Is Young Living a Pyramid Scheme?

Welcome to my Young Living review.

Young Living is an international multi-level marketing company that allows you to earn by selling their essential oils.

If you are interested to know:

Is Young Living a pyramid scheme
The real cost to start
Whether users are successful
Are there any complaints
And more!

You’ve landed on the best webpage!

I’ve dedicated a few days to analyzing this MLM program, taking notes, and thoroughly going over the program so that I can provide you with the most helpful Young Living review.

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I Want To Know…

About the Reviewer
Is Young Living MLM A Scam?
What Is Young Living?
Who Owns Young Living Oils?
How Does Young Living MLM Work?
Are Young Living Oils Safe?
Are Young Living Oils Legit?
Is Young Living A Pyramid Scheme?
How To Make Money Selling Young Living Oils?
Can You Really Generate Income With Young Living MLM?
What I Like About Young Living MLM
What I Don’t Like About Young Living MLM
Do I Recommend Young Living MLM?
Are There Any Lawsuits Against Young Living?
Young Living MLM Review – Conclusion
The Best Way To Make Money Online

About the Reviewer

Hey, I’m Ivan Brozincevic!

Since 2018, I’ve been making a full-time income online, which allowed me to quit my old job (about me).

In the beginning, I struggled to identify legit courses and avoid ones that were just out for my money.

That’s why I created this website – my main goal is to help you steer clear of pitfalls and discover the top online business courses.

Every week, I invest hours in reviewing online courses and writing reviews based on my fact-driven review guidelines to assist you in making an informed choice.

Is Young Living MLM A Scam?

Young Living MLM is not a scam. It is a multi-level company that recruits numerous members to sell directly to customers and earn commissions. Sales made from recruits result in higher commissions compared to straight sales.

Young Living classifies distributors into different ranks based on their sales quantity. The lowest rank is called “Distributors,” while the highest rank is known as “Royal Crown Diamonds.”

According to a public revenue declaration in my Young Living review, 94% of the company’s active distributors earned less than $1 in 2018.

In contrast, a small fraction, around 1,000 Royal Crown Ruby representatives, earned over a million dollars.

Service Insider’s review of Young Living’s 2018 income disclosure declaration shows that 89% of participants are on the bottom rate, receiving an average of $4 per year.

Participants on the top three levels, accounting for 98.7% of active members, earned between $4 and $1,551 annually, excluding monthly expenses to maintain active status.

Although most people lose money in these types of schemes, it’s safe to say that Young Living MLM is not a scam.

What Is Young Living?

Young Living is a multi-level marketing (MLM) firm that promotes essential oils and related products. The company positions itself as a world leader in producing and marketing high-quality essential oils for various ailments.

Client satisfaction can be seen in various Young Living reviews, highlighting the exceptional quality of their products. With over 500 varieties of essential oils, Young Living offers a wide range of options.

However, there have been some concerns surrounding Young Living in recent years. Negative reviews raise questions about the company’s credibility.

Although Young Living claims that its products are 100% pure, evidence from Indiana University professor Dr. Pappas suggests the presence of artificial substances in the oils.

Later in this review, we will discuss the question of whether Young Living is a pyramid scheme scam or a legitimate MLM company. But first, let’s delve into a bit of the company’s history.

Related Review: Is Primerica a Pyramid Scheme

Who Owns Young Living Oils?

Gary Young, the creator and owner of Young Living Oils, was born in Idaho in 1949. Even before founding the business that now bears his name, he was a debatable figure.

Gary Young has been involved in numerous public debates over the past decades.

One notable event is the tragic death of his child during delivery in 1982. The child was delivered in a whirlpool bath, with the umbilical cord being cut after being left in a sterile saline solution.

The coroner who examined the body found no signs of poor health but stated that the child would have likely survived with proper medical care. The mother experienced haemorrhages and required medical attention after giving birth.

In the same year, Gary Young opened a clinic that was later shut down after a police investigation, and he pleaded guilty to practising medicine without a license.

In 1986, his claims were exposed by several newspaper articles, including his assertion of a 90% cure rate for lupus and cancer.

