Three types of Agents are involved in the field of Education.
1) UNIVERSITY'S SATATLIATE CAMPUS
This Campus is run by the University as a branch. Students of this Campus pay their fees directly into the University's Bank Account while she pays the Management and Lecturers and including the lecture hall. It is possible to get Degree Certificate after graduation unless students who are unable to pay all their fees. Young Secondary School Leaves may flood this Satellite Campus considering it to be branch of the University or other tertiary institution.
2). DIRECT AFFILIATE
This Agent is directly appointed by the University as their Affiliate to run a Campus on her behalf.
The University don't pay the Agent directly but gives fixed rates so low to enable the Affiliate add his commisiom unto the fees (based on the prevailing exchange rate in case of foreign University) to be paid by students on each Degree programme and must run under a registered business name as an institution. The Affiliate must indicate the business name and also indicate for example, " Affiliated to University of ................".
Earning a University Degree is quite possible based on the following factors:. Students pay school fees directly into the business name Bank account recognized by the Bank, while the bank pays directly into the University"s Bank account either in Nigeria or in foreign country of origin as Direct Affiliate of the University.
At the same time, if the Direct Affiliate runs short of cash due to administrative expenditures (involving payment of Lecturers wages and other related cost), the bank can raise short term loans (known as "Account Receivable Loans") to complete payment of the total sum required on the behalf of the Direct Affiliate and pays the total sum per student directly into the University's Bank Account for graduating students who had already completed all payment for award of Degrees and then detucting from the Affiliate Commission through fees paid by other students on a gradual basis whenever the need arises because the bank is benefiting from the transaction on short terms loans with interest and through remittance of payment into the University's bank account specially in remittance through foreign exchange to the overseas University being the Payment Processor of the Direct Affiliate.
So the bank earns foreign exchange through remittance of payment and would give any financial support the Affiliate required being the Direct Affiliate of the University through her Account Receivable mechanism to her own advantage.
The Bank and the Direct Affiliate would agree on how much to deduct from the commission added onto the fees to be paid by the students so that it does not affect the principal amount to be paid into the University bank Account from the other students..
However, it is important to note that this financial arrangement is only between the Bank and the Direct Affiliate and not on the behalf of the University whenever such case arises and may not be in every transaction with the bank specially if the students are very promt in making their payment on the average.
List of Direct Affiliated Campus are always published on the University's website and remain as Direct Affiliate even for more than Twenty Years by maintaining good relationship with the bank, the Students and the University. Evidently, list of Affiliated Campuses of the European-American are still there on her website from 2008 till date because there is no complain of students not receiving their degrees after graduation and names of graduates are published on her website for global view to be verified by both tertiary institutions and employers.
3). SUB-AFFILIATE
Sub-Affiliate is someone working for Direct Affiliate as Sub-Agent. It is very risky to enroll with Sub-Afffiliate for Degree programme based on the following factors:-
The Sub-affiliate may not operate on a registered business name but rather would use the name of the University to create the impression that he or she is running the University's Satellite Campus and not as Affiliation in order to attract students to enrolled specially the Young Secondary School Levers, considering as Direct Admission into the main University.
He or she bergains with the Direct Affiliate of the University who may only offer him 50 percent of the school fees paid by students. Out of the 50 percent, he pays Lecturers and School hall.
Due to delay in payment of school fees by most students, he latter found himself owning lecturers, the hall used and could not meet up other adminstrative cost required based on the 50 percent assigned to him from the Direct Affiliate.
He could not advise students to pay into the University bank account as a Satalite Campus since he has no direct dealing with the University; but rather collect payment in cash and issues receipts to students. He would not let the students be aware that he is working for another Agent as a Sub-affiliate.
Even though he owns a business account with a bank, cannot give him any financial support based on the fact that he is not a Direct Affiliate of the University but rather as a Sub-affiliate and the bank dont involve in third party deals because of the risk involve based on the fact that there is too limited cash flow from his business account as most students pays directly to him In cash and not into the business account. The bank can not give loan to the Direct Affiliate he works with since he has no direct dealing with them if he approached the bank for financial support.
Consequently, after accumulated debts incurred, he ended up close down the school and relocate with the monies paid by students and cannot receive their degrees after graduation because he is owning the University some huge sum of money to pay to the Direct Affiliate and the students cannot contact the Direct Affiliate because he has not disclose such Affiliate to them since from the beginning and cannot contact the University who has no direct business dealings with him.
So it is safer to enroll with Direct University Affiliate using registered business name recognized by the bank to be collecting school fees and whose name is also published on the University's website as Direct Affiliate. In case anything goes wrong they can easily verify from the University officials.
On the other hand, the SUB-AFFILIATES should only referring prospective students to the Direct Affiliate to be making payment directly to him through his business bank account and be paying the Sub-Afffiliate some agreed commsions on students introduced who may engage in online learning or take the full responsibility of paying for the Lecturers wages and other administrative cost of the sub-Afffiliated Campus and he operates as the Campus Manager and not to run it on percentage basis as an independent Campus which is very risky.
EXCLUSIVE AGENCY RIGHT
The University may appoint a Direct Affiliate giving the Exclusive Right covering the entire country and may involve several foreign countries. That means he would be the only Direct Agent to deal with prospective students within the specified country(ies) in the Exclusive Agency Agreement. The University would direct all inquires within those countries to the Direct Agent and may appoint his Sub-Agent in any country he would work with on commission basis.
Most Universities appoint Sole Agent with Exclusive Right because it reduses the work load on them and including advert and other related expenditures in foreign countries.
