MyRichesse Review: $249 recruitment scheme
The MyRichesse website was registered on the 30th July 2012, however the domain registration information is set to private.
On the MyRichesse website, the company claims to be based out of Queensland, Australia and names “Les Richardson” as company founder and Director.
On his MyRichesse executive bio, the company claims that Richardson (photo right) started out in construction and then
began building and hosting local and international websites for many different companies all over the world, which is where he became interested in the Network Marketing Industry.
He has gained a wealth of knowledge and experience over the last 15 years and has been very successful in all of his ventures.
MLM history wise, a Google search ties Richardson with the MLM company “Avenues to Wealth”.
Avenues to Wealth appears to be an MLM income opportunity operating in the travel niche, which pays members commissions for selling $300-$330 membership packages to the company itself. Avenues to Wealth appears to have primarily targeted the African MLM market.
Richardson’s involvement in “the foundation” of Avenues to Wealth would appear to be the precursor to MyRichesse. Read on for a full review of the MyRichesse MLM income opportunity.
The MyRichesse Product Line
Taken from the MyRichesse website:
What is the product that MyRichesse offers?
The product is called a Launch Pad. The Launch Pack provides a range of benefits and privileges available to MyRichesse Affiliates.
Coming in at $249, MyRichesse’s Launch Pad is effectively just paid membership to the company itself.
The “benefits and privileges” MyRichesse membership provides access to ‘a selection of preferred independent product and service providers‘.
These services include:
- shopping portal (Zopper)
- travel portal (Travel Bugg)
- real estate (Flipping 4 Profit)
- ebook library
As far as MyRichesse themselves go, the only product able to be bought and sold within the company is membership through the Launch Pad. No retail products or services exist.
Additionally, it appeared as if none of the claimed services bundled with MyRichesse were operational at the time of publication of this review.
The MyRichesse Compensation Plan
The MyRichesse compensation plan offers affiliates a series of commission opportunities. These commissions are mostly recruitment based and utilise both binary and unilevel compensation structures.
Membership Ranks
There are nine membership levels within the MyRichesse compensation plan. Along with their qualifications they are as follows:
- Star – recruit at least 2 new MyRichesse affiliates who recruit at least 2 new affiliates each who recruit at least 2 new affiliates each (3 levels of recruitment)
- Executive – recruit at least 2 new “Star” qualified affiliates
- Star Executive – have at least 4 Star qualified affiliates in your downline (2 of which must be personal recruits)
- Royal Executive – have at least six personally recruited Executive qualified affiliates in your downline
- Ambassador – have at least two personally recruited Royal Executive qualified affiliates in your downline
- Star Ambassador – have at least two personally recruited Ambassador qualified affiliates in your downline
- Royal Ambassador – have at least two personally recruited Star Ambassador qualified affiliates in your downline
- Presidential Ambassador – have at least two personally recruited Royal Ambassador qualified affiliates in your downline
- Diamond Ambassador – have at least two personally recruited Presidential Ambassador qualified affiliates in your downline
- Global Ambassador – have at least two personally recruited Diamond Ambassador qualified affiliates in your downline
Recruitment Commissions
Called the “Star Builder”, MyRichesse pays affiliates recruitment commissions using a unilevel compensation structure.
A unilevel compensation structure places an affiliate at the top of the structure, with every personally recruited new affiliate placed directly under them (level 1).
Any new affiliates recruited by level 1 affiliates are placed on level 2, any affiliates they recruit are placed on level 3 and so on and so forth.
Using this structure, MyRichesse pay out commissions via vouchers:
- personally recruited affiliates (level 1) = $40 voucher
- level 2 recruited affiliates = $20 voucher
- level 3 recruited affiliates = $10 voucher
MyRichesse don’t actually specify what these vouchers are for, other than stating “they are redeemable” through an affiliate’s “e-wallet” (cash?).
Additionally, a $100 bonus is also paid out per 3 new affiliates recruited.
