Company Profile
Headquartered in Ada, Michigan, Quixtar Inc. offers a business opportunity that leverages a unique business model called I-commerce -- the convergence of four key elements ...

• the Internet
• the Individual
• a full-service Infrastructure
• the proven Independent Business Ownership Plan

Independent Business Owners (IBOs) powered by Quixtar operate in cities across the United States, Canada, Puerto Rico, and numerous Pacific, Atlantic, and Caribbean islands and territories.

Independent Business Owners
IBOs are individuals who build businesses, supported by Quixtar, that allow them to earn income based on sales made through Quixtar. To launch a Quixtar-powered business, individuals must register with an existing IBO.

Products, Services, and More
Quixtar is the leading online Health & Beauty retailer*, offering top brands like Nutrilite® nutritional supplements, Artistry® skin care and cosmetics, Tolsom™ skin care for men, XS™ Sports Nutrition, and eSpring® water purifiers.

Through its Store for More™, Quixtar also offers products from leading brands like Calvin Klein®, Adidas®, Maytag®, and many others. Plus, Quixtar provides access to tens of thousands of additional products through its Partner Stores, linking to industry leaders like Barnes & Noble.com, Shop.com, Circuit City, DisneyStore.com, and dozens more.

*Internet Retailer's 2004 "Top 300 Guide" ranks Quixtar first in the online Drug/Health & Beauty category based on sales, and 12th among all e-commerce sites.

Leadership
Quixtar is a member of the Alticor family of companies, owned by the families of Rich DeVos and Jay Van Andel. Quixtar is operated by Managing Director Ken McDonald and his leadership team:

Ken McDonald
Heather Anderson
Randy Bancino
Bill Dangl

Websites
www.alticor.com
www.quixtar.com
www.quixtareasterseals.com
www.quixtarfacts.com

What does it cost to get started?

The annual business fee for IBOs is $42. It includes:

* Quixtar Business Services and Support fee.
Quixtar's corporate services include full access to the Quixtar® website, order processing, customer service, business information services, bonus payment administration, business reporting, technical support, and more. You'll also receive selected product catalogs and other business materials.
* Independent Business Owners Association International (IBOAI) membership fee.
As an IBO, you may support your trade association, the IBOAI, which, through its Board of Directors, provides a channel of communication with Quixtar on key issues affecting your business.
* Independent Business Owners Benefits Association (IBOBA).
IBOs automatically are eligible to participate in this nonprofit association offering valuable business liability and property protection plans at this favorable group rate.

Quixtar business support materials are also available at additional cost:

* Product Intro Pack. Research shows that IBOs who order products when they register are significantly more successful in their early months. This pack introduces you to some of the top-selling products from Quixtar for your health, self, and home.
* IBO Publications. Achieve® Magazine shows you how successful IBOs do business, plus you get the scoop on rewards, trips, and more. The Loop® Newsletter gives you the news you need to run your business.

I found this info searching the internet. It makes me think twice or thrice before making any conclusion to devote my time to Quixtar.

"Diamond Harriet Lyons


Fake Quixtar Diamond Harriet Lyons charged with 54 counts of fraud bilking investors and downline IBOs out of at least $2 million.

Hal & Harriett Lyons


Couple fake Diamond status, attend Diamond Club, and bounce tens of thousands of dollars in checks to Quixtar. Harriet goes to jail for defrauding $300,000 from a 77 year old woman.

Executive Diamond
Joe and Doris Shaw


Couple bilks at least 140 investors out of up to $10 million in real estate loan fraud used to inventory load Amway products. Doris files bankruptcy while still soliciting victims! Doris Shaw arrested for fraud.

Emerald Trevor Jones


Utah Emerald IBOs scam 50 others for $2 million in Ponzi scheme, which supposedly bought accounts-receivable of Asian latex glove manufacturer.

Diamond Al Keranen


Diamond distributor Al Keranen takes 180+ Amway distributors for $12 million in real estate swindle.

The Ponzi Scheme
4Nexchange


Quixtar Crown, Don Storms, promotes investment Ponzi scheme. Over $17 million was scammed, much of it from downline IBOs.

PSD Direct Paul Grant


IBO running 4Nexchange investment scheme pockets at least $2.13 Million, much of which came from Quixtar IBOs. Paul Grant sentenced to 5 years in prison and to repay $18.7 million to investors.

WWDB Ruby Alfonzo Lacson


Ruby IBO sells unregistered securities in Washington State's largest stock swindle. $90 million lost by over 5,000 investors, many of whom were Amway/Quixtar IBOs.

Emerald Dan Strader


Emerald Dan Strader and son of Tele-Evangelist Karl Strader, bilks $2.1 million from elderly investors in real estate scam.

Amway defrauds the government of Canada


Amway pleads guilty to criminal fraud for tax evasion in 1983. This case was to collect the back duties, fees, and fines that had been evaded. The Canadian department of Revenue claimed Amway owed C$148 million. The case was eventually settled for $45 million.

