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Younique Makeup Scam or Legit Opportunity?

People ask me if companies like Younique are scams or legitimate opportunities to generate a supplemental income?

Younique MLM header

I always prefer to reply with a question.

What do you consider to be a scam?

What some people will answer is that anything is a scam if you need to put money into something before they can see any return. That can be true in some situations but step back one moment, and show me any successful business that did not require cash up front to start up.

That said, you also don’t want to throw your hard earned money into a money pit either.

We have some experiences with MLMs in the past. You can read about one of them here.

I know that you are not willing to just throw your money away because that is how you landed on this website.

You wanted to see if this newly presented makeup distribution business is an opportunity you can trust and grow into a successful business.

FACTS

Let us begin with the facts about this company

  1. Younique is a Multi-level Marketing (MLM) business that was launched in 2012
  2. Presenters promote the products with home parties or virtual online parties
  3. Younique has a new and trending marketing approach with the use of social media
  4. A brother and sister team created the company that also created another successful company called Netseps-they made it to the Inc 500 list in 2010.

Cost

$119 as sign-up to become a presenter. A kit is provided for you to use for demonstrations. The kit is said to be worth $270. As a presenter, you will use the kit on yourself then post photos of the outcome on the Younique social media pages. All other presenters can then use these photos for promotional purposes.

Sign-up Kit

The kit includes the following:

  • 1 Moodstruck 3D Fiber Lashes+
  • 1 Moodstruck Addiction Shadow Palette (palette will vary)
  • Angled Shadow / Sponge Brush
  • Beachfront Self-Tanning Body Lotion
  • Splurge Cream Shadow in Elegant
  • Cream Shadow Brush
  • Shine Eye Makeup Remover Cloths
  • Skin Care Sampler
  • Foundation Sampler
  • Bronzer Sampler
  • Pigment Sampler
  • Blush Sampler
  • Lip Gloss Sampler (Set of 10)
  • Lip Stain Sampler (Set of 7)
  • Shade Stick
  • White Charm
  • Black Oval Presenter Case
  • Presenter Guide
  • Catalog

Compensation

As with any MLM, a presenter,  needs to earn and maintain sufficient sale points to remain active. The presenter will then have the opportunity to earn royalties or a percentage of 20%-30% with added generation royalties.

Take a look at the chart  below for more details

younique compensation table

Social Media

One of the tools that Younique uses and encourages recruits to promote and sell their product is the use of social media. When you become a presenter, they encourage you to use the starter kit to use on yourself then post pictures online to help recruit new members or promote the sale of the product.

They also have a tool for presenting Parties online. This does provide an advantage over other MLMs where the main or only method of recruiting or selling their products is by going out and finding leads anywhere from family, friends or the gas station.

Instant Payment

Another feature in their favor is the use of a Younique credit card to receive your payments almost instantly. That said, it sounds good if you are successful in making descent sells, but it is also good for them if your sales deplete and you start accumulating debt on that card. As with any credit card, use it wisely, spend within your means and be aware having another credit card may affect your credit score.

Trips and Vehicle Incentives

Another MLM is promoting the opportunity to qualify for exotic trips or new shiny vehicles. I won’t get into this area of compensation too much as they are mainly added to allow the opportunity to flash amazing images on their website or pamphlets to entice new people to join.

The Car Incentive you need to become Black Status ie TOP Level at least 3 times, total combined Wholesale Sales of at least 1 million of your 1st 2nd and 3rd generation and have at least 8 1st Generation Elites.  In other words, I think you would have a better chance at getting that car by buying a lottery ticket.

Trip Incentive you need to qualify by meeting monthly PRS, Paid-As Status, First Level New Advancements. Presenters can track their points as they go to see how if they are reaching the qualification levels to be eligible.

Is Younique a Scam?

Younique does not fall within the definition of being a scam, but if your definition of  “scam” is working many hours on a business for a number of years only to make less than minimum wage…or less is considered a scam…the YES Younique is a scam.

I do believe there are better ways to spend your time at trying to earn a residual income.

As far as MLMs go, if this is a product you are willing to use and promote and enjoy setting up parties, contacting friends, family or random people in the mall then this may be an MLM to consider.

MLMs always get a bad wrap from the get go, but I always like to keep an open mind that someday a company may not be in business just for their humongous profits.

