What is LuLaroe About and Why They Have Been Declared as a Fraud!
With over 245509 average monthly searches, and an Alarming Google Alert, I NEEDED to find out what is Lularoe about? Let us find out if it is a scam, legit, safe, real and trustworthy or just another ponzi, MLM fraud scam website! LLR has been accused of pressurizing people to into hitting their bank accounts to the max for cash and hails from the U.S.A. They are now getting the socks sued off of them for doing this and accused of being fraudulent due to its business model. The number of ‘consultants’ to be negatively impacted on this is currently climbing into the thousands. With fending off complaints of poor clothing quality in the past, this online fashion selling women’s clothing company has to survive allegations of changing their Terms and Conditions for ‘sellers’, with being accused of having an illegal business model such as (Multi Level Marketing). LLR is in serious deep trouble! Before we continue, I would like to introduce you to Wealthy Affiliate that can teach anyone how to build an online business for $0 start up. You can Sign Up Here as I know you will love it! NO CC DETAILS TO START AND NO NASTY UPSALES!
FOUNDER:- Mark Stidham. Deane Brady.
PRICE:- $4,925 TO $9000! Nasty Up-sales Tactics Ahead!
SCAM RATING:- 55/100%!
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What Is LuLaroe About and the Rage of their Consultants.
Lularoe, or LLR, is being sued by Amber Eck, whom is representing THOUSANDS of these women’s fashion clothing giant’s consultants (sellers). Members have been complaining of the quality of the merchandise that they have bought, with their own money, and the high levels of pressure they are put under to buy further merchandise. While it takes nearly 5K to 9k to join (huge sign up fee for an online business start up) they are head-wreaked into having a minimum of 20K worth of items, at all times, to sell with. Shoddy clothing and nasty up sells, per members!
This clothing giant guarantee’s a FULL REFUND to all its members should they wish to leave at any in time. Brilliant. However, in September, they unfairly revoked this aspect of their business model. How can you change your contract once you have people in whom have already spent a fortune? OMG – I’d lose the plot! What were they thinking…
The company is making a fortune off of its members and encourages one to make as many ‘affiliates’ as possible, thus, making a fortune from those referrals as well. The profit for the sellers is from the merchandise they buy from this company. What if you have a slow summer? This would not be for me anyways given the size of this company, at some point in the past, they must of being doing something amazing.
Given the member ‘cash-flow’ is going upwards to the company, they are being brought to court, for being a Pyramid Scheme, pressuring members to ’empty’ their bank accounts as ‘investments‘ and producing shoddy items for members to sell on, I can’t see how they should NOT be sued.
I do believe this will be resolved for the benefit of its members as the lawyer representing them won a case against Trump University for similar up selling tactics. Twenty Million Dollars was what Amber Eck won for being a Top-Notch-Lawyer against the University!!
LLR TRAINING AND ‘BUY BEFORE YOU’ SEE PRACTICES.
LLR does provide training and other materials so you can through a ‘party’ at home to invite family and friends. These people arrive for the free food and beer just to be ‘landed’ on a couch and guilt-tripped into buying your stuff. Remember this, when you buy these products YOU WILL BEAR ANY AND ALL LOSSES! From your profit you will pay for shipping fee’s and sales tax.
You buy these items at a lower price and sell them on for a higher price. That sounds ‘OK’. BUT, if you can’t sell something then you can return it for a fee to the company. The fee is 85% of what you paid for them under a ‘restocking-fee’. That is a bit cheeky to say the least. Now the company is making even more money from its members. Incredible greed.
The ‘training’ involves a training booklet for your nearly 5K! Booklet. Various promotional items. That appears to be it.
As part of your initial investment you get items of cloths, that are reported to be picked arbitrarily, fliers, cards, a catalog, book planner for the year sheets for people to sign in with at your parties. For $5000 that is an awful package, in my opinion not to even mention the poor training delivered.
Disturbingly, one has to buy one hundred and seventy-five clothing items (per month) to qualify for bonus’s. When you make referrals and you have bought the monthly clothing amount you will receive 5% of your referrals sales. Worse still, these ‘items’, have been reported as selected at random (YOU DON’T GET TO SEE BEFORE BUYING THESE CLOTHS). These guys have a heavy online presence and due to their clear pyramid scheme, multi level marketing practices, are delivering less value relative to the HUGE amount of money and time invested. Thus, to this extent, it is a scam. I voted it 55% and would not recommend it due to the points stated. I could go on but don’t want to over state my point. Just be careful with these guys because they are getting sued by its own members for a very good reason!!
Whatever I missed, other bloggers have covered admirably and super extensively, combined! Viva la bloggers – spread the word – this company is a somewhat risky to deal with, to say the least!
I sold from a catalog once and it started off great. However, the longer I continued the more I realized my legal obligations. This was a little scary because I am now legally responsible for merchandise I have not sold yet and need to have the ‘profits‘, the profits I had not even earned yet, in my account every amount on time without fail – or – their were ‘penalties’! With other problems such as shipping late deliveries, constantly, where I had ring up the delivery company myself to see what was going on!! That is awful and shoddy support and I got sick of it! Wealthy Affiliate offers the support from its Founders, 24/7 Live Chat and support from over 800,000 other Affiliate Marketing Specialists like my self.
To the members of this website I can relate to some of their experiences and I wish them the very best of luck for what their company has put them through!
HAVE YOUR SAY!
I would love to hear from you! Have you or are you a member of this company? What has been your experiences and would you recommend it to others? You are welcomed to leave your story to endorse or warn others so they may decide to sign up with them or not. I would be particularly interested in how ‘shoddy’ the cloths were and did you make a real living from your investment and sales activities? I believe you have enough data to know what is lularoe about to decide for your self now. This company is a fresh online pyramid scam alert and is ‘active’ now, for this reason, I ask you to share this post so others may be informed on this matter. I wish to invite you to sign up to my Websites Newsletter to keep a head of poor to straight up scams online jobs. Thank you kindly for reading my article, I really look forward to all your comments, and if you are interested, have a look at my #1 Opportunity below. Take care and stay safe online. Click Image Below to receive Two Free Websites and Ten Free Beginner Affiliate Marketing Tutorials – a ‘Than You’ for ‘clicking’ on my article.