LuLaRoe MLM Review: Earn (Waste) Money Selling Clothes?

LuLaRoe MLM Review

Clothing is one of the basic needs of humans. People feel so special when they wear new clothes. This presents a great opportunity. One can make money by selling clothes to people who want to look good. So, have you heard of LuLaRoe MLM? Well, maybe not. It is an MLM company that sells a wide range of clothes through direct selling. This LuLaRoe MLM review will provide all the information that you need to know and decide on joining it or not.

Is LuLaRoe a fashion empire or a scam? Continue reading to find the answer.

LuLaRoe MLM Review: What is LuLaRoe?

LuLaRoe is a multilevel marketing clothing company founded by Mark Stidham and DeAnne in 2013. It started with Maxi Skirts which was their flagship product and later expanded the line to include dresses, menswear, children’s clothes, tops, leggings, bottoms, and overlays.

In 2016, LuLaRoe became one of the biggest companies in the MLM business with its revenue close to one billion dollars in sales.

Its distributors are known as Fashion Consultants and they can be spotted across the United States and other countries.

How does the LuLaRoe MLM work?

LuLaRoe works like every other MLM company. The LuLaRoe MLM offers a great opportunity if you have a good circle of influence.

MLM is generally not easy. You have to learn how to recruit before you can succeed in the business.

To start the LuLaRoe MLM, you must buy 65 pieces of clothes totaling $499. All the clothes come in six styles. The problem here is that you are not at liberty to choose the style, print, or sizes of the clothes. This means there is a chance you may have a large inventory of tops or leggings that may not sell.

How can I join the LuLaRoe MLM Program?

To join the platform, you will have to visit the website at https://home.mylularoe.com/www/join to get started. You must have a Sponsor to sign up successfully. To sign up for the LuLaRoe MLM program, you will have to pay $499.

Are LuLaRoe products of high quality?

I have personally spent some money on the leggings. The leggings are amazingly soft and comfortable but the quality is below par.

Are the LuLaRoe products worth their price? 

The clothes are relatively cheap when compared to others. This could be an excellent selling point for new Fashion Consultants. The leggings are below $25. Generally, the prices are not outrageous.

Can I make money with LuLaRoe MLM? 

Yes, you can make money by selling the clothes and creating your online boutique. You can sell them on different social media platforms like Facebook, Twitter, and Instagram.

Another way is to have a party and show the clothes to your guests. You can earn up to 50% profit after-sales.

LuLaRoe Compensation Plan 

LuLaRoe operates a uni-level pay plan. Earning could be in two ways. They are:

  • Through direct sales
  • And through referrals and team members effort

There are five ranks and qualifications. They are:

  1. Consultant – You are a Consultant as a new member. To remain a Consultant, you will have to purchase at least 33 pieces of clothes monthly.
  2. Sponsor – To become a Sponsor, you must buy at least 175 pieces of clothes monthly with one person as your referral. You will earn a 5% commission on direct referral purchases.
  3. Trainer – You will buy at least 250 pieces of clothes monthly with three personally referred persons and at least 10 persons on your downline.

The team volume is 1,750 pieces of clothes. 5% commission from direct referral purchases, 3% from 2nd generation downlines.

  1. Coach – At least 250 pieces of clothes need to be purchased to enter the Coach Rank. It also includes 3 Trainer team members and 3 in your downlines.

1,750 is the team volume. 5% commission from direct referral purchases, 3% from 2nd generation downlines.

  1. Mentor – 250 monthly pieces of clothes have to be bought directly from LuLaRoe. You must have 3 Trainer team members and 3 Coach Team members in 6 different downlines.

The team volume is 1,750 pieces of clothes. 5% commission from direct referral purchases, 3% from 2nd generation downlines.

Is LuLaRoe MLM a scam or a pyramid scheme? 

Despite so much enlightenment, people are still falling for MLM scams. But I don’t blame them because everyone wants to make money. Always do a thorough background check before joining any MLM company.

The LuLaRoe has been operating since 2013. This shows the company is stable and reputable.

LuLaRoe MLM is not a scam but it has been plagued by controversies in the past that made the company look like a scam.

In 2019, a lawsuit was filed by the Washington Attorney General, Bob Ferguson.

In his suit, he alleged that LuLaRoe is a pyramid scheme. Many of the Fashion Consultants have also filed for bankruptcy. So, in this world of the internet, it is easy to find out all these things and this could affect the reputation of the company.

The below video exposes lots of ugly truths about LuLaRoe’s legitimacy:

Is LuLaRoe a Mormon company? 

Though the company was founded by a Mormon and most of the Fashion Consultants are also Mormons. However, there has been a balance of religious faith over the years. Some of the consultants are Christians, Muslims, Hindus, and Buddhists.

The Church of Christ of the Latter Day Saints is called the Mormon Church.

Pros

  • Free shipping – LuLaRoe is responsible for the shipping of all the clothes you bought. Once the payment is made orders are shipped immediately by LuLaRoe. You can get your goods within three days
  • Reputable clothing brand – One of the advantages of joining the LuLaRoe MLM is that you are associating yourself with a reputable company in the global fashion business. The brand is well-known and you can leverage it
  • Lots of resources – There are plenty of online resources to ensure you succeed in the clothing business. Training, analytics, business support, and education are some of the available resources
  • Plenty of selling opportunities – There are a variety of ways to sell clothes. It includes one-on-one selling, home parties, and birthday parties. You can also sell on your Facebook page or eBay

Cons

  • Low rating – LuLaRoe has a B- rating from BBB. There is also a 2-star customer rating. These ratings could create a credibility problem. But some people would say the ratings don’t matter
  • High cost of entry – It is not everyone that can afford to cough out $499 to join an MLM company. The cost of entry should be reasonable. This is outrageous
  • Misleading return policy – Misleading return policy has made many fashion consultants lose interest in the business. It used to be full refunds for inventory returned. Now, you would only get a partial refund and still get charged for returns

Conclusion: Is the LuLaRoe MLM recommended?

LuLaRoe is a no, no. I won’t recommend it to anyone. The company has gone through too many controversies. Their Fashion Consultants have filed for bankruptcy.

It is better to look for other online businesses. Generally, it is just 1% of the people that make it in MLM. The rest struggle and eventually lose money.

The cost of joining LuLaRoe MLM is too high and it takes some time to sell the products and recoup your investment. $499 is a lot of money. It also has a bad return policy where the cost of the returned stock is not paid completely.

In all, LuLaRoe is not encouraged. It is a disaster in waiting.

MLM is risky and not sustainable

If you’re looking to earn a 4-digit monthly income through an online business then

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