Although I believe that Younique offers different methods of promoting their product the overall income per hour put in will be low for the majority which allows the company to make a profit.

Other Options

My wife and I have found another way to supplement our income from home. No need to call or hound people over and over again to try and make a sale.

The people that buy from us are those that want the product we are presenting. This can all be done working from home at your own pace and schedule. No appointments or parties to arrange.

You can learn about affiliate marketing. If this term is foreign to you, I can best describe it as the way that websites, like this one, makes an income.  That is right, just by you coming to my site reading my blog I have the potential to make income.

See those ads on the side, they=income…heck even the product that I am reviewing negatively may provide me a commission. Surprised?

That is right, just by you coming to my site and reading my blog I have the potential to make an income. It’s almost like magic but it really isn’t. Anybody can make an income online, it’s just a matter of having the right training. At some point I may take up the task of training 1:1 but for now I direct people to my #1 recommended site, where you can sign up for free, get the basic training, build a couple of websites…for free, no credit card information required for free members, no obligation to buy anything.

At some point I may take up the task of training 1:1 but for now I direct people to my #1 recommended site, where you can sign up for free, get the basic training, build a couple of websites…for free, no credit card information required for free members, no obligation to buy anything.

Click the link below, sign up for free and see for yourself. I’ll be there to greet you and help as much as I can but you will also have more experienced coaches that will answer any question you have along the way.

 Click here to see if Affiliate Marketing is right for you.

Have a comment or question? Add them below, would love to hear from you.

Cheers

Paul

pbworkfromhome author alternate

About the Author Paul

My online journey started in 2008 when I was tired of working for somebody else. I searched the internet for years trying to find out how to make a living from home with an online business. In 2015 I finally found the information and support from a website just like this one

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  • Caroline says:

    I’m always interested in reading about MLMs as I have a direct sales side business and I do find it difficult to make any decent amount of money from it when compared to the amount of effort I put in. Also my sister signed up for Younique so I like reading about it.

    WA is a great site though and I think everyone should check it out. I’m only 2 weeks in and LOVING IT!

    • Paul says:

      I am so pleased you have found your way to Wealthy Affiliate (WA). I wrote about how I found WA in one of my blogs on this site and at Wealthy Affiliate.

      MLMs just don’t cut it for us anymore. We have put so much time and effort in some of them over the years that if we broke it all down, I would have made more money working at a coffee shop a few hours a week…and also get to enjoy a cup of java a little more often.

      Enjoy your gained knowledge that WA has provided you!

      Cheers

      Paul

  • ibhar says:

    Hi Paul, as you said this company doesn’t fall within the scam definition but it is very close. MLM companies have found the benefits of increasing the cost of products to be able to pay commissions to their distributors. Sometimes they only sell inside the company and that goes against all direct selling models. I think MLMs confuse more people than they help people. People fall into more problems like stress, debts, and broken relations with relatives and friend. Whoever is looking to join this company better think twice. Thanks for the review. Regards

    • Paul says:

      I have yet to see any family, friends or ourselves for that matter have any success with MLMs. My wife and I have not succeeded with any past attempts in succeeding with MLMs. You can read more about one of our experiences here. We still get approached to join other MLMs and that is why i continue to write about those that we were presented the opportunity to join ;).

      We now prefer to work at building our online business. It allows us the flexibility and freedom we were looking for a long time. We can now generate an income by following the 4 steps of affiliate marketing that is taught and available at Wealthy Affiliate.

      Cheers

      Paul

  • Brooke Sanfilippo says:

    Your site is very helpful! The layout is very easy to follow, and the scam content helps people understand what to look out for when researching different opportunities. Keep up the awesome content! I will be sure to visit your page again for hits on the subject. On a side note, is there more in the works for the “repair” section?

    • Paul says:

      We do plan to continue adding posts related to all the categories listed including the repair section. Although my wife and I have a vast amount of experience in many fields, we certainly have not done them all. We plan to start interviewing other successful Work From Home business entrepreneurs and will be adding them to the site as we go…so be sure to check back in this fall.

      Cheers

      Paul

  • Dave Sweney says:

    I appreciate the clear review of the Younique MLM program. This sounds like it could very well be legitimate but a hard sell for members.

