Team National – The Latest Online Scams and How to Avoid Them

Team National promises you the opportunity to earn a significant income. But what are the chances the Team National opportunity will work for you? In this article, I reveal a few things about Team National you need to know. Is Team National a good opportunity? Because the Team National opportunity can cost nearly $3,000, and because there is less than a 2% chance of making this money back, we conclude Team National is NOT a genuine opportunity. This article evaluates the Team National opportunity and will help you decide if it’s right for you. Click to Discover a Proven Path to Financial Independence! Is Team National a Good Opportunity? Team National promises you an opportunity to earn a significant income and claims their goal is to empower you with long-term financial independence. To think this might be true is very exciting, but does Team National deliver on their promise? A few people do achieve financial independence with the direct selling business model. However, most people only experience financial loss, debt, embarrassment, and damaged relationships. What You Need to Know. If you are considering the Team National opportunity, here’s what you need to know: Most people do not make money with Team National. You have only 72 hours to cancel your membership and get a refund. The Team National business opportunity may cost up to $2,924. In 2018: 75% of the people who tried the Team National opportunity earned an average of 30 cents for the YEAR! 92% of the people who tried the Team National opportunity failed to make more than they spent on membership. Less than 1% of the people who tried the Team National opportunity earned $18,000 for more. Read Why Affiliate Marketing is Better than MLM. Team National Independent Marketing Directors. Team National calls its salespeople Independent Marketing Directors (IMD). You can become an IMD without purchasing the membership packages. However, that would defeat the purpose of Team National. Becoming a member is encouraged, and there are built-in incentives to persuade you to join as a Life-Time member at $2,195. Independent Marketing Directors are contracted commission sales agents, also known as independent contractors. Think Like a Businessperson. If you are considering the Team National opportunity, it is probably because someone is trying to sell it to you. When it comes to making the right decision, you must be objective. That means you must think like a businessperson and base your decision on the facts. If you decide to pass on the Team National opportunity, you can always come back to it if you change your mind. However, if you make the wrong decision, you might foolishly spend a few thousand dollars you’ll never get back. In this article, we look behind the Team National curtain and let the facts speak for themselves. What Do You Expect to Achieve with the Team National Opportunity? Team National promises you two things; The chance to save on everyday purchasesThe opportunity to earn a significant income. If you join Team National, it will be because you are convinced you will benefit from it. How do you think you can benefit from Team National? Do you want to save money? Do you want to earn an extra few hundred dollars each month or become financially independent? Click to Discover a Proven Path to Financial Independence! Team National Will Cost You. Starting any kind of business has its expenses and risks. The Team National business opportunity is no different, except that the cost of the opportunity and the potential reward are both controlled by Team National. When you join Team National and purchase a membership, Team National benefits, and you suffer an expense. Statistically, the chances of you ever earning more than the membership cost you is extremely low. While we can’t be sure if you’ll ever earn a dime with the Team National opportunity, we can be sure it will cost you. You can become a Team National Independent Marketing Director without purchasing a membership. However, there are incentives to buy a membership, specifically the Life-Time membership, for $2,195. Below are various expenses related to the Team National opportunity, as found in the Team National, Inc., Independent Marketing Director Agreement, and the Team National Policies and Procedures document. $55 Starter Kit Fee ($25/year after the first year) $99/year for Genealogy, a reporting tool that tracks your downline. (If you are not a member of Team National, this tool will cost $495/year) $35.95/month for Success Club ($431/year) $12/month for Team National personal website ($144/year) $795 for 2-year membership access $2,195 for Life-Time membership access As a minimum, the Team National opportunity will cost you $55 for the Starter Kit. The chance of success with just the Starter Kit is probably zero. At the high end, the Team National opportunity will cost you $2,924. If you finance the cost, it will cost more. As we’ll see in a moment, there are additional hidden fees. For now, assume the Team National opportunity will cost you up to $2,924 for your first year and up to $699 every year after that. Team National Hidden Fees. In addition to the up-front expenses, Team National also has some hidden fees. According to the Team National, Inc., Independent Marketing Director Agreement, you will not earn a commission on your FIRST SALE. Making your first sale merely qualifies you to earn a commission on your second sale. Also, for every commission you earn that is more than $100, Team National will charge you $5. Team National Refund Policy. If you buy a Team National membership, you have only 3 days to cancel your membership and get your money back. To cancel your membership, you “must mail, fax, or deliver” a “signed and dated copy” of the Cancellation Notice found on the back of the Team National, Inc., Membership Agreement. After the 3-day right of rescission has passed, no refunds will be processed. Team National also has a 12-month refund policy on the NON-MEMBERSHIP products and services. This can be confusing. The 12-month refund policy