AdvoCare Busted by FTC for Running Pyramid Scheme – Settles for $150M

FTC tells AdvoCare you’re a pyramid scheme. AdvoCare says we are an MLM, but we don’t want to fight you so we will just pay you $150M to go away.

Scott digs deeper into the AdvoCare $150M settlement after the FTC determined that the popular with celebs, MLM company was actually running an illegal pyramid scheme. They promised people who signed up financial freedom and that the sky was the limit. It turns out the majority of people made nothing or even had to pay.

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– There are 20 or 30 celebrities, athletes, entertainers who all are paid endorsers or endorsees AdvoCare.

– What is the difference between multi-level marketing (MLM) and a pyramid scheme?

– According to the FTC, the difference is the emphasis on products vs emphasis on recruiting or getting and building the pipeline, the pyramid.

In AdvoCare’s case, out of 387,000 distributors:

– 67% earned $ZERO$$
– 2 out of 3 actually paid money to join and made no money
– 20 % made between a penny and $200 or up to 85 percent

– When you start digging into MLMs 80% – 90% of people don’t make their money back.

– Learn the difference between a pyramid scheme and MLM and what to look out for.



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About Scott Alan Turner

Scott Alan Turner is the new and true voice on money in America. Scott is a former money moron, living the paycheck-to-paycheck lifestyle, losing $40k by following bad investment advice, and racking up a load of credit card debt. But by age 35, he turned it all around and became a self-made millionaire.

In a world of get-rich-quick schemes, biased advice, and financial pied pipers, Scott’s authentic, no-holds-barred approach makes it possible for anyone to absolutely rock their personal finances.

With his rebel style, off-beat humor, and signature life-on-your-own-terms approach, Scott’s inspiring a movement of Financial Rock Stars across the globe.

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