    I looked a couple of times through the review to see if the prices for the products for consumers (buyers) was mentioned, and I do not believe they are included…

    This would be of interest to me because part of the problem I see generally with MLM companies is that the end sale price of products has to be enough to cover all the uplines that are paid through associate’s work selling their product…

    At the end of the day, many MLM programs also have “minimum monthly purchases” that associates must make to stay “qualified” to receive commissions…

    This means the owners are guaranteed a certain percentage of sales to their associates and of course the profits that flow to them…

    A sweet deal…

    These minimum spends are also added into total “sales” the company claims although, in truth, they are sales to associates…The sales figures the owners can claim are inflated…

    Other problems I see with MLM, in general, is that the business model is unsustainable over time…Saturation will be reached at some point, and you will be selling to someone who is also selling…

    If you are in on the ground level of such a program you can likely profit a great deal, but if you are in at the end of a long chain or chains of associates, you will likely lose your money…

    Better to build a business on a solid foundation, where you sell something of value for a fair price that does not include a lot of strap-hangers getting paid for your work…

    Just my opinion, but one based on experience having been part of an MLM for a period of time (I was not happy, can you tell)!

    • Paul says:

      I can see from your questions and facts that you too have a lot of experience with MLMs. I say you know your facts as the issues with MLM companies as you described are absolutely true.

      I’ll see about adding some details on the consumer prices but they have so many products at various price levels that I was concerned it would be too long and the prices will likely be outdated quickly.

      Although, you are correct to say that it is important to have an idea how they compare to other similar products that are not part of an MLM and I will certainly add that to the next update.

      Strap-hangers, perfect term and important to avoid. I agree, if you are doing all the work why pass the pot of cash around to others first to be left a few pennies when it comes back to you.

      You are better to build that solid foundation where you can provide quality and be proud of your accomplishments.

      Take your time, learn, build and you will become an expert in that field.

      Cheers

      Paul

  • Wil says:

    This reminds me of Mary Kay. I’m not sure about these multi level marketing companies. It’s always hard to call. Some of them seem legit… Like Advocare and World Financial Group, and some of them seem not so legit… like Herbalife, Global Gascard, and others. it’s cool to see that there are strong businesses out there that do not try to play the people and really offer a scalable business model not centered around just signing people up.

    • Paul says:

      Personally I will never sign up to any MLM again. As you mentioned some may be a little more legit, but I find that the amount of time and the constant need to persuade people to buy is just not worth it. Especially now that I know that there are so many other options to make income form home. Options that do not rely on us to harass family and friends to sign up, only for them to put all their time and money in it, only for them to fail in the end. This happened to us already a couple of times and I think we finally learned our lesson. Unfortunately only after throwing more of our hard earned money on the top of the owner’s and the top 1-3% distributor’s money pile.

      In a sense I thank MLMs for leading me to Wealthy Affiliate. If it weren’t for another MLM sales pitch I would not have searched about it, and maybe I would not have found them.

  • James Harvey says:

    Nice post I love it and it is very well written. It’s easy to understand as well. I have had very bad experiences with MLM programs. So I will stay away from this. I wanted to let you know that you present your information very well though.

    I have a friend who is into this kind of stuff. I will be sure to send him a link to this post.

    • Paul says:

      Hey, James!

      It is too bad that people like you and your friend continue to get pulled into MLM schemes like Younique. It’s not that they are illegal or a scam, but the business model is not to the advantage of the majority of the distributors.

      Maybe, if someone really likes to contact people out of the blue to persuade them to buy a product that is overpriced is their kinda thing…then maybe signing up to something like Younique MLM is for them.

      Fortunately, there are other methods of making an income from home, without having to make a 100 cold calls per day.

      With billions of people searching the web every minute there are ways for the small entrepreneur to take advantage of the sheer volume of people online looking to try or buy something.

      This is where the education and support available at Wealthy Affiliate will get you going.

      Why wait, try out for free and see for yourself. Click here for a free membership to learn the 4 steps to earning money online!

      Cheers

      Paul

  • Kevin McNamara says:

    Hey Paul,

    Thanks for the post, I am not a fan of MLM as I have tried it twice and I put my hand up and say it was not for me. Too much hard sell and being fake.

    Younique sounds interesting but as with all of them its about using your rolodex of friends and family usually.