Additionally, another clinic he opened in California was closed due to major charges and substandard services.

It is important to note that all of these events occurred before Young Living was established, and they are not the only questionable ventures Gary was involved in.

By falsely presenting himself as a doctor, he deceived vulnerable individuals into these schemes.

Gary Young passed away in May 2018, 25 years after founding Young Living, leaving behind a legacy of dubious practices and legal concerns. However, despite his death, the company he created remains controversial and subject to numerous allegations.

Is Young Living an illegal pyramid scheme? Let’s explore that in the next section of my Young Living MLM review!

Related Review: Is Forever Living a Scam?

How Does Young Living MLM Work?

Multi-level marketing is a business approach where non-salaried individuals are recruited to distribute products.

It is controversial as many representatives end up losing money. Similar methods have been given various names to avoid the negative perception, with “pyramid scheme” being a common one.

Participants are promised big earnings by distributing Young Living items. They earn commissions through direct sales and sales made by recruits.

This incentivizes constant recruitment and offers the potential for “exponential growth”. New members usually need to pay an upfront fee to start their “company”.

The model forms a pyramid, with numerous suppliers at lower levels.

As members ascend, higher levels have fewer people earning substantial revenue. Each position has appealing names, starting with the supplier level.

However, MLMs like Young Living face the issue of low income rates among participants. Distributors and star-ranked participants, accounting for over 96% of all representatives, can expect an average yearly income below $248.

Young Living is not the only company following this strategy. Other well-known companies that utilize online marketing include Amway, Avon, and Herbalife, among others.

While some MLMs can be legitimate businesses, many rely heavily on exploiting the sales model, which has been proven to be unsustainable and thus resembles a pyramid scheme.

However, before drawing any conclusions in this Young Living MLM review, let’s first examine their business. The key aspect to consider should be their products.

Are Young Living Oils Safe?

According to their worker, Young Living oils are deemed safe as long as they are treated and used appropriately, following aromatherapy standards.

Here are a few safety pointers directly from the company…

Inhalation: Inhalation is generally considered the safest method, as you’re directly breathing in the oils. However, some oils like eucalyptus or tea tree can be potent, so start with a small amount and gradually increase.
Topical: This is also a popular method but some oils, such as lemon, lime, and bergamot, can cause damage when exposed to sunlight. To be safe, wait for twelve hours after applying these oils before sunbathing.
Combustible: It’s important to note that some essential oils are volatile and flammable, although they won’t automatically ignite in their containers.
Pregnancy/Breastfeeding: Certain fragrances are harmful to pregnant or breastfeeding mothers. Consult with your doctor and find out which essential oil products are safe to use during pregnancy.
Children and Infants: Some oils can be toxic to babies and young children, just as they can be harmful to pregnant and nursing mothers.

However, according to a lawsuit against Young Living Oils, their products are not that safe. There is evidence that there is no medical benefit from using their oils.

Related Review: Is Nu Skin a Scam?

Are Young Living Oils Legit?

In 2020, the BBB’s National Advertising Department advised Young Living to cease claiming that its oils were “healing grade” due to a lack of professional evidence supporting these claims.

Despite initially objecting and planning to appeal, the business eventually promised to halt the multitude of health and wellness claims associated with its products and ingredients.

However, it is important to note that Young Living oils are legitimate.

There has been a great debate about whether or not Young Living MLM is a pyramid scheme. Furthermore, I found a handful of lawsuits against the company’s business model.

However, before I can determine whether Young Living is a pyramid scheme or not, it’s critical to understand what a pyramid scheme actually is.

What Is a Pyramid Scheme?

A pyramid scheme is a business model that recruits members by promising payments or services for enrolling others into the scheme, rather than relying on investments or the sale of products.

So is Young Living a Pyramid Scheme?

Although the company’s MLM business model resembles a pyramidal style of recruiting, Young Living is not a pyramid scheme in technical terms because the company’s representatives can earn an income in two ways.

But the truth is, it has components of a pyramid scheme. That’s being said primarily because to make lots of money you have to hire others into the system, which is a pyramid scheme in disguise.

