Two of my constituents Ty Tribble of MLMBlog.net and Ted Nuyten of Home Business Organization reported this week that The Trump Network aka Ideal Health was in trouble and could be going down fast due to top distributors leaving and Tom Mower suing them.

Troy’s Truth: I searched the net and could not find one document, showing where the lawsuit has actually been filed with the IN THE FOURTH JUDICIAL DISTRICT COURT IN AND FOR UTAH COUNTY, STATE OF UTAH which causes me to wonder if Tom Maower or one of his crew leaked the potential filing with Ted Nuyten knowing he is located in the Netherlands.

Ted released a report stating Tom Mower the former founder of Neways and current founder of Sisl has sued The Trump Network in short for a breach of contract. Now, I can say Tom Mower would know about breach of contract among other illegal activites based on his own current past actions.

Neways founders get 2 years in prison

U.S. Justice Department

There were other issues which caused me concern when Tom launched Sisel because of his past actions when he owneed and ran Neways.

Guilty plea for Neways on hormone

And then there was the bribery allegations in Japan

Thirty days before starting his prison sentence he launched a new company called SupraNaturals LLC.
Neways founder starts new company in Springville

During those days my friend Len Clements wrote a piece on this situation and provides additional links to information.

Neways Founder Sent to Prison Tom and Dee Mower Sentenced For Tax Evasion

After launching Sisel Tom was sued by Neways on several fronts and lost, which does tend to cause one to wonder if he is still doing his best to get still defraud folks.

Neways Wins Victory Enjoining SISEL

Neways Wins Trade Secrets Injunction Against Former Owner

So after reading what was written on Ted’s site I reached out to Peggy Brockman a well-respected business lady locally, as well as a solid networker and leader in The Trump Network to get some firsthand info.

Although, this info is NOT directly from the company, you can see on Ted Nuyten’s site where Peggy is one of the most successful leaders in TTN and is in the know.

I will be meeting with Peggy Monday to get more info, but for now here is what she has given me.

“What you can share with your listeners and viewers is that The Trump Network is still open – only a hand full of leaders left…and most all the rumors they are circulating on the internet are just that….rumors.

I read something online that said 2/3rds of the company left – that is ABSOLUTELY not true!!

We have a new partner and Larry Nusbaum heads up that group and will more than likely serve as CEO of the company. Google him – he is the former CEO if Ronco and is featured on many shows like Fox Report and others – he is a no nonsense kind of guy who believes in this company and the people in it.

He has a very successful background in the network marketing industry in his earlier years so he knows it. He is bringing a new line to the company immediately called Cosmedicine which is backed by 10 years of double blind placebo testing overseen by Johns Hopkins Medical Center.

It has been pulled from its retail resources and will be exclusively with our company. And yes, we still have all the other great lines we have always had with our customized vitamins based on testing, etc.

I looked up Mr. Larry Musbaum and found he is a corporate turn-around expert who has had great success in this area. It seems that Ideal Health aka The Trump Network has brought in a great partner and new executive who will help guide this company though some rough waters.”

This company has been a survivor for years, and although some of us on the outside wonder how they have lasted so long, I think it is truly because they have leadership and products the field believe in and the customers know work.
Watch for more info next week after I talk with Peggy Brockman.

Living An Epic Adventure,

Troy Dooly

This week the Network Marketing community has been humming with news, rumors and facts. First came the breaking news that Neways former founder Tom Mower was suing The Trump Network. Then Rastelli Direct breaks the news they have launched a a private ventage of wines. I met with Green Organic founder Paula Scarcella and learn Cowboy Joe Schroeder have come out of retirement and joined her company. Then The Limu Company founder Gary Raser breaks the news that The Limu Nation has broken records in the USA and Japan!

This weeks Network Marketing News!

You can read all about it, in the article I just wrote by clicking here!

The Limu Company is up 400% over January 2011 for Enrollments!

U.S. Daily Sales U.S. Daily Sales Up 350% over January 2011!

Japan Daily Sales Up 250% over January 2011!

Rastelli Direct is breaking their own records month after month, due to their “Never Back Down” attitude to business. With the reputation for excellence of their parent company Rastelli Food Group, they have once again brought to their field force a first in network marketing… Read the full report here!

When I got the news Cowboy Joe Schroeder was coming out of retirement to join Paula Scarcella over at Green Organics, the first word I spoke was WHY? Well instead of pondering it to long, Paula was able to get Joe to contact me and give me the real scoop before all the rumors started. Read thee full report here!

Two of my constituents Ty Tribble of MLMBlog.net and Ted Nuyten of Home Business Organization reported this week that The Trump Network aka Ideal Health was in trouble and could be going down fast due to top distributors leaving and Tom Mower suing them.

I searched the net and could not find one document, showing where the lawsuit has actually been filed with the IN THE FOURTH JUDICIAL DISTRICT COURT IN AND FOR UTAH COUNTY, STATE OF UTAH which causes me to wonder if Tom Maower or one of his crew leaked the potential filing with Ted Nuyten knowing he is located in the Netherlands.

So I reached out to Peggy Brochman, top leader at The Trump Network and here is what she told me… Click Here!

The Limu Company Founder Gary Limu Reveals Massive International Growth Through The Limu Nation!

