The evolution of the anti-Mary Kay movement

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What began as a loosely organized group of women casually discussing their dislike of the “business opportunity” offered by multi-level marketing companies like Mary Kay Cosmetics, has been slowly developing into an organized, credible attack on the tactics that abuse participants. Pink Truth, a website created and maintained by me, systematically exposes the lies and…

Press Release: Fraud Investigator and Former Mary Kay Salesperson Joins Pyramid Scheme Alert Board of Advisors

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Milwaukee, WI November 22, 2006 . Pyramid Scheme Alert announces that Tracy L. Coenen, CPA, MBA, CFE has been named to the organization.s Board of Advisors. Her consumer education website, PinkTruth.com, which exposes and analyzes the business and recruiting practices of Mary Kay and the plight of Mary Kay salespeople, has received over 4,000 visitors…

Press Release: Fraud Investigator Develops Public Awareness Website Regarding Mary Kay Cosmetics

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Milwaukee, WI November 20 2006 . Tracy L. Coenen, CPA, MBA, CFE, a nationally-recognized fraud examiner and expert witness, has developed a website to educate and inform the public about the Mary Kay Cosmetics business opportunity. Pink Truth (www.pinktruth.com) has quickly become a valued resource to hundreds of thousands of women around the world. Coenen,…

Is MLM a Legitimate Business Method?

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Defenders of multi-level marketing (MLM) are often heard saying that it’s a legitimate business method! Even government regulators say MLM is legitimate. And it is true that state and federal governments in the United States generally allow multi-level marketing companies to operate with little oversight. This is despite the fact that structurally and operationally, MLMs…

Updates to MLM Income Disclosure Statements

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For years I’ve been collecting income disclosure statements issued by multi-level marketing (MLM) companies. These are the proof that you have almost no chance of making money in MLM, no matter what the company or product. Across the board, you see that the vast majority of the distributors make almost nothing in commissions. The “average…

MLM Income Disclosure Statements

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A collection of annual income disclosure statements published by multi-level marketing companies, continuously updated. Last updates done 08/02/20 to add new statements for Monat, Rodan & Fields and It Works. Some MLMs release income disclosures or earnings disclosures. These numbers are not required to be disclosed in the United States, but some of the companies…

FTC Sues Nerium: Illegal Pyramid Scheme

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Last week the FTC announced a lawsuit against Neora (formerly known as Nerium), alleging that it is an illegal pyramid scheme. Couple this with the recent end to AdvoCare’s multi-level marketing method of business at the hands of the FTC, and people like me (who think MLMs are abusive pyramid schemes) have a bit of…

AdvoCare Pyramid Scheme

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On Wednesday it was announced that AdvoCare and the FTC entered into a settlement which bars it from participating in any multi-level marketing (MLM) activities. AdvoCare will also give $150 million in consumer refunds. The settlement comes after the FTC said AdvoCare was running an illegal pyramid scheme. There were allegations that the company “deceived…