Matching Bonus
MyRichesse don’t clarify whether or not their matching bonus uses a unilevel or binary compensation structure, but I believe it uses the same unilevel structure as the voucher recruitment commissions above.
The matching bonus is paid out as a percentage of the earnings of recruited affiliates, with how many levels of recruitment an affiliate is paid out on dependent on their MyRichesse membership rank:
- Executive – 10% on level 1
- Star Executive – 15% on level 1 and 5% on level 2
- Royal Executive – 20% on level 1 and 5% on levels 2 and 3
- Ambassador – 20% on level 1 and 5% on levels 2 to 4
- Star Ambassador – 20% on level 1 and 5% on level 2 to 5
- Royal Ambassador – 20% on level 1 and 5% on levels 2 to 6
- Presidential Ambassador – 20% on level 1 and 5% on levels 2 to 7
- Diamond Ambassador – 20% on level 1 and 5% on levels 2 to 8
- Global Ambassador – 20% on level 1 and 5% on levels 2 to 9
Car Bonus
Paid out upon affiliates reaching the Ambassador membership rank, the MyRichesse car bonus is a one time $20,000 bonus.
An additional qualifier for the Car Bonus is that an Ambassador must also have 6 personally recruited Royal Executives, each with a binary team consisting of at least 24 personally recruited affiliates on both sides of their binary.
Gold Bullion
Upon reaching the Global Ambassador membership rank, MyRichesse affiliates are paid out $100,000 in gold bullion.
Global Bonus Pool
The Global Bonus Pool is paid out starting at the Presidential Ambassador membership rank, with “Global Bonus Pool steps” used to calculate how much qualified affiliates are paid.
A Global Bonus Pool step is counted when a new affiliate recruits two new affiliates into their binary team in a perfect 1:1 ratio (one new member added to each side).
For each new affiliate recruited in a month that achieves a 1:1 ratio of newly recruited affiliates themselves, with each ratio counted as a separate step, one share of the Global Bonus Pool is awarded to the qualifying affiliate.
Note that MyRichesse do not state where the funds for Global Bonus Pool come from.
Additional Launch Pad Positions
Despite the MyRichesse terms and conditions stating that:
MyRichesse Affiliates may NOT purchase more than one “Launch Pad”. MyRichesse Affiliates may NOT have multiple accounts under different sponsors.
It is possible for an affiliate to have multiple Launch Pad positions in the compensation plan, as affiliates are awarded a free additional Launch Pad position upon achieving the Global Ambassador membership rank.
This position is placed within an affiliate’s existing binary structure, effectively allowing them to double-dip on their existing teams commissions (and expand their binary one level horizontally).
Leadership Retreats
Leadership retreats revolve around the concept of “binary steps”. A binary step is when an affiliate recruits two new members, with one each placed on either side of their binary team (a pair).
For each pair, or binary step, an affiliate makes they are awarded a binary step point. Points can then be put towards the costs of attending Leadership Retreats, which I believe are held every six months.
- 60 points – 25% discount on Leadership Retreat costs
- 120 points – 50% discount on Leadership Retreat costs
- 180 points – 75% discount on Leadership Retreat costs
- 240 points – Free Leadership Retreat ticket for one person
- 480 points – Free Leadership Retreat ticket for two people
Note that once points are used (at any level) an affiliate’s total point balance is reset back to 0 (regardless of how many points were used and the remaining balance). If an affiliate does not use their points, they carry over to the next 6 month qualifying period.
Joining MyRichesse
Membership to MyRichesse is $249 upfront and $49 payable annually.
Conclusion
With a compensation plan that squarely focuses on recruitment and sale of company memberships (Launch Pads), the MyRichesse income opportunity strongly resembles that of a pyramid scheme.
