If someone approached you regarding FM World’s MLM business opportunity and you’re looking for more information before you invest in it, you couldn’t have landed in a better place.
In this FM World Review, I’m going to share with you every piece of information you might possibly need to make a 100% informed decision about whether FM World is worth your time, money, and attention or not, such as:
- What Is FM World About?
- How to Join FM World?
- How Much Does it Cost to Join FM World?
- FM World Pros & Cons
- FM World’s Compensation Plan
- Is FM World a Pyramid Scheme or a Legit MLM Company?
Let’s get cracking!
FM World MLM Overview
- FM World
- or FM Group
- or FM Cosmetics UK Ltd
- or FM Group World
Price to join:
Increase your chances of reaching success in multi-level marketing by following a dedicated MLM course.
What is FM World About?
As you’ve seen in the video right above, FM World (also known as FM Cosmetics UK and FM Group) claims to be “The Best MLM Company in the World”.
Truthfully, FM World is a pretty regular MLM company that operates in a vast array of industries, including
The company was launched under the name “FM Group” in 2004 by Artur Trawiński as a way to distribute his father’s perfumes using network marketing.
3 years later, in 2007, FM Group started expanding internationally and got rebranded to “FM World”.
Since then, the company has grown to include offices in 50+ countries.
According to Forbes, in 2010 FM World made $61 million in revenue with a net profit of $9.5 million.
In 2013, Artur and his father possessed the 74th place on the List of the 100 Richest Poles with a fortune of PLN 330 million ($85 million).
According to businessforhome.org, during the last couple of years, FM World has grown to generate $100+ million in yearly revenue.
FM World’s mission is to create products that everybody can share with others while building a lifestyle that provides financial freedom.
Its vision is to be the global leader of Multi-Level Marketing, the #1 company for fragrance sales worldwide, as well as to collaborate with people driven by success.
FM world operates based on the 5 following values:
You can find a lot more about FM World, its founder, mission, vision, policies, compensation plan, etc on the company’s official website.
FM World's Products & Prices
FM World distributes a vast range of products that fall under several categories, such as
- Coffee & Tea
- and household products
All of the products of FM World are being manufactured by the following 3rd party brand manufacturers:
- Utique (Fragrance & Bodycare)
- Fontainavie (Facecare)
- Federico Mahora (Fragrance & Skincare & Makeup & Oralcare)
- HairLab (Haircare)
- Nutricode (Food Supplements)
- Aurile (Coffee & Tea & Sweets)
- Pure Home (Household)
FM World’s products are hundreds so, for obvious reasons, I won’t be listing every single one of them here.
You can find more information about FM World’s products and their respective prices on the company’s shop.
FM World Compensation Plan
The majority of MLM companies have so overly complicated compensation plans that it feels like you need to have a rocket scientist doctorate to understand just their first paragraph.
Truthfully, FM World’s compensation plan is no different whatsoever.
Nonetheless, I’ll try my best to get you up to speed.
So, FM World compensates its Business Partners in 6 different ways.
- Retail Commissions
- Marketing Plan 1 – The Magnolia Club
- Effectiveness Bonuses
- Marketing Plan 2 – The Orchid Club
- Marketing Plan 3 – The Star Club
1 • Retail Commissions
FM World’s Business Partners are able to purchase all the company’s products at wholesale prices and then resell them in retail.
The difference between retail and wholesale pricing goes into the Business Partner’s pocket and is usually up to 30%.
2 • Marketing Plan 1
The number of accumulated Group Points you generate every month qualifies you to a certain Effectiveness Level ranging from 0% to 21% (see table below).
Marketing Plan 1 pays you commissions based on the Personal and Group Points you have generated and the difference between your Effectiveness Level and the Effectiveness Level of the people you have personally recruited (1st Level).
This is the exact formula:
Commissions = Personal Points + Group Points * (Your Effectiveness Level – Downline Business Partner’s Effectiveness Level) * Exchange Rate
Let’s assume that you have:
- 50 Personal Points
- 1500 Group Points
- 9% Effectiveness Level
- A downline Business Partner with 6% Effectiveness Level
- 0.175 Exchange Rate
Your commissions will be calculated as:
50 + 1500 * (9% – 6%) * 0.175 = 1550 * 3% * 0.175 = £8.13
Personal Points = Points generated when you personally purchase FM World’s products
Group Points = Points generated through the personal purchases of Business Partners in your downline
Exchange Rate = A fixed-rate that varies per country
3 • Effectiveness Bonuses
When you reach the 9% Effectiveness Level for the first time, you become entitled to operate an additional business spot which you can strategically place anywhere within your downline, such as
- on your 1st Level in order to build a brand new leg
- under an already existing leg in order to strengthen it
Whatever the case, this additional business spot is an opportunity to generate additional commissions.
