IS ADVOCARE a MLM SCAM?
Advocare Ordered to Pay $150 Million Dollar Fine to the Federal Trade Commission.
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Advocare FTC Fine
In my Advocare Reviews 2019, join me on a journey to discover the answer to this resounding question… is Advocare a MLM Scam or is it Legit? Is there really an Advocare FTC Fine?
Well, they just agreed to pay $150 million dollars to the Federal Trade Commission. They also agreed to restructure their company from a multi-level to a single level. Is this good news for the company long term?
Advocare does plan to stay in business. I will explain this further in this article.
Let’s also explore the answers to other important questions:
- Did Advocare really have to pay a $150 million fine to the Federal Trade Commission and why?
- Will Advocare continue operations?
- Are Advocare Products a good quality?
- Are Advocare Products worth purchasing?
- Are Advocare Products cost-effective?
- Can you make money selling and promoting Advocare?
Let’s uncover the truth! Are you ready to get started?
Breaking News! October 1, 2019
Advocare Agrees to Pay $150 Million Dollar Fine and Restructure
Advocare is a Multi-Level Marketing Company. They agreed to pay a $150 million dollar fine to the Federal and restructure the Company from a pyramid scheme to a one-level Company. The former CEO also agreed to a ban from the industry.
In the settlement that was just announced October 1, 2019, the US Federal Trade Commission allegedly said that Advocare operated an illegal pyramid scheme and made many misleading income representations.
Advocare admitted no wrongdoing. Advocare takes a much different stance on the settlements.
Advocare does not agree with the allegations of the Federal Trade Commission. They also do not agree that they have been operating as a pyramid-scheme. Advocare states that they are simply complying with the Federal Trade Commission.
In the future, Advocare can use independent distributors to sell their products. But, they can only compensate those distributors based solely on their sales and not on the people’s sales under them (down line).
Advocare is now strictly a one-level company
CEO Brian Connolly also had to agree not to be affiliated with any future MLM Companies.
According to Direct Selling News, Advocare had over $473 million in revenue in 2017.
Of course, making a lot of money is not a crime. Advocare has been doing very well financially.
They will continue operations under a one-level business model.
Overview of Advocare’s Penalties
- $150 million dollar fine paid to the Federal Trade Commission
- The company must restructure to be only ONE level. Advocare can not continue operating as an MLM.
- The CEO, Brian Connoly can have no future affiliations with MLM Companies.
- Accused of illegally operating a Pyramid Scheme and making illegal misrepresentations of income potential.
- Ban from the industry.
- Advocare must mail a letter to all employees and Distributors outlining the terms of the settlement.
- Distributors may be entitled to reimbursement if they lost money.
- Distributors are entitled to return unused product for a full refund.
Most Advocare Distributors Make $2k per Year or Less
Advocare stated in a company document back in 2017 that 98% of their Distributors, totaling 387,372 Distributors made less than 2k per year.
Now, that we know what is going on in Advocare headlines, let’s get back to answering the rest of the questions about Advocare…
|Founders||Charles E. Ragus|
|Reviews||Advocare Reviews on Glass Door|
History of Advocare
Charles E. Ragus founded Advocare in 1993. He chose the name Advocare for a reason. The meaning represents being an Advocate who cares. He is committed to this mission he says. Advocare is a Health and Wellness Company that carries quite a variety of Health and Wellness Products for people at all levels of fitness.
Advocare was founded upon some true principles of faith and family.
Below are the Guiding Principles of Advocare.
- To honor God through our faith, family, and friends.
- To respect and strengthen the family.
- To believe in the dignity and the importance of the individual.
- To create a standard of excellence recognized as superior by the direct sales industry.
- To believe that honor, integrity and principles are the foundation of a great life and company.
- To commit to mutual loyalty and trust between AdvoCare and its Distributors.
- To establish and continually improve the vehicle of opportunity and the pursuit of financial freedom for all AdvoCare Distributors.
- To commit to ongoing personal growth and development through professional training and educational programs.
- To build self-esteem by promoting a sense of personal worth among all people.
