Details Behind MLM Business Development Arrangements (Backroom Deals) at Jeunesse Global
Oz at BehindMLM has a fantastic article about MLM Business Development Arrangements (BDA), backroom deals that happen between MLM companies and high-level distributors from other companies. BDAs are a means by which these distributors are enticed to leave their current company to go over to the new MLM opportunity.
We’ve hinted at these backroom deals in the past before. The Salt Lake Tribune previously described the $3 million dollar loan that MonaVie made with Orrin Woodward. Seeing Robert Dean move from company to company has led many to wonder what kind of money is being exchanged behind all this MLM hopping. Oz details how Jeunesse Global enticed Matt Nestler, “25 year veteran in the multi-level marketing industry,” to join its company with a 6-month $15,000/month incentive to bring volume to the company.
Jeunesse saw the acquisition of Nestler and Kevin Giguere (Nestler’s immediate downline from a previous MLM opportunity) as an investment.
The BDA required Nestler to generate enough sales volume for the company to make back what it agreed to invest in him and Giguere over his first six months with the company.
Oz describes what happened next as “cloaks within cloaks, daggers within daggers. With so many possible layers of subterfuge, backstabbing and betrayal in play, it’s difficult to get a clear sense of what exactly went down.” Much of the detail he shares has been gleaned from a lawsuit filed by Nestler against Jeunesse Global, which he accuses of the following six counts:
- breach of contract (Jeunesse)
- breach of The Implied Covenant of Good Faith and Fair Dealing (Jeunesse)
- tortious interference with (Nestler’s) contract (Kevin Giguere)
- interference with Nestler’s business relationships (Jeunesse and Giguere)
- tortious and civil conspiracy to interfere with Nestler’s business relationships (Jeunesse and Giguere) and
- violation of The Florida Deceptive and Unfair Trade Practices Act (Jeunesse)
Read the rest of Oz’s post to get a glimpse at the backroom deals that often accompany top distributors leaving one company to go to another “amazing” opportunity.
For those at the bottom-rung of an organization or just starting out, this could be what really happens at the top of your company. Your chance of being successful at your MLM — just like Mr. and Mrs. so-and-so — is not as good as you might think or are led to believe. As Oz puts it:
Meanwhile what of Jeunesse’s affiliates. In this snapshot of the upper echelons of the Jeunesse affiliate-base, what hope does a regular affiliate just starting out to compete?
It certainly sounds like if you’re not getting your own secret backroom deal when you join Jeunesse, then you’re probably under someone who is.
And can you be sure they’re then acting in your best interest, or theirs.