MLM Company News

5LINX Co-Founders Charged With Fraud By Federal Prosecutors

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Arrest warrants were issued on Thursday, March 23rd, 2017 for 5LINX co-founders Jason Guck and Jeb Tyler and former 5LINX CEO, Craig Jerabeck, in conjunction with a criminal complaint filed by the Department of Justice earlier this week.

5linx

The complaint alleges the three men…

knowingly devise(d) a scheme and artifice to defraud and to obtain money by means of false and fraudulent pretenses, representations and promises.

The defendants engaged in multiple schemes to defraud investors by diverting company money away from 5LINX and hiding it in accounts controlled by and for the benefits of the defendants.

Beginning in approximately 2009 and continuing until at least May 2015, without the knowledge, permission, or authorization of the investors, the defendants created, and inserted fraudulent contracted representatives into the 5LINX direct sales team in order to make additional income in excess of their compensation plan.

For the purpose of executing the scheme and artifice, the defendants set up fraudulent 5LINX independent contractor accounts under multiple company names which were actually controlled by the defendants individually or together.

These shell companies were utilized in order to conceal the real owner’s information from employees and the investors.”

5LINX Co-Founders Charged With Wire Fraud and Conspiracy

According to the U.S. Attorney’s Office, the three men were charged with wire fraud and conspiracy, and illegally diverting more than $4 million of company money into their own pockets.

jeb tyler jason guck craig jerabeck 5linx co-founders fraud

In an affidavit, FBI Special Agent Kristin Gibson said, the amount of looted money could be as much as $11 million!

If convicted, Jason Guck, Jeb Tyler and Craig Jerabeck face up to 20 years in prison and a fine of $250,000.

It’s important to remember that these men have only been charged and have NOT been found guilty yet.

Having said that, I am really disturbed by the allegations listed in this criminal complaint.

This is another serious blow to the Network Marketing industry and a primary example of why many people believe multi-level marketing is a scam!

My Message To 5LINX Representatives

Dear 5LINX Representative,

I have never been a 5LINX representative or customer but I do have friends who are so I know you are probably very disappointed right now.

However, I sincerely hope that this unfortunate news does not discourage you from building your business in the network marketing industry. 

For some of you 5LINX representatives this may be your very first network marketing company and you might being feeling like you were duped!

Well keep your head up, the network marketing business model is sound.

These types of things happen from time to time…some companies recover, some don’t…but keep pressing forward until YOU achieve the goal you have set for yourself in this industry!

5LINX has a public message to their representatives about the incident posted on their website.

Final thoughts on the 5LINX Co-Founders charged with fraud

Obviously this type of news will have a major impact on the company, more importantly on 5LINX representatives that are working hard to make sales or sponsor new representatives into their team.

If you are a 5LINX representative you may be wondering whether you should leave the company or not.

In my opinion I think its still a little too early to say…

A great way to monitor where a company stands in the market place is website traffic (visitors). The 5LINX website has been steadily declining in traffic since November 2016.

5linx co-founders fraud

So continue to watch the company’s traffic stats. If it continues to decline then you may need to pack your bags and head for the nearest lifeboat.

Another thing you can do is keep your eye on what the top 5LINX leaders do. If the majority of them announce their departure or silently jump ship then that is not a good sign.

Could this potentially be the beginning of the end for 5LINX?

Possibly….but we’ll just have to wait and see!

To Your Success!
charles lenoir

Your Network Marketing Company is failing. They are failing to teach you modern day business building strategies. They are failing to teach you the secrets of the top earners, and because of this you’re staying broke. The pain, struggles, and the frustration you have endured while building your business ends, right here, right now. If you’re struggling to build your business, tired of rejection, bugging your friends and family, I can teach you how to turn your business around, click here to GET HELP NOW!!

Your comments are welcomed below. If you are a 5LINX representative please feel free to share your thoughts or experiences.

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How To Become A Top Earner in Any Network Marketing Company

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There’s a super-simple way to position yourself to be the top earner in your company. And it can be summed up in whats called…

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Top 5 Lessons Learned From Watching The Founder Movie

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This past weekend I went to see the Founder, a movie about the man behind the origins of McDonald’s fast food empire staring Michael Keaton.

★ ★ ★ SPOILER ALERT★ ★ ★ Be advised this post describes some scenes from the movie.

The movie is based on a true story and about the life of Ray Kroc, a struggling salesman from Illinois. Ray met two brothers, Mac and Dick McDonald, who were running a burger operation during the 1950’s in Southern California.

Ray Kroc was extremely impressed by the McDonald brothers’ speedy system of making the food and saw franchise potential. He ingeniously positioned himself to be able to acquire the company from the brothers and create a billion-dollar empire known as McDonald’s.

