Is Because Cosmetics An MLM Company? Get All The Facts You Need To Know

More About Because Cosmetics

Because Cosmetics  is a cosmetics company founded by Andrew G. McBride.

 He was also the founder of another direct sales company, Perfectly Posh.

Read our Perfectly Posh review here.

 He had been with Scentsy as well for some time in the past.

The company was founded in 2017 and is based in Utah, U.S.A. 

Three (3%) of the company’s commissionable sales are donated to non-profit organizations chosen by the affiliates and ambassadors yearly.

I cannot see the listing of the company in Direct Selling Association (DSA) and Better Business Bureau (BBB) as of this writing.

Because Cosmetics Products

How To Join Because Cosmetics

The  Because Cosmetics Compensation Plan

Because Cosmetics divides your growth as an affiliate in 2 steps - as an affiliate and as an ambassador.

Here are the ways to earn in Because Cosmetics compensation plan.

Retail Sales Commission

Sales commission is 20-35% for affiliate level and 30-35% on ambassador level. There are certain sales thresholds where your sales commission can be increased.

Team Commission

This is computed as 2-3% of team volume for affiliate level and 3-5% for ambassador level. For ambassador level, you can be paid up to your 3rd ring of ambassadors depending on the level of your rank. 

Rank Achievement Bonus

As you advance in ranks, you will get a one-time cash bonus for each rank achieved.

To remain an active affiliate, you need to have at least $300 in a month. Here are the qualifications for other ranks.

Because Cosmetics also has point rewards. Here’s the link to Because Cosmetics compensation plan.

How Much Can You Earn With Because Cosmetics?

Because Cosmetics has no income disclosure statement available on its corporate website. I tried researching further on the internet but I cannot find any posts relating to the company’s income disclosure statement.

What is clear though is that Because Cosmetics is an MLM company where affiliates earn an income by selling the company products and recruiting people to join the business opportunity.

 According to the Because Cosmetics compensation plan, you can earn from retail sales, team sales, advancing in ranks, and from mentoring your team members to advance in ranks as well.    

Since Because Cosmetics has no income disclosure statement, it losses an opportunity to prove that its compensation actually translates to real income for its affiliates.

We all know the sad realities of MLM business models. Most MLM companies that can show their income disclosure statements often reflect a success rate of 1% in terms of the number of affiliates who actually earn a full-time income or more from the business.

The rest are left behind with about 50% of the affiliates earning insignificant amounts and sometimes nothing at all. In one study conducted by Federal Trade Commission (FTC), it was mentioned that your chance of success is even better in gambling than in joining an MLM company and that such an opportunity should not be called a business opportunity because your chance of success in running a small business is far greater than joining an MLM.

These are just some of the sad realities of MLM business models and without an income disclosure statement to contradict these hard truths in the case of Because Cosmetics, there is no reason to believe that it can benefit positively its affiliates in terms of their income earnings. 

The Pros And Cons Of Beauty Cosmetics

Wrapping It Up

It is clear that Because Cosmetics is an MLM company. What facts do we have so far about Because Cosmetics? It is founded by a person who has been in the MLM business for quite some time.

 The company is legally established in 2017 and is headquartered in Utah, U.S.A. It is a newly established company where you can shop for a cause because part of the company’s profit is donated to organizations fighting for certain causes as chosen by its ambassadors.

 The products are retail viable and product safety is given extra importance. It offers an opportunity for you to start a business from home at a minimal cost. 

On the other hand, Because Cosmetics is clearly a new company with less than 5 years of operation. It is not listed in Direct Selling Association and Better Business Bureau. Listing in these agencies could mean that the company is following certain standards and can in turn increase its trust rating.

Since the company is offering beauty and cosmetics products, there will always be tough competition from a long list of similar companies offering the same products in the same category. 

Being an MLM company, affiliates are required to sell and recruit to earn an income. These tasks can come in very challenging for people who lack the right capabilities, experience, and training.

The company is offering nothing as proof that its compensation plan is bringing real income to its affiliates since the company has no income disclosure statement. 

The way I see it, it can be the case that Because Cosmetics can make a difference to the lives of its affiliates.

 As to the difference that it can make in bringing financial freedom to its affiliates, I am quite doubtful. It can be possible to the 1% of its affiliates as is always the case in MLM business models but for the remaining 99%, it will always become difficult.

Numbers often don’t lie and as long Because Cosmetics cannot show real proof of its affiliates’ income earnings, then there is no reason to believe that it is an MLM company that can make a difference to its affiliates in terms of the financial aspect.