What is the Herbalife Scam
Look, there will always be arguments on, ‘is Herbalife a scam or legit’. It is a company that has been around for a long time.
Too many people involved and too much pride. All that doesn’t really matter. The only question that remains is, has it brought financial freedom for you over the years? If not, what follows in this article explains why.
If you are looking at this article because you want to join Herbalife we advise that you look at all that is listed here, ask the listed/suggested questions in this article from FTC and your decision will be easy. What’s on here will definitely help you to come to a definite decision about Herbalife.
What is Herbalife Nutrition About?
Herbalife Nutrition is a global multli-level marketing, MLM, company, headquartered in Los Angeles, California, USA and founded by Mark R Hughes in 1980. It sells personal care products, weight management, dietary supplements and sports nutrition. Due to acquisitions Herbalife was Originally called Herbalife ltd then changed to Herbalife International and now it’s called Herbalife Nutrition Ltd.
Before he founded Herbalife, Mark was an MLM distributor for two companies, Seyforth Laboratories, selling Slender Now diet products in 1976 and when Seyforth collapsed in 1979 he joined Golden Youth and sold weight control products and exercise equipment. He was very successful as a distributor. Before joining the above named companies, he had been very successful helping CEDU with fundraising. Mark realized he was good at distributorship. When Golden Youth went out of business, Mark, at 24 was ready to start his own MLM business and so in 1980 Herbalife was born.
Questions You May Have About Herbalife?
- Someone you know or a Herbalife MLM company distributor has approached you enthusiastically and told you that they are onto the best opportunity ever, they want to recruit you but you want to check first.
- YOU ARE ABSOLUTELY RIGHT
- Take your time, learn about the Herbalife opportunity first and see if you like it.
- Is it really true that Herbalife is a good opportunity, pays well and is worth the investment of your time and money?
- Is Herbalife International a good company?
- Is it easy to make money with the opportunity?
Mark Reynolds Hughes with Richard Marconi the Slender Now manufacturer, created a line of products that combined the eastern philosophy of herbal medicine and the vitamin and mineral technology of the west – a fascinating story that created the giant Herbalife MLM company. In later years the products were reported to contain substances like mandrake, poke root, linseed food grade oil and ephedrine!
During the herbalife early years there were few MLM companies and Herbalife had a unique product, the Formula 1 protein shake. It had no competition and truly made a lot of ordinary people rich. There are distributors today who believe in the MLM dream because of Herbalife.
Unfortunately MLM has had it’s day and only works to a certain point for very few distributors, you will see why as you continue to read.
- Herbalife sells dietary supplements, sports nutrition, personal care and weight management products and these products include teas, aloes, protein bars, vitamins, energy and sports hydration, the signature Formula 1 protein shake, products for heart and digestive health. It has also included some vegetarian, kosher, allergen free or halal products.
- We are not going into depth about Herbalife products as products offered by any multi-level marketing company will always appeal to some but not to others.
- This article will focus on the business opportunity because this is where your time, effort and money can be truly wasted.
- All MLM companies will have slight variances to their business opportunity or compensation plan but the end result is always the same – very few distributors earn much.
How To Start Selling Herbalife Products
You become involved with Herbalife in 3 ways
- Become a consumer at a discount
- Sell Herbalife products for retail profit
- Become a distributor and recruit other people to use or sell Herbalife products
To become a distributor you can…
- Purchase the initial Kit for $94.10 or
- Purchase the International Business Pack – Super Starter for $124.10
The following is comprehensive information about MLM business and how it works and if you decide to join Herbalife or are already a Herbalife distributor, here is information to check against and decide what to do next.
What is the Herbalife MLM Scam?
- Did you know that if you were to recruit 25 people and teach them to do the same and you get your downlines to 7 levels deep, each recruiting 25 downlines, that would cover the total population of the world and some?
- That means the-sky-is-the-limit picture in MLM is a false one right from the get go. Considering that you are not going to be the only one recruiting and that, part of that total population are the elderly, children and the uninterested, it is a fact that you will run out of people to recruit and this is very real – ask many distributors you know. This is the first hurdle in a long list of what is the MLM scam.
- If we disregard the above figures, do you know how hard it is to recruit just one person who will be as excited about the MLM business to get good results?
- The MLM business idea is not sustainable for most participants and most in this case is about 98% of distributors. Most distributors get one or two downlines, sometimes even five, who will not do much, at least not enough for financial freedom. The residual income is non-existent to most distributors, we will tell you what to ask your recruiter to uncover this fact.
