Recently the SEC alleges Zhunrize to drive a Pyramid Scheme and the SEC’s argument is “substantially all of Zhunrize revenue has comes from the sale of memberships (referred to as stores)”.
Dubli is a larger MLM with a simular e-commerce program and cashback shopping mall and has been expanding to the USA.
Dubli’s strategy is very open as it is a public company and has warned in its own report:
“Continuing analysis of the customer subscriptions, the inherent danger Dubli faces is that, in bundling so many subscription vouchers with paid affiliate memberships, there won’t be a significant amount of customers purchasing subscriptions”.
And:
We are subject to the risk that, in one or more markets, our network marketing program could be found not to be in compliance with applicable law or regulations.
Regulations applicable to network marketing organizations generally are directed at preventing fraudulent or deceptive schemes, often referred to as “pyramid” or “chain sales” schemes, by ensuring that product sales ultimately are made to consumers and that advancement within an organization is based on sales of the organization’s products rather than investments in the organization or other non-retail sales-related criteria.
Affiliate membership to Dubli is available at three price-points:
Business License – $594 ($99 +
Tag Archive for Review
Hot Business News Today
SEC Action Against Zhunrize May Effect Dubli
by Ted Nuyten • • 0 Comments
Recently the SEC alleges Zhunrize to drive a Pyramid Scheme and the SEC’s argument is “substantially all of Zhunrize revenue has comes from the sale of memberships (referred to as stores)”.
Dubli is a larger MLM with a simular e-commerce program and cashback shopping mall and has been expanding to the USA.
Dubli’s strategy is very open as it is a public company and has warned in its own report:
“Continuing analysis of the customer subscriptions, the inherent danger Dubli faces is that, in bundling so many subscription vouchers with paid affiliate memberships, there won’t be a significant amount of customers purchasing subscriptions”.
And:
We are subject to the risk that, in one or more markets, our network marketing program could be found not to be in compliance with applicable law or regulations.
Regulations applicable to network marketing organizations generally are directed at preventing fraudulent or deceptive schemes, often referred to as “pyramid” or “chain sales” schemes, by ensuring that product sales ultimately are made to consumers and that advancement within an organization is based on sales of the organization’s products rather than investments in the organization or other non-retail sales-related criteria.
Affiliate membership to Dubli is available at three price-points:
Business License – $594 ($99 +
Hot Business News Today
Paying out MLM Commissions Worldwide – i-Payout A Solution for Companies
by Ted Nuyten • • 0 Comments
A major challenge for many (starting) MLM companies is to pay out commissions to distributors all over the world.
If you are looking for a solution, we have noticed I-Payout is a leading provider with customers such as WorldVentures, Evolv, iLA, Regeneca, Empower Network, Talk Fusion, and Xyngular.
The company has offices in the USA (Florida), the UK (London) and Cental America (Panama) and has a partnership with Kevin Thompson – the MLM attorney:
i-payout™ President, Eddie Gonzalez, commented, “we are constantly striving to improve the services we provide our clients and to enhance our reliability with vendors and banks. As an industry leader, we are in an advantageous position to provide guidance for our clients to remain compliant with constantly evolving MLM and DSA regulations. We are therefore pleased to welcome Kevin to support these efforts.”
International Payout Systems, Inc. (i-payout) is a leading provider of global payment solutions for multi-level marketing companies, direct sales associations, unions, and the legal industry. Established in 2007 and US based, i-payout has a long-standing reputation as a trusted and respected partner providing consistent service and flexibility.
There are no start-up costs and a payment solution can be live and fully operational within 24-72 hours
A CEO commented
Hot Business News Today
Lyoness Responds To Ponzi Allegations In Australia
by Ted Nuyten • • 0 Comments
Lyoness Australia has issued the next statement:
“Lyoness rejects allegations raised by the ACCC, and will vigorously defend the proceedings commenced by the Commission on 28 August.
Lyoness is a shopping community, customer loyalty program and network marketing business.
Benefits are exclusively generated by shopping activities within the Lyoness community. Members receive benefits when they shop, whether they introduce other members or not. Lyoness members may introduce members and receive benefits when the new member shops in the Lyoness community, but no benefits come from the introduction alone.
