Is Multi-Level Marketing a Legitimate Business Method?

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 …

Multi-Level Marketing Companies and Pyramid Schemes

For decades, muti-level marketing companies like Amway, Mary Kay, Herbalife, Avon, and Usana have fought against being labeled as pyramid schemes. They say that pyramid schemes are illegal, and that their MLM business format is perfectly legal. My definition of MLMs is a little nuanced. I tend to call them …

An Excellent Analysis of the Demise of Usana

An article today on SanDiegoReader.com does an excellent job of highlighting what’s been happening with the Usana case. As if I’d ever let you forget, I will remind you that Usana Health Sciences is being investigated by the Securities and Exchange Commission for violation of securities laws. Their investigation was …

Forbes on Usana: FBI Investigation, Possible Loan Covenant Breaches…

Forbes is reporting on the Usana Health Sciences investigation by Barry Minkow and company, and things aren’t looking good. In an article entitled “Hard to Swallow,” Forbes writer Evelyn Rusli methodically demonstrates the dim reality facing Usana and the Myron Wentz gang. As Rusli points out, the company seemed “untouchable” …