covers everything EXCEPT THE MEMBERSHIP. If you purchase the $795 or $2,195 membership and later change your mind, you WILL NOT get your money back after 3-days. What is Team National? Said to be a membership savings company, Team National uses direct sales marketing and offers an earnings program that promises a primary or secondary income. The Team National profile on the Direct Selling Association website describes the company as providing membership savings in over 20 industries, including; AutocareBenefits PackagesBusiness/CommercialFinancial ServicesGroup Buying ServiceHome Accessories/DécorJewelryNutritional SupplementsTelecommunications Services Not True Savings. Many online comments describe the Team National “savings” as rebates. In other words, a member does not save on the purchase price, but instead pays full price and then applies to Team National for a rebate. Rebates can take up to 3-months to process. Also, online comments suggest the savings are no more than you could get for free with a little legwork. Team National is an MLM. BestCompany.com describes Team National as a Multi-level Marketing Company. DirectSellingNews.com describes Team National as an MLM with annual revenues exceeding $700 million. In the Team National welcome video, company CEO Angela Loehr Chrysler states the company is debt-free. The company profile on LinkedIn states it is “privately held.” Team National was founded by Richard Loehr 1999 and is now controlled by his daughter. It is assumed the company is owned by the Loehr family. Because Team National uses a multi-level compensation plan, we will refer to it as a Multi-level marketing company, aka MLM. The Problem with MLM. Very few people succeed with MLM. Most lose money. Before you can appreciate the Team National opportunity, what it will cost, and your chances for success, you must understand the MLM industry. In the following sections, I offer a sobering overview of the MLM industry. MLM’s Dismal Reputation. Multi-level Marketing has an awful reputation for selling false hope. An Anonymous commenter of WatchForScams.com wrote an insightful comment about the MLM industry. “Ethics is not a concept in MLM companies. For however honest they think they are, the MLM scheme cannot succeed. It is unethical to sell dreams to the needy and poor.” The promise of opportunity is just a trick. Seeking Alpha, a website that monitors Wall Street and the economy, describes investors growing uneasiness about MLM. On Wall Street, MLM is increasingly seen as unethical and contrary to best business practices. Seeking Alpha describes MLM as a model that requires endless chain recruiting and reward only the top 1%. Vice states MLMs destroy people financially. MLMs so-called opportunity is pure marketing, a ploy to seduce people into handing over their money. Promising opportunity is how an MLM can charge thousands of dollars for the vague promise of saving money in the future. The dream of opportunity and a better life can be extremely attractive, particularly if you’re in a bad financial situation or hate your job and are desperate for something better. Once a person is sold the dream that MLM leads to riches, they might spend themselves into financial ruin trying to make it happen. And, along the way, destroy countless loving relationships with friends and family. Failure with MLM can leave a person psychologically devastated, in debt, and alienated from friends and family. 6 Reasons Why People Lose Money with MLM. There are countless reasons people lose money with MLM’s so-called opportunity. The nature of MLM is exploitative. It preys on people’s trust and desire for a better life. Although some people do make money with MLM, it has never been as lucrative for the average person as it pretends to be. Here are 6 reasons why people lose money with MLM. Distributors must pay for the privilege of selling the company’s products.Distributors must buy products or pay a fee each month to remain qualified to sell the company’s products.MLMs front load products onto new distributors.MLM products are more expensive than competing products.MLM encourages distributors to pressure family and friends.MLM is an outdated business model requiring a lot of energy for a small return. Front-Loading. Most MLMs will find a way to load a new distributor with products. This practice is known as product-loading, front-loading, or inventory-loading. It burdens a new distributor with excessive products and debt. Frontloading is a massive profit generator for MLMs. That’s why MLMs do it. Because front-loading is unethical, MLMs will go to extremes to hide it. Here’s how front-loading works. When a distributor first joins an MLM, they are vulnerable and easily manipulated. They are excited about the opportunity, and they trust the person who recruited them. They want to succeed and are willing to do whatever it takes. While in this vulnerable mental state, a new distributor is encouraged to go “all in” and purchase a large starter kit loaded with a wide range of company products. They might be encouraged to borrow the money to get the starter kit or charge the expense to a credit card. Usually, after a few months, the new distributor begins to realize they can’t make money with the business. Friends and family are avoiding them, and they can’t find any customers. Front-loading often destroys a distributor’s finances and leaves them with a large credit card bill. It is easier to spot front-loading with an MLM that sells physical products like vitamins and soaps. But what about a company that offers a membership? In a moment, we’ll look at the Team National membership packages and how getting involved might impact your finances. Road Hazard - Hang on, I’m about to drive us over the edge of reason. Stay with me because this is something you need to know. The Crazy World of MLM. When you join an MLM as a distributor, you are a commission salesperson. Legally, you are considered an independent contractor. As a commission salesperson for any company other than an MLM, you don’t pay the company for the privilege of selling its products and making