As you read this article about Herbalife MLM business opportunity, please keep in mind to share this article with anyone trying to recruit you to join Herbalife or those you care about that are involved with Herbalife as this will save you from explaining it to them yourself.
You are on this page because you want to know what is the Herbalife MLM scam. You are either part of Herbalife or someone has been talking to you about joining the Herbalife MLM opportunity and you want to know why or if Herbalife is a scam.
What you will read here will leave you in no doubt about whether Herbalife MLM is a scam or not.
What Is Multilevel Marketing, Check Against What You Know About Herbalife
- Multilevel marketing is when people are invited to sell a company’s products for a commission. These people are then trained on how to invite other people they know and meet, family, friends and neighbors. Of late some MLM companies are giving an option to sell through a website.
- People who accept the invitation are usually called distributors. A second income stage of the multilevel marketing strategy is that distributors recruit other people to become distributors and they get a percentage of the sales made by these distributors they recruit.
- The recruiter is called a sponsor or upline and those that accept the sponsor’s invitation are called the sponsor’s downlines.
- So MLM income is through direct sales of products by the distributor plus a percentage from sales made by their direct downlines and the downlines’ downlines to the number of levels permitted by the MLM company. This is what is called pyramid selling.
- Each MLM company has their own way of compensating distributors and this is what they call the compensation plan or business opportunity.
Other Names For MLM Or Herbalife MLM
- Herbalife Pyramid Selling
- Herbalife Network Marketing
- Herbalife Referral Marketing
The Herbalife Distributor – Becoming An MLM Distributor And How You Earn
- Pay Joining fee
- Pay Yearly Renewal Fee
- Use the products
- Recruit downlines
- Sell products
- Earn certain amount of points a month to earn commissions
- Earn certain qualifying points to maintain a status
- Have product discounts
- Retain profit on product retail sales
Why The Herbalife MLM Business Opportunity Is Appealing!
- You Want To Be Your Own Boss
- There is no Inventory to bother with
- No Need For Infrastructure
- No Experience Needed
- No Educational Qualifications Needed
- No Staff/Employees needed
- No Capital
- No Risk
- You Have Hope For Earning Residual Income
- You Hope To Earn A Lot With No Cap On Income – the sky is the limit picture
- The Ability To Work From Home
- Getting Step-by-step Training because you don’t know where to start in business to make money
- It’s comforting to know you will be led by someone who already knows about the business on a one-to-one basis
- Support, both from sponsor and fellow distributors, gives a sense of belonging
- Considering all the above, who would not get drawn to the MLM type of business but is this picture real?
Your Herbalife Or Any MLM Business’s First Hurdle
- Residual income in Herbalife business is the money you will earn through the sales from the levels of distributors in your down line otherwise without downlines you are just an independent salesperson for Herbalife but there is more to this picture.
- Let’s look at one motivated person recruiting or trying to recruit 5 people for their team. It’s not even easy to recruit one person let alone 5! Your friends, family and neighbors join your downline, not because they want to do business but because they don’t know how to say no to you. So they join to please you or do you a favor but thereafter do nothing.
- This is totally different from getting someone who has initiated or searched and found you, looking for a business opportunity!
- So earning residual income is actually closed right from the get go.
- Doing business whose success is dependent on other people’s efforts means your success is dependent on other people’s input
- That is what creates pushy uplines or sponsors in MLM and it also means you are back to the boss situation.
- In any case, success that is dependent on other people’s efforts is tricky.
- Selling MLM products is not easy. Most MLM products don’t come cheap and not a lot of people outside the MLM network will be repeated customers.
- MLM companies know about all these details from years of experience but they will keep giving you the impression that you will have a business and be your own boss and have residual income.
- This is because they know you will buy their products, pay the registration fee, go to events and pay, go to seminars and pay and then buy brochures and training materials.
- People are doing this in droves and the MLM company makes a killing.
- MLM business opportunity is in the business of selling false hope and they know it! Flogging a dead donkey!!! They might have brilliant products but the business opportunity, hmmmmm??? (head shake)
Is Multilevel Marketing, A Scam – Herbalife?
- In this article, you will find what your upline will NEVER tell you.
- If not your upline, then what the person trying to recruit you to join Herbalife, will NEVER tell you
- MLMs now sell real products and so they are not officially called scams because, from tweaking here and there they meet authority non-scam standards. BUT, promising someone their own business and residual income is deceitful, the deceitfulness is not so obvious you just get to realize it as you go along.