    I am in Wealthy Affiliate and loving that. 2 months in and it really is where I will make my millions 🙂

    Kev

    • Paul says:

      Hi Kev,

      My wife and I joined a couple of MLMs over the years and like you we did not like having to count on family and friends. Although they were supportive to get us going, when it came to getting strangers to join it was not an enjoyable feeling. We were not getting a feeling of fulfillment in making any of those sells. It basically came down to being just another job. We knew that the product was overpriced but the promise of great rewards were strong to keep us from signing up ourselves.

      We think e have learned our lesson. Our last experience with Kyani has cured us from catching that disease again.

      Wealthy Affiliate has shown me how to create a website and how to use that website to create an online income without having to call people.

      Wealthy Affiliate teaches us, If people want what you have, they come to you…who would of thought.

      Cheers

      Paul

  • EC says:

    Hi Paul and Brenda,

    I truly enjoyed this article. I have been in direct sales businesses, which is similar to MLM’s. I put in hours and hours of my precious time, only to basically give my time to them. I was also working full time at the same time. When I smartened up, after realizing that I wasn’t spending productive time on my home projects and everything else was just too much for me to handle, I set it all aside.

    Now I am retired, I may pick them up again.

    I just do not like the cold calling and /or paying for advertisement that gets me nowhere.

    You will be helping lots of people that are like-minded as we all want to start a business without cold calling.

    Enjoy!!!

    Elaine

    • Paul says:

      Hi Elaine

      Cold calling is the worse…how does that anymore? Other than lonely or those with dementia ever listen to what people calling out of the blue have to say.

      I for one would not feel comfortable making sales to people that may not be competent in making those purchases.

      After doing so many different home based or online businesses I found that affiliate marketing is the best.

      Even when I am not making any income from my blogs I still feel the satisfaction of being able to help people…not sell them something they don’t want or need.

      I have said it in so many places on mys site how fortunate I feel for having found Wealthy Affiliate’s website when looking into another MLM scam.

      I was skeptical of Wealthy Affiliate at first as I should be with so many scams online, but when they said I can sign up for free without the use of a credit card number it was a an easy choice to try it out…the rest as they say is history.

      I have renewed for another year and I know I will not be quitting anytime soon.

      Cheers

      Paul

  • Michael says:

    Well Paul, thanks for you open and honest information on this company Younique makeup. My daughter is looking to earn some extra income and I am helping her with her research because you hear of so many scams and quick get rich schemes out there which I want her to avoid. I will send your information to her and thanks for pointing out the affiliate marketing link

    • Paul says:

      Hi Michael

      I am pleased to hear that this article will help your daughter make an informed decision.

      Personally I still like to stay away from any MLM type business. That is why I always suggest affiliate marketing or just building some type of online business. An online business allows you to work from home, or anywhere there is an internet connection. You can even have an online business without internet where you are staying. Some bloggers write their content for a week, then go to an internet cafe or something, upload all their content they created, then schedule publishing them at set times over the week. Then they go back to their tropical paradise to write at their leisure without distractions.

      The possibilities are endless. You can see my review about my #1 recommended web-hosting / training site here==> My #1 Recommended Site Review

      Cheers

      Paul

  • Cassia says:

    Thank you for this helpful and balanced review of Younique. You’re right… this could be good for someone if it’s really her thing or passion. If not, there are definitely other opportunities that could suit one’s lifestyle and passion. WA is one of the few. Just like many others, I like being here. I like the tools, the training, the people, the pacing, the honesty, etc.

    • Paul says:

      Wonderful to hear that you were able to find Wealthy Affiliate and take advantage of their knowledge and tools.

      The funny thing is, once you learn how to start your online business, practice to the point that it becomes second nature you quickly see how easy it would be to start your very own company like Younique.

      Instead of you working your behind making the big profits for the MLM owners, you can open and manage your online business while working from home. All by signing up to Wealthy Affiliate for free, seeing what they have to offer and making your decision form there. You will need to decide, do I keep working for others, or do I start working for myself.

      Cheers

      Paul

  • Travis Smithers says:

    I have found with most MLM’s the products tend to be expensive, so the owners make lots of money and to try and cover the cost of the compensation plan to entice others to join.

    The hardest part about MLM’s is in recruiting people to sign up so using social media and the methods you have mentioned younique makeup is doing may help out with that.

    I believe there are better ways to earn an income online such as your other alternative.

