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Organo Gold considers itself the King of Healthy Gourmet Coffee.
The company claims to offer an innovative business opportunity allowing you to build a world-class business.
Well, Organo Gold is an mlm business opportunity. I really don’t see how this can be an innovative business opportunity.
Unless we are missing something.
Hello and welcome you to our mlm review Coffee Talk.
It smarts for you to stop by and read this Organo Gold Review before joining the program.
In this review, you are going to find out the truth about the Organo Gold home-based mlm business opportunity.
When you heard the words “mlm”, you must be thinking, is Organo Gold a scam or a pyramid scheme?
I understand that you are looking for an opportunity to create a life dream of financial freedom and looking to confirm that Organo Gold is legit.
Before becoming an Organo Gold distributor, you should know:
- The process to join Organo Gold.
- The cost to join Organo Gold.
- What are Organo Gold compensations?
- What is the Organo Gold business profit? And
- Is Organo Gold a scam or legit?
Reading this Organo Gold review, you should be able to determine if Organo Gold a pyramid scheme or a legit and profitable business opportunity for you to achieve your financial goals and dreams.
Organo Gold Review Executive Summary
Name: Organo Gold
Business Earnings Estimate:
Organo Gold Review and Analysis Summary:
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What Is Organo Gold?
Organo Gold is a multilevel marketing company that offers a variety of premium everyday products with an emphasis on healthy coffees and teas.
Organo Gold was founded by Bernardo Chua and Shane Morand in 2008 with headquarters in Richmond, British Columbia, Canada.
Organo Gold distributes and sells its products through an mlm network of independent distributors operating in over 45 different countries.
Organo Gold sales revenue has been on a decline in recent years, from $215 million in 2013 to $30 million in 2018.
According to Organo Gold, over 94% of distributors earned less than $600 per year.
The financial information above suggests Organo Gold business opportunity is on a decline, and business profits are low.
I strongly advise you to compare Organo Gold with other home-based opportunities before investing.
You can use My #1 Business Opportunity to make a comparison.
How To Join Organo Gold?
You need a sponsor to join Organo Gold.
If you don’t have a sponsor, you can visit the Organo Gold website to request for a local Organo distributor.
Your sponsor can submit your application to Organo Gold with appropriate fees to launch your own Organo Gold business.
But to build a business and earn the commission with Organo Gold, you must be an active and qualified distributor.
Active and qualified require purchasing a Business Entry Kit and meeting the monthly sales quota, which I’ll discuss in the next section of this Organo Gold review.
How Much Does It Cost To Join Organo Gold?
The cost to join Organo Gold is $49.95 for the business entry kit.
The business kit comes with sample products, free access for one year to Organo BackOffice, a replicated website, and all the information you need to share and promote your Organo Gold business.
There’s also an annual BackOffice renewal fee of $49.95, which will be charged on the distributor’s anniversary date.
Purchasing the business entry kit is not enough if you want to build a business and make money with Organo Gold.
To earn the highest commission, you must purchase one of the following Builder Packs
with the price ranging from $150 to $1,245.
- The Bronze Pack places you on the 10% commission level,
- The Silver Pack promotes you to the 15% commission level,
- The Gold Pack allows you to achieve the highest level of 20% commission.
Besides the membership fees above, there are expenses to operate your Organo Gold mlm business.
Organo Gold requires all distributors to maintain a qualified status to receive the commission.
Qualification is determined based on the distributor commission level.
If you are in the 10% commission level, you must purchase at least 50 Personal Qualifying Volume (PQV), approximately $54, each month to remain qualified.
At the 15% and 20% commission level, you must purchase at least 100 PQV, approximately $108, each month to remain qualified.
So, the actual cost to join Organo Gold depends on the commission level that you have selected. The lowest cost is $199.95, and the highest cost is $1,294.95.
You should pay attention to the monthly Qualified Expense.
Organo Gold is a Pay and Play business opportunity. If you want to earn, you have to pay.
Any distributor that fails to maintain a Qualified Status is not allowed to receive the bonuses and commissions from Organo Gold.
Remember, the expenses above do not include your time, marketing costs, travels, and gas expenses.
The monthly active and qualified expense can destroy your business profit if you cannot resell the products. They become business losses.
Other home-based businesses, such as Affiliate Marketing, you earn the commission on every sale, no need to be active and qualified.
