Is Global Wealth Trade Corporation a scam or a decent opportunity? That's a question many people have been asking. This MLM company selling ladies fashion accessories is doing well, but is the business worth joining? Will YOU make money?
Let’s take a closer look and find out…
Over the scams and the MLM grind of making money?
Company Name: Global Wealth Trade
Founder: Ramin Mesgarlou
Price To Join: $100
My Rating: 3.5/10
~ Global Wealth Trade Review ~
What Is Global Wealth Trade?
Just about every MLM business I come across these days seems to be in the health and wellness niche. Happening upon Global Wealth Trade, which operates in fashion accessories, is almost akin to sucking in a deep breath of fresh air.
It’s unbelievable how many MLM companies choose to sell super competitive health and wellness products, so a MLM that offers something completely different is a step in the right direction in my opinion.
This company, that targets women with various fashion accessories, was started in Ontario, Canada, in 2005 by a man named Ramin Mesgarlou.
Although the products are mostly women’s, they do have some items for the gents as well. Ramin set out with the idea of distributing his product range through the multi level marketing method right from the very beginning.
While it's not entirely impossible to make money with network marketing, it's gotta be one of the slowest and hardest ways to earn an income. I much prefer affiliate marketing.
You can work from home, no products to buy and sell and no recruiting. You just refer people to products and services and earn commissions. It's all profit. Check out the Wealthy Affiliate training to learn just how easy it is to get started. It's FREE to join!
There are way too many products on the Global Wealth Trade website to list here. If you want to view the range in more detail, just pop on over to their website. Here I’ll just list the categories, which include the following:
- Posh Collections
- Gift Sets
- Wallets & Purses
- And much more…
They have quite a vast range and some nice looking gear at that.
The problem with this company – and it’s an issue with all MLM businesses due to the structure of their compensation plans – is the prices are way too high compared to what the products are really worth, or what they would sell for in a regular wholesale to retail environment.
As an indication, some of the sunglasses and handbags they sell are priced well into the $1000s.
The MLM Business Opportunity
It’s been said that the structure of the Global Wealth Trade business deal is a lot more generous and lucrative than many other MLM ventures, and downlines go on for infinity, so no restrictions.
However, despite being a “little better” than other deals out there, it’s still multi level marketing, where all the advantages and benefits go to the company and essentially get taken away from its workforce.
The distributors buy all the products, sell all the products, pay joining fees, have a minimum monthly product spend every month to remain commission-eligible, and it’s the distributors who do all the promotion and recruiting and grow the business for the company. And all for no pay.
Yes, they can earn commissions and bonuses, but that only comes after doing loads of work, and that money certainly is not guaranteed.
For a company like Global Wealth Trade, this set up is an absolute Godsend. They have no payroll or virtually no advertising spend, because they’ve amassed a vast workforce that does everything for them for nothing.
All GWT have to do is dangle a few carrots in the form of commissions and bonuses and everyone else happily does all the work, making the big players at GWT richer and richer.
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How Much Does Global Wealth Trade Cost?
It’s not cheap, put it that way. Out of all the MLM opportunities I’ve reviewed, this is one of the most all round expensive yet.
The bottom package costs $100 to enter the system at a “Retailer” level. You can actually buy your way up the ranks in this MLM scheme, but it costs a few bucks, such as $1394 to buy in at the “Diamond” level.
What you get for your money is what GWT call an “E-Mall”. All this means is they give you a replica website from which to make retail sales of the products.
The Compensation Plan
As with all MLM ventures, there are basically two main ways to earn money:
- Retail sales
Retailing will only get you so far in this business, because you can’t just sell products to random customers. People actually have to become members of GWT in one of two forms:
- Become a Distributor
- Become a VIP Shopper
With retail sales you can make anywhere from 33% up to 70% profit depending on your rank, and having a website certainly helps with this, but you’ll actually find your website helps you more with recruitment than anything else.
The money really is in recruitment, as the more people you have in your downline, the more commissions and bonuses you can earn, and the higher the company rank you can achieve.
GWT use a binary structure for their compensation plan, which means there can only be two legs to your downline. However, your lines can go as many levels deep as you like. This is one of the reasons the prices of GWT products are ridiculously expensive. They are paying commissions and bonuses to infinity.
Is Global Wealth Trade An Illegal Pyramid Scheme?
Many MLM businesses get accused somewhere along the line of being illegal pyramid schemes. While most do work on a pyramid structure, it’s important to understand what the illegal version is.
To be classified as an illegal “naked” pyramid scheme, the business has to rely solely on recruitment for its earnings as well as have no products, or products of any value.
As Global Wealth Trade does have plenty of products – albeit ultra expensive ones – it cannot be classified as a naked pyramid scheme.
This one definitely targets the ladies, both for its range of products and the business opportunity. However, there is a selection of products for men as well, but from a business perspective I’d say it would be mostly women diving into this one. MLM is generally aimed at people wanting to make money from a venture without having to set everything up from ground zero.
What I Like
- It’s not a MLM venture in the saturated health and wellness niche
- They have some very nice products
- I like the fact that they give distributors a website
- You have the potential to earn more with this one than other MLM deals
What I Don’t Like
- The prices of the products are mind-blowingly expensive for what they are
- Customers cannot simply purchase products at a retail level without getting more involved with the company
- It’s typical MLM where all the advantages go to the company
- 95% of people fail at MLM businesses
- It’s going to be one tough sell trying to sell products at these prices or recruit people
- The monthly costs to be a distributor are huge
Is Global Wealth Trade Corporation a Scam?
It’s not a scam. GWT is a real enterprise with real products, but man do they cost some coin. I really think trying to make money with this company is going to prove to be super hard, and recruiting even harder still.
It’s just all way too expensive to be viable, yet somehow GWT continues to exist and grow.
Unless you are really, totally in love with the products and 100% believe you can sell them and the business opportunity, I’d really give GWT a miss.
Forget MLM – Make Money With Affiliate Marketing Instead
I’ve done MLM and affiliate marketing, and in my opinion affiliate marketing is the easy winner if the goal is to make money from a business. There are just so many more benefits to being an affiliate marketer over a multi level marketer.
Let’s look at a select few:
- No recruiting required to grow your income
- Promote any product you like to a worldwide market
- Work from home or anywhere with internet
- Travel and make money along the way
- Earn passive and residual income streams
- No over-priced products to sell
- Zero joining fees or minimum monthly spend
- No buying and selling
- No annoying the hell out of family and friends
It really is a no brainer business that anyone can be successful with if they have a proven blueprint to follow. Discover how I got started. Click the banner below for more information.
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