The Story of Emerald
Eric Scheibeler


Quixtar/Amway Corporation breaks bonus payment covenant and forces Emerald IBO into bankruptcy by holding bonus checks after he exposed fraud by his upline. This is not the first time the Corporation has withheld bonus money to pressure their "independent distributors" to see the "corporation's way. Rick Setzer had the same problem in his suit against Amway.

WWDB Diamond David and Debbie Shores


Diamonds walk away from financial obligations. Diamond dream house sold in bank foreclosure sale.

WWDB Greg & Kathy Gilmour


State of Wisconsin has to take Diamond couple to court on two occasions to pay over $12,000 in back State income taxes and fines.

Crown Ambassador
Bill Britt


Despite being the teacher of family and Christian values Bill Britt separates from his wife Peggy. Bill is caught in many compromising situations with another woman documented with 911 phone calls.

WWDB Founder's Emerald
Dean Kosage


Dean's wife files for divorce on grounds of domestic violence and abuse.

Crown Ambassador Dexter Yager


Dexter Yager and InterNET Services Corp. ordered to pay $125,000 in copyright infringement suit of Les Giblin's book "Skill with People".

Network 21


Jim Dornan's Network 21 sued for selling pirated copies of the book "Skill with People". They settle out of court for $250,000.

Craig & Cara Loupelle


Loupelles' buy way to Diamond with fake direct leg to boot. Loupelle’s story from their office manager.

False P&G Satan Rumor


Thirteen years after Amway denounces the Satan P&G rumor being propagated in many Lines-of-sponsorship, Diamond Randy Haugen repeats the rumor on Amway's Amvox voice messaging system.

Sana Jennings-Fossum


Amway distributor accused of diverting $190,000 in Alumni funds to private account. $14,000 paid to Amway from the Alumni association accounts.

Jim & Patti Hearn


In a complicated swindle, Hearn used her influence to authorize the Jefferson County Schools to purchase hundreds of $322,000 worth of Encyclopedia Americanas from her Amway distributorship. The Hearns were sentenced to 9 months in prison and 10 years probation.

Emerald -Mark Dean


Arrested for forging drug prescription.

Eric Snead


According to an AP article in the Boston Globe on January 6, 1999, Eric Snead, Amway distributor, "has been arrested after allegedly pocketing more than $207,000 the Foxwoods Resort casino paid for the delivery of mail-order catalogs and merchandise, police said." The Foxwoods Resort Casino had ordered Amagift gift albums from Snead, which they were planning to give their 11,000 employees as holiday gifts."

the source:
http://www.amquix.info/amway_hall_of_shame.html

Posted by: Andrew
E-mail:
February 23, 2005, 1:21 pm

Some more interesting articles:

"QUIXTAR SCAM? SCHEME? OPPORTUNITY?

Quixtar Business IBO Information:Facts

Quixtar Scam: Quixtar Opportunity

Q. Is Quixtar a scam? What does Federal Trade Commission say about Quixtar?

A. No.
FTC reviewed and supports Quixtar Business Plan

In recent years, the Internet has provided expanded opportunities in commerce and communications. Unfortunately, the Internet also has provided a new channel for illegal activities, including pyramid schemes and scams.

Federal Trade Commission about Quixtar: Quixtar business opportunity stands apart from such schemes as a model of integrity. Quixtar's Independent Business Ownership Plan is based on a proven plan that has been used legally and successfully for the past 40 years. In fact, a FTC judge, supported by the entire Federal Trade Commission, deemed that the plan now used by Quixtar is legal. In fact, it has been considered the plan to be followed in its industry.

There are four key reasons for Quixtar's high standing:

1. Sales-based compensation. Compensation in the Quixtar Plan is based on sales of products and services to consumers. An IBO who sponsors/registers other IBOs earns income based on his own sales and on sales made by his downline IBOs. IBOs cannot receive income based on sales by downline IBOs without meeting specified retail selling requirements each month.

2. No "headhunting fee." An IBO is never compensated for merely sponsoring another IBO.

3. No purchase requirements. There are absolutely no minimum product purchases that an IBO must make.

4. Buyback rights. If an IBO wishes to discontinue his business, any currently marketable and unused inventory will be bought back, upon request, by either the sponsoring IBO or Quixtar. This rule addresses the potential for excessive inventory buildup.

The only required cost to become an IBO is the modest registration fee, and Quixtar's IBO Rules of Conduct ensure that the unique characteristics of the Independent Business Ownership Plan are protected.

Quixtar business plan, supported by enforcement of these rules, makes Quixtar a respected, viable business."

Source: Quixtar Facts

Posted by: Andrew
E-mail:
February 23, 2005, 1:27 pm

Some more opinions on Quixtar:

"For me, the Amway/Quixtar business is a fascinating combination of economics, misinformation, and group psychology that form America's most popular commercial cult. The book about Amway titled the "cult of free enterprise" is justly named so.

