The overwhelming number of comments in support of Herbalife on Los Angeles News Group's multiple websites, in response to the Jan. 24th Question of the Week, highlight the company's positive impact and contribution to the Southland and the nation's economy and small-business community.
Herbalife is a California-based company that was founded in Los Angeles in 1980 and now operates in 91 markets around the world. We have more than 7,000 employees and millions of members and distributors. We offer great nutrition and weight-management products in support of a healthy, active life, and an opportunity for part-time or full-time income. Herbalife is helping people to earn an income and making our communities healthier.
Through our Herbalife Family Foundation, we support thousands of vulnerable children across the country and worldwide with financial and volunteer support that provides healthy meals, nutrition education and reconstruction of kitchen facilities for community-based organizations that work with these children.
Herbalife provides an economic lifeline and is part of the thriving micro-business community in the United States. People who opt to pursue the business opportunity in direct selling find economic empowerment and self-sufficiency in an otherwise challenging economy.
The allegation made in the Question of the Week editorial -- headlined "Is Herbalife a predator or an economic lifeline?" -- that "Herbalife promises its sellers bonuses and royalties if they recruit new sellers and establish a network of other distributors," is false and misleading. All compensation to our distributors is based on the sale of products, not recruiting. Herbalife does not pay its members to recruit others into the business. Members generate income from retailing the company's science-based nutritional products to their many customers.
Latino immigrant population,"as a Latina and active member of my community, I find this insulting and disparaging. Herbalife has been a partner of the Latino community for more than 33 years, and as such, has provided an opportunity of economic self-sufficiency to Latinos in the U.S. whose backgrounds range from professionals, college graduates and entrepreneurs to stay-at-home moms.
Herbalife is the industry leader in consumer protections. We offer clear, accurate and timely disclosures to prospective members regarding potential income-generating opportunities; no minimum purchases and low entrance cost; a fully refundable 90-day money-back guarantee for the entrance cost if membership is resigned for any reason; a 100 percent refund guarantee plus shipping costs for return of all unsold product purchased in the prior 12 months upon termination of membership; and written acknowledgement of the buyback protections from members when they sign up.
We have a 300-person compliance department with a very low rate of complaints. On average, there are 1.6 complaints for every 1,000 members. If someone is citing a bad experience as a Herbalife distributor, we would appreciate an opportunity to review and investigate the veracity of the statements being made so that we may address them effectively.
The question the public should be asking is: Why an attack on Herbalife, and why now? These unprecedented and baseless allegations stem from a multibillionaire hedge-fund manager who has stated he will stop at nothing to destroy a Californian business to win a billion-dollar bet he made against the company's stock.
An attack on Herbalife is an attack on the Latino community and micro-businesses across the United States.