- To continually expand our market by providing the most effective and highest quality products and service
Overview of Advocare Products
Advocare offers an array of Health and Wellness Products. Below are some of the categories of Products that they offer:
- Sports Performance
- Weight Management
Now, I have to say that I have tried Advocare Products myself and I loved them. The products are very high quality and in no way are they being contested by the FTC or anyone. I do like Advocare Products and I definitely would use them again.
|Spark||Vitamin and Amino Acid Supplement|
|Advocare Rehydrate Stick Packs||Electrolyte Drink Mix|
|Advocare Rehydrate Cannister||Electrolyte Replacement Drink Mix|
|Spark Pineapple Coconut||Vitamin and Amino Acid Supplement|
|Advocare Rehydrate Stick Packs Pineapple Coconut||Vitamin and Amino Acid Supplement|
|AdvoBar Protein Chocolate Chip Cookie||Protein Bar|
|Advocare Slam Variety Pack||Ready to drink liquid vitamins and Amino Acid Supplements|
|Spark Stick Packs||Vitamin and Amino Acid Supplement|
|Spark Cannister||Vitamin and Amino Acid Supplement|
|AdvoBar Blueberry Lemon||Fruit and Nut Bar|
|AdvoBar Cranberry Orange||Fruit and Nut Bar|
|V16||Vitamin and Herbal Energy Supplement|
|AdvoBar Meal||Nutrition Bar|
|AdvoBar AM Apple Cinnamon||Nutrition Bar|
|BioFuel||Multinutrient Dietary Supplement|
|BodyLean 25||Performance Protein Shake Mix|
|BioCharge||Amino Acid, Vitamin, & Herbal Supplement|
|02 Gold||Herbal Dietary Supplement|
|Advocare Arginine Extreme||Multinutrient Supplement|
|Post Work-Out Recovery||Sports Performance Drink Mix|
|Night time Recovery||Amino Acid and Herbal Supplement|
|Muscle Strength||Dietary Supplement with HMB and SUMA|
|Vo2 Prime||Performance Nutrition Bar|
|Pro 20||Protein and Amino Acid Supplement|
|Mass Impact||Multinutrient Amino Acid Supplement|
|Rehydrate Gel||Electrolyte Replacement Energy Gel|
|AdvoCare Flex||Amino Acid and Collagen Supplement|
|PRE||Pre-Workout Multinutrient Dietary Supplement|
|INTRA||Intra-Workout Electrolyte and Amino Acid Supplement|
|POST||Post-workout Protein and Herbal Supplement|
|Ready to Drink Protein||Protein, Vitamin and Mineral Shake|
Other Categories that Advocare offers are Weight Management and Wellness. But you get the gist so I will not list them all. Advocare offers some pretty great products and a wide array of products.
Can You Make Money Selling Advocare?
The people that support MLM’s probably are not too thrilled with the new structure one level Business Model. Personally, I am more inclined to use Advocare Products now that they are restructuring. I would even consider promoting them.
I am not sure yet what the commission structure will be.
I do not recommend MLMs but Advocare will no longer be structured as a MLM. I do recommend Advocare and I do recommend their products. If you have a passion for Health and Fitness Products, you should give Advocare a try.
This is my personal and educated opinion. I believe that a person can make money with Advocare. We will have to see what the commission structure is after the restructuring takes place.
Is Advocare a MLM Scam or Is It Legit?
Advocare is not a scam. They are a legit company based on moral principles. Their products are high-quality and they do work. I know this from personal experience.
A person could potentially make money from Advocare but I would wait until they restructure into a one-level business model.
Advocare is a solid company with a moral foundation. The company does well because people that try their products love them and they keep buying them.
Although they did get fined by the FTC, I believe that Advocare will remain strong. Now that they are not operating as a MLM, I would not hesitate to use their products and even promote them.
I would definitely choose Advocare over many of the other Health and Wellness companies out there.
It would really be great if Advocare had an Affiliate Marketing Program where you could promote their products online and earn a commission. I am not aware of one at this time.
If they had one, I would participate in it. 🙂
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Leave a comment in the com Did you find this article useful? What do you think of the Advocare FTC fine? Have you tried Advocare Products?
Until next time!
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