Is Forever Living a Pyramid Scheme? Scam or Legit MLM? Exposed!

Forever Living is an MLM company that manufactures and sells health products. It is not a pyramid scheme, and it is one of the legit MLM companies.

There is a good chance that you heard about Forever Living through someone – a friend or family member.

Many people these days are looking for additional income, and you are most likely one of them. There was then an opportunity to work from home by joining Forever Living as one of their independent distributors.

However, as I’ll discuss in this review, there are some reasons why success with Forever Living is unlikely. Experienced salespeople and well-funded recruiters are the only ones I can think of to have real success with this MLM program.

As a disclaimer, I’m not affiliated with Forever Living. It means I’m not paid to write this review. So you can rest assured that you will get an honest and unbiased review from me.

At the end of this review, I’ll also tell you the best alternative to the Forever Living MLM program that has enabled me to make a full-time passive income online.

What is Forever Living?

Forever Living is an American privately held multi-level marketing (MLM) company that sells aloe vera-based drinks and bee-derived cosmetics, dietary supplements, and personal care products.

Rex Maughan founded the company in Arizona, USA, in 1978. He learned that aloe was good for healing and decided to buy ranches so he could grow the plants himself rather than relying on suppliers.

By 2010, the company had acquired Aloe Vera of America. In the same year, the company employed over 9 million people and earned $1.7 billion. Customers in over 150 countries now purchase products from independent suppliers under the brand name.

However, some journalists have compared the multi-level marketing business model of Forever Living’s distribution system to a pyramid scheme.

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What Products Does Forever Living Offer?

Forever Living Products sells a variety of products, including aloe vera drinks, beeswax cosmetics, nutritional supplements, and personal care items. There were five product groups to choose from.

Bee Products

Honey baths are available, as are supplements such as bee pollen, propolis, and Royal Jelly in tablet form.

Drinks

The majority of the drinks in this category are made with aloe vera and are intended to be part of a healthy, balanced diet. They are sold with the claim that they aid digestion and nutrient absorption.

Nutrition

Forever Living sells a line of dietary supplements in pill and bottle form that are similar to multivitamins. Ginkgo, B12, and other nutrients are examples of these.

Personal Care

The personal care line includes soaps, hand sanitizers, creams, and body sprays.

Skin Care

Aloe-based skin care products are available from Forever Living Products. Lotions that moisturize, scrubs that remove dead skin, aloe scrubs, and other products are available.

When you use Forever Living products, there are no risks. The company has been in operation for more than 40 years. Nonetheless, no company would survive for 40 years if it sold unsafe products.

The company only sells natural products, but they are not FDA-approved due to what they sell. This may worry some people, but it does not imply that these products are fake. Many people have written reviews claiming that Forever Living Products are safe.

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Is Forever Living An MLM?

Forever Living is a legit MLM (multi-level marketing) company. After acquiring Aloe Vera of America in the 1990s, the company had a network of 9.3 million distributors.

As a multi-level marketing firm, Forever Living won’t provide its sales representatives with a regular salary. After joining Forever Living’s MLM program and becoming one of the members, you’ll run your own business as an independent distributor of Forever Living products.

However, it is unlikely that you can make a good income selling their products. As in the case of most MLM programs, your business relies on recruiting new members to work under you. You will earn a commission on the sales and new recruits generated by the people you hire once they begin producing results.

This is complex on a number of levels (hence multi-level).

Let’s imagine a triangle. Because everyone in the triangle is in your direct downline (in an MLM, the people beneath you are known as your “downline,” and you are their “upline”), you will earn commissions from everyone in the triangle if the person at the top recruits ten people, and each of these ten recruits ten more.

If you can bring in just 10 people, you’ll make $1100.

Most people in your MLM would rather earn a lifetime passive income from recruiting others than a one-time commission from selling products, even if your MLM offers a wide range of products.

Due to the way the money flows, those at the top of the triangle have the most financial success, while those at the base have the least.

Having a large number of people in one’s “downline” is essential for success in a multi-level marketing company like Forever Living.

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Is Forever Living A Pyramid Scheme?

Forever Living is not a pyramid scheme. It is a legit MLM company that allows members to make money by selling their health products. As a distributor of Forever Living, you don’t have to make money solely through recruitment.

In contrast, a pyramid scheme recruits members by promising them money or services in return for recruiting others. It is unsustainable and often a scam because members at the bottom end are doomed to lose money.

Those who want to join must pay a membership fee to the company that runs the pyramid scheme. The company would share a portion of the funds raised from each additional member they recruit as a reward.

However, the scam is profitable only for the directors of the company, i.e., those at the top of the pyramid, since they can receive a portion of the payments from every newly recruited member. The scheme continues as long as members recruit and funnel money to the top of the pyramid.

Such companies almost never sell valuable goods or services. The scam’s only source of revenue is from recruiting new members and soliciting more money from current members.

A pyramid scheme would have to grow infinitely to make money for everyone who participates. This is impossible due to the finite population of the planet.

