Kannaway Review – Is Kannaway A Pyramid Scheme Or Legal MLM

Welcome to our Kannaway MLM business opportunity discussion.

We are going to talk about the Kannaway home-based business opportunity.

Especially, addressing the question, “Is Kannaway a pyramid scheme?”

Have you read our discussion on MLM vs Affiliate Marketing?

Part of the discussion was devoted to the FTC guideline of determining a pyramid scheme.

However, our interest is in the Kannaway business mlm opportunity.

Yes, you want to know is Kannaway a pyramid scheme or legit mlm before investing?

If you are planning to join Kannaway, you must read this Kannaway Review to understand the risks and rewards of becoming a Kannaway Brand Ambassador.

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Kannaway Review Summary

Business Opportunity:
Multilevel-Marketing (MLM)

Initial Investments:
$54.98 Annually, Plus 1 Value Pack from $249 to $1,849.

Business Earnings Estimate: 

  • Kannaway is the first mlm company specializing in the sales and distribution of hemp-based botanical products, CBD Oils.
  • On April 24, 2019, the company was named as one of the Global 100 Top DNS Companies with revenue over $60 million.
  • Kannaway enrolled over 70,000 Brand Ambassadors within the first 88 days of launch.
  • Even with a minimum income guarantee program, you must achieve the top 1% to earn a full-time income.
  • This is a recruiting business. If you don’t like face-to-face recruiting, you might want to consider other home business opportunities.


What Is Kannaway mlm

Kannaway is the first mlm company to offer Cannabidiol (CBD) products.

The Company offers skincare, beauty, and nutritional products through a network of Brand Ambassadors across the United States.

Kannaway considers itself as the First in the CBD industry.

The company was launched in April 2012. But in January 2015, Medical Marijuana Inc. acquired Kannaway for an undisclosed amount.

The Kannaway annual sales revenue reached $60 Million in 2018 and was placed on the 2019 DNS Global 100 List.

Kannaway was known as the hottest mlm opportunity when it announced in 2017, enrolling 70,000 Brand Ambassador in just 88 days of launch.

A unique feature of Kannaway mlm opportunity is the ‘income guarantee program.’ You might think that Kannaway mlm is helping you to make money as an ambassador. However, this income guarantee program is not what you think. It is not easy to make money with Kannaway.

Before starting your own Kannaway CBD oil business, it’s smart to compare with other home-based business opportunities…

You can use My #1 Business Opportunity to make a comparison.

How to Join Kannaway?

You can join Kannaway as a Brand Ambassador online through the corporate website with the sponsor ID or directly from the referred Ambassador personal Kannaway website.

You can complete the registration process and pay the fees online.

After completing the registration process, you have access to Kannaway secured back office, a personal replicated Kannaway website, training and support tools, and administrative support.

But, before you can earn commissions, you must meet the minimum Personal Volume (PV) required each month.

The Costs to Join Kannaway

The registration fee to join Kannaway is $54.98 annually.

According to Kannaway, Brand Ambassadors are not required to purchase products. This gives the impression that the cost to join is only $54.98. This is not true

To earn commissions, all Ambassadors must maintain the monthly Personal Volume (PV) of their rank, from 28 PV to 110 PV.

PV is Business Volumes assigned to each product by Kannaway.

Kannaway Review CBD oil

The Kannaway PURE GOLD CBD oil product above has the BV of 110.

If your rank required a 110 PV to earn commissions, you are required to purchase one bottle every month to meet the rank PV.

Yes, Ambassadors have to purchase products to make money with Kannaway.

Now, you understand why Brand Ambassadors have to buy one of the Value Pack to together with the $54.98 upon joining.

Kannaway Value Pack

So, the lowest cost to join Kannaway is $303.98 ($54.98+$249), and the highest cost is $1,903.98 ($54.98+$1,849).

Most Kannaway Ambassadors are encouraged to join with the most expensive Value Packs to earn the top commissions and a better chance of success.

But, honestly, I don’t believe it makes a difference.

Besides the costs to join, there are other costs to operate a Kannaway mlm business.

These costs are business operating expenses.

They include your time, the costs of hosting events, traveling, and gas expenses.

If we add in your time, your annual business operating expenses will look different.

To become a successful Kannaway Ambassador, you must invest at least 80 hours per week in the business.

