A New Compensation Plan Could Follow The Absence of Herbalife’s Top Chinese Exec

Herbalife ReviewHave you been paying attention to all of the hype for Herbalife?

If you told me someone had pitched the opportunity to you lately, this wouldn’t surprise me. It’s making all the rounds on social media lately.

Next, I want to tell you that I am neither an affiliate or distributor for Herbalife – I want to give you an unbiased opinion.

Is it a scam? Can you trust Herbalife? Why did their top Chinese executive leave? What does that mean for Herbalife distributors?

Read all about it in my Herbalife review so you can learn the full truth!

Let me explain in my review of Herbalife.

Let’s carry on.

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What Can You Tell Me About Herbalife?

Poor old Herbalife just can’t seem to catch a break.

The company was faced with a fine of $200 million about a year ago when it was caught for running a pyramid scheme, and when that fine hit, Herbalife was given ten months to get rid of its current compensation plan and come up with something new.

There are a lot of various guidelines that the company’s new comp plan needs to follow, and among those, one aspect that it must feature is some sort of tracking of legit retail sales activity that takes place. Additionally, Herbalife needs to no longer pay affiliates just for recruiting other people into the company that purchase Herbalife products for themselves with no intention to sell them back to retail customers.

This settlement was officially signed on July 15 of 2016, and the ten month marker took place just about a week ago on May 15, 2017.

If you take some time to head on over to Herbalife’s officially website, you’ll see that the compensation plan hasn’t changed one bit since that settlement deal was put into motion. In fact, if you try to visit any links that should take you to information on the compensation plan, you’ll be presented with a 404 error saying that page couldn’t be found.

This creates for two possibilities.

One, Herbalife has introduced a new compensation plan since at some point during the past ten months and has been awfully quiet about it.

Two, Herbalife hasn’t actually changed its comp plan at all and is in direct violation of the deal that the SEC set before it.

No matter what’s taking place here, it’s safe to say that if Herbalife does end up releasing a new comp plan that follows all the rules the SEC set in place for it, that will pretty much be the end of the company in the United States as we know it.

Just up until Herbalife’s meeting and settlement with the FTC, the company held onto a claim that it simply didn’t have any idea what the volume or percentage of its retail sales activity was.

Herbalife’s oblivion here is thanks to the fact that the company didn’t do much of anything to keep track of sales activity that took place throughout its system.

The execs over at Herbalife obviously know that there isn’t any retail sales taking place, but the FTC and SEC obviously didn’t buy the company’s play of being dumb and not knowing what was going on.


Herbalife Scam

Last November, Herbalife’s CEO Micheal Johnson announced that he would be stepping down from his current position. Johnson will officially leave Herbalife in June of this year, and this is quite an interesting time to be leaving when you consider that it’s not too far off from when Herbalife was supposed to introduce a new compensation plan.

It’s assumed that Johnson has access to Herbalife’s backend, meaning that he has complete knowledge of what’s taking place throughout the company when it comes to sales and revenue that’s being generated. As such, it’s clear that Johnson is well aware of the lack of retail sales throughout Herbalife.

Seeing as how Johnson was one of the highest paid American CEOs in 2011, why would he leave the company unless he knew that he hadn’t done anything to change the comp plan and that the final days for Herbalife were quickly approaching?

Along with Johnson, it also just became official that Herbalife’s top Chinese executive is also leaving the company. We currently don’t have a name for the exec that’s jumping ship, but it seems to be quite a shakeup seeing as how they’ve been with the company for more than 10 years at this point.

“Additionally, according to Factset and their own Form 4’s which document insider sales, several Herbalife executives have sold their entire stakes in the company — and did so between May 9 and May 15.

That includes a senior vice president for China and several other senior executives for many regions where the company does business, including here in North America.

Herbalife did not return a call for comment.”

Call me crazy, but it seems like all the higher-ups with Herbalife are well aware of the lack of retail sales and are getting as far away from the company before the SEC shuts it down.

Between Johnson leaving and all of these other executive selling all of their shares just one week before the new compensation plan was supposed to be set in place, it seems like too much is happening at once for this to be a mere coincidence.

We’re still waiting for Herbalife to comment on this matter, and we’ll be sure to keep you updated if and when they ever do.

Should I Be Worried About A Herbalife Scam?

Every business opportunity on the web has good reviews and bad reviews – so is Herbalife really a scam?

Is there a Herbalife scam or is this business legit?

If I am being honest, I’d say it’s not really a scam, but there are some important points to be aware of.

Learning the business weaknesses and having a strong marketing strategy is what will make you successful.

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Conclusion for Herbalife


I hope you are finding the information in my Herbalife Review helpful?

Some of the other reviews I saw had very little details, so I am hoping I gave you everything you need here.

If you’re wanting to become a member of Herbalife, make sure you take the time to develop a marketing strategy.

And, my FREE training below will help you do that and make money!

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