The real beginning of influence comes as others sense you are being influenced by them – when they feel understood by you – that you have listened deeply and sincerely, and that you are open.” ~ Stephen Covey

What is empathy and what makes it so powerful ?

It’s the ability to step into another person’s shoes and see/feel their reality from their perspective. It is the primary building block of compassion and compassion is what really brings down the wall of resistance.
Effective listening skills are important in every aspect of life to be able to get your message across. Both at work, at home and in social situations, the ability to listen well is as important as to be able to present well. This also equally applies in leadership, management or a team member position.

Listening is important as this increases your understanding of the thoughts and motivation of the other person. Knowing what motivates the other person is key, so that you are able to present your message within that context, which is the most effective strategy in recruiting people into your business.

There are a few tips that will help significantly in improving listening skills.

1. Listen With Empathy

It is common for people to listen with intent to answer. There is nothing wrong with this as this is what discussions and conversations are about.

The ability to respond better in a discussion can be significantly improved by just adding a slight twist to this. Listen with intent to appreciate what the other person is saying from his or her point of view. For those few moments, do not focus on how you want to respond.

When you have understood the other person’s views, then respond with your views. Reply in a way that shows empathy to what you have just heard.

Empathy is defined as the identification with and understanding of another’s situation, feelings and motives.

This does not mean that you are accepting the other person’s views and opinions. It just means that you have given your consideration and will try to understand a possibly different point of view.

First, this is important because you may not have fully understood a situation and can potentially draw an incorrect conclusion. By getting new information, you may change your mind on how you may respond.

Secondly, when the other party knows that you are listening to what is being said, this person will respond in a similar fashion when you speak. People appreciate you when they know that you give your full attention to their opinions and views.

2. Ask The Right Questions

Asking the right questions has much more of an impact in getting people to open up in discussions and also for you to get a much better understanding of any situation.

Too often, people have a tendency to talk based on their understanding of the situation and what they think is best.
It is important to ask clarification questions first. But, you must avoid asking questions that will result in “yes” or “no” answers. Start with broad based questions that will lead to descriptive answers. This will result in you getting information that you may not have thought of.

Asking pointed questions to get “yes” or “no” answers is best used when the other person is not giving a precise answer when one is required.

The other point to be aware of when asking questions is to ask for clarifications when general statements are made. For example, if the person says that there are some issues to be handled, ask for the list of issues.

By asking the right questions, you will get the other person to think through and quite often, you will be pleasantly surprised that the other party will actually arrive at the same conclusion as you.

Find out what people are dissatisfied with in their lives. Find out what they want to improve? What their goals are? Ask about their past? Get to know if they have done similar things before and what their experience was.

3. Be Patient

Listening with empathy and asking the right questions are techniques whose value can be easily appreciated, but actually doing these are not easy. You need to tell yourself to patiently listen. Basically, you need to tell yourself to “keep quiet” when the other person is talking.

It is much easier for most of us to just tell people what we think as soon as it comes to mind. Listening and holding on to what we want to say needs a lot of patience. This needs a conscious decision and effort.

4. Show Right Body Language

How often have you been in office discussions and meetings where someone is checking their email as you are talking with them? Or looking at their watch every few minutes.

Such body language indicates that you are not really interested in what the other person has to say. If you are busy, then set another time for the discussion, when you can pay attention.

During the conversation, you can slightly lean forward and maintain a comfortable eye contact with the person.
Where appropriate, taking notes is a good indicator that you consider the points being made as important. This also helps as sometimes it is difficult to remember all the points made.

5. Summarize

Summarizing a discussion or conversation is a good indicator of whether you have listened well. This is important in the event you have incorrectly understood the points made, then summarizing to confirm understanding is a great technique to avoid disagreements as you express your point of view.

In a work environment, making notes is an important step to be able to summarize. If you have made the notes, then summarizing can be done fast and precisely. If not, you will stumble through based on what you remember of the conversation and will not be effective.

Take notes in point format, so that summarizing is easy. Another tip is that when you have your own thoughts on a particular point, make a note of that as well.

This is important because you will want to speak out your thoughts and ideas. But, remember..you are supposed to listen first. If you do not bring it up immediately, you might forget. Noting this down helps you to remember to bring it up later. By writing it, you also do not need to worry that you will forget the point.

If you have not been using the above techniques of effective listening, it will prove to be a little difficult when you start using them. However, when you use these techniques and realize that you are more effective in achieving your objectives in discussions and meetings, you will know that it is well worth your effort and you will find your success in your business improves tremendously.

Make sure you check out Best In U. Their goal is to become THE leading Digital Company in Network Marketing and check out the preview of their new video platform thats on the site

In this week’s MLM News Report, we look at the FTC Business Opportunity Rule ready to go live in march 2012. And we have seen network marketing companies continuing to roll out their financial success from 2011 and it is amazing. Plus, the MLM energy sector is now getting hot on both sides of the Northern boarder. And if you have not heard, direct selling weight loss companies are breaking records on a monthly basis.

Success Tip Of The Week – Sponsored by – Best In U

This week’s tip is about feeling worthy of success

Many people go through life wanting success and wishing and hoping and desiring it, but down deep inside, at an unconscious level, they feel that they do not really deserve it. Haven’t worked hard enough, not special enough, not important enough, not good enough, etc.
We have been studying and working on the laws of success for the well over 20 years and one thing that rings so true is this:
Your success grows in direct proportion to your self-worth.