the company money. With non-MLM companies, you just sell the product if you want to make money. Also, companies outside of MLM don’t pretend their sales position is an “opportunity.” It’s merely a sales position. The arrangement is usually simple and straightforward. Sell the product and earn a commission. MLM is different. MLM draws people in with the promise of an opportunity when there really isn’t an opportunity. Then, they charge everyone for the privilege of selling their products and making the company money. With this arrangement, the MLM company creates a cycle that benefits the company at the expense of the distributor. The MLM company makes a profit regardless if products are sold to consumers or not. And, if a product is sold and a distributor earns a commission, the commission is first paid back to the company so the distributor can remain “qualified.” Either way, the company wins every time, and the distributor loses. Do Ethical MLMs Exist? Probably not, but some MLMs are more transparent than others. An ethical MLM would provide all the information you need to make an informed decision about its business opportunity. Before we take a closer look at Team National, let’s establish what an ethical MLM might look like. By design, the MLM business model exploits people. Critics claim MLMs sell false hope disguised as opportunity. Most people who speak out against the industry would probably say there is no such thing as an ethical MLM. They may be right. However, some MLMs are less exploitive than others, and some are more transparent. A transparent MLM that follows the Direct Selling Association Code of Ethics must provide the following; ALL the information needed to fully evaluate the opportunity.A 12-month buy-back policy. A Closer Look at Team National. Online comments can tell us a lot about Team National and what you can expect if you buy a membership. Typically, the negative comments and complaints are scattered across many websites or lost in a sea of positive comments from Team National Independent Marketing Directors trying to score points. However, MLM companies have a lot to lose if they get a bad reputation. They may hire professionals to manage their online reputation. For this reason, I tend to discount position comments I find online and search for the negative comments and complaints. A lot can be learned from online complaints and how Team National responds to them or fails to respond. Below I’ve posted excerpts from several complaints I found online. There are 18 complaints about Team National filed with the Better Business Bureau. Only 5 of those complaints have been resolved by the company. Below are excerpts from the Team National complaints found on the BBB website; “I want a full refund for the $2,195 I paid to join. I would not have joined if I had known the IMD average income.” “This company is a rip-off. The people who sell these memberships are very dishonest.” The following complaints and comments are from ComplaintBoard.com. Some have been edited for brevity and clarity. “Avoid Team National. You can get discounts without this company. I paid $2,195 for nothing.” “With Team National, there is no product and no viable service! It's simply deceiving people to join a club with huge fees that offer nothing of value!” “After speaking to a few people who dealt with Team National... bottom line is AVOID AT ALL COSTS.” “My brother got involved with Team National and has regretted it ever since, the few people he recruited no longer talk to him.” Here are some complaints from RipOffReport.com “I wish I had never been bullied into joining this horrible company. I live paycheck to paycheck with 5 kids. I can't believe my "friend" scammed me for my hard-earned money.” “IMD's will say almost anything to get you to sign up on the first night. They know if you research the company, you won’t join.” Comments from WatchForScams.com “My husband & I were suckered into this company by people we thought were our friends.” “I feel really dumb for falling into this trap.” Comments found on BestCompany.com “Team National is an absolute joke. I was told about all the great discounts and haven't found one yet. Do not be like me and waste your money. The only way this does anything is if you sell the lie.” “I would not recommend Team National whatsoever. I was "conned" into joining this program back in 2000. It seems like a "scam job" to me! Don't waste your money!” Is Team National a pyramid scheme? Team National is not a pyramid scheme. It is a privately-owned direct sales company that uses multi-level marketing to promote savings membership packages and a business opportunity. Most people who try the Team National opportunity lose money. Does Team National Provide the Information We Need? As a member of the Direct Selling Association, Team National is obligated to follow the DSA Code of Ethics. The DSA Code of Ethics states; …prospective independent salespeople must be provided sufficient information to enable a reasonable evaluation of the opportunity. Although Team National is not fully transparent, and it is difficult to find some of the necessary information such as the Team National Compensation Plan, it DOES provide an Income Disclosure. The Income Disclosure is enough for us to see that Team National is NOT a genuine opportunity. In a moment, we’ll take a detailed look at the Team National Income Disclosure so you can see precisely what your odds are for success. Does Team National Load Independent Market Directors with Products? Team National does not publish a compensation plan. Without looking at the compensation plan and a full list of products, we cannot conclusively determine if Team National loads its IMD with products or not. Although Team National may not technically load their IMDs with products, they effectively accomplish the same thing by pushing a $795 and $2,195 membership package and then limiting the refund period to 72 hours. This microscopic refund period is the minimum most states permit and conflicts with the spirit of the Direct Selling Association Code of Ethics. The DSA Code of Ethics