What do you call someone who gives people advice on how to get rich when their monthly paycheck is still in the double digits?
A Life Leadership affiliate.
Too harsh? Okay, a handful of people might make pretty good money with Life Leadership, but have I been involved?
This video explains everything:
Make sense? Either way, here’s the full review on Life Leadership.
Overview
Life Leadership was founded in November 2011 by seven entrepreneurs: Orin Woodward, Chris Brady, Claude Hamilton, George Guzzardo, Bill Lewis, Dan Hawkins, and Tim Marks.
Life Leadership was started with the following mission:
“…to help people live The Life They’ve Always Wanted by providing world-class, life-changing products and services to our customers and an industry-leading compensation plan to our sales force in the field.”
Pretty vague. Can you tell what they’re selling yet? Probably not.
According to the website, the founders include:
- A NY Times bestselling author
- A Guinness World Record holder for largest book signing
- Two of Inc. Magazine’s Top 50 Leadership and Management Experts
- Modern Servant Leader’s Top Leadership Experts
- Magazine’s Top 100 Speakers
- Top 20 Most Followed Leadership Influencers on Twitter
- HR’s Top 100 Blogs for Management and Leadership
Most of the accomplishments listed above seem to come from Orin Woodward, an author and blogger on everything from leadership and management to financial health and the media. He’s pretty accomplished and seems to be leading the pack.
Woodward got his start with Amway back in the early 90s. He was so successful, that he started selling leadership and motivational tools to other distributors at the company. Of course, Amway wasn’t crazy about that, even though (according to Woodward) his tools helped Amway generate an extra $200 million in sales one year.
Either way, he left in 2007 to start his own full-fledged leadership and motivational company called Team. An article in Forbes back in 2008 calls the company “a pyramid on top of a pyramid.” [1]
Eventually, they were hit with a lawsuit from Amway in 2010 that was settled confidentially. In 2011, Life Leadership was born (aka Team was renamed).
How much does Life Leadership cost?
The Business Starter Kit costs $99. In order to stay active, a Member must also purchase a monthly subscription to one of the company’s products.
Products
Life Leadership sells educational products that come in the form of audio CDs, videos, and books. The company also holds over 7,500 live events every year in various locations around the world.
The products are based on the teachings of both Woodward and Brady, and they’re not without their fair share of awards. Aside from the NY Times Bestseller list, they’ve also won a Gold ADDY Award for Design, eLit Awards, Living Now Book Awards, Illumination Book Awards, and Reader’s Legacy Choice Awards.
Life Leadership sells leadership and motivational programs and tools in the following three categories:
- Financial Development
- Professional Development
- Personal Development
Financial Fitness
These are their financial development products. Subscription products range from $11-$22 per month, and includes financial tracking and savings tips as well as tools for building good wealth habits. Master classes charge a one-time fee ranging from $109-$246.99, and they teach students the basics of financial fitness and personal finance.
Corporate Education
These are professional development tools based on the bestselling book Launching a Leadership Revolution by Orrin Woodward and Chris Brady. Subscriptions cost $64.95 for 6 months and include 1 book and 4 audios each month.
Personal Development
Their personal development products come in the form of monthly subscriptions ranging from $11/month to $82.50/month. They teach things like personal growth, the principles of success, the principles of freedom, and spiritual growth (for Christians). They even have personal development products geared toward teens and pre-teens.
Opportunity
Life Leadership’s compensation plan offers 19 and ½ ways to make money, which is really just a gimmick. A compensation plan never needs more than 4 or 5, maybe 6 or 7 different ways to make money – after that the plan is just needlessly complicated, probably to distract people from the fact that they’re still not making any money. [2]
If I went into detail on all 19.5 ways to make money with Life Leadership, you’d probably die of boredom before getting to the end. So, I’ll just list out all 19 (and a half) and then discuss the most important.
- Retail Sales Commission
- Customer Pool Bonus
- Cumulative Customer Bonus
- Personal Volume Bonus Chart Commissions
- Customer Bonus Chart Commissions
- Differential Bonus Chart Commissions
- Product Scholarship Program
- Scholarship Development Bonus
- Coordinator Rank Advancement Trip
- Balanced Business Bonus
- Annual Cash Awards
- Leader Bonus
13-19. Various Depth Bonuses
½. The “3 for FREE” Customer Referral Program
Retail Sales Commission is 15% on all personal sales – not much.
The “3 for FREE” program means that if you get three customers subscribing to products that cost as much as or more than your subscription in a month, you get that month for free.
The Customer Pool Bonus is a bonus paid out based on a Member’s total Registered Customer sales in a month, as long as they hit at least 600 PV. This bonus starts at $50.
The Cumulative Customer Bonus is a similar bonus based on Registered Customer sales, but it’s an annual bonus based on a distributor’s sales in an entire calendar year. The bonus ranged from $500 for 5,000 PV in annual sales to $40,000 for 200,000 PV in annual sales. Of course, you have to stick around for a year to get this bonus, and most don’t.
The Differential Bonus Chart Commission is money you make based on the total volume sold by your downline. Exact numbers are not specified.
The Scholarship bonuses (7 & 8) are monthly bonuses ranging from $60-$500 that depend on the size and performance of your team.
The Depth Bonuses (13-19) are rank bonuses that reward distributors for moving up in rank and also reward them for having team members who move up in rank.
Recap
The compensation plan might all sound pretty confusing, and it’s supposed to. But if you look past all the gimmicks and jargon, to the income disclosure statement at the bottom of the compensation plan, it’s pretty clear how much money you can make.
The majority of Life Leadership distributors, about 65%, are making $.07-$82.29 per month. That’s right – 7 cents. Even the high end here is barely making enough to pay off their subscription.
Bottom line is, if you’re looking to develop a passive income stream, there are better opportunities out there.
But if you like automated ways to build passive income, there are better ways.
(and you can trash those old MLM habits, too)
via http://mlmcompanies.org/life-leadership/
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