In order for you to receive financial abundance, you must be in a place in which you are feeling deserving of that success.
There is magic in understanding that success comes as a results of feeling worthy. As your self-worth increases, you naturally get into the flow of doing what you love and being rewarded for it.

Raising your self-worth can be as easy as thinking about one really great thing about you. Embrace that quality. Build and expand upon that. Liking yourself requires you to really tune into and be who you really are. Take time to discover that. Ask your friends what qualities you have that they really like.

If you are in a negative environment surrounded by negative people….CHANGE your environment and the people you hand around with. You have all heard that your net worth and the money you make is an average of the 10 people you are closest to.

If you are not satisfied with where you are at, change the people you hang around with. Hang with successful people that will support you and your goals and dreams. Go to meetups and put yourself in a position to meet those people.

Look for them online on linkedin, facebook and twitter and follow what they do. People are willing to help. Steve Jobs, when talking about what made him so successful said one of the reasons is that he wasn’t afraid to ask people for help. Most people are not even willing to pick up the phone and ask or reach out.

Begin to take steps toward your feelings of self-worth today! Life is not a dress rehearsal. You deserve to live the life you dream about. Surround yourself with people that encourage and support those dreams. Your Worth it!

Next week we will be discussing goal setting and tips and techniques on how to best achieve your goals as we help to develop the BEST In U

Isagenix will be showcased on TLC Saturday January 22, 2012.

Isagenix grew their revenues to well over $260 million dollars in 2011. This is due 100% because the distributor base took the product to those who really needed and wanted to change their lives. From what I have seen 2012 will be as big if not bigger for this 10 year network marketing company.

Congrats to Team Destiny for believing in the leadership and company in 2002! Your success shows that if a team will find a home and stick with it, then the dream of residual income and possible financial independence can really happen in Network Marketing in the 21 Century!

Plexus Worldwide leaders have hit the ground running in 2012 launching their Opportunity of a Lifetime Tour throughout the South!

21 events in 8 days, and that is just the beginning! Check out their new video!

There is some strong growth hitting the MLM Energy Sector and this international company is just one of many great companies hitting the ground running!

I intercepted the following email and WOW talk about some rocking momentum at Vemma!

“Hello Vemma team!

We all know how successful the Verve brand is and the new markets it’s opening with the college market around the country. In fact, if we only had Verve to market, we could still build an empire around just this brand. Well, Jeff our VP of Finance just informed me yesterday that what took us 19 months of serious brand building, heavy promotions and a ton of work to reach in Verve monthly sales was reached in 4 weeks by our new Bod-e brand! On top of this, enrolling numbers are up 60%! This is exciting and when you think about the fact that we have over 6,000 taking the Bod-e Challenge in the first 2 weeks of January, it gives you a little peek into what the future holds for this brand.

Now, if you’ve ever tried to purchase an Apple product when they first introduce a new iPad or iPhone, you’ll know that inventory levels are tough to predict. When they run out, the buzz builds, demand shoots up and people really want the product even more. Well, the sales of Bod-e are kinda like that. We’ve run out of some products, but quickly worked to restock quantities. We’re increasing our raw material orders on the entire line and gearing up for huge growth. Unfortunately, we’ll be a little spotty on some products until we get a better handle on the demands. I apologize in advance if your team experiences any back orders, but boy is the buzz building!

This…is gonna be big!

BK”

IMPORTANT WATCH THIS VIDEO FROM THE FTC

FTC Rule On Selling Work Home or Other Business Opportunity

FTC Advertising and Marketing Internet Rules

The MLM News Report this week, covers Youngevity getting close to $100 Million in anual sales, PrePayCPA offering Free Tax Services to the first 500 Members, and the Burke Hedges vs. LifeVantage lawsuit.

MLM News Sponsor

David Track, the CEO of PrePayCPA called me Christmas Eve to share this powerful news. Read below, then click on the image to learn the details. For only $299.00 you can know you are covered with your 2011 taxes!

Len Clemmets Covers Burke Hedges vs. Life Vantage

Backbone vs Life Vantage Lawsuit Filed Utah 10-17-11

LifeVantage Form 8-K For Period Ending 12/19/11

I started reporting about a year ago the issues facing Fortune High Tech Marketing (FHTM), and the fact I thought Paul Orberson had taken his eye off the ball, and was allowing others to cause huge issues for the company. You can read the reports here!

Several states and at least two difference groups have filed legal action against Fortune High Tech Marketing aka FHTM and the business model. Here are a few of the news reports we found.

The most current issue comes from Texas where FHTM lost their most recent round of legal battles. (Read Here)

Now I do want to report, the the Fortune leadership now seem to have taken seriously the legal battles they are facing and have completely revamped their internal legal team. In the spring of 2011, they started to hire some very focused lawyers in-house to help clean up the external mess, and to look at their business model for flaws.

I strongly suggest anyone interested go to the FHTM website (Click Here) and listen to Keith Kuder, Chief Counsel for Fortune as he explains why he took the job, and the promises Paul Orberson.

This has been a crazy and fun week inside the MLM community. From Text Cash Network receiving a review from Ted Nuyten, to Lifeshare doing a complete makeover to become Pixingo, to the energetic and passionate Navy wife Lisa Diaz launching Homecoming Trunk Shows. All this and more in this weeks MLM News Report.

