Stories of Hair Loss and Scalp Irritation Substantiate Monat Pyramid Scheme Scam

Many people out there want a business that will not require much labour and expertise to carry out. They want a business model that puts them in control; an entrepreneurship where they earn as they work. So they choose multi-level marketing (MLM) such as Herbalife, Neolife (formerly GNLD), Arbonne, Nu Skin, Juice Plus, and Monat among others.

The problem, however, is that many of these MLM businesses come with lots of customer dissatisfaction, including the infamous Monat pyramid scheme scam.

MLM is a legal and legitimate business model where affiliates directly sell physical products to retailers and also recruit more affiliates or resellers, and the business practice is approved in the UK by the Direct Selling Association (DSA) among other agencies in respective countries.

Established in 2014 as a personal skincare products company in the MLM niche, Monat Global is owned by Alcora Corporation and headquartered in Florida, United States. It is founded by Luis Urdaneta who also serves as the chairman, and his son Rayner Urdaneta serves as the CEO; while Stuart MacMillan currently leads as the company president.

Monat emerged from L’eudine Global, a beauty and wellness direct sales company established in 2001 and operative in both Venezuela and Florida.

Monat is reputable in the production and marketing of hair-care products such as shampoos, conditioners, hair rejuvenating vitamins, scalp rejuvenation oil, and other nature-based hair products that promote healthy hair quality.

According to the company, “our vision is to be a global leader in naturally based, anti-aging innovation – with an unrivaled business model that enhances the self-confidence and financial well-being of one million families around the globe each year.”

It is this “unrivaled business model that enhances the self-confidence and financial well-being” that led to the MLM structure of the organization. The company did good for some time, but it later emerged as a pyramid scheme scam when retail users began to complain of hair loss and scalp irritation.

The term Monat Pyramid Scheme Scam took over the social media space since the company primarily markets its products and recruits affiliates on social media.

Thousands of women – Monat recruits only women as affiliates and sells only to women – in the United States and Canada complained of broken promises and impoverishment after using and marketing Monat’s hair care products.

Many affiliates revealed that they were pressured into targeting struggling women and brainwashing them with sweet promises of huge returns. Many affiliates even complained that they have huge stocks of products they could not sell-off, while still being pressured by the company to buy more to meet their monthly volume or lose their membership.

This makes Monat an undesirable business for many people at the moment until the company is able to address the myriads of product complaints coming from both affiliates and customers. Hundreds of customers have filed lawsuits following hair damage, scalp irritations, and skin harm. Monat has in return filed lawsuits against some customers who spoke out against the company’s products – a development many analysts see as unwise of the company.

The bottom line is that Monat appears to be a pyramid scheme scam at the moment given unsavory customer experiences and the company’s wrong handling of such issues. It is a business anyone should avoid for the time being until the coast is clearer for affiliates and customers.