Using the 80 hours/week with a minimum wage of $8 per hours, this means a Kannaway Ambassador invested $640 per week, $3,200 per month to build the business.

Your monthly expenses might be different. I just want to show you that it will cost more than $54.98 to launch a Kannaway home business.

The Monthly PV is the biggest expense for every Kannaway Ambassador.

This monthly expense can destroy your chance of making a profit because you must purchase products to stay in business.

With other home-based businesses, like affiliate marketing, you get paid commissions on every sale, no such thing as a personal purchase requirement to receive commissions.

Do you know why Kannaway has a monthly PV requirement?

  • To sell products, and
  • To meet the FTC guideline as a legit mlm business.

Without product sales, Kannaway is a pyramid scheme, a scam.

We understand that it requires money to start a business.

But, we expect to at least recover our investment.

Don’t you want to know how you can make money with Kannaway?

Of course, you do!

In the following section, we’ll talk about,

Kannaway Compensation Plan

Understand the Kannaway compensation plan gives you an idea of the potential income from a Kannaway mlm business.

But, most Ambassadors take this projected income to be real.

This why Kannaway includes an income disclaimer statement in its compensation plan.

I’ll provide you a quick overview of the Kannaway compensation plan.
If you want to see it in detail, just download a copy.

Kannaway claims that Ambassadors have many options to earn.

But, we know there are only two ways to make money with mlm opportunity.

  • Product Sales, and
  • Recruiting others to join Kannaway.

No commission is earned if you fail either condition above.

Make Money Selling Kannaway CBD Products

Kannaway Ambassadors can sell products directly to the customer two ways:

  • Buying wholesale to sell retail for profits, and
  • Sell directly from their own Kannaway website.

But, will anyone buy CDB oil at this premium price?

I did a quick search online and found a bottle of Pure CBD Oil 1000mg selling for $12.49 with free shipping.

The same bottle of 1000mg CBD Hemp oil from Kannaway website retail price of $151.25.

Kannaway Review CBD oil

How many customers are willing to pay the Kannaway premium price?

The current market for pure CBD Hemp oils is so much cheaper now compared to 2015.

It will be a challenge to earn a profit by selling Kannaway products.

When the Brand Ambassadors purchase or sell products, they also earn the 30% Direct sales Commissions (DCS).

What is DCS?

It’s a 30% commission based on the Commissionable Volume.

If you look back at Kannaway Pure Gold CBD Hemp oil product above, you’ll see the $55 CV under the retail price. The DCS commission is $16.50 ($55×30%).

You do not earn 30% of the product retail price. It’s more like 10.91%.

Kannaway using CV to help inflate the commission percentages. This is the marketing trick to promote the compensation plan.

You are not going to make a lot of money selling Kannaway products.

If you want to make money, you have to recruit a lot of people to join Kannaway.

Make Money Recruiting Others

There are several ways to make money building your Kannaway team.

Free Product

This bonus allows Ambassadors to earn free product equivalent to the average BV of all customer orders.

However, the Ambassador must meet the following requirements:

  • Personal monthly SmartShip order of at least 28 PV, and
  • Recruit 3 members who have a minimum order of 28 BV each calendar month.

You have to pay products to receive free product.

Direct Sale Bonuses (DBS)

This bonus is earned when the Brand Ambassadors sell a Value Pack to new recruits.

Kannaway pyramid scheme bonus

The Ambassador can earn double or triple bonuses by qualifying and meeting the FASTSTART 3000 and FASTSTART 9000 requirements.

You can refer to the compensation plan for detailed qualification.

Besides the main options to earn above, there are other bonuses such as Rank Advancement Bemuses, 50% Check Match, Minimum Income Guarantee, and more.

However, most of the bonuses require the Brand Ambassador to achieve a group volume of 5,000 BV to 4,000,000 BV. Group Volume is the total BV of your team.

If each team member purchases 110BV each month, to generate a 5,000 BV, you would need to recruit 46 Qualified Ambassadors.

For 4,0000,0000 BV, you need a team of 36,364 Qualified Ambassadors.

The more people you recruit to join Kannaway, the more you earn.

That is an overview of the Kannaway compensation plan.

I know is very confusing and difficult to fully understand all the options to earn with Kannaway.

But, you don’t need to know everything about the Kannaway compensation plan.