Basically he stole it from them right under their noses!!!

Who Should See The Founder Movie?

I highly recommend that you go see the Founder if are a business owner or if you call yourself an entrepreneur. Make it a family night and take the kids too. There are some incredible lessons that we can all learn from this story.

the founder ray kroc michael keaton mcdonalds

In the movie, Ray had apparently been a salesman for some time, 17 years I think. People and businesses  around town new him from trying to sell them one product or another.

In 1954 Ray met the McDonald brothers in San Berdino, California while he was a traveling milkshake machine salesman. The McDonald brothers had ordered an unusually high number of milkshake machines from Kroc so they were actually Ray’s clients.

The milkshake machines that he sold were top of the line and made five shakes at a time designed to be fast and increase restaurant efficiency.

Kroc, a high-school dropout, was so impressed with the McDonald brothers operation that he volunteered to partner with them in order to franchise the McDonald brother’s restaurant.

TOP 5 LESSONS LEARNED

Here are the top five lessons I learned from watching the Founder.

1) PERSISTENCE PAYS OFF

I think if you are a true entrepreneur you can not come out of this movie without being inspired by Kroc’s persistence (portrayed by actor Michael Keaton).

Ray Kroc believed persistence was the key to success. Well persistence, and some not so cool business practices.

Nevertheless, Ray was super committed and determined to keep going until he got it right, despite the numerous challenges and obstacles he faced as a husband, salesman, opportunist and entrepreneur.

One of my favorite lines from the movie

I know what you’re thinking…how the heck does a 52 year old, over the hill milkshake machine salesman build a fast food empire with 1600 restaurants at an annual revenue of 700 million dollars…one word…PERSISTENCE!” Ray Kroc

With unwavering persistence Ray Kroc, changed his life and the world. So the message I got from the movie was that persistence pays.

2) HAVE A VISION

As an entrepreneur you must have a vision. It’s something that you work toward without any sense of when it will be fully realized, perhaps never.

An ambitious man with a singular vision can be a powerful thing.

Ray saw the incredible potential of the McDonald brother’s restaurant. He envisioned opening McDonald’s restaurants all across the country and the people coming to McDonald’s 24/7 days a week.

His vision was much bigger than the McDonald brothers who were content with just being a successful local restaurant. The McDonald brothers were focused on just their product – hamburgers but Ray saw beyond that, he saw the unlimited business potential.

He eventually convinced the brothers to see his vision and expand through franchisees.

McDonald’s can be the new American church, and it ain’t just open on Sundays, Boys!” Ray Kroc

 

Here is that exact scene from the movie that won over the McDonald brothers…

 

3) LOOK FOR WAYS TO MORE EFFICIENT, BE AN INNOVATOR

To his credit, Kroc keeps looking for ways to improve what the McDonald brothers started. They, in turn, are loath to make any changes to what they understandably see as a winning formula.

This was the downfall of the McDonald’s brothers. When you are the entrepreneur or business that refuses to innovate you risk no longer being competitive and eventually you will lose great business partners/leaders who will break away from you and go align themselves with other people and businesses that appreciate what they bring to the table.

Ray Kroc believed the McDonald’s business needed to innovate to remain competitive and grow but the McDonald’s brothers were happy with the status quo.

In the beginning the McDonald brothers brought efficiency by innovating assembly line operations for their restaurant.  Later, Kroc introduced standardization, automation and discipline.

As a business owner you can not be afraid to be innovative or find new ways to accomplish things. Learn to embrace and use today’s technology.

4) DON’T BE AFRAID TO TAKE RISKS

I think too many people never reach their full potential in life because they are too afraid to take any risks.

Entrepreneurs are problem solvers and risk takes at their core.

When Ray Kroc saw the potential of the McDonald brothers restaurant and he went all in. Short on cash, he even mortgaged his home just to strike a deal to franchise the brothers operation. Talk about risky!

Kroc was able to get a few franchises up and running before going through some other significant financial challenges. Kroc was struggling to make the business profitable and  was on the verge of losing it all when he met Harry Sonneborn, a financial expert, at the bank.

Sonneborn gave him a new perspective, “Ray you’re not in the food-service business, you’re in the real-estate business.”

Sonneborn showed him a new way of making money off the deal with McDonald brothers on selling hamburgers and franchisees. This new way involved creating a real estate company that would buy up (or lease) the land on which all McDonald’s would be located.

The company would then sublease to the franchisee who would run the restaurant. Sonneborn further developed the plan to eventually take out mortgages to own both the building and the land.

Problem solved!

5) IT’S NEVER TO LATE TO START

It’s truly amazing to see how a 50-year-old turned an idea into a global empire with many ups and down is truly extraordinary.