MLM News Advertising Sponsor
Pixingo may very well be one of the most creative makeovers and re-branding of a company in the network marketing community in history. I rank this creative move with the likes of New Vision (VEMMA) and OxyFresh (21Ten). What Michael Yanke and his strategic partners have done is in my opinion is the closest thing to a business miracle I have seen in 2011!

I have had the privilege of not just working closely with Michael as an outside brain storming partner, we have become very close friends. Like other close friends of mine who own companies which use the network marketing community as their main marketing channel, I have seen what Michael has gone through, as well as what he field leaders have gone through as they together weathered the first year of a MLM Startup company. My hat has to go off to the loyalty he has shown to his field force and the loyalty his field force has shown to him, as they went through this re-branding to create a stronger business opportunity for home-based entrepreneurs, and a more powerful digital imaging experience for their retail and wholesale customers.

MLM Startup Spot Light Of The Week

As someone who has served in the U.S. Marines and who fully supports our troops and their families today, when I found out about Lisa Diaz launching Homecoming Trunk Shows, I could hardly wait to go see what she had put together.

What I found was that although the company itself is what we call an MLM Stratup company, Lisa has been laying the foundation for the company for over eight years.

“Lisa Diaz, a proud Navy wife, has been hosting Trunk Shows for years as fund raisers for every type of organization you can imagine. She had a knack of finding unique, affordable and incredibly stylish handbags, clothing and accessories that women loved. After eight years, she decided to start a company that gives women the opportunity to work on their own term and to be rewarded and recognized for their
hard work and effort. She wanted to create a community of women working together where they can thrive personally and professionally by helping each other succeed.”

Now boys, this is not a company where you may feel at home as a distributor, but it truly is one you should share with your wives. Liza and the founding Stylist’s are all Navy wifes, and they are very proud of the fact they launched this new MLM Mission to “Our mission is to Inspire and Empower Women with Style.”

I truly love the fact, they are not trying to be politically correct or make “everyone feel at home” They are on a very strategic mission. As a matter of fact when I read the mission statement of Homecoming Truck Shows, it reminded me of another lady, who while sitting at her kitchen table wrote out a similar mission statement. And today her company is one of a handful of billion dollar network marketing companies… Mary Kay. If I have learned nothing else in my life, when women put their mind to something, you can bet they will succeed.

Miss Liza, welcome to our great community, we support you and your mission wholeheartedly.

Red Flag Alert

Updated December 27th 2011: Purported World Headquater DOES NOT Contain The Name of Text Cash Network: http://www.patrickpretty.com/2011/12/14/police-confirm-that-name-of-text-cash-network-does-not-appear-on-building-in-boca-raton-fla/

Editorial Update: Brett Hudson, President of TCn reached out to inform me, Ted Nuyten has updated the above mentioned review to show a correction in the TCN compensation plan. Although my opinion is that this business model does fall under the legal definition pyramid, out of fairness we must link to Ted’s update. Click Here!

My good friend Ted Nuyten published an article on Text Cash Network yesterday that caught my eye. After reading the article I went and did a little research on the company based on the fact their master distributor Joe Reed has such a controversial history at joining companies which seem to come on strong, but are gone just about as fast. One of his last rides to the top was the DNA (Data Network Affiliate) which in their early stage was nothing more than a shell game, and fell under the term pyramid scheme.

In doing a review of Text Cash Network, they are working under the same idea, that with free signups it is ok to pay people from outside sources which the distributor has no contact with. And on the surface this does look like a great deal for the company and referral agents (the name for distributors). However, the laws are very clear this is not legal. As a matter of fact I wrote an article on being a distributor for a direct selling company this week at The Network Marketing Advocates which explains this in detail. (What Does It Mean To Be A Distributor For A Direct Selling Company)

For those who do not want to read the full article here is the two factors based on the U.S. Tax Code specific to direct sellers (YOU!):

26 U.S. Code 3508
The term ”direct seller” means any person if -
(A) such person -
(i) is engaged in the trade or business of selling (or soliciting the sale of) consumer
products to any buyer on a buy-sell basis, a deposit-commission basis, or any similar
basis which the Secretary prescribes by regulations, for resale (by the buyer or any other
person) in the home or otherwise than in a permanent retail establishment,
(ii) is engaged in the trade or business of selling (or soliciting the sale of) consumer
products in the home or otherwise than in a permanent retail establishment, or
(iii) is engaged in the trade or business of the delivering or distribution of newspapers or
shopping news (including any services directly related to such trade or business),
(B) substantially all the remuneration (whether or not paid in cash) for the performance of
the services described in subparagraph (A) is directly related to sales or other output
(including the performance of services) rather than to the number of hours worked, and
(C) the services performed by the person are performed pursuant to a written contract
between such person and the person for whom the services are performed and such
contract provides that the person will not be treated as an employee with respect to such
services for Federal tax purposes.

So based on the current business model of Cash Text Network, there is no “soliciting the sale” by the distributor, only the solicitation of “recruiting other distributors” which raising huge red flags of a pyramid.