The reason is you need to recruit individuals under you if you want to earn a real income with MLM.

That’s because you get payments for every single sale your employees make and you earn a commission for the sales your recruit’s employees make and on and on.

You can sell the products to earn commissions or recruit a team to do the selling for you.

And because Young Living reps “force” people to focus on recruiting new members, rather than selling products, it might be called a pyramid scheme in disguise.

Moreover, there is an active lawsuit against Young Living’s MLM business model (see the screenshot below).

Young Living operates under an MLM (multi-level marketing) business model that shares similarities with a pyramidal recruiting structure. However, it does not technically qualify as a pyramid scheme since representatives can earn income in two ways.

That being said, it is important to acknowledge that the model includes elements resembling a pyramid scheme.

This is primarily because significant earnings depend on recruiting others into the system, which can be seen as a disguised pyramid scheme.

The main reason behind this is the need to build a team beneath you to achieve substantial income in MLM. You receive compensation for every sale made by your team members, and you also earn commissions from the sales made by your recruits’ employees and so on.

Furthermore, there is an option to earn commissions by personally selling the products or by recruiting others to sell on your behalf.

The focus on recruiting new members rather than selling products has led some to label Young Living’s approach as a disguised pyramid scheme.

It is worth noting that there is an ongoing lawsuit against Young Living’s MLM business model, which is illustrated in the accompanying screenshot.

How To Make Money Selling Young Living Oils?

Whether you want to market products or recruit new members to the opportunity, you will need to purchase starter sets. These sets will range in price from $25 to $165.

Here are the rates and additions for your reference:

Standard Beginner Kit ($25)

Consists of:

Stress Away 5ml.
Burglars Mints.
Discover Your Young Living Way of the Living brochure.
AromaGlide Roller Fitment.
2 NingXia Red 2-oz samples.
10 Burglars Waterless Hand Purifier Sachets– 0.1 oz each.
Necessary Oils At A Look.

Starter Kit ($165)

Includes:

Desert Haze Diffuser.
Peppermint Oil 5ml.
Frankincense Oil 5ml.
DiGize 5ml.
Valiance 5ml.
10 Burglars Waterless Hand Cleanser Sachets– 0.1 oz each.
Product Guide and also Product Price List.
Member Resources.
Costs Crucial Oils Collection.
Lemon 5ml.
Burglars 5ml.
PanAway 5ml.
Burglars Spray.
Crucial Oils Publication.
Lavender 5ml.
Citrus Fresh 5ml.
Raven 5ml.
Stress Away 5ml.
2 AromaGlide Roller Fitments.
2 NingXia Red 2-oz examples.
Important Side News.

The Essential Incentives kits include real essential oil products for you to offer. You can purchase them at wholesale costs and earn commissions for every item you sell.

Alternatively, you can build a downline on multiple levels and earn money from each sale your distributors make. This is actually a recommended approach in MLM.

However, it is important to keep in mind that there is still a high risk of failure in both cases.

Once again, this is why some people believe that Young Living Essential Oils operates as a pyramid scheme disguised as multi-level marketing. Here’s an example to illustrate…

Can You Really Generate Income With Young Living MLM?

The truth is, you can earn money with any MLM, including Young Living. However, there are no guarantees of success or a full-time income.

Now, don’t misunderstand me.

You can definitely make income with multi-level marketing. If you’re willing to put in a lot of hard work (which, believe me, is not easy), you can generate some substantial cash while you’re learning the ropes.

But the reality is that most people fail… Based on statistics, only about 2% actually make real money, while others end up wasting their time and money.

What I Like About Young Living MLM

Effective company track record

Over twenty-five years ago, Gary Young embarked on a journey to become a pioneer in the essential oil industry. He founded Young Living, implementing unique growing methods and refining the essential oil purification process.

Young Living has played a significant role in revitalizing the use of essential oils in modern society.

Young Living, with over $2 billion in yearly revenues, continues to be a leading force in the essential oil industry.