    • Paul says:

      The high prices of MLM products is a clear indication that they need to pay for the compensation plans and increase the companies profits.

      Most MLMs will teach people to introduce the product and its benefits without showing the cost, then they get into the compensation plan and entice their prospects of how much money they can make by selling the product, just by getting 2 or 3 people to sign up in the first week…come on you must know at least 2 or 3 people that would be interested in buying this product, it practically sells itself for only “Megabucks Here”. before you know it you forget that the product is way overpriced and you are sucked in to calling your friends and family.

      Affiliate marketing is another option that is available where you don’t need to call people and sell things. You blog or vlog about things you are familiar with, things you are passionate about. You help people, if they like what they see they may buy a product that you are comfortable to suggest at a regular price.

      Wealthy Affiliate can teach you everything about Affiliate Marketing, but that training also teaches you everything related to online marketing in general…your imagination is the only limit to what you can do with their training.

      Cheers

      Paul

  • Oliver Chamberlain says:

    Wow!!

    Whenever I set goals of what I’d like to accomplish, I often find myself finding something or someone to use as a model of where I want to be. After going through your website and reading some of your posts, I think you have become one of those models.

    Your posts are both informative and interactive. I know we all think that people don’t always like long articles (and a few of your articles are pretty long), but I don’t completely agree. If you have information that I am interested in and/or will benefit me, I will stay engaged, no matter how long the article is.

    Outstanding job! I wish you all the success in the world, and I will continue to follow your posts whole I’m on my own path to success.

    I wish you continued success and the best of luck!

    • Paul says:

      I am pleased you found my blog and our website to be a model of information. As my wife and I have experience in both work from home businesses and work from jobs it is easy for us to write about what worked and didn’t work for us.

      In the case of Younique Makeup MLM, we never signed up to that MLM. With the experience we’ve had with other MLMs we can see that the prices and compensation systems are all similar when it comes to MLMs we have encountered. No different when we had friends ask about Younique when they were approached about signing up. In our research the outcome of how successful you can be was quite similar. Very slim chance unless you are relentless at hassling people to buy into a product that is overpriced for the sake of compensating the up line.

      You will see people that are successful at MLMs but to get there is not the same as they tend to spin the sell. Where they say you can set your own hours, work a few hours a week, just get your family and friends on-board and you are set. What we have seen with all the MLMs we’ve encountered is the same issue. Once you’ve hassled your friends and family for 1 MLM, they will never want to be hassled again, as they probably lost money on the first round or your family and friends are all part of the same circle. So it doesn’t take long for those at the bottom to see that they have a difficult time finding any other leads to get them started.

      Soon those at the bottom abandon the system and the down-line dwindles away, leaving those in the up-line scrambling to find new leads. Only those that continue to aggressively work at trying to get new leads by calling 100s of people per week, or even per day may succeed.

      Is that a way to make a living? I say “No”!

      There are better ways. Affiliate Marketing is an online business model where you can work form home, or anywhere for that matter, where you help people, and only sell something to people if they choose to proceed.

      Never heard about Affiliate Marketing? Click here to learn more!

      Cheers

      Paul

  • Good reading material- funny I used to be a Younique Rep and just decided it was WAY too much work for so little income in return, I lost a TON of money, and although the products are great- you HAVE to be able to SELL via social media or face to face (or virtually). Great product, but I’d have to say thumbs down with the Younique. You have a great page, very informative, you give options, and also educate on how to use affiliate marketing as well
    I’m hoping affiliate marketing will be a great adventure! Good job!

    • admin says:

      Thank you, Jennifer!
      All I can say is that I have been having an amazing adventure during my 1.5 years at Wealthy Affiliate. It still amazes me how much I did not know about running an online business.
      Now it feels like I can do it my sleep…I think I actually do it in my sleep sometimes 😉
      Cheers
      Paul

  • Britt says:

    Great bit on Younique, I have considered it.

    When you actually talk to a presenter on a personal level they have given me more of the “dirt” behind the business, you can say.

    You covered it very well, It’s not an all out scam but it’s not perfect either there’s a lot more than some are willing to tell.

    WA is an amazing community! Everyone is always willing to help any time.

    • Paul says:

      I’m sure there are many stories that present or past presenters are able to share.

      You are correct about Wealthy Affiliate.

