Traditional once-a-month commission checks outdated
By: Camille Barlow
“If you don’t pay people quickly enough, and they find they’re being paid quicker by another company, they’re going to leave.”
—Natalia Yenatska, Chief Operations Officer, i-Payout
Since its inception, the direct selling channel has prided itself on bucking convention. From introducing the gamechanger of residual income to openly eschewing the traditional 9-to-5 workday, direct selling companies have aimed to divert from the norm.
Agency claims ‘money transfer scheme’ in latest enforcement action
By Dave Rauf
The vast majority of participants in Success By Health lost money as the company’s compensation plan rewarded distributors based on how many new recruits they could sign up and how much inventory they could sell to those same recruits, not from retail sales.
—Paraphrased from FTC suit against Success by Health
“The FTC is trying to rewrite the law through enforcement proceedings.”
—Brent Kugler, partner, Scheef & Stone
The Federal Trade Commission (FTC) has dropped the hammer on another MLM, marking the third pyramid scheme case brought against a direct seller in the last several months as part of a series of enforcement actions that have rattled the industry.
Man Controlling Trade statue outside the FTC Building in Washington, D.C. By David Rauf Regulators continue to press for retail customer separation from business builders “A younger salesforce built on millennials, the impact of the gig economy, and the rise of social media as a platform to sell products all
As the government’s ‘100-day campaign’ winds down, healthcare product companies announce sales losses
By David Rauf
“We’re taking the cue from our government relations team in China, and they’re staying in regular contact.”
—Keven Guest, CEO, USANA