Is Optavia a pyramid scheme? Well… Their business design is that of a MLM and is structured to position a lot of focus on recruitment, but does this add up to 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 possibly a pal or person in the family was. But anyways… It doesn't really matter your reason for reading this. In this short review I is apt to 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 made for weight reduction, similar to Avisae, It Works, and Shaklee. They've an even more holistic way of weight reduction, not merely emphasizing the short-term, but alternatively having an even more long-term focus. The target is always to adopt new healthy habits one at a time in your lifetime therefore the changes you make stick.
This really is an approach that I must say i like. A lot of people slim down and then gain it right back. They devote all this work and effort losing the weight however get regressing back due to their old unhealthy habits. Optavia's goal is always to simply help change those habits to healthier ones.
At the core of the Optavia business design are coaches which are there to simply help guide and support people on the weight reduction journeys. These coaches might 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 part of everything is the primary 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 comprehension of what's going on here we first need to have a go through the compensation plan and observe these coaches are receiving compensated.
Pyramid Scheme?
Okay… So a MLM type business like this can be completely legitimate and rely on recruitment of other distributors, in this instance “coaches”, to a fantastic deal. What separates the best MLM from in illegal pyramid scheme is just how much they really rely on recruitment of distributors. Whenever they rely on recruitment such as this too much of and do not focus enough on selling products to most people, that's where it begins to cross line and becoming an illegal pyramid scheme.
That said…there is definitely not enough here for me to say that this can be a pyramid scheme, BUT… I'm a little concerned when it comes to their compensation plan. They don't really seem to possess any safeguards in position to help keep a pyramid scheme -like scenario from playing out https://centerforworklife.com/opp/mlm/optavia/.
With regards to I am aware, you can be an instructor and to accomplish only recruit in other coaches to move up the ranks and make lots of money. Some MLM's that I have reviewed need you to sell a quantity of products each month to most people (non-distributors), while Optavia does not.
But anyways… Know this doesn't seem like a pyramid scheme to me. Recruitment like that's completely legal and though it mightn't be the absolute most trustworthy business, because so many coaches are available merely to recruit lots of people in and earn money, it is still legal.
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