      Members are all willing to help and that makes for a great supportive environment to build your online business.

      Cheers

      Paul

  • Jackie says:

    Hello Paul

    I’ve become aware of Younique recently so was intrigued by your article.

    I have friends who are using the products and they all seem pleased with them.

    From a business point of view though, personally it is something I wouldn’t consider.

    It seems a lot of work for little income but I suppose if you enjoy make up and meeting people this may be a reason for doing it.

    Working hard isn’t an issue but working hard to line the pockets of someone else seems pointless.

    Affiliate marketing does seem the best way forward if you want to earn online. It isn’t easy but pays off with hard work.

    Thanks for this post. I enjoyed reading and gave me food for thought

    Jackie

  • Emonne says:

    Thank’s for this, I almost got involved into a MLM awhile back and I could have lost my money. For the most it’s not whether MLM are scams, but the people behind them. Some people don’t care if you succeed. You don’t have to worry about that at WA. WA is a genuine community and I feel right at home. Thanks for the info very inspiring.

    • Paul says:

      There is always an opportunity to succeed in an MLM but I do not believe the that that the personal and financial costs are worth the risks. There are some jobs or businesses that can be as demanding and with failure rates as much as any MLM. Is that type of business right for you. With the training at Wealthy Affiliate you not only learn about affiliate marketing but they provide you with a foundation where you can build any online business. I suggest to everyone to at least try the free membership and learn something new. Even if you do not go Premium and continue with the training and building of your online business…at least you’ve learned something that can be of value to you later…and it will cost you nothing financially.

      Cheers

      Paul

  • Del says:

    I think that you’re maybe being a bit hard on Younique. I don’t really see the difference between this and things like Avon or Anne Summers, where people hold parties in order to sell stuff. Sure, I’m not endorsing it as an easy way to make money but with a bit of effort I don’t see why you couldn’t make at least some money – though I imagine you’re never going to get rich doing it! 🙂 Del.

    • Paul says:

      Hi Del,

      Sure you can make money doing an MLM. In the end, you will likely see that you would make more money by investing that MLM initial cost into savings accounts instead and not having to do anything…no recruiting, shows or preparing parties. Some will argue that they like the product and now at least they get it for free. That would likely be the only benefit or advantage to this type of MLM like those who continue with Avon.

      It’s not the way I want to make extra cash. I am fortunate that I have found my niche and enjoy helping people find better ways to work from home and earn an income.

      Wealthy Affiliate added another level of work from home income I never thought possible.

      Cheers

      Paul

  • ibhar says:

    Younique, like many MLMs out there cause more trouble than it is worth. Those MLMs make it complicated on how you can earn money. You are pushed by the up line to be bothering family and friends. Then it is always only 1% or less that make real money or something that is considered an income or living. The rest just move on to another opportunity or lose loads of money… that’s why I don’t like MLMs!!!

    I like your idea of becoming an affiliate marketer. You work at your own pace and no need to harass family and friends.

    • Paul says:

      When I found Wealthy Affiliate and they taught me about affiliate marketing, it was one of those OMG moments.

      I wished I had found them so much sooner. Many people become afraid of the name with the word “Wealthy”…some may say even sounds spam-ish.  

      Even if you were not interested in the Affiliate Marketing aspect of an online business you could just use Wealthy Affiliate’s hosting and domain name services and still have a great service that rivals competitors like Wix and GoDaddy.

      MLM schemes no more!

      Cheers

      Paul

  • Elbert says:

    Hi Paul,

    Yeah,  I agree that MLMs are way too dodgy. I would honestly say, a lot of my friends get into these get-rich-quick schemes and it turns out they have to get people to join their network in any possible way.

    I like the way you put it, that a scam is when you work so hard but the other people above you are getting rich or you work hard in an MLM like Younique and you get a below minimum wage per hour income.

    Triangle schemes are sooo outdated 🙂

    • Paul says:

      It is hard not to fall prey to the tactics used to lure you into new MLM opportunities. They tend to fill a gap in ones life at opportune moments of weakness.

      I found that now that I have started blogging, the urge to sign up for another opportunity has disappeared. I have now found the need to help others avoid falling into the same traps that we have fallen into  in the past.

      You can read our story of signing up to Kyani here.