Prospects are presented an over simplified business plan where one can easily earn thousands of dollars per month working just 8-12 hours per week by just teaching others how to shop at Quixtar. The typical Amway/Quixtar dream is to "retire" from a day job with unlimited time and financial freedom. For those wanting to achieve this dream with the "2-5 year plan", the business becomes a way of life consuming every spare moment of time, and their complete mental attention. Unfortunately the 2-5 years plan is nothing more than an elusive dream and most participants will lose time with their families, and thousands of dollars a year. For many, the Amway dream turns into a personal financial nightmare.

The general public does not take time to understand the poor overall economics of the popular "buy from your self" product merchandising plan. Officially (from Quixtar legal) distributors are required to sell 70% of what they buy from Quixtar to others, to avoid being an illegal pyramid scheme. In reality distributors have few or no customers for their "business". An active Quixtar distributor could spend a couple of thousand dollars and hundreds of hours per year to promote a business model that has just a few thousand dollars of sales, and most of it is sold to the distributor himself. When you add up the actual cost of time used to promote this scheme and compare it to the volume of product sold, it is has to be the least efficient product marketing method there is. Distributors are taught "If the dream is big enough, the facts don't count". Facts make little difference to most distributors since they are taught to believe their dream is possible for anyone willing to just work hard enough and recruit enough other people.

Because of the complexity of the Quixtar pyramided compensation plan, and distributor's lack of knowledge of how it works, high level distributors use the "carrot on the stick" approach to get their downlines to voluntarily work for below minimum wages recruiting others to the scheme in exchange for hoping to one day make the big money themselves. However, the six figure income always just around the corner for the little guy, and all he has to do is work just a little harder and show a few more plans to become "financially free". Most distributors don't know the average qualifying diamond only earns $150,000/year from Quixtar, not the millions implied from their speeches

Most distributors have little knowledge of how the plan income actually works and they assume the top guys are earning millions from Quixtar. Quixtar releases hardly any income statistics about the business. Rightly so, since it would be embarrassing for Quixtar to publish the facts that contradict the popular income myths and exaggerations circulating in the various lines of sponsorship. What little Quixtar does publish is that the average "active" distributor earns $115/month, before expenses. Even if the typical active Quixtar distributor spent just 10 hours per week working his business, he would earn just $2.67/hour for his effort before expenses are included. The typical system related expenses can range from $175 - $250/month and this does not include product purchases. No doubt the vast majority of distributors are losing money in the business. Only by retailing products efficiently to customers or creating their own army of undercompensated, money losing distributors will a distributor manage to make an efficient wage.

One must turn outside the world of business - to religion and
politics - to find people who work as hard for as little
financial reward as most Amway people do. Forbes Magazine

Because the Quixtar prices are so high, it is difficult to get retail customers and distributors end up buying most of the Quixtar products. It is their duty as a Quixtar business owner. Quixtar's 66% first year drop out rate and IBOs low average personal consumption only proves that the typical family cannot find much value shopping at Quixtar even with the "wholesale" prices. Quixtar even competes with its own distributors for retail customers by offering non distributors the opportunity to buy products at wholesale prices directly from the Quixtar website, without having to go through a distributor.

I like to call the Amway / Quixtar business "Americas most respected fraudulent marketing scheme". This is because the vast majority of people see Amway as an American free enterprise success story, but few people know about the scheme's dark secrets. The vast majority of the public, politicians, Amway/Quixtar's suppliers and Partner Stores, have no idea of the 20 year systematic fraud and collusion between the Amway Corporation and the kin pin distributors. This has resulted in hundreds of millions, if not billions, of dollars in losses from innocent, hardworking people from their "free enterprise" business opportunity based upon false information, exaggerations, lies and popular myths.

"Recruits are brainwashed into spending a fortune on peripherals while consuming Amway products. They either lose their shirts or begin making money by getting enough people underneath to do the same." Don Gregory speechwriter for Co-founder Jay Van Andel Forbes March 25, 1985

The business has strayed far afield from the original intentions of its founders as being a way for the little guy to make a little extra money by retailing products. Instead, it has turned into a symbiotic relationship between the corporation and a few king pin distributors supporting each others interests to take the little guy's money with bogus training systems and overpriced products.

The relationship between the corporation and its top king pin distributors is unique. The Corporation could not survive without the misinformation and false income claims spread by the kingpin's systems introducing people to Amway/Quixtar products business. At the same time, the king pin's motivation businesses could not survive without the legitimacy, political and legal support provided by the billion dollar Alticor/Quixtar/Amway Corporations.

"I was taught and therefore taught that the system was put in place to assist people in building their "Amway" business. This is as far from the truth today as you can get as when you are making 80% of your income off of the system, it is totally reversed, Amway is in place so people can sell their system!" Dan Lorenzo: Diamond Direct Distributor
Other Lorenzo Quotes"

the source:
http://www.amquix.info/amway.html

Posted by: Andrew
E-mail:
February 23, 2005, 1:34 pm

Found this article which could prove an eye opener for the innocent people who might succumb to these scams: http://www.cricbay.com/article.asp?id=35

Posted by: Rahul Tripathy
E-mail:
August 9, 2007, 6:16 pm

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