Lyoness has been active for 10 years and in none of the 46 markets in which it is active has Lyoness been found guilty of or convicted for operating a pyramid scheme.
Over four million members take advantage of the Lyoness benefits at over 40,000 loyalty merchants around the world. In Australia, there are now 780 Lyoness loyalty merchants, including many small and medium sized enterprises.
Lyoness is committed to full compliance with the law and to dealing honestly with Australian consumers.
Daily business is not affected. This court action has no effect on Lyoness members, loyalty merchants or staff, and Lyoness may be contacted by them in the usual way.
Since the proceedings are before the court, Lyoness
Hot Business News Today
Australia Sues Lyoness With Pyramid Allegations
by Ted Nuyten • • 0 Comments
The Australian Competition and Consumer Commission (ACCC) has instituted proceedings against Lyoness International AG, Lyoness Asia Limited, Lyoness UK Limited and Lyoness Australia Pty Limited (together ‘Lyoness’) for operating a pyramid selling scheme and engaging in referral selling.
Although Lyoness has been investigated by regulators for conduct in other countries, this is the first court action taken against Lyoness alleging that the Lyoness Loyalty Program constitutes a pyramid scheme.
Pyramid schemes involve new participants providing a financial or other benefit to other existing participants in the scheme. New participants are induced to join substantially by the prospect that they will be entitled to benefits relating to the recruitment of further new participants. Pyramid schemes may also offer products or services, but making money out of recruitment is their main aim, and often the only way for a member to recover any money is to convince other people to join up. In contrast, people in legitimate multi-level marketing schemes earn money by selling genuine products to consumers, not from the recruiting process.
The ACCC alleges that Lyoness has operated the scheme in Australia from mid-2011 and that it continues to operate the scheme. The scheme offers ‘cash back’ rebates to members who shop through
Hot Business News Today
Industry Leaders Finding Success At Vísi
by Ted Nuyten • • 0 Comments
Vísi, a progressive global network marketing company, has been making waves by breaking its own sales records month after month and by attracting the veritable who’s who of industry leaders.
“We have worked hard to build a foundation for Vísi that empowers our Partners and enables them to succeed,” Founder & CEO Kent Lewis said.
“We have assembled an executive team with over 100 years of experience in the industry, we have innovative products that can’t be found anywhere else in the marketplace and we have teamed with the best vendors in the industry to create the best user experience possible.”
The list of industry leaders who have joined Visi is growing daily. Leaders such as, Mark & Alinda Hale are finding amazing success with Visi. Mark & Alinda have achieved the prestigious rank of Arctic Ruby, earning a rank advancement bonus of $5,000. This is in addition to the $7,500 average weekly income associated with their rank.
“We were drawn to Vísi because of the timing,” Alinda said. “We saw that the company was still relatively young, yet it was growing rapidly and had entered a huge momentum phase.”
Michael O’Brien & Tim Lunsford joined Vísi prior to the company’s annual convention
Hot Business News Today
Holton Buggs And Shane Morand – Organo Gold Commissions Analyzed
by Ted Nuyten • • 0 Comments
There is a lot of discussion going on about Organo Gold’s compensation plan.
Both Holton Buggs as Shane Morand – Global Master Distributor have done a tremendous job by building up in a short time frame a $215 million USA business according to well informed Direct Selling News.
According to a well informed high ranked OG distributor the $215 million is most likely only USA revenue.
An estimated $100 million extra revenue is from the rest of the world.
Both Holton Buggs as Shane Morand cash in over $1+ million a month, they are listed for est. $400,000 per month as the Business For Home ranks are based on the regular compensation plan and not on off compensation plan deals.
Nothing wrong with extra rewards for top producers however if those rewards are not for the average Joe we do not count those rewards for the ranks.
A legit compensation plan pays out on average 35 – 38% over the company sales. Organo Gold distributors claim it is higher in their pay plan however a non internet based product company like Organo Gold can not pay out more then 45%. Otherwise either your products are extremely over priced or you go in debt.
Lets assume Organo Gold