Have you been approached by someone from the new multi-level marketing (MLM) company Everra and you’re thinking of joining because it’s “only $9. So what do I have to lose?” Maybe you think it’s too good to be true and you’re wondering, “Is Everra a scam?”
Let me show you why some people say, “Yes, Everra is a scam!” It’s partly because of the way the company was set up and partly due to the founder’s past.
Let’s dive right into this and then you can decide if it’s worth it to join or not.
Everra is a brand new makeup MLM that just launched in early 2020, and its Founder, President, and CEO is Christopher Welch.
Let’s talk about Christopher for a minute. Here are a few things to note about him:
- He was a Vice President in Younique
- He founded the MLM company Maëlle
- He founded the ESL company Naativ
While only doing minimal research on Christopher, I saw so many people who called him out as a scammer and a con artist. We’ll get back to why in one second.
First, let’s talk about Maëlle. Maëlle is another beauty MLM founded by Christopher. In February 2017, Maëlle had to close temporarily because it was in a lawsuit with Younique. (Remember, Christopher was a VP at Younique.) It relaunched in April 2018. It then closed the direct selling (MLM) arm in November 2018. Source.
Now, the real reason people are calling Christopher a scam artist is because of his company Naativ. Naativ is an online teaching platform that teaches ESL (English as a Second Language), similar to VIPKid. It sounds like what happened is that a lot of teachers signed up, but nothing ever happened with the platform. It didn’t take off, and they were left with no one to teach.
The other issue is apparently that people who signed up were getting frustrated and putting their frustrations out on the internet. People who were teaching the few classes available weren’t getting paid for their work, so of course, they were frustrated! But instead of trying to help solve these issues, Christopher, apparently, harassed these people and threatened to sue them.
Here’s a video that talks about what happened and where the company is now:
Eventually, Christopher stepped down as CEO of Naativ (but is still an advisor it sounds like) and moved on to other pursuits, one of which is Everra.
What Does Everra Sell?
At the time of this writing, Everra only has three products on its website.
They are (along with their prices):
- Eye Serum = $64
- Face Serum = $69
- InstaLast Serum = $39
They are apparently still in pre-launch phase. It’s very hard to get information on this company. I think this is where Christopher gets himself into trouble. There’s no information on their website and no communication with people about what’s happening and when.
I assume that other makeup and skincare products will be coming out eventually, but it’s weird to join an MLM that doesn’t even have all of its ducks in a row. How do you know if it’ll ever fully launch? What if this turns out to be a mess like Naativ?
How Much Does it Cost to Join Everra?
To join Everra as a Beauty Influencer, it’s only $9 right now. What do you get for your $9? It looks like you just get the chance to be a part of this MLM.
What I find interesting with Everra is that the Beauty Influencers don’t even have the product yet. How are they supposed to sell a product that they don’t have and haven’t used? How do they know if it works?
We all know the truth though. They’re not actually selling the product. They’re selling the “business opportunity.”
Here’s a Facebook live from a woman who got the product as a product tester:
There are a couple of things she said that I really want to call out.
First, she says the product packaging is amazing and the product is supposed to be amazing. How can you sell a product when you don’t know what it’s like? What if you have a reaction to it?
She also says that “anything Chris Welch is involved in is amazing”. Has she seen the countless reviews of people calling him out as a scammer? Does she know about what happened with Naativ?
She says a little later in the video that when she joined as an Influencer, she had no idea what she was joining. The company didn’t even have a name, but she says it was supposed to be phenomenal. Again, she must have not read up on Chris and his past experiences.
And why would anyone join a company that doesn’t have products or even a name? There’s only one reason to do this.
To get in “on the ground floor”.
Do you know why people say this? Because they know that:
- You have to recruit in order to make money in MLMs, and this is one way to entice people into it
- MLMs get saturated very quickly with too many people selling the same damn thing
MLMs are the only business I can think of where you recruit your competition.
Everra Compensation Plan
Here’s a video of Laura going over the compensation plan for us. Thanks, Laura! I don’t really understand compensation plans (because they’re all so complicated!), so I like it when someone else explains it.
I’ll just note a few things from the video.
It looks like there are 12 ranks. And as of now, they are just numbered 1-12.
Ranks 1, 2 and 3 require a monthly PSV (Personal Sales Volume) of 50 in order to qualify for all commissions and bonuses. Ranks 4-12 require a PSV of 100. This PSV can come from products that you personally buy or ones that you personally sell.
There’s another pesky little qualification in there and it’s called CSV (Career Sales Volume). Rank 1 doesn’t have a CSV requirement but starting at Rank 2, you also need to have 500 CSV in order to rank advance. This isn’t a monthly qualification. It’s just one time.
But 500 CSV is a decent chunk of change. I don’t know what 1 PSV point is, but generally it’s at least $1, but it’s usually a little more. So you’ll have to spend (or sell) at least $500 + in order to rank advance.
To see the ranks and the requirements, you can see the charts on Everra’s website.
8 Ways to Get Paid
There are 8 ways to get paid with the Everra compensation plan:
- Retail sales commissions – 25% – 30%
- Bonus on team sales
- Group bonus for business builders
- Rank promotion bonus
- Power seller monthly sales commission
- Fast Start sponsor bonus
- Generation bonus for business builders
- Matching bonus
Getting paid 8 ways sounds great and all, but only a small percent will qualify for even the first couple of ways. Assuming this company gets off the ground.
