Hi, Larry Crisp here.
Last year, to the consternation of many, I released a video called “The End of MLM” (Multi-level marketing a.k.a. Network Marketing). It was a surprise to many of the people that know me because for nearly 20 years they saw my success in the MLM industry. However, as the years wore on, a growing sense of incongruency led me to leave my traditional MLM company.
I would encourage you to look at the original video and the recent update if you would like to get my point by point analysis and reasons for walking away. But I can summarize it by simply saying MLM IS DEAD.
Technology is exposing commodities based companies in particular, as an empty business opportunity — and simply a method of manipulating a captured consumer base.
MLM companies will talk a good game about getting out from under corporate culture and in a business of your own. MLM’s tell you their opportunity will give you autonomy and potential multiple streams of income. But generally speaking, these are lies when it comes to most traditional MLM’s.
The fact is, most MLM’s not only frown on you having autonomy, they often will sanction you, or if you actually earn income with them, will terminate you if you are involved in promoting another MLM or business opportunity. I guess it’s their idea of capital controls or what I call corporate oppression. So much for calling your own shots!
Right now, Herbalife now finds itself being probed by the FTC, SEC, DOJ, FBI and the US Attorney General’s office – the biggest regulatory agencies in the US. Let me repeat that — Herbalife is being probed by the FTC, SEC, DOJ, FBI and the US Attorney General’s office .
If you are worried this is going to have ripple effects throughout the MLM world, even affect the opportunity you might be involved in… you’re right! Herbalife is just a garden variety MLM – it is prototypical of the MLM business model, pay plan, marketing strategy, distributor churn factors, and financial outcomes.
In fact, if you closed your eyes at an Herbalife opportunity meeting, you can be assured that virtually the exact same spectacle occurs at 100’s of other MLM meetings around the world. As an icon in the MLM industry –it is unavoidable that as Herbalife goes, so too the entire MLM industry.
Though there is no telling what the outcome of the current investigations holds – If you are in an MLM right now, I would encourage you to reevaluate, or at least develop an exit strategy. Start an earnest investigation into viable home based businesses — I absolutely believe being in business for yourself is the most important investment you will ever make.