Is Optavia a pyramid scheme? Well… Their business design is that of a MLM and is structured to position a lot of give attention to recruitment, but does this total 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 participate in on the business opportunity, or even a pal or member of the family was. But anyways… It doesn't really matter your basis for reading this. In this short review I is probably be addressing the claims that Optavia may well be considered a pyramid scheme.
What Is Optavia?
Optavia is a weight reduction MLM company that sells meal plans scientifically designed for weight reduction, similar to Avisae, It Works, and Shaklee. They've a far more holistic approach to weight reduction, not merely emphasizing the short-term, but alternatively having a far more long-term focus. The target would be to adopt new healthy habits one at the same time in your lifetime so the changes you make stick.
That is an approach that I must say i like. Many individuals shed weight and then gain it right back. They devote all this work and effort losing the weight however get regressing back because of their old unhealthy habits. Optavia's goal is to simply help change those habits to healthier ones.
At the core of the Optavia business design are coaches that are there to simply help guide and support people on the weight reduction journeys. These coaches may be anyone. You're I both could join the business as an instructor and earn money doing so. Coaches can earn money by selling weight reduction products along side by recruiting and other coaches beneath them and earning from what they sell.
This recruitment component 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 a pyramid scheme. In order to get an improved knowledge of what's going on here we first must have a go through the compensation plan and observe these coaches are getting compensated.
Pyramid Scheme?
Okay… So a MLM type business like this is often completely legitimate and rely on recruitment of other distributors, in this instance “coaches”, to a fantastic deal. What separates the very best MLM from in illegal pyramid scheme is simply how much they really rely on recruitment of distributors. As long as they rely on recruitment similar to this too much of and don't 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 am a little concerned when contemplating their compensation plan. They don't really seem to possess any safeguards set up to keep a pyramid scheme -like scenario from playing out.
With regards to I know, you can become 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've reviewed need you to offer a quantity of products each month to many people (non-distributors), while Optavia does not.
But anyways… Know this doesn't seem such as a pyramid scheme to me. Recruitment like that is completely legal and though it mightn't be the most trustworthy business, because so many coaches are out there merely to recruit a lot of people in and earn money, it is still legal Go Here.
