Is Mannatech A Scam Or A Legit MLM Company?

The Mannatech Company

Mannatech is a health and wellness company that started in 1993.

 As per the Wikipedia article on Mannatech, the company was founded by Samuel Caster, a person who also founded Eagle Shield that sold insulation products that were said to be based on NASA technology.

 Prior to founding Mannatech, Caster also marketed Electracat, a pest control device. Both of these products were declared by the Attorney General of Texas to have wrongful claims.

Caster served the company from its founding until 2007. Now the company is headed by Alfredo Bala who has been with the company since 2007. 

The company is headquartered in Texas, U.S.A, and is operating in several countries around the world.

 Mannatech became a publicly traded company in 1999. The company has been subjected to several lawsuits for its false marketing claims in the past.

 The latest of which was in 2017 where the company received an FDA warning letter for complaints on illegal marketing of its products as medical agents and violation of FDA’s regulations on good manufacturing practices.

The company is a proud member of the Direct Selling Association .  Mannatech is also listed in Better Business Bureau with an A+ rating.

The company gives back to the community by advocating the health and well-being of children and by supporting the M5M Foundation. 

The  Mannatech Products

How To Join Mannatech 

The  Mannatech Compensation Plan

There are several ways to earn from Mannatech and we listed them below. Just like in most MLM companies, there are leadership ranks to advance to in Mannatech’s compensation plan.

These are: Associate, Silver Associate, Gold Associate, Director, Silver Director, Gold Director, Executive Director, Silver Executive Director, Gold Executive Director, Presidential Director, Bronze Presidential Director, Silver Presidential Director, Gold Presidential Director, and Platinum Presidential Director to Crown Platinum Ambassador.

1. Customer Bonuses

This bonus is comprised of Power Seller Bonus and Business Development Bonus. In Power Seller Bonus once your monthly customer volume including your personal purchases reaches 200 personal point volume (PPV) and you have 2 active preferred customers, you can earn a 10% bonus of your PPV.

 Once you have 500 PPV or more with 5 active preferred customers, you can earn a 15% bonus. 

Business Development bonus rewards you with $100 to $250 per month when you enroll at least 2 associates who create 500 PPV or more on their own.

2. First Order Bonus

This is the bonus paid for every first product order of your new Associate recruits or new preferred customers. This is 25% of the first product order.

3. Mentor Bonus

This is a monthly bonus amounting to $30 to $100 for qualified active leaders from Gold Associate rank and up. 

4. Uni-level payouts/Infinity Bonus

Uni-level bonus is paid to Silver Associate rank or higher. Qualified associates earn 3% to 8% of their downline’s product sales, up to level 7 depending on their ranks. A side volume infinity bonus is paid on level 8 and below for Presidential Director rank and up.

5. Leader Check Match

This is the bonus paid to Silver Executive Director rank and up as a percentage of their downline Executive Directors and higher team bonuses. 

6. Global Pool Bonus

This bonus is paid to Bronze Presidential Directors and up as a share derived from 1.5% of the company’s global finished product sales.

You can see the full text of Mannatech’s compensation plan on this link here. 

Can You Earn Money With Mannatech?

Mannatech released its 2019 U.S. Income Averages Statement reflecting the average income earned by the associates in the U.S.A for the year 2019. This document is available here.

Considering the median household income in the U.S.A in the same year, only less than 0.01% of Mannatech consultants were able to earn an income above this level.

 Associates who earned at the level of $14,000 to $55,000 average annually comprised 0.57% of all the company’s consultants. Also, it should not be disregarded that 95.65% of the consultants earned an annual average of $20.73 in 2019.

These figures from the company’s income disclosure statement just confirmed how disheartening the income figures of associates in Mannatech were in 2019.

These income averages of Mannatech consultants say a lot about your chance of success in this business opportunity. You will see that you need to climb a high peak to be able to earn enough from this business opportunity.

 Looking at these figures, I cannot see any opportunity for income that is worth recommending especially for ordinary people without experience in similar business ventures. 

This case of Mannatech comes as no surprise for me at all as these are the figures that we often see in most multi-level marketing companies’ income disclosure statements.

 However, I would want to say that these figures from Mannatech are much worse given the company’s longevity and market reach.

The Pros And Cons Of The Mannatech Opportunity

Conclusion - Is  Mannatech A Scam Or A Legit MLM Company

Although Mannatech had been subjected to lawsuits and controversies in the past, but there is no denying that the company overcame most of them.

Now, the company still stands with almost 3 decades of operation that spans the globe.

Surely, it is save to say that Mannatech is not a scam. It is a publicly traded company that knows how to give back to the community.

 The company has a rich product portfolio covering different categories from health, nutrition to skincare.  The company gives an opportunity for ordinary people to start a business at a minimal cost.

My problem with Mannatech is mainly about its business opportunity offering.

 I have noticed that Mannatech has the most number of ranks to advance to on its compensation plan relative to other compensation plans that I’ve seen from other MLM companies.

So, getting on top of the organization can be a rough climb. Just like in most MLM companies, to earn an income you need to sell the products and build your team hence you need to recruit people to join the company.

Also, looking at the company’s income average statement for its US consultants, less than 1% of the company’s consultants were earning a decent.

It is quite disheartening to see and just by looking at it, I don’t see any opportunity that I would want myself to get involved in in the near future.

Here is what I would recommend to earn a passive income, without selling or recruiting.

My Recommended Business Model

Look, I have been involved in multi-level marketing for many years, and I know how hard it is to sell but especially to recruit new people.

A few years back I've  found a way to make truly passive income without selling or recruiting, and earn now four figures each month.

For the past three years, I have been building my online business that doesn't involve recruiting or calling people at all.

Now I can work whenever and wherever I want to work with only a laptop and an internet connection.

It s called Affiliate Marketing which is a legit way of making money online. It helps people to gain the time and location freedom they are seeking plus an unlimited income potential.

Read my full guide on Making Money Online.

I am just an ordinary person like everyone else, who wanted flexible hours but also the opportunity to work around my family. And I know if I can make it happen, so can you.

Once you get the foundation right, you will earn passive income for years to come.

If you are new to affiliate marketing, I have got good news.

You can learn how to build a successful online business step-by-step with my #1 recommended training platform Wealthy Affiliate!

Being part of this amazing training platform has transformed my life and could be changing yours for the better too.

Ready to take the leap and start building a  business that doesn't involve recruiting or selling?

You can join Wealthy Affiliate for free to see if this is the right path for you.

So check it out for yourself -  NO  Credit card needed, no strings attached.

Sign Up Now For FREE

Start Building A REAL Business!
Anke

Please note, this post  contains affiliate links.