Want to know why Organo Gold has the monthly qualified requirements?
Well, to sell products and to avoid being classified as a pyramid scheme under the FTC guideline. (Check our discussion on the FTC MLM Guideline to learn more)
The Organo Gold Compensation Plan
The Organo Gold compensation plan outlines the options for distributors to make money with Organo Gold.
I’ll provide a quick review of the Organo Gold compensation plan. To see it in detail, just download a copy.
Organo Gold claims that distributors have 7 ways to earn.
But as an mlm opportunity, you really have two options to earn: Sell Organo Gold Products and/or recruiting others to join the business.
Make Money Selling Organo Gold Products
Organo Gold distributors can purchase products at wholesale price to resell or sell directly from the replicated website for a retail profit.
Below is a sample of the Organo price list.
Let say you sold a package Organo Gold Gourmet Black Coffee (30 sachets) for $25.50 and the wholesale price is $17, you earned $8.50 in retail profits.
This sounds simple and easy, right?
OK, I did a search online and found Organo Gold Gourmet Black Coffee selling for $14.
Can you make a retail profit selling Organo Gold products on the market?
It will be a challenge.
Overprice is the reason why distributors have a hard time to make money selling Organo products.
Make Money Recruiting Organo Gold Distributors
If you cannot sell products, then your only option to make money is recruiting others to join Organo Gold.
To understand the Organo Gold compensation plan, you need to know that some part of the compensation plan adopted a Binary payout.
Binary means you have to build two successful teams, the right and the left, to receive the commission.
Binary payout is considered the most difficult compensation plan to make money in the mlm business.
You also need to understand that Organo Gold calculates the commission using Commissionable Volume (CV), not the dollar amount.
The CV is points assigned to each product by Organo Gold.
Let’s go back to the Organo Gold Gourmet Black Coffee above where you sold one for $25.50 with a 15 CV.
If you are on the 20% commission level, you have just earned $3 dollars (15 CV X 20%), not $5.10.
This 20% commission is only 11.76% commission. Can you see the trick of using CV to inflate the commission rate?
Now, as long as you are qualified, here are your options to earn from recruiting others.
Fast Track Bonus
You can earn $20, $80 or $150 fast track bonus if your recruit purchased a builder pack.
- $20 for the Bronze Pack
- $80 for the Silver Pack
- $150 for the Gold Pack
Team bonus is determined under the binary system.
You must recruit at least two people, one on the right and one on the left, to start earning the team bonus.
A minimum of 300CV on each leg, a total of 600CV, is required to earn a team bonus.
The bonus is determined based on the distributor commission level.
If your commission level is 15%, you earn a team bonus of $45 (300cv X 15%).
But to receive this $45 team bonus, you must be qualified with a monthly order of $108, spending $180 to receive $45 in commission.
Organo Gold pays from 1% to 5% override commissions to qualified distributors up to 9 levels.
This commission is calculated based on your entire team sales volume.
But to receive the override commission, you build a large team of qualified distributors.
There are other leadership bonuses and commissions which require more purchasing of Organo Gold overpriced products to qualify. You can refer to the compensation plan for more information.
As you can see, there are multiple ways to earn with Organo Gold. However, no money is paid unless you are qualified.
This is how mlm work. Ways to earn is not the same as qualifying to receive the money.
Qualification requires more product purchases and/or recruits more people.
You can potentially earn nothing under the Organo Gold compensation plan because the expenses to maintain a qualified status might exceed the commissions received.
Can You Make Money With Organo Gold?
You cannot rely on the Organo Gold compensation plan to determine the business income.
Here’s what I mean,
The Organo Gold compensation plan offers POTENTIAL EARNINGS, not real income.
You need a copy of the Organo Gold Income Disclosure Statement (IDS). This financial document provides ACTUAL INCOMES received by distributors from Organo Gold.
But, where can you get a copy of the income disclosure statement?
You can request one at the time of enrollment. The law requires Organo Gold to provide you a copy together with the compensation plan.
As a business review writer, I look to the actual incomes to advise clients on an investment.
If Organo Gold refuses to provide you a copy of the income disclosure statement, don’t join. This is a sign of a scam.
Here’s a copy of the Organo Gold income disclosure statement for us to use with this Organo Gold review.
Organo Gold Distributor Income
According to the Organo Gold income disclosure statement, over 94% of distributors earned less than $600 per year.