Everra Income Disclosure
Since Everra barely has products, they certainly won’t have an income disclosure yet. This one will be interesting to keep an eye on though. Will it make it long enough to warrant an income disclosure? What do you think?
In the meantime, I’m just going to post this link right here. It’s from an article posted on the FTC website, and I always add it to any post I make about MLMs.
I’m also going to insert my favorite paragraph from this report. It says:
“Failure and loss rates for MLMs are not comparable with legitimate small businesses, which have been found to be profitable for 39% over the lifetime of the business; whereas less than 1% of MLM participants profit. MLM makes even gambling look like a safe bet in comparison.”
I feel the MLM pain every time I post that one.
That’s why we don’t even need an income disclosure. This report (and just that paragraph) says it all.
Everra Complaints & Positive Reviews
Everra is brand new, so there aren’t any complaints or positive reviews yet.
Actually, I take that back. There are positive reviews from Influencers who don’t even know if the product is good or not!
Here’s a woman who literally made me give the biggest frustrated sigh while watching her video.
First of all, she told her husband about the opportunity and he said: “No, we’re not doing this again.” (Which tells me Deeana has already been down the MLM road and has failed like most of us.) She did it anyway.
That’s frustration #1. Your husband is supposed to be your partner. It’s not a good idea to just dismiss what he has to say. Even if your upline says it is.
Then she said that this company has changed her life.
That’s frustration #2. It just launched. There are only 3 products on the site. How can it have changed your life already?
Then she says Chris is phenomenal. (Is this a script? Because that’s what our Facebook Live person said about him too.)
That’s frustration #3. Because I don’t think these women are actually researching and seeing what’s going on with this guy. He’s already let a lot of people down with his past ventures. Are they not worried it’ll happen again? They at least should go into Everra with a huge dose of skepticism.
Here is an interesting comment made by someone on a person’s YouTube Everra video:
“CW called my personal cell phone (which was in a database we were told he no longer had access to) on a Saturday night over a Facebook comment. Please understand that we are warning you because this is an individual with a track record of using women. I see that you are positive and want more. I’m choosing to comment because I want you to understand what this is really about. Watch for the disproportionate reactions to questions/concerns and for the launch to go on and on. Take care.”
CW = Chris Welch.
I’ll just leave that there for you to think about.
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Is Everra a Scam or a Pyramid Scheme?
Listen, I can’t say whether Everra is a scam. People are absolutely calling Chris out as a scammer because he left them hanging in his last company, Naativ. Here are a bunch of reviews from Glassdoor that you can view at your pleasure. He also wasn’t successful with Maëlle and a lot of distributors got left in the cold there. But that doesn’t mean Everra will be the same. Perhaps it will be a big success?
The thing is, when we ask, “Is Everra a pyramid scheme?” I think that’s a different answer. It’s really, really borderline. I know it’s only $9 to get started. But just because something is cheap doesn’t exclude it from being a pyramid scheme. Let’s talk about why in a minute.
- Really inexpensive to get started
- Brand new, so you can get in early before it gets too saturated
- Chris Welch doesn’t have a good track record or reputation
- There are already a countless amount of beauty MLMs
- There are only a few products available
- The products were just released and no one has had time to really test them out to know if they’re good
- The products are expensive, which makes them hard to sell retail
- The focus on this company right now is recruiting
Because there are only a few products with Everra and because they just released, that means that there is only one real focus – recruiting.
That’s what makes this right on the border of being a pyramid scheme (if it’s not over the border). If the sole purpose of this company is to recruit, which is basically has to be right now with very little product available, then in my opinion, it’s a pyramid scheme. I’m not the FTC, so obviously I can’t make that official announcement, but I’d be very careful if I were a distributor in Everra.
There are a lot of red flags with this one.
(But I am biased because I don’t like the structure of MLMs anyway… 😉 )
Monica’s Thoughts On Everra
I recommend watching my friend and fellow anti-MLM’er Monica, who shares a lot of the same opinions about Everra as I do. She posted this video before they had any product. But keep in mind, there are only 3 products available at the time I’m writing this. That’s not much better.
There’s nothing to sell. Except for the opportunity.
An Alternative to Everra
I always love to give an alternative to any MLM because you’re almost guaranteed to lose out with MLMs. But it’s not the only way to earn an income.
My favorite way to make an income is through affiliate marketing. In the Everra compensation plan, they say that you can make a commission of 25% – 30% just by selling their products. (If they only had some to sell…)
This is basically affiliate marketing. But that’s all there is to affiliate marketing. There’s no recruiting, or downlines or uplines or training people. You don’t have to post Facebook Lives to showcase your products (unless you really want to).
And you’re not stuck with only 1 overpriced product. You can basically take anything that you’re passionate about and create content about it and then promote it through an affiliate program.
(P.S. There aren’t any sign-up fees or starter kits with affiliate marketing.)
Amazon has one of the biggest affiliate programs out there. You can earn a commission on anything that they sell on their site. Think about the opportunity there.
There’s more to it, but this article is already way too long, so I recommend you check out my free affiliate marketing guide if you want to learn more about it. I’ll walk you through how it all works.
Is Everra a scam? Many people have said that it is because they were being asked to sign up before there was a product, a compensation plan or even a name. They are also very skeptical because of the founder’s (Chris Welch) past with a couple of his last companies that didn’t work out so well.
I think it’s too early to say what’s going to happen with this company, but I do think the fact that people were recruiting others before there was a product lands them in pyramid scheme territory. There are definitely some red flags with this company, but let’s see how it plays out.
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