The scam will fail if there are no new recruits and other sources of income. Since the majority of members are at the lowest level of the pyramid, most of them will lose their money.

A good example of pyramid schemes is Vemma, a producer of energy and weight loss drinks. The FTC accused Vemma of operating a pyramid scheme in August 2015 that paid more to recruit new members than to sell products.

New members, who were typically college students and other young people promised high compensation, were required to pay $600 for starter packages and hundreds more for monthly products. According to the FTC, the majority of participants lost money.

What is the Forever Living’s Compensation Plan?

Let’s see how much money you can make by selling their products.

A new FLP distributor: Retail profits of 43 percent

Assistant supervisor: Retail profits of 43 percent plus a 5 percent bonus on personal retail sales.

Supervisor: 43 percent on retail profits, 8% on personal retail sales, and 3% on assistant supervisor group retail sales.

Assistant manager: 43 percent on retail profits, 13% on personal retail sales, 5% on supervisor group retail sales, and 8% on assistant supervisor group retail sales

Manager: 43 percent for retail profits, 18 percent for personal retail sales, 5% for assistant manager group retail sales, 10% for supervisor group retail sales, and 13% for assistant supervisor group retail sales.

Globally Rally: FLP business owners should be able to travel to a beautiful location and spend their money there.

Chairman’s Bonus: FLP business owners are given a portion of the global profit share on stage in front of a larger audience.

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10 Reasons Why I Don’t Recommend Forever Living MLM Program

1. False Claims about The Health Benefits of Forever Living Products

You probably have found some reviews of Forever Living products and all of them are saying Forever Living products are good for your health. But most of them are actually paid to write. Their words are often biased and not trustworthy.

In 2015, Forever Living was criticized by the U.K. Advertising Standards Authority for making false claims about the health benefits of its products, which were sold as cures for a range of conditions from diabetes to Crohn’s disease.

The company was also warned not to use medical professionals in its promotional materials. Subsequently, the UK’s Medicines and Healthcare Products Regulatory Agency launched an investigation after it was revealed that NHS staff were acting as salespeople.

As an independent distributor, you’re putting your customers’ health at risk when you sell Forever Living products.  

2. Very Few People Can Make Money With Forever Living

Success is difficult to achieve with an MLM company like Forever Living.

You can look at the statistic that says 72.5 percent to 99.9 percent of MLM members lose money.

The reason for this is that MLMs have sales quotas that require members to continue selling products in order to remain active and eligible for commissions.

They will not be paid if they do not meet the quota.

As a result, many MLM members lose a significant amount of money before even recruiting one person into the company.

3. Losses From Forever Living MLM Program Are Reframed As Investments

Forever Living MLM uplines often reframe their financial losses as ‘investments’ in their business so as to keep their reps in an MLM scheme, dangling the carrot of future financial freedom. 

But the reality is that these are not investments. You are unlikely to get the money back. And the return on “investment” is negative in most cases. So saying that it’s an investment is cheating.

4. Forever Living is a Cult

Why do people continue to work for Forever Living if it appears to be so bad? Our investigation of MLMs revealed that they all have cult-like company cultures.

Critical thinking is actively discouraged among MLM representatives. They are chastised and even isolated when they ask questions that deviate from the ‘this company is a-mazing’ mindset.

MLMs, like abusive partners, encourage you to isolate yourself from anyone who questions your involvement.

Those who leave an MLM are labeled as failures or bad people/influences, and reps are not allowed to contact them.

Rejection from people they once considered practically family is one of the most devastating losses experienced by former MLM representatives.

MLMs frequently expect their representatives to prioritize their events and business over their personal lives in order to further embed them in the business while separating them from their family and friends.

5. You May Need to Purchase Forever Living Products Yourself

If you don’t have a large network of friends, family, neighbors, and so on, you may have to buy products yourself each month. It’s a losing proposition all around.

I think it’s quite ridiculous when you have to buy the products you are trying to sell. But this is very common for people who join MLMs like Forever Living. That’s why in the long term, you are going to lose a lot of money, not to mention making money.

6. Forever Living Products are Overpriced

As with other MLMs, Forever Living offers overpriced products. There are many other brands that offer similar products but at lower prices.

Therefore, you may find it difficult to sell Forever Living products because your prospects can buy the same product elsewhere at a much cheaper price. This explains why most people who join MLMs only focus on recruitment instead of selling actual products.

7. Forever Living’s MLM Business Model Has a Bad Reputation

Some people have benefited financially by joining a network marketing/MLM company. Unfortunately, most people who join MLMs are left with nothing but regret and a lot of useless products that they were unable to sell.

MLM like Forever Living is fundamentally flawed. The distribution of commissions is skewed toward the top.

The majority of those in the top tier and pioneers make the most money, while those at the bottom will not even break even after a few months.

As a result, many people do not consider Forever Living to be a legitimate business opportunity.

8. Exaggerated Claims Of Income

Forever Living, like any other MLM company, makes exaggerated income claims, but in reality, very few people make a good living by promoting Forever Living.

Forever Living’s low retention rate can also be discouraging, as less than 41% of its distributors are active.