Some other red flags I found are as follows:

1. The website is under a private registry. From the SEC, FTC to state AGs all state this is a red flag.

2. The two companies I found listed on their website T.C.N. Inc and The Cash Network Inc., are not listed anywhere on the official Florida Secretary of State website (SunBiz.org) to transact business in the state of Florida.

3. Their “Referral Agent Agreement” points they are domiciled out of Wyoming, yet the Terms of Service point to a domicile out of Nevada, and yet again the “Terms of Use” point to Florida as a possible state of domicile. This issue is a red flag, because if anyone from a merchant, distributor or an end user has an issue, there could be such a confusion of which state has jurisdiction, that the average person may not be able to afford legal counsel to pursue any form of civil relief.

4. Another red flag, although a very small one is the fact, the picture Ted shows in his review as their new international headquarters is not located in a database of over 2 billion images listed on the Internet.

I have reached out to Brett Hudson, the president of Tech Cash Network, and he has agreed to review the questions and red flags I have. From researching Brett’s background, he seems to be an extremely experienced and successful business man.

If you decide to join Text Cash Network or any other texting company purporting to use a MLM compensation structure, I strongly suggest you do your research, before jumping head first into the business.

Also, as a side note. Google owns the worlds largest mobile texting network, and works closely with the four wireless carriers to provide this service to the end users. Just like last year with several small MLM wireless companies launched and went out of business. The top four carriers controls the space and can decide who they do business with. I am not sure this niche will ever be a viable long term business for network marketing.

U.S. Tax Code Governing Network Makreting, Direct Sales, MLM

UPDATED November 10th 2011 with new facts on Green Organics. New Updates As Of November 11, 2011!

I received a message from Paula Scarcella, the founder of Green Organics, of an enhancement for the distributors. The Meal Replacement Program is now a part of the Foundation of the business in an even bigger way. For every product purchased purchased, 5 meals will be donated directly by Green Organics. This is a great move for the company and a HUGE benefit for the Charity! In my mind this takes away the red flag of using the Meal Replacement Program.

Green Organics LLC aka Green Organics International launched under a private register and are using GoExtremeKidsCharity.com as one of their main sales funnels. The “go” in their name stands for Green Organics.

There are several red flags, this company is using to promote their compensation structure.

1. They are using PayPal as one of the methods to accept money for joining the company and autoship. This violates PayPals, policies. Green Organics removed Paypal from back as of November 1oth 2011

2. Green Organics using Kids Charity donations (as autoship) a means to qualify for compensation payout. Since there is not product being sold to the end user at a fair market value, and in some cases potentially being shipped into countries where Green Organics is not legal to do business, and/or the Charity may not be legal to do business, this seems to violate current laws in all 50 states and at a federal level under current SEC and FTC rules, and possibility laws of the foreign countries.

The foundation of the mathematical concern revolves around how much of the money paid to Green Organics, is applied to operational and compensation costs for Green Organics and what is actually going to the charity.

In the audio recording above, we discuss this specific situation, and there is a boatload of clarity given on how this program works inside the Green Organics business model. I truly appreciate the time give by Green Organics in covering this issue for our community.

Green Organics did model their plan after XanGo’s Meal Replacement Program, and did not pull this out of a hat.

Although, there has been no regulatory concerns brought to the attention of any company, I still feel this is a red flag, and can cause some potential issues, especially if money is being accepted from any country where Green Organics or the Charity is not licensed to transact business.

3. The company name leads the general public, prospects, customers and distributors to think it is a Green Organic company. However, in reviewing the product labels, it does not seem this is the facts.

Paula Scarcella shares in great detail her passion for Organics and why she named her company Green Organics. Her knowledge on the topic of Organics is solid, and if you listen to nothing else but the audio file on Organics it will be worth it.

Updated Label as of November 10th 2011. Click Image To View

Updated Label as of November 10th 2011. Click Image To View

Updated Label as of November 10th 2011. Click Image To View

Plus, one of the most common red flags of a scam as listed by the FTC is the private registry of any website offering a business opportunity and the lack of ownership and management information.

The Green Organics International corporate website was taken out of private registry as of November 10, 2011, and an “About Us” is being added

Troy Dooly
The Network Marketing Advocate

Rod Cook, the MLM Watchdog sounded the alarm this week on the FDA once again coming after nutritional companies. As a community we need to take this seriously and follow Rod’s advice… Even Senator Orrin Hatch has weighed in on this issue.

Click Here to Learn how you can take action today!

The DSA Association Government Relations Activities Focus on Federal Independent Contractor Issues

There was a flurry of federal regulatory activity related to independent contractors this week, starting with a ceremony Secretary of Labor Hilda Solis hosted at the Department of Labor to commemorate signing a memorandum of understanding (MOU) with the Internal Revenue Service (IRS). The MOU is a part of efforts currently underway to stop employers from misclassifying staff simply to avoid providing employment protections. Additionally, IRS Commissioner Doug Shulman stressed that the Service will not be launching new investigations regarding worker classification violations.

The President’s Plan for Economic Growth and Deficit Reduction was also released this week. The plan proposes authorizing the IRS to provide standards for proper worker classification—independent contractor vs. employee—and require employers to change the status of those who are currently improperly classified to the appropriate category. This proposal is similar to the Administration’s recommendation from its budget released earlier this year.