There are services offered as part of membership, which MyRichesse affiliates can reportedly earn money off, but these are third-party services and constitute separate affiliate agreements between MyRichesse’s affiliates and the third-party vendors providing the services. Thus they fall outside of the MyRichesse MLM business model (and as such are not featured in the compensation plan).
Within the MyRichesse opportunity itself, membership is the only “product” able to be marketed and sold and thus is the company’s only commissionable item.
Whereas Avenues to Wealth appears to have been squarely aimed at the MLM travel niche, MyRichesse appears to be an attempt to broaden that scope under a different company name, using a similar recruitment driven compensation plan.
This is further evidenced by the fact that MyRichesse do not offer refunds to affiliates, the compensation plan and business model is hidden from the public and it is impossible to even view the company’s website without an existing affiliate referral link:
As with all recruitment schemes, once new members stop joining the company commissions stop being paid out and as the effects of this slowly trickle up to the top of the pyramid, inevitably the scheme collapses.
Those that joined last, not being able to recruit any new members invariably lose their money.
Sounds like TVI Express redux, based on the org plan.
Sounds like every single Biz opp. I’ve looked at. Well there’s one born every minute!
@Kasey
Throw in some additional third-party services and replace matrix with a binary and yeah, pretty much.
They are including the 5 Websites and over 2000 ebooks in the Price. Is that not Product?
I have seen Bids and Banner programs everywhere which are all ponzi schemes and yet you have time to bag this with no proof. Shame on you.
I guess the Flipping of property is some how wrong too, saving Myrichesse Affiliates $6,600 joining fee and $100,000 Deposit, Whats your answer on that?
Please get the facts straight before exercising our opinion!
Not one that’s being bought at a retail level. You said it yourself, it’s included with membership.
When membership is all that’s bought and sold in MLM, it’s a pyramid scheme.
What Oz “meant”, I think, is that there must be a clear separation of the “income opportunity” vs. the product being sold, and the PRIMARY purpose of the company is to sell the product.
When there is no separation of the opportunity vs. product, then it’s pretty obvious that it’s the OPPORTUNITY being sold, thus, “pay to play” pyramid scheme.
In this case, it’s pretty obvious that you’re selling MyRichesse membership (i.e. recruiting). All the websites and eBooks and whatnot are benefits of membership, and not being retailed.
To use another MLM as example, you don’t join Amway to “use” Amway products (you can do that by buying the stuff from Amway rep). You join Amway to SELL Amway products. *THAT* is clear separation of Amway as income opportunity vs. products.
No such separation exists here.
Doing my due diligence with flipping4profit, actually speaking with the people and going to setup too see the paperwork and properties.
As opposed to using Google and hearsay nice way to lose credibility…. if it’s all real I wiil let you know. They buy and sell estate.
I’m keen to know what Doug uncovers.
It’s been 8 months Doug. What do you have to report? ROFL
Can’t be much to report… the MyRichesse website domain appears to be down.
Not surprisingly, the plug seems to have been pulled on this one.
This Les Richardson guy is promising people ownership in properties in Florida, Africa, and Singapore through an investment pool for joining his websites but he won’t issue them certificates or any legal document.
I see that he is mostly targeting the poor markets in Nigeria where his membership fee is likely their life savings.
This guy is such a con. He ran a travel club website scams back in the day which were blocked in AU and shut down as scams. He was targeting the deaf for those scams.
I checked the US SEC and he is not licensed to sell in the USA and if you check who he claims is working with him in Nigeria they were arrested for not being registered with the Nigerian version of the SEC.
They are about to finalize a R.E.I.T. which is a real estate investment trust, that is overseen by the irs and sec. guess the joke is on you. LOL
^^ What does that have to do with the operation of a $249 a pop recruitment scheme?
Smoke and mirrors… smoke and mirrors.
yeah, every ponzi real estate scheme, claims to have made filings with the SEC and be ‘legal’. it’s always a hoax.
‘overseen by the irs and sec’ !! indeed.
if you are daft enough to believe this hayes, then the jokes definitely on You !