According to Forever Living’s payouts to distributors, over 99 percent of Forever Living distributors never make a profit.

9. Forever Living Is Like A Pyramid Scheme In Disguise

If you want to avoid losing money every month, the MLM will actually encourage you to recruit people.

Every system that requires you to recruit people in order to make money eventually looks like this.

Forever Living is not a pyramid scheme in the traditional sense because you can earn money by selling their products.

However, in order to make a living, you will need to hire others in reality.

10. Recruiting is Required to Succeed

I don’t recommend MLMs to people for this reason. MLMs like Forever Living put a lot of effort into recruiting. Eight out of ten ways to earn money with Forever Living require recruiting. If you don’t recruit, you are destined to lose money at the end of the day.

My #1 recommended platform is different. You can make a 4-figure, 5-figure or even 6-figure passive income by promoting and selling products you truly like. You don’t have to recruit people but recommend useful and great products. I will tell you more at the end of this Forever Living review.

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How Much Does It Cost To Join Forever Living?

You almost never have to pay anything to join Forever Living. When you sign up for most network marketing plans, you must pay an “activation fee,” which is typically around $99.

It is simply a means for the company to obtain a few extra dollars from the reps. That’s a pretty good indication that Forever Living does not. But you do need things to sell, which is where the costs rise.

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Forever Living MLM Program Feedbacks By Real Users

Positive Feedbacks

  • Low startup costs
  • Users are ecstatic about the products.

Negative Feedbacks

  • You must sell directly to people.
  • The majority of the funds come from recruiting.
  • The structure can be difficult to grasp.
  • Expensive goods
  • Must be motivated and good at selling.
  • MLMs are rarely successful.

Is Forever Living a Scam or Legit?

Forever Living is not a scam. It is a legit MLM company. A scam is defined as “a dishonest scheme; a fraud” by the Oxford Living Dictionary. 

However, Forever Living has been sued many times for making disingenuous and irresponsible marketing claims.

In 2004, claims about Forever Living’s products were found to violate several laws in Hungary related to advertising, registration of nutritional products, and use of cosmetics as medicines. 

The Environmental Research Center (ERC), a California nonprofit, sued Forever Living Products and its affiliates several times between 2011 and 2016 in the Superior Court of California for violations of Proposition 65 or the Safe Drinking Water and Toxic Exposure Act.

According to the ERC, lead levels in dietary supplements, makeup, beverages, protein shakes, and bee pollen manufactured by Aloe Vera of America and distributed by Forever Forever Lite Shakes and Bee Pollen were part of the Clean 9 Kit, which was marketed as a “detoxification program.”

Since there have been many lawsuits against Forever Living products, it’ll be difficult for you, as an independent distributor, to promote their products. In order to make ends meet, you will have to focus your efforts on recruiting new members aggressively. 

Though Forever Living is not a pyramid scheme, there is only a very thin line between their business models. At the end of the day, the majority of distributors who are at the bottom of the pyramid are doomed to lose money.  

 Therefore, some people do consider Forever Living MLM a scam.

My #1 recommended platform, however, has seen a lot of beginners earn four figures a month after joining it for a year.

I will tell more about my #1 recommended platform at the end of this review.

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Final Verdict: Forever Living MLM Review

Here comes the conclusion of my Forever Living MLM review. Overall, I don’t recommend joining Forever Living MLM to make money.

You will have a tough time in the beginning when you are prospecting and trying to find recruiters to add to your Forever Living commission.

The worst part is that you practically have to ask your family and friends to join your Forever Living business opportunity. It’s not fun.

Your upline is constantly following up with you to encourage you to buy more Business Support Material even as you struggle to get people to join your downline.

The reality is that you’re likely to lose more money. Statistics confirm this as well. 99% of people who join an MLM break even or lose money, according to a case study on the FTC’s website.

People who join these MLM-type businesses often feel under pressure to succeed, and that is one of the main reasons they leave. 

Why not consider starting your own online business if you want to earn money and have a flexible schedule? 

Thus, you can choose what you want to promote rather than having someone tell you what you must promote.

Let me tell you how to build an online business in a legit way to make passive income online in the next section. This has allowed me to make a full-time income in a year. Most importantly, unlike MLM models, It’s 100% legit and sustainable.

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Best Alternative To Forever Living MLM Program

If you’re beginning your online business journey, you deserve a program much better than Forever Living MLM.

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But How Much Can You Earn with Wealthy Affiliate?

A 21-year old student from Wealthy Affiliate was able to earn $7,395 in just 1 week, which means he made more than $1k a day…all while applying what is taught inside Wealthy Affiliate.

Wealthy Affiliate Testimonial

Compared with Authority Hacker, Wealthy Affiliate has a much longer history, which has been established for 15 years and there are many success stories in the past decade. Actually, Wealthy Affiliate has more than a million members so far, so you can see how popular this platform is.

To give you more examples, here are some of the other inspiring success stories of Wealthy Affiliate members.

Where to Join Wealthy Affiliate?

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