding years each of these people works half as hard as we did in the first year. Each one brings in only ten persons. So at the end of the second year, we have two hundred coins below us, and we have earned four lakhs.
The same thing happens during the third and fourth years. At the end of the third year, we have two thousand coins below us, and we would have earned forty lakhs, and at the end of the fourth year, we would have earned four crores. Well not four crores, as the company would pay us only three point five eight crores. This is a very conservative plan, which can be achieved in four years with a little effort. Most people who work hard reach the figure of two hundred coins in as little as six to eight months.
There is another aspect of the business which I will touch upon here. You can have hard work, and you can have hard and smart work. There is quite a difference between the two. If after a years hard work you have two hundred people below you, what would you have earned? 200 X 2000 = 4,00,000, or four lakhs.

If you want to be really smart, you would buy three coins at a time, called a Triple Header and double your profit.
BOB
100 COINS 100 COINS


LEFT RIGHT










Look at the figure above. Bob has a hundred coins on the left and a hundred coins on the right, and he has earned Rs four lakhs. Suppose Bob had taken a Triple Header of three coins what would the figure look like?
When you take a Triple Header, you refer yourself twice. Let us assume that Bob has bought a Triple Header. So you have Bob 1, on the top, Bob 2, on the left and Bob 3, on the right. Let us see what the figure looks like.
BOB1
BOB 2
BOB 3
LEFT
RIGHT
50 COINS
50 COINS
50 COINS
50 COINS












Here Bob has done the same amount of work and has a total of two hundred people below him, but because Bob have three coins he has distributed the coins in groups of fifty, to maximize his returns.
Now Bob 2 has fifty on the left and fifty on the right, so Bob 2 earns a commission of two lakhs. Similarly Bob 3 on the right also earns a commission of two lakhs. But what about Bob 1? He has hundred on the left and hundred on the right, and earns four lakhs. So, Bob totally earns Rs eight lakhs. Double the return for the same work. But what happens when you reach the limit of 3.58 crores? Does the excess go back to the company?
Not in this case. The limit is 3.58 crores per coin, and since you have three coins, you can earn up to 10.7 crores per year. Anything in excess of this will be returned to the company.
Effectively, with a triple header, your earning per coin goes up to Rs 4000 per coin instead of the previous Rs 2000 per coin.
The next question most people ask is:-
HOW CAN THE COMPANY PAY OUT SUCH LARGE SUMS OF MONEY AT EVERY LEVEL?
If we take an organization built up over time, it may have covered many steps, and may have a large number of members. We can always work out the income and expenditure for any kind of structure. So let us take a structure which is totally balanced, so that the company has to pay out the maximum. If the structure was lob sided, say one of your direct referrals below you did not do anything; you may have 10,000 coins below you on the left, and one direct referral on the right. In this case you would not receive a single naya paise. So let us look at a structure that goes down four levels, and work out the income and outflow.
YOU
A
B
LEFT
RIGHT
C
D
E
F
H
G
I
J
K
L
M
N
V
U
W
X
Y
Z
1
2
3
4
T
S
R
Q
P
O











Look at the structure on top and count the number of coins on the left and right, and determine how many people will receive commissions. We can see straight away that G to N will not receive any commissions as they have only one on the right and one on the left below each one of them. You, and A, B, C, D, E, and F will receive commissions. Also you have purchased a coin, and you have fifteen coins on your left and fifteen coins to your right, so there have been thirty one purchases of coins from the company. So now let us draw a chart and put in the amounts.
Name of Person
Amount
C
11,500
D
11,500
E
11,500
F
11,500
A
23,000
B
23,000
YOU
57,500
TOTAL
1,49.500
RECEIVED BY COMPANY
8,71,100

We can see that the company has received Rs eight lakhs seventy one thousand one hundred totally from sale of coins at Rs twenty eight thousand one hundred each, and has paid out Rs One lakh forty nine thousand five hundred only. You can work out this example to any level, and you will find that the company always stays ahead by several steps. It never pays out more than 60% of its profits in the worst case scenario.


WHAT IS THE PRACTICAL FEASIBILITY OF SUCH A PLAN, AND HOW DOES IT WORK?

This business will never succeed if it is run by a loner, or a person working alone. To run this business successfully you need team work, you need to build you own organization, and you need to impart a great deal of training to your own people. To succeed you need to learn to do three things.
1. Learn how to give a presentation.
2. Learn how to answer questions and objections about the business.
3. Learn how to build your own organization.

When you first heard this presentation of the business plan, you might have decided to join immediately, or on careful reflection a few days later. But once you decided to join, you had to convince two others to join you in this business. So how do you do that? Simply by giving the same presentation that you heard when the plan was presented to you. Do you think that it is that simple? No, it is not. If you try to present this plan to someone and you mess it up, (which you are quite likely to do since you have no practice or experience), you will put that person off forever. So what do you so? You get the leader who presented the plan to you in the first place, and under whom you are, to present the plan to your friends. If he is convincing enough, (and he will be since he convinced you), your friends will be prepared to join below you, and you will have obtained your monetary credits from your two referrals. So what do you do next? Do you say I have got my two persons to join, and my job is over. It is up to the two of them to get their two referrals each. No you cannot do that. Your leader helped you when you needed help to get your two referrals to join, so you have to imbibe that culture and help them to get their two referrals each. How do you do that? By learning how to present the business. In the beginning you can get the help of your leader several times, but you have to learn how to present, and then teach others how to do so, so that the organization can grow, after all you are the head of your organization. You learn by listening to as many presentations as possible. Take notes, and practice giving the presentation in front of a mirror, or even in front of your cat, it won’t object. When you are ready, give the first half of the presentation in the presence of your leader, and let him give the second half. Reverse it the second time. When you are confident, give the full presentation.
What do you do next? You teach your two referrals how to present. Once they have learnt the art, there will be three of you that can present. Next work on the next four referrals. Once they too have learnt, they will be seven of you who can present, and then teach. This work culture has to be passed down. Once you set an example, the others will follow.
Next you have to teach the others how to answer objections and questions. A leader must always know how to answer objections. Learn from your leader.
If you do all this, before you know it you will be the head of a large organization, and you will be receiving your weekly commission cheques, which will grow larger and larger every week. As you can summarise from this presentation, there is a lot of training material to go through before you even try to approach anyone for a presentation. Even approaching anyone to set up an appointment is an art. After you decide to join, you should not say anything to anyone, you should not even try to approach anyone for a presentation, or worse try to give a presentation yourself. Just take advice from your leader and do as he says. He will always go all out to help you, because only if he helps you to make your commissions, will he make any himself.

Sydney Pereira
April 16th 2006.