- The set up makes it possible for the MLM to promise you financial independence but practically it’s not possible for a lot of distributors despite working hard at it.
- MLMs usually just add more expenses to your already heavy budget, not to mention the waste of time and effort.
Herbalife MLM Distributors Pushy Attitude
- Someone you know has approached you enthusiastically and told you that they are onto the best opportunity ever, they want to recruit you for Herbalife but you want to check first.
- YOU ARE ABSOLUTELY RIGHT – Who wants to be pushed into saying yes?
- Take your time, ask questions and see if you like it.
- Is it really true that Herbalife MLM is a good opportunity, pays well and is worth the investment of your time and money?
- Are MLM companies good ?
- Is it easy to make money with the Herbalife opportunity?
- All MLM companies will have slight variances to their business opportunity or compensation plan but the end result is always the same – very few distributors earn much or anything.
The Purpose Of This Herbalife Post?
- The following is a comprehensive description of how MLM opportunities work.
- To fully inform you about what to expect with an MLM company
- Look at this information and see if you want to go ahead with Herbalife MLM company.
- There is enough information here to help you to come to a definite decision about the MLM business opportunity.
What Are Your MLM or Herbalife MLM Business Opportunity Activities?
In a nutshell you…
- Use and sell products
- Sponsor people into the program
- Attend local business presentations/events and training
- Promote events to your downlines
- Work with your upline/sponsor
- Earn through retail profits,
- personal volume, and
- leadership bonuses,
- car bonus etc.
- A distributor must be active each month to qualify for commissions. Being active is about purchasing products and recruiting downlines.
- Each product carries credits and so you have to make a certain number of credits each month, this drives some distributors to buy products they later can’t push!.
- Some MLM companies don’t use terms like sponsor and dowlines as such. They use fancy titles to impress.
- Making sales and recruiting people through good salesmanship is all part of the business.
- Good salesmanship in MLM usually means being pushy otherwise you have no business at all BUT being pushy, you also lose a lot on the social and likability side. No one likes being pushed into doing things.
MLM Titles And The Empty Promise – Herbalife?
To Impress you before you go out there and be pushy in your social circle, some MLMs will give you a title like
- IBO – Independent Business owner or
- Assistant supervisor
- They imply you can work hard, take control of your life, fire your boss and live large but how real is this?
- You get caught up in the promises and get blinded to what’s really going on.
- The entrepreneurial freedom promise is unattainable because of the structure of the business, you will run out of people to recruit at some point – fact!
- Your business in an MLM is dependent on the few people you know and meet and that is not enough to build a business, ever!
- You will eventually realize you are working tirelessly for nothing
- Some MLM companies will say they are really not an MLM and dress their opportunity with fancy descriptions but as long as your earnings largely depend on recruiting other people, selling the company products and the business opportunity and has a pyramid structure, then you are involved with multi-level marketing
- Check with what is listed below and know for yourself if what you are dealing with is an MLM and wasting your time and effort.
- If you want to stay in it because you like the products, that is fine, but know that business wise, there are no large sums of money to look forward to for 98% of distributors.
The Actual MLM Business Picture, Herbalife is An MLM
- Being your own Boss… well, from experience, you are really not your own boss. You have an upline who is constantly checking on how you are pushing the business. You will soon realize you are under pressure to recruit and to sell.
- No stock/inventory… Really? Some MLM companies require that you push certain number of credits each month to earn a commission or maintain a status. There are thousands of distributors with MLM products in their garages that they did not manage to push.
- Work From Home… with the business meetings, presentations, and training that goes on, this is NOT a 100% work from home business opportunity. You are in and out and everywhere, away from your family, adding up the traveling and events costs.
- Flexibility… well, sometimes. You can’t really decline meetings and presentations all the time or block those calls from your upline. The environment is usually kind of pushy and presentations and upline calls and training happens quite often at set times!
- No income cap… well, there is an income cap on MLM earnings – naturally! You will soon discover that the sky is not the limit. That due to product prices, not a lot of people outside the MLM network are interested in the products. So you can only sell so much – not much. That “the-sky-is-the-limit” hope will soon be dashed. If you are waiting to prove that this writing wrong, you are going to wait until the cows come home.
- No Staff… hilarious. Yes, you have no staff in the conventional sense but you need downlines to earn in any MLM business. You definitely can’t work alone, at home. To realize any kind of residual income from an MLM opportunity you have to recruit, monitor and motivate your downlines. Of-course the language used for this process is sugar coated. This is actually a burden. It is like recruiting new staff all the time and forever training new staff.