“The independent contractor status of direct salespeople is the cornerstone of our industry,” stated Dean Heyl, DSA Attorney & Director of Government Relations. “Although direct sellers are classified as statutory non-employees under Internal Revenue Code Section 3508 for employment tax purposes, DSA remains alert to the obvious focus the Administration is placing on independent contractor issues.”

Vemma Nutrition Company Honored in 2011 ACE Awards – Vemma Ranked 33rd Among Private Companies in Arizona!

09.21.2011– Scottsdale, AZ — Vemma Nutrition Company was ranked 33rd in the top 50 revenue generators in Arizona at the Arizona Corporate Excellence Awards. The invitation-only awards ceremony was hosted last night at the Scottsdale Center for the Performing Arts and attended by executives from the leading private companies in the state.

Now in its 17th year, the 2011 ACE Awards recognizes corporate excellence and provides a platform to developing an increasing sense of knowledge-sharing and community among private companies in Arizona.

Salien Liles – Limu 50K

For three years, Salien Liles was content to just drink LIMU Original™ — never realizing what she was missing by not pursuing the business. Now she knows!

You can’t blame her too much, really. Many people in her position would’ve done the same thing. After all, she did have a pretty sweet gig in the medical field — a full-time job that paid her well. And yet, she kept hearing her family’s voices in her ear. “They said I needed to get serious about this opportunity,” Salien says. “And if I would treat this like a million dollar business — I wouldn’t regret it. I can’t begin to tell you how right they were.”

About two years ago, their words finally began to sink in. “I had a huge amount of credit card debt,$15,000 and it was only getting bigger,” Salien says. “And I wanted to get free from that burden. But, to be honest, what really motivated me was going on the President’s Dream Trip!”

So the 26 year old kicked her business into high gear … and within three month’s time, the results were phenomenal. Salien did in fact go on the coveted, all-expenses paid Dream Trip — truly a life-changing experience. “We never heard the word ‘no’ on that trip,” Salien says. “I never want to miss a Dream Trip from here on out.”

In addition, the young woman no longer faces a debt-filled future. Her credit cards are completely paid off. And best of all, by the end of the year, her part-time Limu earnings had exceeded her full-time income in the medical field! Debt free Salien fired her boss and now, as the youngest 50K member in the Limu family She’s free to travel when and where she wants — without worrying about cost. Just this past summer she spent 8 days in Cabo San Lucas, a week in Pigeon Forge, Tn and 10 days on an Alaskan cruise.

“As a patient advocate in my job, I would listen to people’s problems all day, but I often feel helpless. With Limu I share the opportunity of a lifetime to help people enrich their lives. That’s a very powerful place to be,” she says. “I’ve always wanted to help millions of children around the world, and now I know this business can help me make that happen.”
Salien Liles

Willie & Una Faye Earnest

“Willie started taking Original Limu™ before I did, to improve his health. Within 3 months he saw better results than the doctors were able to produce in years! When I tried the product I also got tremendous results and we realized this was something we needed to start sharing with everyone.

“We were able to build a bigger part-time TLC income than we were earning from our full-time business! We’ve paid off debts, bought a new car, and we’re helping our local church build another church out of state.

We no longer have to watch our pennies and we’re building our savings for the future. “We thank God for Original Limu™ because it has not only helped us physically, but it also allows us help other people improve their quality of life too. TLC has been a financial blessing. We recently sold our business and now can travel and share Original Limu™ and the TLC Opportunity around the country full-time!”

For Jeff Hooks, Absence Made the Heart Grow Fonder

From the very start, Jeff Hooks knew that Vemma would be big … and as a friend of BK Boreyko and Tom Alkazin, he had a great vantage point. Jeff was a Vemma pioneer and part of the foundation of the company even prior to the launch in 2004. Jeff was excited and committed to the product and opportunity.

But after several lucrative years earning over $2,000,000, and even after being promoted to Royal Ambassador, he left Vemma for other ventures. But in just a few a months, “I started to realize that was a big mistake,” Jeff now recalls. “I wasn’t having a lot of fun with my new venture. The grass wasn’t greener and it still needed to be mowed.” So Jeff reconnected with BK and restarted his Vemma business from the beginning. Today, having rapidly advanced to Star Executive, Jeff calls his absence a “self-inflicted lobotomized sabbatical” that he is thankful was reversed! (Read the whole story)

Other Companies In The News…

3000BC HOME announced it has secured $500,000 in Series A capital, which will be sufficient to carry the company to profitability. The company is seeking an additional $1 million to fund the growth to follow.

4Life posted a record 22 percent increase in sales and a record-breaking number of new distributors for the month of August.

Discovery Toys has partnered with Booster Juice, a juice bar chain in Canada, to provide educational toys to sick children in Children’s Hospitals across the country. The companies hope to raise $30,000 this year, impacting more than 15,000 sick children who stay at these hospitals every year.

Herbalife has made a joint commitment with the Global Alliance for Improved Nutrition’s Future Fortified campaign to help millions of women and children around the world access the essential nutrients they need to lead healthy, enriched lives. Herbalife will be providing an initial donation of 20 million MixMe packets to the campaign to advance its goals.

Immunotec announced the closing of financing with TD Bank Group for $3.45 million. The new financing, including an operating loan for up to $1.25 million and a committed term facility of $2.2 million, will replace in its entirety the existing credit facility and demand loan that was in place with another financial institution.