Please note that you’re entitled to additional business spots once you reach the 15% and 21% Effectiveness Levels respectively.
4 • Marketing Plan 2
Business Partners who have reached the Effectiveness Level of “Orchid” qualify to start participating in Marketing Plan 2.
Marketing Plan 2 calculates team commissions in a very different way than Marketing Plan 1.
The formula is so complicated and dependent on such a huge range of factors, that it’s 100% impossible for me to put it into words here.
Nonetheless, everything is fully laid out in FM World’s official compensation plan which I’m going to share with you later on.
Business Partners who have reached the Orchid Level share 8.5% of the FM World’s worldwide Point turnover.
The qualifications to reach the Orchid Level are as follows:
- have at least 1 leg with a 21% Effectiveness Level Business Partner
- have at least 20.000 Points (Group &Personal combined)
- have at least 3 legs with at least one 21% Effectiveness Level Business Partner each
- have at least 3 legs with at least one Orchid Level Business Partner each
- have at least 5 legs with at least one Orchid Level Business Partner each
5 • Marketing Plan 3
Those who have reached the “Star” Effectiveness Level qualify to participate in Marketing Plan 3.
The formula for calculating commissions in Marketing Plan 3 is even more complicated than Marketing Plan 2 as it literally takes into account more than 15 different factors.
Thus, I’m not going to even attempt to analyze it either.
What I can tell you here is that through Marketing Plan 3, FM World dedicates 3.5% of its worldwide Point turnover to be shared among all its Star-ranked Business Partners.
The qualifications to reach the Star Level are as follows:
- Have 7 Legs with 1 Orchid Level Business Partner in each Leg
- Have 1 Amaranth Orchid Business Partner in 3 of the 7 Legs
- Have 1 Pearl Orchid Business Partner in 4 of the 7 Legs
- 2 of the 7 Legs must qualify as New Legs
- Reach 21% Effectiveness with 1 of your additional business spots
- Have 9 Legs with 1 Orchid Level Business Partner in each Leg
- Have 1 Golden Orchid Business Partner in 2 of the 9 Legs
- Have 1 Amaranth Orchid Business Partner in 5 of the 9 Legs
- Have 1 Pearl Orchid Business Partner in 2 of the 9 Legs
- 3 of the 9 Legs must qualify as New Legs
- Reach Pearl Orchid with 1 of your additional business spots
- Have 11 Legs with 1 Orchid Level Business Partner in each Leg
- Have 1 Golden Orchid Business Partner in 7 of the 11 Legs
- Have 1 Amaranth Orchid Business Partner in 2 of the 11 Legs
- Have 1 Pearl Orchid Business Partner in 2 of the 11 Legs
- 4 of the 11 Legs must qualify as New Legs
- Reach Amaranth Orchid with 1 of your additional business spots
- Have 13 Legs with 1 Orchid Level Business Partner in each Leg
- Have 1 Diamond Orchid Business Partner in 2 of the 13 Legs
- Have 1 Golden Orchid Business Partner in 5 of the 13 Legs
- Have 1 Amaranth Orchid Business Partner in 4 of the 13 Legs
- Have 1 Pearl Orchid Business Partner in 2 of the 13 Legs
- 5 of the 13 Legs must qualify as New Legs
- Reach Golden Orchid with 1 of your additional business spots
- Have 15 Legs with 1 Orchid Level Business Partner in each Leg
- Have 1 Diamond Orchid Business Partner in 3 of the 15 Legs
- Have 1 Golden Orchid Business Partner in 5 of the 15 Legs
- Have 1 Amaranth Orchid Business Partner in 7 of the 15 Legs
- 6 of the 15 Legs must qualify as New Legs
- Reach Diamond Orchid with 1 of your additional business spots
Commissions earned through Marketing Plans 1, 2, and 3 add up.
For instance, an Amethyst Star can qualify for commissions through Marketing Plan 1, Marketing Plan 2, and Marketing Plan 3 at the same time.
