In writing this article about whether Herbalife is a scam I thought it would be a good idea to look at the Herbalife company, the Herbalife products, the Herbalife compensation plan, and what people are saying about Herbalife before concluding Herbalife is a Scam or a genuine opportunity.
Herbalife was founded by Mark Hughes in 1980 and has been distributing its products to 91 countries around the globe ever since. The Herbalife company sells a range of product including nutrition, supplements, weight management and skin-care products. There is also a MLM home business opportunity available with Herbalife where you can make money with Herbalife part time or full time as an independent distributor.
[adsanity_group num_ads=1 num_columns=1 group_ids=51 /]Often people want to know the truth about a network marketing company and the business opportunity that it offers prior to parting with their hard earned cash. Because all companies will always tell you what a great opportunity they are offering it is necessary to question what you are being told. Obviously it is important to make sure that there is a real opportunity that you can make money with and it is not a scam.
Before I continue I would first like to make you aware that I am not affiliated with Herbalife in any way. I have not been sponsored by anyone into a Herbalife downline and I have never used any of their products. I believe that this places me in a neutral position because I don’t represent the Herbalife company, I am not someone who has made a lot of money with Herbalife, nor I am I someone who has lost money with Herbalife. Also I am not even someone who is currently considering joining Herbalife. Therefore my perspective is neutral and rational. What gives me the ability to be able to judge the opportunity is that have experience of network marketing for over 20 years also I set up and ran a non-network marketing business that sold over £300 million or $500 million of products during my involvement. So I have an understanding of the network marketing business and the corporate world of business which give me the ability to look at things in a way that most people don’t have the experience to do.
A scam is defined by Webster’s Dictionary as “a fraudulent business scheme”. Other Synonyms include con, defraud, diddle, swindle, etc. I declare at this point that Herbalife is not a scam. I will now explain how I have come to this conclusion.
In 2013 Herbalife had total net sales of $4.8 billion and directly employs 7000 people. This level of business requires compliance with international rules and regulations. You can’t hide what a business of this size is doing. Also in the US they have to operate within the FTC rules for Network Marketing and direct selling rules have been in existence since the late 1970s. They are also a member of the The Direct Selling Association. Herbalife is a legitimate home based company which has a real opportunity.
[adsanity_group num_ads=1 num_columns=1 group_ids=50 /]Now that I have shown that the Herbalife company is a legal operation I will now talk about the products. Herbalife employ experts and scientists to make sure that the latest research and nutritional science goes into developing the company’s product range. The Herbalife products are relatively inexpensive and with the volume of sales that they are doing each year they would soon run out of customers if people were not buying their products over and over again – this is the best test for how good a product is in terms of quality and value.
The Herbalife Business Opportunity and the Network Marketing compensation plan
The Herbalife life compensation plan is too complicated to explain here. But like most home Network Marketing Opportunities it rewards you for a number of different things including the sale of products, the volume of sales, a profit percentage from your downline. As well as other payments they pay
25% – Distributor
35% – Senior Consultant
42% – Success Builder (One time discount)
42% – Qualified Producer
50% – Supervisor
The Herbalife compensation plan is a ‘Breakaway Plan’. The biggest advantage of a ‘Breakaway Plan’ is that you can sponsor an unlimited number of people across your frontline and earn downline commissions on an unlimited number of legs. One disadvantage with a ‘Breakaway Plan’ is that they often only pay on a monthly basis. It is always a good idea to read the companies comp plan and to understand it fully before you get involved.
During the process of writing this article I looked at the comments people have made about their experience with Herbalife. I expected and found a wide range of views from people who have and haven’t had success with Herbalife. The reality is that most people who join a Network Marketing company don’t have the level of commitment and dedication that it takes to make it a success. Often they will treat the opportunity like a job. The key to being successful is not to be like majority of people.
After examining the various aspects of the Herbalife business it is very clear it is not a scam. However it is not a guarantee to make money without dedication and commitment. Herbalife has been in business for many years which says a lot about it. Clearly they would not have prevailed for this long if they were a scam.
Do you want to know how to get the most out of Herbalife?
It is necessary to learn the required skills to get the most out of Herbalife and take your business to the next level. To get some free information that will help you to maximise recruiting to your downline click here. This link will take you to a page that will explain more about how the free information can help you add more people into your organisation. Here is the link again.