A product with an enthusiastic fanbase

Essential oils have been extensively used by health-conscious individuals for as long as we can remember. Young Living, with millions of enthusiastic fans worldwide, has continued this trend.

In 2019, the International Grand Convention of Young Living in Salt Lake City was attended by over 32,000 people from 43 countries.

Philanthropic giving

The Young Living Foundation, founded in 2009, serves as the charitable wing of the company.

They are dedicated to various causes, including the development of schools and homes in third-world countries, providing catastrophe relief, and offering assistance to those affected by storms.

Practical start-up cost

Join Young Living with a Standard Starter Package for only $25. As an Independent Supplier, you’ll enjoy a 24% discount on all Young Living products, along with commission opportunities.

It’s great to invest in a home business for less than $50.

Related Review: Is Herbalife a Pyramid Scheme?

What I Don’t Like About Young Living MLM

A controversial background and creator

There is a lot of controversy surrounding Young Living which can be attributed to a passionate but perhaps irresponsible, negligent, and even somewhat eccentric owner: Gary Young.

Despite being a driven entrepreneur who firmly believed in his company’s essential oils and their potential to change the world, his vision sometimes clouded his judgment.

This led to an “all-in” approach to both his personal life and business, ultimately causing issues.

Lawsuits as well as FDA warnings

Any online marketing company that’s been around for more than 25 years is gonna have its share of law issues along the way, including Young Living.

Over the years, the company has actually been under investigation for a few of their items having contained lead and even found guilty of illegally trafficking uncommon oils.

A class-action lawsuit has been filed against Young Living, alleging it operates as a “cult-like” pyramid scheme.

Similar to their main competitor, doTERRA, Young Living has faced FDA warnings for distributors who made misleading claims about their products on social media.

Pricey products and poor customer service

I found several complaints about Young Living, which are detailed below in the review. These complaints mainly focus on the high cost of their oils and the lack of reliable customer support.

As an example, a 15 ml bottle of Young Living’s Lavender oil can be quite expensive at almost $32.

Bad user reviews

You can visit SiteJabber.com to read Young Living reviews. As shown in the screenshot below, the majority of user reviews are negative.

As mentioned earlier, the majority of people expressed their dissatisfaction with the service quality and the high prices of items.

Focus on recruiting

One of the main issues with MLMs like Young Living is their emphasis on recruitment, which can be a challenging aspect to navigate.

To become a successful Young Living supplier and earn significant income, it is necessary to build a team of salespeople who will distribute the product on your behalf.

While this approach may sound promising in theory, it also has the potential to backfire and result in rejection.

Related Review: Is Melaleuca a Scam?

The company offers excellent high-quality products. If you have a passion for essential oils and Young Living, you have the opportunity to join and earn a decent income.

I am not a fan of multi-level marketing (I have discovered a much better way of making money – see below!).

However, I will not be recommending this business. It is important to note that Young Living is not a pyramid scheme or a scam. It is a legitimate company.

Despite that, there are differing opinions on the matter…

Are There Any Lawsuits Against Young Living?

Two Young Living participants, Julie O’Shaughnessy of Texas and Lindsay Penhall of California, filed a class-action lawsuit in 2014. They claimed that the multilevel marketing company is an illegal pyramid scheme.

Julie and Lindsay alleged that the company deceives both its customers and the public.

Recent news reports indicate that the Young Living dispute is becoming bigger than the lawsuit itself. The company is accused of making false health claims about its products, attempting to mislead people.

Given the current situation, there are too many controversies surrounding this company for me to recommend it.

Young Living MLM Review – Conclusion

In this review, it has been concluded that Young Living MLM is not a pyramid scheme. However, it does have a questionable history and multiple ongoing lawsuits that attempt to label it as an unlawful scheme.

Personally, I am not in favour of MLM, regardless of the product or service being offered.

In my experience, earning a living from multi-level marketing companies requires a significant investment of time and money, often involving unethical selling practices.

Thank you for taking the time to read my Young Living review! I would love to hear your thoughts. Do you believe Young Living is a pyramid scheme?

Please feel free to share your opinions and reviews in the comments section below!

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