states: “Our members must honor the repurchase policy, requiring the company to purchase any unused inventory from independent salespeople within 12 months at 90 percent or more of the original cost.” The purpose of a buy-back policy is to prevent new distributors from being exploited and driven into debt. Charging someone $2,195 and then refusing them a reasonable cool-down period is predatory. Because Team National sells “memberships,” they apparently can skirt around the DSA Code of Ethics. If Team National had a product that was clearly worth $2,195, they would proudly back their product with a generous buy-back policy. Because Team National takes people’s money and slams the trap shut in three days, you must wonder if their memberships are worth anything at all. How Much Does the Team National Opportunity Cost? The minimum cost is $55, but that only gets you a Starter Kit. You don’t have to buy a membership, but you will be strongly encouraged to go all in. Memberships cost $795 and $2,195. There are also several business tools you can purchase. If you went all-in with a Starter Kit, Lifetime Membership, and all the business tools, the Team National Opportunity would cost you $2,924 for your first year. How Much Can You Make with Team National? Most people who try the Team National opportunity lose money. They spend more on a membership package than they earn with the business. According to the Team National Income Earnings Disclosure 2018: 75% of all Team National Independent Marketing Directors earn an average of 30 cents for the YEAR! Most people find more money under a sofa cushion. 92% failed to earn more than they spent on membership. Only .6% of all IMD earned at least $18,000 in 2018. Is Team National a Scam? Team National is not a scam. Most people do not make money with the Team National opportunity, and it is questionable if the savings packages are worth the cost of membership. However, Team National publishes an Income Earning Disclosure so anyone can see the odds of succeeding with Team National. Plus, Team National has a 3-day refund period on the membership packages and a 12-month buy-back policy on the business tools. Also, Team National is a member of the Direct Selling Association. If someone has a complaint with Team National that cannot be resolved with the company, they can appeal to the DSA. Is Team National Right for You? We’ve seen that the Team National opportunity and membership can be costly. We’ve also seen that 92% of the people who try the Team National opportunity never break even. After reading this article, do you think Team National can deliver on its promise to help you earn significant income? Do you think the Team National opportunity can deliver what you hoped? The odds of succeeding with Team National are so low, a part-time minimum wage job would be a far better use of your time. How Do I Cancel My Team National Membership? You have only 3-days to cancel your Team National membership and get your money back. To cancel your membership, you “must mail, fax, or deliver” a “signed and dated copy” of the Cancellation Notice found on the back of the Team National, Inc., Membership Agreement. This is the agreement you signed when you purchased the membership. According to Team National policy, after the 3-day right of rescission has passed, the company will not issue a refund on membership packages. However, because Team National is a member of the Direct Selling Association, if you do not get satisfaction from Team National, you can appeal to the DSA. To file a complaint, go to dsa.org/consumerprotection/filing-a-code-complaint. Click to Discover a Proven Path to Financial Independence! The Last Word on Team National. Team National is a privately owned, debt-free company that generates more than $700 million a year in revenue. 92% of its sales force lost money on the opportunity in 2018. Many of Team National’s IMDs will incur significant debt as they chase the dream. There is no way of knowing if the Team National membership is worth the cost until after you pay your money and try to use it. By then, the 3-day refund period may have expired, and you’re stuck with it. If you purchased the Lifetime membership package for $2,195 and saved an average of 5% on your purchases, you would have to spend $44,000 to break even. Meet Wimpy. The notion of spending real money today so you might hypothetically save money in the future is reminiscent of the Popeye character Wimpy. J. Wellington Wimpy was a petty cartoon con man who promised to “gladly pay you on Tuesday for a hamburger today.” Of course, every Tuesday, Wimpy was nowhere to be found. Like Wimpy, Team National will gladly give a rebate tomorrow for $2,195 today. And, also like Wimpy, Multi-level marketing is a relic of a by-gone era. It started in the 1940s, before telephones were in most homes and when people typically communicated face-to-face. Even back then, MLM did not work for most people. Unfortunately, in the past 80 years, MLMs have become more aggressive and exploitative. Although Team National is a member of the DSA, it appears to be an extraordinarily aggressive MLM. The high cost of membership combined with the brief refund period makes Team National a threat to your finances. A Better Option for You. We are approaching the end of the first quarter of the 21st Century. Most people in North America have internet access. Business is moving online. The internet is the opportunity of the ages. With the proper training and support, anyone can leverage the internet to their advantage and enjoy genuinely unlimited earning potential. The internet never sleeps. A website can earn revenue 24/7. Once you are competent with a few internet marketing skills, you can create countless streams of income. Start with affiliate marketing. It’s cheap and it's easy to start. Incidentally, the $2,195 you might spend on a Team National membership would pay for an affiliate marketing business for over 7 years! Read Why Affiliate Marketing is Better than MLM. Related Articles: Why Affiliate Marketing is Better than MLMIs SwissJust a Good Opportunity?Is MLM a Scam?