“Lyoness America Violating Pyramid, Ponzi, Business Opportunity & Security Regulations?”
Yesterday, Troy Dooly, well-known blogger (MLM Help Desk), posted an anonymous 2 page exposé/analysis of Lyoness, a 10 year old supposedly legal MLM out of Austria.
The two page analysis, which is obviously very well written, begins this way:
Notification of Lyoness America violation of Pyramid, Ponzi, Business Opportunity and Security Regulations
After careful review of Lyoness America’s business model and compensation plan, I am certain it will be concluded that Lyoness America is in blatant violation of all statues of all four; pyramid, Ponzi, SEC and Business opportunity regulations. Please consider the following points:
And concludes this way, which probably also explains why it is anonymous:
The company has been making every attempt to suppress this information. They have threatened me with law suits and TRO’s. The company is based in Austria. Mario Hoffman, Oria, Mario’s wife and assistant, Dr. Silvio, the company top distributor who launch the USA operations are all believed to be from Austria and could be flight risks.
To those who have inquired about my opinion privately over the last year or so, this is what I have sent:
I have seen this kind of publicity for companies before – and almost always, it was the precursor to the end of a company. In any case, why would anyone join a company with this much current bad press? Who in good conscience could recommend it to anyone, much less their friends or family?
And to those who have used “Multi-Level Marketing is Doomed“, “End of MLM” marketing campaigns to attack Herbalife and MLM in general and to promote Lyoness, I say:
Are you kidding me? I will bet you any reasonable amount of money that Herbalife will be around and thriving long after Lyoness is history. Is that how you really want to do business? Attack a proven, legal, legitimate and constantly growing business model that for many decades has supported millions of reps worldwide?
And I am not saying that Herbalife does not need to improve in many areas, I know I could recommend many changes. But they are NOT coming to any kind of end in spite of what the short sellers (or Lyoness promoters) are betting on.
Folks, my advice if you really want to do well in Network Marketing, stay away from any companies that do not have very solid and proven products or services – in fact, I would stick to products that you know people really want and buy, independent from the ‘business opportunity.’