Before you get excited and concluded, “Yes, I can make money with Organo Gold!” I like to point out that this is the gross commission, before taking out taxes and expenses.
What happens if you deduct the business expenses from this commission?
94.24% of Organo Gold distributors made no money.
What about the top 5.76%?
How many distributors really make money?
You must earn at least $108 a month, $1,296 a year, to cover the monthly qualified expenses.
Looking at the earnings chart, only 31.42% of the top 5.76%, which was 1.81% of all Organo Gold distributors earned enough to cover the monthly qualified expenses.
After reviewing the income disclosure statement, I can tell you that your chance of making money with Organo Gold is near zero.
Why I am so confident?
Because only a small group of distributors earned a profit with Organo Gold after deducting the business expenses.
How can you possibly achieve this top group in the first year?
Organo Gold business opportunity is not profitable.
Is Organo Gold A Scam?
Yes, Organo Gold distributors made little or no money.
But Organo Gold is not a scam. This is normal with an mlm opportunity.
Organo Gold is a business opportunity. Every business has risks.
You are responsible to carefully research, study, and investigate Organo Gold before joining.
If you become an Organo Gold distributor without doing the proper researches, then you cannot accuse Organo Gold as a scam.
Reading this Organo Gold Review is a good way to learn the risks and rewards associated with the Organo Gold business opportunity.
Many entrepreneurs hire professional financial analysts to evaluate business profitability and loss before investing.
As an owner of an Online Business Review, I have evaluated hundreds of mlm businesses to help investors identified and managed the risks.
As a business opportunity, Organo Gold is not a scam.
It’s an unprofitable business.
Is Organo Gold A Pyramid Scheme?
Mlm companies are legit if they follow the FTC guideline.
Organo Gold might be legit under the law, but I don’t invest based on the laws.
I look at the financial information and the commission structures to determine a pyramid scheme or scam.
I say Organo Gold is a pyramid scheme.
If you look at the compensation plan, distributors are forced to purchase overpriced products to earn the commission.
The only way to sell Organo Gold products is by recruiting others to become a distributor. The more people that you recruit, the more money you earn.
Distributors are the primary customers of Organo Gold products.
Doesn’t this qualify Organo Gold as a pyramid scheme?
Well, you don’t have to agree with me.
But, based on this Organo Gold Review, you must agree that Organo Gold does not offer an innovative business opportunity.
You will not make money with Organo Gold, because the compensation plan was designed to make money for Organo Gold, not for you.
Is Organo Gold Worth It?
If you love the Organo Gold Coffees, then I guess Organo Gold worth it.
But if you are looking for a profitable business opportunity, then Organo Gold is not worth it.
However, the decision to join Organo Gold is yours to make.
I am writing this Organo Gold review to help you make the right investment decision.
Ask yourself this,
Do you know why you want to start a business?
To make money, right?
And to make money, we invest in a PROFITABLE business!
There are much better and less risky home-based business opportunities compared to mlm opportunities.
I recommend you look at Affiliate Marketing.
As an affiliate marketer, there’s
- No need to purchase a starter kit,
- No Personal Volume (PV) requirement,
- No face-to-face sales,
- No recruiting, and
- The best part, you are working on the computer in your own home or anywhere you like.
Affiliate marketing is one of the most powerful methods to promote and build your mlm team. I recommend you read, The New MLM Affiliate Marketing to learn more.
There’s one more thing that I like to discuss before ending this Organo Gold review.
Do you know that Organo Gold distributors have no control over their business?
Yes, you must follow and obey Organo Gold rules and policies to stay in business.
What happens if Organo Gold goes out of business?
You are out of business! You lose everything and nothing you can do about it. You have zero control over this.
You build a business to generate long-term incomes. You want to create a system that generates money far into the future. Isn’t this the #1 reason you want to build a successful business?
If you want to be an owner of a lucrative and profitable business that generates six-figure passive income, then…
You should read my #1 recommended online business opportunity.
Can you write?
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I would not invest even if Organo Gold is not a pyramid scheme.
Why you want to start a business with only a 1.81% chance of making money.
It is almost impossible to achieve your financial dream with Organo Gold opportunity. This is a fact!
Thank you for participating in our Organo Gold review discussion.
Until next time.
You can share your own Organo Gold review here.
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