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LuLaRoe controlling total transacrions

2 10 February 14, 2017 at 02:20 PM
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My wife has been a LuLaRoe consultant for about a year. Recently I started to look over the letters she has been receiving from them to see why there has been an influx in mail from LuLaRoe.

One conversation I had with her recently was around them controlling and dictating total transaction. What I mean is that she takes someone's credit card and puts it online so that it can be processed through their payment system. They also charge a transaction fee which is higher than square or other POS readers. It seems weird to me that you pay this company for her inventory upfront then they control transactions and then send you the payment all from their accounts. it seems like they would be able to capitalize on the cash they are processing and leverage it for their gain.

Two weeks ago they then sent out communication saying they would be providing consultants with credit card readers. It turns out that these readers are basically a square knock off controlled by LuLaRoe. On top of that it's only able to be used on iOS systems and not Android so they informed my wife she could get an iPad or iPhone....

Today we received a letter stating that she had been signed up to receive her payments that they transact to a new LuLaRoe debit card which they partnered with metabank in order to provide consultants an easier way to manage their finances..... We already had our money going to an independent bank account which we were utilizing for only the business. The letter denoted if you want your funds transferred to your chosen account it is a 1$ fee. presently reviewing the transactions they process them on a daily basis. The logical thing to do if they are charged transaction fees to transfer cash to consultants would be to pay out once a week. the weird thing to me is that now they get your money when you buy inventory and hold it until you spend somewhere else... It seems beyond shady to me.

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I only first heard of this company last month. One person in my community posted on our FB page about their products, then two others immediately commented that they also were distributors for lularoe. It seems this company is going after as many people as possible, regardless of any territory restrictions. I mean 3 distributors in one very small community of less than 200 homes?! There are approximately 30 gated communities in the town where I live. So possibly 90 distributors in a 5 mile radius.....Crazy!!!

I understand times are tough and people are looking for ways to supplement their income, but this company sounds to be extremely greedy from everything I am hearing.
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Quote from ohsheet
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I only first heard of this company last month. One person in my community posted on our FB page about their products, then two others immediately commented that they also were distributors for lularoe. It seems this company is going after as many people as possible, regardless of any territory restrictions. I mean 3 distributors in one very small community of less than 200 homes?! There are approximately 30 gated communities in the town where I live. So possibly 90 distributors in a 5 mile radius.....Crazy!!!

I understand times are tough and people are looking for ways to supplement their income, but this company sounds to be extremely greedy from everything I am hearing.

They really don't give a shit about how many distributors. They make the bulk of their money from bored housewives looking for a hobby. You have to purchase like $6,000 worth of inventory to start and I'm fairly certain like every other scheme like this most barely sell any.
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Quote from NYExcuse
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They really don't give a shit about how many distributors. They make the bulk of their money from bored housewives looking for a hobby. You have to purchase like $6,000 worth of inventory to start and I'm fairly certain like every other scheme like this most barely sell any.
Ahh, makes perfect sense now. The company gets paid thousands whether or not the distributors sell the merchandise. Repped, my fellow NYer
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