Kroc was a high school drop out and had been in the sales industry for most of his life. He struggled to keep food on the table.

In just six years of working with the McDonald brothers and finding their ambition ultimately falling short of his own, Ray bought them out and became the owner of McDonald’s Corporation in 1961.

It really doesn’t matter how old you are, you can start a business, open a franchise and still be successful in a short period of time.

As long as you have a vision, are persistent, determined and committed to your success eventually you can over come any obstacle and see your lifelong  dreams come true!

There are probably several more lessons I can take away from this movie some good some bad but I think you get the point.

McDonald’s is a great case study on scaling, franchising and building a brand.

I personally think ‘The Founder’ was an incredible film and a must watch –especially for the young aspiring entrepreneurs.

I hope you have found this post helpful. If you do please share it with others so they may benefit from it too!

To Your Success!
charles lenoir

P.S. If you are tired of not getting results with your business click here to GET HELP NOW!

P.S.S. Click Here To Work With Me Personally and teach you the latest and greatest marketing strategies to help you build a faster more profitable business!

Have you seen The Founder yet? If so please write your thoughts about the movie in the comments below.

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How To Get People To Buy From You – KLT Method

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Do you want more people to buy from you?

Well today in this post I am going to share a simple method to get more people to buy from you!

Let’s be honest, if you have a home or small business and you are selling a product that nobody’s buying then you wouldn’t be in business very long.

I don’t want that to happen to you!

What I am about to tell you  works online and offline regardless of the business model that you are currently working in – direct sales, network marketing, real estate, insurance or some other brick and mortar business.

So how do you get people to buy from you?

It’s called the Know, Like and Trust (KLT) method.

Get People To Know You

If you want to get people to buy from you they must get to know you.

You see your future customers or business partners need to know where they can find you online or offline.

  • Do you have a blog or website?
  • Do you have a profile on the popular social media platforms like Facebook, Twitter, YouTube or Linkedin?
  • What are some other ways their communication preferences?

Knowing actually goes both ways….not only do people need to get to know you, but you also need to get to know the people.

So if you want to get people to buy from you then you must also take the time to get to know them!

  • Who is your target audience?
  • What are their specific concerns or problems (pain points)?
  • What are some things you have in common? (books, movies, hobbies etc)

Get People To Like You

How do you get people to like you?

Well imagine this. Let’s say you were approached by two salespeople  with the exact same product and the same price.

know, like and trust likeability klt methodOne person comes across as boring and impersonal. The other is very charming, interesting, and makes you feel good.

Which one would you rather do business with?

The latter, right?

I know that I wouldn’t want to buy anything from a person that  I felt I didn’t have a connection to  on some kind of level.

So in order to get a person to like you must be able to make a good enough impression that they feel comfortable talking to you or being around you.

Once you establish a connection then overtime you will need to work on building a solid relationship with that people.

  • Be nice and courteous
  • Be visible, open and transparent
  • Be real and authentic
  • Be generous and give without expecting anything in return

It wasn’t until I adopted a “servant attitude” that things began to turn around for me and my business.

I learned to provide my followers and potential prospects plenty of value.

All you have to do is identify an area you see them struggling in and give them some helpful advice on how to overcome that particular struggle or issue.

zig ziglar know like trust factor

The more someone likes you, the more they begin to trust you

Get People To Trust You

The more someone trusts you, the more they will open up and discuss their problems and their needs with you.  Once you get to this point then you can realistically make a product or service recommendation for something you’re selling, if in fact, it is a good fit.

When you’re honest enough to turn down a potential sale, you’re actually indirectly building a strong relationship that just might result in a lifelong customer.

How do you get people to trust you?

There are many, many, many ways that you can get people to trust you.

  • Be honest with them at all times
  • Be respectful – treat people the way you would want to be treated, remember the golden rule!
  • Be a good listener – what does your prospect want or need. You won’t know if you do all the talking
  • Be accessible – when people know that they can get access to you they will be more comfortable with you
  • Be empathetic – people will trust you more when they feel you understand them.
  • Connect with people you have things in common with i.e. children, married, pet lovers, etc. It’s much easier to get people to trust with you when they can relate to you because you have something in common
  • Deliver on your promises – do what you say you are going to do
  • Add value – value is what people are willing to pay for. Keep doing great work that adds value and others will reward you with trust.

Always remember people do business with people they know, like and trust (KLT).

Get People To Know, Like and Trust You

..if you want them to buy from you!

To Your Success!
charles lenoir

P.S. If you are tired of not getting results with your business click here to GET HELP NOW!

P.S.S. Work With Me Personally and show you the marketing strategies I use to make up to $1,000 in day!

So what did you think about this article? Are you using Know, Like and Trust (KLT) method? Your comments are welcomed below so please share your experiences.

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