LifeVantage announced entertainer Donny Osmond has become a spokesperson for the company’s flagship product, Protandim.

Longaberger will conduct a Horizon of Hope and You event in honor of Breast Cancer Awareness Month on Oct. 1, 2011, at the Longaberger Homestead. A make-a-basket fundraiser will be featured, and a portion of the proceeds will go to breast cancer research and awareness. The event will also feature a number of activities including a 5K fun run, a children’s fun run and a one-mile walk.

In other company news, Longaberger CEO Tami Longaberger visited Huntington, W.Va., as part of her Dreams Live Here Tour. The evening included meeting Tami for photos and autographs, a live basket-making demonstration by a Longaberger craftsman, door prize drawings, a presentation on decorating tips for fall and the holidays and more.

Primerica is consolidating its headquarters, currently spread across 10 office buildings, to a new complex in Gwinnett County, Ga. The nearly 350,000-square-foot location will be ready in April 2013 and will help Primerica streamline operations while providing room to expand.

Regal Ware will celebrate 100 years of making cookware in Washington County, Wis., on Sept. 24 during its Celebration of a Century event. The company has been crafting high-quality stainless steel and cast aluminum cookware in the U.S. since the founding of its West Bend Cookware Division in 1911.

Scentsy is raising money for the Ronald McDonald House Charities through sales of its Scentsy Buddy, Sasha, a $30 brown bear that comes with a choice of Scent Pak. The bear will be available through February 2012 and 100 percent of the proceeds will be given to the charity.

Team Beachbody recently received two Moxie Awards from the Electronic Retailing Association (ERA). The company was named Marketer of the Year, and won in the Best Long Form, Sports & Fitness category for its Turbo Fire video. The ERA Moxie Awards celebrate the top campaigns in direct response marketing.

Team National’s Accelerate Your Dreams bus tour has raised more than $20,000 for the company’s charities of choice. The bus crossed 9,000 miles in 30 cities.

XANGO launched its 10th year of business last week by revealing an updated brand identity and a new product line, including skincare and nutritional supplement products. “Today’s launches signify a period of renewal and leadership for XANGO,” said CEO Aaron Garrity. “Our commitment to innovation and category creation began when we brought mangosteen to consumers worldwide with XANGO® Juice. Nine years later, we continue to set ourselves apart with our focus on creating products that help achieve complete wellness by pairing the mangosteen with the world’s most celebrated botanicals. These new offerings complement our existing roster of premium, functional products to give consumers what they desire: quality, natural products that are effective, safe and sustainable for our bodies, the environment and the business growth of our distributors.”

Verve Family Gets a New Look!

A new look brings the Verve brand into the modern VEMMA family! We’re celebrating Verve’s fourth birthday and the sale of more than 24 million cans of our one-of-a-kind energy drink with a fresh packaging makeover for both low natural sugar and no sugar varieties. Read On…

Here is an added bonus for reading this blog article.

MLM Attorney Kevin Thompson Building An Email List… Why?

Join Kevin Thompson’s email list here

Announces New Board Of Advisors… And it includes another MLM CEO!

As we approach our one-year anniversary since the official launch of 21TEN, and with only 99 years to go before we hit our namesake year (2110), I have the honor of introducing our newest slate of Advisory Board members. Read On…

Ken Shamrock
UFC Hall of Famer, Pro Wrestler

I watched all these kids rolling around, all the energy they had, and man, I was thinking to myself, “I wish I had that type of energy.”

I was introduced to Life Shotz, and I thought, “I’ll give this a shot.” After about a week, it’s one of those subtle things, when you don’t realize the things you’re getting done in one day. You just start going through it, and all of sudden you have all this energy. Read On…

Gretchen Price Named Executive Vice President, Chief Financial And Administrative Officer Of Arbonne International

IRVINE, CALIF., June 23, 2011 – Arbonne International, LLC (Arbonne) today announced the appointment of Gretchen Price as Executive Vice President, Chief Financial and Administrative Officer, effective July 20, 2011. Ms. Price joins Arbonne from philosophy, Inc., where she served as Executive Vice President, Administration and Chief Financial Officer since 2008. Previously, she served a 31-year tenure at Procter & Gamble where she held various positions including Vice President and Treasurer, and Vice President and General Manager, Global Operations. Read On…

Rita Cosby Joins MonaVie Business Advisory Board

Rita Cosby is a renowned Emmy® winning TV host, veteran correspondent, and dynamic motivational speaker who anchored highly rated prime-time shows on FOX News Channel and NBC. She is currently a special correspondent for the top-rated CBS syndicated newsmagazine Inside Edition, and frequently guest hosts some of the largest TV and radio shows in the country. She has been interviewed or profiled by hundreds of media outlets across America and overseas. Read On…

Current Stock Report Provided By Direct Selling News!

Herbalife Ltd. Has a Blowout Second Quarter

Herbalife Ltd. (HLF—NYSE) reported that second quarter net sales increased 27.7 percent with revenue up $879.6 million worldwide, and local currency net sales increased 19.9 percent compared to the same time period in 2010. Net income for the quarter of $111.2 million, or 88 cents per diluted share compares to 2010 second quarter net income and EPS of $82.2 million and 65 cents, respectively. The company also raises its fiscal year 2011 EPS guidance to a range of $2.97 to $3.07. Read On…

Nu Skin Enterprises

Nu Skin Enterprises Inc. (NUS—NYSE) announced record second quarter 2011 results, with revenue of $424.4 million, a 9 percent improvement over the prior-year period. Quarterly revenue was positively impacted 8 percent by foreign currency fluctuations. Earnings per share for the quarter were 65 cents, a 30 percent improvement over the prior year. Read On…

Tupperware Brands Corp.