      Cheers

      Paul

  • Michael says:

    Thank you for this wonderful review. I too, like many other people have always enjoyed reading about MLM companies to see what they are selling and doing.

    For me personally, I don’t think I could do a job where my sole purpose is spending 90% of my time  to recruit people to just resell the same product. 

    What’s worse is most of your profit is from how many people you sign up and not from the actual product.

    I believe if you can start a business from scratch and sell what you want — is a much more satisfying and rewarding type.

    Thank you again for this review.

    • Paul says:

      So many  MLMs create their business model off of a pyramid scheme platform. It is their way of running a pyramid type scheme legally. 

      Sure the layout of their down-lines or up-lines are not shaped like a pyramid with only one winner at the top, but it is still quite narrow peak at the top.

      When you are part of an MLM you still need to work hard and fast to get people under you to inch up to the top.

      Otherwise you are only going to be able to maintain at lower level, continuously having to buy your minimum monthly quota to stay at that level.

      I prefer to do something that is within my own control.

      I started my own websites, learned about “search Engine Optimization” (that’s where you learn how to get your website showing on the first page search query on sites like Google or Bing)

      The amazing was learning how uncomplicated it was to get on the first page of a search query. It was hard work but nevertheless uncomplicated once you know how.

      Wealthy Affiliate has all the training and tools you will ever need to create a website and get on the first page of a search query.

      You can check it out for free here. Head over to my profile once you are signed in and I can help show you how to use their training to it’s full potential.

      Cheers

      Pau

  • Song says:

    Hi Paul, I enjoyed your review of Younique Makeup. Usually MLM business is a red flag for me. I said usually because my daughter is in one, that is Young Living dealing in essential oils. It’s more of a hobby for her as she loves all those natural oils.

    Hmmm. I would think Younique Makeup would appeal to those who are into fashion. But your statement on the long hours but earning less than minimum wage should help those who are interested to think twice before joining.

    Song

    • Paul says:

       It is not so bad if use and like the  product you are selling through an MLM or Network Marketing company. It’s just a good idea that you know how much work it takes and in the end you could be making less than minimum wage.

  • Tay says:

    Very enlightening article. It is always best to do research before joining any MLM but I do believe that you get what you give, so for anyone willing to put in the time and effort it can be very possible to make money.

    • Paul says:

      It is hard to say that any MLM is a scam as people do make money with them. The problem is the majority, probably in the high 90% + of people make less than what they spend or make less than minimum wage if you count the number of hours you put in and never get any further ahead.

  • I am going to play Devil’s Advocate here and say that MLM can work for some. I personally know two people who work for Younique and do extremely well. In fact, the one does such subtle marketing on FB that I am always amazed at her comments. However, having said that, I personally hate MLM marketing – been there, done that! I am enjoying the Affiliate marketing though. As far as your blog, it is very well written and informative and unless you have a great love of MLM businesses, I know there are easier ways to make good money. Thanks for a great article!

    • Paul says:

      Obviously, there are people that do manage to be successful working within an MLM. There has to be some that succeed so they can encourage new people to sign up in hopes to succeed the same way. Personally, I do not like MLMs, I don’t like the culture that it creates. I do prefer the type of affiliate marketing where I try to help people and in return if they decide to purchase a product or service and I get a commission then it is a win all around.

  • Isabel says:

    Thanks for this review Paul, great insight as usual. These MLM have been around for so long that I wouldn’t necessarily call them scams per se, but they certainly are not get-rich-quick systems. Although I do believe that they have a place… I know of a few ladies who quit their day jobs to work full-time in MLM and are doing great. I also know of a few who tried and gave up. But I do think they are great at teaching how to sell and how to become a leader, and those qualities could prove to be priceless in other more profitable ventures.
    Cheers for now,
    Isabel

    • Paul says:

      I do take my hat off for those that do try and fail. It is important that people at least try something instead of sitting back and do nothing. Can you fail at it, sure, can you succeed at it sure, but doing nothing will end with nothing. So I do applaud those that have tried and failed or succeeded. Either way, it is an experience that will most likely help them move on to other adventures, and life should be an adventure. The only problem with MLMs is that there is generally too much pressure to try and sell the idea of getting other sellers. The products are generally more expensive than something you can buy in a retail store because they have to pay out commissions for so many levels of distributors. I still prefer affiliate marketing so you can be your own boss and work from home.

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