Is Optavia a pyramid scheme? Well… Their business design is that of a MLM and is structured to put a great deal of give attention to recruitment, but does this amount to it being fully a pyramid scheme?
I'm guessing that you're probably reading my post here because you're contacted by an Optavia coach and asked to take part in on the business enterprise opportunity, or even a pal or person in the household was. But anyways… It doesn't really matter your reason behind reading this. In this short review I is probably be addressing the claims that Optavia may well be a pyramid scheme.
What Is Optavia?
Optavia is just a weight reduction MLM company that sells meal plans scientifically made for weight reduction, similar to Avisae, It Works, and Shaklee. They've a more holistic approach to weight reduction, not just emphasizing the short-term, but alternatively having a far more long-term focus. The goal should be to adopt new healthy habits one at a time in your lifetime so the changes you make stick.
This really is an approach that I truly like. A lot of people lose weight and then gain it right back. They devote all of this work and effort losing the weight however get regressing back because of their old unhealthy habits. Optavia's goal is always to simply help change those habits to healthier ones.
At the core of the Optavia business design are coaches which can be there to simply help guide and support people on the weight reduction journeys. These coaches might be anyone. You're I both could join the business enterprise as an instructor and earn money doing so. Coaches can earn money by selling weight reduction products alongside by recruiting and other coaches beneath them and earning from what they sell.
This recruitment element of everything is the main reason individuals are calling a pyramid scheme. Yes… Coaches can earn money by recruiting in other coaches and etc, but this doesn't mean it is just a pyramid scheme. In order to get a greater knowledge of what's going on here we first must have a have the compensation plan and observe these coaches are receiving compensated.
Pyramid Scheme?
Okay… So a MLM type business like this is completely legitimate and depend on recruitment of other distributors, in this instance “coaches”, to a great deal. What separates the most effective MLM from in illegal pyramid scheme is just how much they really depend on recruitment of distributors. Should they depend on recruitment similar to this an excessive amount of and do not focus enough on selling products to many people, that's where it begins to cross line and becoming an illegal pyramid scheme.
That said…there is certainly not enough here for me personally to state that this is a pyramid scheme, BUT… I'm a little concerned when it comes to their compensation plan. They don't really seem your can purchase any safeguards set up to help keep a pyramid scheme -like scenario from playing out.
In terms of I understand, you can be an instructor and to accomplish only recruit in other coaches to move up the ranks and make a lot of money. Some MLM's that I have reviewed need you to market a specific amount of products on a monthly basis to many people (non-distributors), while Optavia does not.
But anyways… Know this doesn't seem like a pyramid scheme to me. Recruitment like that is completely legal and although it mightn't be one of the most trustworthy business, because so many coaches are on the market merely to recruit a lot of people in and earn money, it is still legal.