Tupperware Brands Corp. (TUP—NYSE) reported record second quarter 2011 sales and profit for quarter ended July 2, with a sales increase in local currency of 9 percent before a positive impact from foreign exchange rates of 10 percent. This resulted in record reported sales of $66.9 million, which were 19 percent above the second quarter of 2010. Read On…

USANA Health Sciences

USANA Health Sciences Inc. (USANA—NYSE) reported financial results for its fiscal second quarter ended July 2, which were stronger than the preliminary results announced on June 29. Read On…

Avon Products Inc.

Avon Products Inc. (AVP—NYSE) reported second quarter 2011 total revenue of $2.9 billion, 9 percent higher than that of second quarter 2010. Constant-dollar sales rose 2 percent in the second quarter as foreign exchange contributed 7 percent to growth. Total units declined 3 percent while price/mix rose 5 percent during the quarter. The acquisition of Silpada Designs Inc. contributed 150 basis points to revenue. Read On…

Relìv International Inc.

Relìv International Inc. (RELV—NASDAQ), a maker of nutritional supplements that promote optimal health, reported its financial results for the second quarter of 2011.

Primerica Inc.

Primerica Inc. (PRI—NYSE) announced financial results for the second quarter ended June 30. Operating revenues increased by 17 percent to $273.1 million in the second quarter of 2011, compared with $233.9 million in the second quarter of 2010. Net operating income was up 21 percent to $45.0 million, or 59 cents per diluted share, in the second quarter of 2011, compared with $37.2 million, or 49 cents per diluted share, in the second quarter of 2010. Results were driven by continued growth in New Term premium and strong Investment and Savings Products performance as well as a lower income tax rate partially offset by higher expenses. Read On…

Medifast Inc.

Medifast Inc. (MED—NYSE), a provider of clinically proven portion-controlled weight-loss programs, reported financial results for the second quarter ended June 30.

For the second quarter, Medifast reported net revenue increased 17 percent to $78.3 million from net revenue of $66.7 million in the second quarter of the prior year. Read On…

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What follow are my personal observations on the subject of commissions on sales aids. This article should not be construed as the rendering of legal advice. Companies and distributors needing specific counsel in this area should retain an attorney skilled in direct selling law.

The conventional wisdom followed by the vast majority of companies is to pay no commissions on sales aids. What follows is the reason “why”: Although no specific state or federal law prohibits paying commissions on sales aids, if the company gives independent contractor representatives an incentive to recruit more representatives, and that incentive is greater than the incentive to sell products and services to consumers, that is exactly what those representatives will do.

The few companies paying some form of commissions on sales aids, and who in my view are not at risk, have that portion of their business a VERY SMALL portion of their total business. I believe 15 percent or less is very small and defensible, as long as there are

no other regulatory issues. Also, the commissionable sales aids are always optional, and never a requirement of participation in the income opportunity. Read On…

DSA September 1st, 2011:

Inc. Magazine announced its list of the top 500 and 5,000 fastest-growing companies. Direct selling member companies included on the top 500 list were Scentsy (no. 85) and Ambit Energy (no. 390). Direct selling member companies included on the top 5,000 list were LifeWave (no. 721), YOR Health (no. 1611), Team Beachbody (no. 2314), 5Linx (no. 2419) and Isagenix (no. 4150).

Tastefully Simple Makes SBA Top 100 for 2011

Company Name:
Tastefully Simple
Location:
Alexandria, MN

In 1995, Jill Blashack Strahan founded Tastefully Simple on what she calls “a dream and a shoestring.” She bootstrapped the business with $6,000 in personal savings, a $10,000 investment from partner Joani Nielson and a $20,000 Small Business Administration loan.

The company started in a shed with no running water or air conditioning, using a pool table as the packing station. Jill was the company’s first employee and sales consultant, and during the first three years, she didn’t take a salary.

Today, Tastefully Simple is a direct sales company featuring over 60 easy-to-prepare food and gifts.

Tastefully Simple has become a $100 million company in the Inc. 500 Hall of Fame with over 22,000 consultants nationwide and over 340 team members at its headquarters.

Fred Squillante | DISPATCH

About the company
THIRTY-ONE
Headquarters: 231 Commerce Blvd., Johnstown, Ohio
Employees: 1,500 employees and an independent sales force of nearly 40,000
Sales: Not available; company is private (Read On)

The Direct Selling Association Provide Member Companies With Health Care Program For Independent Distributors.

While many distributors are drawn to direct selling because of the flexibility and versatility the industry offers, a key factor in enabling distributors to take on full-time endeavors is access to health insurance. As many households continue to endure layoffs and long-term unemployment, thousands of part-time distributors are seeking coverage for their families.

By partnering with DSA, your company can not only provide families with this crucial service, but you can also increase the loyalty of your distributors as they gain access to an invaluable resource while maintaining their independent contractor status. Read More…