- Residual Income... Maybe we should call this one ‘dwindling income’. You start off with loads of excitement, recruit family and friends, who join or buy just to support you or because they have been pushed into it. And then you realize that very few will want to really do the business and slowly the few sales you made before, come to naught.
- In reality, no residual income will happen.
- There is more… The hidden costs. You will be traveling to presentations, meetings, events, seminars, even conventions and the MLM company doesn’t pay for those! You pay for flyers, brochures, samples and pamphlets
- Keep your eyes peeled as you enter the MLM world and cut your loses as soon as you realize things are not going as you pictured.
What is the Herbal Life Scam? What do you think, from the above points?
Herbalife, Any MLM, And How You Can Become A Pest?
- Distributors are encouraged to make a list of people and start talking to them about the opportunity.
- You make phone calls, plan meet ups and arrange 3 way calls with sponsors.
- Take prospects to presentations
- No one likes a salesman be it for a product or opportunity and so you become annoying.
- Your friends start to avoid you.
- You become a nuisance at parties!
- You kind of become a parasite preying on everyone you meet including friends’ friends.
- Some distributors really get pushy!
- Word of mouth to family and friends is a limited way to do business because eventually your business is only about the people you know and those you meet, looking at this picture, where do you grow a huge business from?
- Some MLM companies will not allow you to create a website to advertise their products, while others make you pay monthly for a website or give you a page from their main website but this does not work because you need to know how to use that site or page to reach people.
- But the MLM company knows word of mouth is more effective as distributors are trained to be pushy and they actually don’t care about you at all. It’s all about pushing you to sell for them for very little or nothing in return and this creates HUGE profits for the company but not for you. The sum total of all distributor sales and few recruits for each distributor makes a handsome gain for the MLM company. Don’t get caught up in their promises because they are JUST THAT – promises.
- MLM is a billion dollar business for the company.
- In the end distributors earn a bit of money from products recommended to other distributors in their team – it’s difficult to sell outside the network and that makes your business extremely limited.
- Guaranteed – at some point you will run out of people to recruit – end of story!
- Distributors feel trapped after investing some money – we all want to be right, right? So they stick to it longer than they should.
- If you have invested in Herbalife or any MLM company, hoping to make a living, cut your loses as soon as you realize you are not going anywhere with the opportunity, unless you want to do it as a hobby.
- MLM distributorship leaves a sour taste both socially and financially
Who Really Earns Well In Herbalife Or Any MLM Business?
- You will have examples of one or two people from each country or region with large cheques from the business opportunity and these people have tens of thousands of distributors earning very little to nothing. That means the minions are just like the donkeys carrying the heavy load for nothing!
- This is not isolated to one MLM company, you will witness this across the whole MLM industry
- Year after year you see the same high earners paraded, what’s happening to the rest of the distributors? They are working hard for nothing!
- Your success in an MLM is directly dependent on how many distributors you recruit and how active they become! Buying and selling products only, does not create residual income.
- This is the reason why your upline or sponsor is on your back all the time. An annoying sequence! Isn’t this what you are trying to get away from, from a job, when you decide to have your own business! Even the boss at your regular 9 – 5 job is not as pushy as an upline!
Your Efforts Are Not Rewarded In Herbalife
- You spend time looking to recruit others
- you spend time taking people to venues to hear the opportunity!
- you spend money to buy the expensive products!
- YOU SPEND TIME AND EFFORT FOR LITTLE TO NO RETURN!
- As ex distributors, we have walked that road. Most distributors walk away worse off financially.
- You get brainwashed into telling a success story that is non-existent in your life or the rest of the distributors around you.
- You are running on hoping to be like one successful upline in a whole country or region.
What Is The Herbalife MLM Scam?
By now you can see what it is, it is not one thing but many things as you can see, but, if you want to keep trying regardless, don’t focus on one stream of income. Look at other opportunities or combine income streams.
Multiple streams of income is a well-kept secret for the very rich – make it yours!
Why Am I bothering to tell you this – because most people are happy being employees and you are not since you are searching – smart move! It feels good to help when someone is looking for genuine solutions
There Is A Better Way To Earn Much, Much More, For The Same Benefits And Effort You Put In The Herbalife MLM Business Opportunity.
- With MLM business, as soon as you stop selling, your past efforts don’t pay anymore.