These earnings are just hypothetical. It’s not real income.

Real earnings are normally published in the income disclosure statement.

However, Kannaway has never published an Income Disclosure Statement.

When a company doesn’t disclose the Ambassadors annual average incomes, it means most of them don’t make money.

Kannaway is trying to hide something from us.

Can You Make Money With Kannaway?

Based on our compensation plan analysis, it is not easy to make money with Kannaway.

If Kannaway has a lot of successful Ambassadors, it will brag about this success in the media.

Remember their big media announcement of recruiting 70,000 Ambassadors in 88 days?

But, nobody knows what happen to these early Ambassadors.

With over 99% of mlm businesses failed, we don’t need Kannaway to tell us their success rate.


Because mlm compensation plans are not designed for Ambassadors to earn. They are designed for the mlm company to make money.

Just go back and review all the qualification required under the Kannaway compensation plan to earn commissions, you’ll understand why it is difficult to make money with Kannaway.

The potential income from the compensation plan is just marketing hype.

Are you investing based on marketing propaganda?

Of Course NOT!

Kannaway Ambassadors Actual Incomes

As we have discussed above, you have to invest time and money to become a successful Ambassador.

To become successful in mlm business, you must recruit a lot of people to join your team. This is not an easy task.

I can tell you this; if you are not good at face-to-face recruiting, your chance of making money with Kannaway is near ZERO!

You must be super talented in recruiting to make money with mlm opportunity.

Then, does this mean Kannaway A Scam?

Yes, your chance of making money with Kannaway might be near Zero, but this doesn’t make Kannaway a scam.

Kannaway is a business opportunity.

Every business investment has risks, which means, you can lose your money.

As a Kannaway Ambassador, your chance of failure is high.

So, when your business failed, you cannot call Kannaway a scam.

Before starting a business, you must carefully research and study the business opportunity before investing.

Reading this Kannaway Review is a good way to discover the risks and rewards of this mlm business.

Smart entrepreneurs hire professional financial analysts to evaluate the risks of every business deal before investing.

As a Business Review Writer, I have evaluated hundreds of mlm opportunities to help investors managing the risks…

That’s all we can do, managed risks.

To me, Kannaway is not a scam.

But, a very competitive business to make money.

Is Kannaway a pyramid scheme?

Kannaway is a legit mlm under the law and the FTC guideline.

But as a business opportunity, I say Kannaway is a pyramid scheme.


Takes a look at their compensation plan,

Do you notice a pyramid shape?

The largest commissions were earned by people with the largest team.

This is the problem with every mlm opportunity. Less than 1% make money while over 99% lost money.

The more people you recruit to join Kannaway, the more money you get paid.

Kannaway is rewarding Ambassadors that recruit the most people, selling products.

Recruiting is how you make money with Kannaway!

This is how pyramid schemes work.

Well, you don’t have to agree with me.

Is Kannaway Worth It?

You have read the entire Review of Kannaway, you should be able to decide if Kannaway worth it.

For me, I’ll never start a business that offers little or no chance of making money.

Do you know why you want to start a home-based business?

To earn extra money from home, to be your own boss, or to achieve financial freedom?

And to make money, we invest in a PROFITABLE business!

There are much better and less risky home-based business opportunities.

If you want to be an owner of a lucrative and profitable business that generates six-figure passive income, then read my #1 recommended online business opportunity.

You should use the writing skill to start your own highly lucrative online writing business, TODAY!

There’s NO traveling around town to attend late-night meetings and NO face-to-face sales or recruits with my online business.

The best part, you are working on the computer in your own home or anywhere you like.

One important business risk associated with mlm opportunity which people rarely discuss is the risk of losing your business.

What does this mean?

Kannaway can shut your business down at any time.

When you become a Kannaway Ambassador, you agreed to promote only Kannaway products.

What happens if Kannaway revokes your membership?

You out of business!

You have no control or ownership over an mlm business.

Is this what you want?

Don’t you want to own and control your business?

There’s a lucrative method that I and millions of people have been using to generate six-figure passive income online.

You must read my #1 recommended online business opportunity.

Can you write?

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I hope this Kannaway Review provide the answer to your research.

Your chance of achieving financial success with Kannaway is low.

I would not join, even Kannaway is not a pyramid scheme?

What about you?

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