AN American woman has revealed how she was sucked into a multi-level marketing firm that left her $30,000 poorer.
The woman, who posts on YouTube under the name Fedacheezz, said she was recruited to join as a teenager and ended up dropping out of college to focus on her “business” – which she believes will make her a millionaire would.
“I wanted to talk about the time I lost over $30,000 and four years of my life,” she said.
Fedacheezz joined a Multilevel Marketing company or MLM.
MLMs have a pyramidal business structure in which newer participants report to whoever recruited them – and the person who recruited them makes money from their sales.
Many MLMs insist they are not the same as pyramid schemes because they sell products.
Well-known MLMs are Amway, Herbalife, Young Living, Montag, doTerra, Rodan + Fields and Lularoe.
Though Fedacheezz didn’t share the name of whoever she joined, she said it’s popular and has been around for a long time.
“I was naive and thought how lucky and special I am to have this special opportunity fall into my lap and become a millionaire! I really believed in it,” she said.
“I’ve been holding all of these feelings of loss, sadness and regret for years and I just want to let it all out.”
She recalled that she was only 19 when she started the business.
“I was a kid, I didn’t know anything about anything. I was barely a sophomore in college,” she said.
She and her sister also had family issues and felt vulnerable and longed for a “safe space” with “positive energy.”
“We were like the perfect targets for an MLM,” she said.
Her sister joined first, telling her about the exciting trip to California she was speaking about for the company and introducing her to others involved in MLM.
One day she took her to the house of an elderly woman in MLM.
“What really intrigued me is that I saw this lady that my mom has known since I was eight years old … and I was like, ‘Oh, she does this business too?'” she said.
Fedacheezz agreed to spend $150 to travel to California with her sister.
“I didn’t know what I was getting myself into. I just knew I was excited and it seemed like a positive thing,” she said.
On the trip, another woman told her about the deal and what she would do if she got on board.
First, the other woman said, Fedacheezz should stop buying essentials like shampoo and snacks from other companies and instead buy them from her own company as part of the MLM.
She is expected to spend around $300 each month this way to maintain a required point value.
I was naive and thinking how lucky and special I am that this special opportunity fell into my lap and I will become a millionaire!
She would then get her friends and family to do the same, and she would earn “explosive growth” based on her joining and spending.
“You’re just going to be that millionaire, that successful person. You’ll never have to work for anyone, you’ll just be that boss,” she said.
However, she wasn’t convinced until she attended one of the MLM events along the trip, which she described as so exciting and full of positive energy.
There was a musical performance that got everyone dancing, and top earners took the stage to talk about their success.
“When you were at a negative point in your life and you attended this event, it was so easy for you to feel overwhelmed with positive energy,” she said.
She thought, “I don’t know what this is, but I want to be a part of it.”
The event went late into the night, and by the end she was feeling both sleepless and “high from all this energy” — so she agreed to pay $180 to get a starter kit.
“Then they want to pull you into the scheme quickly because they know … they can lose you quickly because MLMs are very associated with the words ‘pyramid schemes’ and they know it.
“They would tell you when you start, ‘Don’t talk to anyone, just write down a list of everyone you know and then we’ll help you talk to them and introduce this business.'”
She said they told people who joined that if they spoke alone to friends and family, they “would put them off” because “you won’t know how to say that properly.”
“I just kept going and going deeper and deeper into this for four years,” she said.
“How did I lose $30,000? Long story short, I left college. I left college, can you believe it?
“I just left my college classes and decided I didn’t want anything to do with this 9-5 path. I just want to do my business and I just want to be successful.
“I was convinced. You convinced me that I would be a successful business owner.
“I lost $30,000 because I basically got a job after I left school and every single paycheck that was at least $1,000 at the beginning but went on to be over $2,000 every month fraud, all the money I put into my business or business related things.
“Four years wasted, thousands of dollars wasted. And it’s all the time I don’t get back, it’s all the money I don’t get back,” she said.
https://www.the-sun.com/lifestyle/5785677/anti-mlm-horror-story-lost-thousands/ I lost over $30,000 and 4 years of my life to an MLM – I regret it and am now warning others to learn from my mistakes