Phil Polich Archives | Connect With Charles

Yep it’s true, Wake Up Now or WUN has officially announced their shut down (at least in the United States).

In an open letter by their CEO, Phil Polich, posted on their Facebook page February 17th, 2015, Polich blasts former CEO Kirby Cochran.

As we made progress, we continued to discover that Kirby Cochran’s deceptive actions had put the company in a position from which it could not recover. In the end, his decisions for a privileged few outweighed the incredible heart and dedication of the many. CEO Phil Polich

Click this link to see the full Wake Up Now Facebook post

Wake Up Now Shut Down

Well all the signs that there was a problem have been there.

WUN financials have been in question for awhile.

Wake Up Now generated almost $8 million dollars in losses over 2012 and 2013. Significant losses mean commission payments are in jeopardy.

In a Wake Up Now Business Opportunity review I wrote back in July 2014, I provided links to the company’s 2013 income disclosure statement. WUN admitted that a vast majority of their representatives do not make ANY money!

WUN’s former CEO Kirby Cochran also stepped down last year! Did you know he filed for individual bankruptcy this month?

It Gets A Lot Uglier

Wake Up Now has filed a 70 million dollar lawsuit against their former CEO!

If you really want to know what kind of soap opera was going on behind the scenes at Wake Up Now company headquarters then read or download this legal complaint document filed by the company just click here.

Despite their current state of affairs, Wake Up Now vows to right the ship over time.

“We will continue to sell our products, including Awaken Thunder and the WUN Fit line of products. We will diligently work to fulfill all financial obligations of the company. I will continue to work with the creditors and vendors in anticipation of getting all obligations resolved. CEO Phil Polich

Top Three Lessons We Can Learn From Wake Up Now

Despite what has happened there are at least three fundamental lessons we can learn from Wake Up Now’s demise:

1) Always research the company, especially the leadership. Read a lot of reviews and don’t be afraid to ask questions. Don’t just jump all in because of the initial hype!

2) Examine the company product, what makes it unique?

3) Make sure the company compensation plan is sound. Be suspicious if they pay commissions primarily on the recruitment of new affiliates.

NOTE: Wake Up Now’s revenue generation relied on constant recruitment effectively making their business model impractical, to add salt to the wound their 22-page compensation plan was really confusing.

ATTN: Former WUN reps and other Network Marketers

WakeUpNow’s closure is a great example of why it is important to brand YOURSELF and not the company you are affiliated with!

FINAL THOUGHTS

Network marketing companies come and go all the time, just like many brick and mortar small businesses do but what I find especially disturbing with this development is the amount of young people that will be adversely affected by WUN being their first network marketing experience.

Wake Up Now attracted a wave of young entrepreneurs at several colleges and universities.

Many of which dug deep into their pockets in order to get involved in the Wake Up Now business…or the wunlife as they called it!

If you were a WUN rep please keep your head up and do not let this minor stumbling block quench your entrepreneurial spirit and keep you from pursing your dreams of financial freedom.

To Your Success!

P.S. Check out my RESOURCES Page to see the programs I recommend and tools I use to generate 20-50 new leads a day!

P.S.S. Not sure what business opportunity is for you, check out what I do to help people get out of debt and make money click here.

Your comments are welcomed below, if you were a Wake Up Now IBO please share your experiences.

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In case you missed it, WakeUpNow recently announced the CEO, Kirby Cochran, has stepped down and COO Phil Polich has replaced him as the new CEO.

Former WakeUpNow CEO, Kirby Cochran

His short bio from the WakeUpNow website,

Kirby Cochran, Chief Executive Officer, had been a career venture capitalist with a long track record of helping lead companies to achieve explosive growth. A professor in the Finance department at the University of Utah, he shared a passion for the mission of helping people improve their financial lives and for building a technology platform capable of delivering outstanding value to consumers.

Kirby drives WakeUpNow’s vision for helping people live life better. His inspirational vision created an opportunity structure unique in the industry and poised to change the world.”

There have not been any official press releases by the company so it is not immediately known exactly why Kirby Cochran stepped down.

New WakeUpNow CEO, Phil Polich

Short Bio from the WakeUpNow website,

Phil Polich, Chief Operating Officer started his career as a CPA with Ernst & Young, then transitioned to real estate eventually owning and directing one of the largest homebuilders in the Phoenix area, coincidentally one of the hottest construction markets in the U.S. at that time.

Phil understands the complexities that make a company run; he has built companies with staggering valuations and now brings his expertise as an operations executive to WakeUpNow, where his operational leadership is turning a bold vision into a reality each and every day.”

Is WakeUpNow in Trouble???

Maybe…

Here is what we do know about Wake Up Now:

According to the company, WUN actually states the financial survival of the company depends on recruiting affiliates.

Management’s plan of operation is based on three primary objectives (1) further development of its products with specific emphasis on its affiliate network, (2) continued domestic growth of its distributor base, and (3) expansion into international markets. If the company can’t successfully recruit more distributors, it may continue in the red.

In its SEC disclosure under the section, ‘Risks Relating to Our Direct/Network Marketing Methods’ it explained that:

If we are unable to retain our existing distributors and obtain additional distributors, our revenue will not increase and may even decline. Our distributors may terminate their relationship with us at any time, and, like most network marketing or direct selling companies, we experience high turnover among distributors from year to year. To increase our revenue, we must increase the number of and/or the productivity of our distributors.”

The Federal Trade Commission (FTC) goes after companies that primarily base their income operations on recruitment and not retail sales. They call that operating a Pyramid Scheme.

A pyramid scheme is when distributors sell more product to other distributors than to the public or if they make more money from recruiting than they do from selling.

Recently WakeUpNow started selling energy drinks.