- You can learn to set up a real solid business where your effort will pay for years
- Replace recruiting distributors by working smart to create real residual income and truly from your home
- Have a look at the true cash cow that will reward your efforts, not once but it can be for years
- A process that will reward your efforts and earn you money while you sleep.
- Residual income with an MLM is impossible because the failure rate is too high, not many downlines will stay the course.
- Not many customers and downlines will keep buying those expensive products. A few will, but that is not enough to make residual income
Before You Join Herbalife Multi-Level Marketing Company…
- Ask your sponsor for the terms and conditions of the plan, including:
- the compensation structure
- Your potential expenses and see if you can afford it before you fork out money on products and events.
- Support for claims about how much money you can make, talk to a lot of distributors and gather your own true picture.
- Ask for the name and contact information of someone at the company who can answer your questions
- Find out about refunds
Regarding Herbalife, The FTC Suggestions For You To Get The True Picture OF AN MLM,
ask your recruiter questions like…
- How many people have you recruited?
- How long have you been in the business?
- How much time did you spend last year on the business?
- How much money did you make last year — that is, your income and bonuses, less your expenses?
- What were your expenses last year, including money you spent on training and buying products?
- What percentage of your sales were made to distributors?
- How much product did you sell to distributors?
- What are your annual sales of the product?
- What percentage of the money you have made — income and bonuses less your expenses — came from recruiting other distributors and selling them inventory or other items to get started?
Who Is Herbalife MLM For?
Herbalife business opportunity is an illusion for
- Anyone who wants to have their own business,
- no staff,
- no stock,
- no shipping
- Being shown how to do business.
- Multi-level marketing seems like a great idea because it takes care of showing distributors how to do the business but you actually don’t have your own business eventually. You become the customer for the MLM company, who recruits other customers in the name of business and nothing more.
- 98% of people involved with MLM companies never really make any money.! The idea is an illusion!
Have You Got Enough Of MLM or Herbalife MLM Business Opportunity?
- There comes a time when enough is enough
- are disillusioned…
- Really want to consider another income stream
- want to make real residual income
- want to have your own solid business where you don’t handle any products, truly work from home with no boss or upline, no downlines to recruit and everything else taken care of for you but don’t know where to start…
… consider affiliate marketing.
- This is an idea that is twenty times or even a hundred times better than multi-level marketing!
- You have an opportunity to build your own empire for real
- no uplines and the annoying pushy business
- You work from home for real
- No Capital
What Are Affiliate Marketing Benefits That Make It Better Than Herbalife MLM Opportunity?
- its global and you work with as many companies or products as you like
- You make real passive or residual income
- You join affiliate programs for free
- You truly work from home – no seminars, events and uplines breathing down your neck
- No customer support
- Don’t need employees
- No production costs
- Don’t need premises
- No packaging and shipping
- The biggest plus is that affiliate marketing is a business model that is future bust proof, if one company drops out of business you pick the next successful one or you can work with as many as you like at the same time.
- It is recession proof. When the economy is in recession all you do is switch and work with products that are good to recommend during a recession!
- You don’t bother your friends and family, instead you get a stream of visitors from people interested in what you offer.
- No upline to push you around to go and bother people – you truly work at your own pace
- You build your own business that is not dependent on recruiting other people – I’m sure by now, you realize recruiting people is not easy! Get onto something easier and more fun!
- No boss and no staff for real
- Age doesn’t matter, all you need is a computer and WIFI
- Get to know what actually creating your own business and truly from home, means
Herbalife MLM Opportunity Versus Affiliate Marketing
In Regard To Herbalife MLM, Think About The Following…
- Do you want to be the person that family and friends avoid because you have become pushy trying to sell products or recruit them for an MLM opportunity?
- Do you want to lose money over a business opportunity that will NEVER make you rich?
- Do you want to waste time and take on the embarrassment when people you invite to an MLM opportunity waste their money on your recommendation?
- Do you like being pushy? or
- Do you want the real business model that gives you a real business to work from home with no boss and no inventory, get proper guidance, no upline and no need to push anyone and instead, those interested find you.
Invest your time in affiliate marketing rather than Herbalife and you will never look back.
What Is The Herbalife Scam?
- This article says it all.
- The MLM industry is on it’s last leg – most people don’t like it anymore because they realize it’s an illusion!
- If you have stuck to Herbalife and recruiting without much success, affiliate marketing’s easier way to do business will be like a walk in the park.
- As an MLM distributor you are someone else’s residual income – don’t! Stop! Create your own.