6 • Incentives
In addition to the Retail Commission and Marketing Plans, FM World offers its Business Partners several inventives, such as:
- Fast & Smart Start Bonuses
- Product Vouchers
- Car Payments
- Extra Commissions
- Paid Vacations
All the currently available incentives are listed within your FM World Business Partner’s personal dashboard.
You can study FM World’s full compensation plan right here.
The videos below kinda sum up FM World’s compensation plan so you might want to give them a watch if you still have any gaps.
Please note that FM World’s compensation plan might undergo changes from time to time so by the time you read this review, some of the info, the commission rates, the rank qualifications, etc that are displayed in the video and PDF file I shared with you right above might not be that accurate.
If you have any questions about FM World’s compensation plan, you can contact their support team through the contact information you’ll find on the company’s website.
Or you could contact me at firstname.lastname@example.org and I’ll do my best to help you out.
How Much Does It Cost to Join FM World?
Joining FM World as a Business Partner is completely free.
However, be aware that in order to remain active and qualified for commissions during any given month, you need to personally purchase 50-points (£10 to £20) worth of FM World’s products.
In addition, you should be prepared to spend AT LEAST an extra £100/month to actually run your FM World business (purchasing sales aids, packaging, promotional materials, products for sampling, etc).
How to Join FM World?
Joining FM World as a Business Partner is pretty simple and straightforward…
All you have to do is follow the few steps below:
- First, head over to uk.fmworld.com (or to distribution.fmworld.com if you live outside the UK)
- Scroll down to the bottom of the page and click on “Become a Business Partner”
- Go to Step 2 and click on “register on-line” (only for UK users)
- Fill in the requested information
- If you don’t have a sponsor, choose “Select random sponsor” or “I don’t have a sponsor”
- Once ready click “Send the Form”
- After submitting the application, FM World will send you an email with a confirmation link
- Click on the confirmation link to conclude your agreement of participation in FM World as a Business Partner
- Now, FM World will forward you one last email that’ll contain your Business Partner login credentials
- Lastly, head over to back-office.fmworld.com, use your credentials to log in and set your own password as prompted
Congrats, you’re now a Business Partner for FM World!
Is FM World a Pyramid Scheme?
Most of the time it’s very hard to distinguish between a legit MLM company and a pyramid scheme.
The video below will help you understand how to spot and avoid pyramid schemes in general.
The main difference between a legit MLM and a pyramid scheme is that your income potential with a legit MLM is mostly based on selling the company’s actual products or services to retail customers while your income potential with a pyramid scheme is mostly or solely based on recruiting other people into the scheme.
Not all MLMs are legitimate. If the money you make through an MLM is based on your sales to the public, it may be a legitimate one. If the money you make is based on the number of people you recruit and your sales to them, it’s not legit. It’s a pyramid scheme. Pyramid schemes are illegal, and the vast majority of their participants lose money. – Federal Trade Commission
Since FM World pays its Business Partners commissions for selling its products to retail customers, technically, the company cannot be considered a pyramid scheme.
The problem here is that building a full-time income with FM World without actually having a downline would be nearly impossible.
If your goal here is to earn more than a couple of hundreds of dollars per month, your main focus as an FM World Business Partner will just have to be to recruit other Business Partners.
In addition, as we saw right above, in order for an FM World Business Partner to remain qualified for commissions, they’ll have to personally purchase 50-points worth of products during any given month.
This is called “pay-to-play” and according to the FTC, it’s one of the 5 Red Flags of Product-Based Pyramid Schemes, or Recruiting MLM’s.
Incentivized (or “pay to play”) purchases is the practice of tying purchases of products from an MLM company as a requirement to enter the “business opportunity” or advance in the hierarchy of “distributors” who are in effect merely participants making pyramid scheme investments disguised (or laundered) as purchases.
Now, I’m not claiming that FM World is a pyramid scheme but it definitely displays a number of characteristics one, so if I were you, I’d proceed with extreme caution.
FM World Pros
1 • Free to Join
Most MLM companies have admission fees that rise up to hundreds or in some cases even thousands of dollars.
That’s not the case here…
FM World is actually among the very few MLM companies that allow you to take part in their business opportunity without paying a single dime.
Another pretty legit MLM company that’s free to join is CBD BioCare.
2 • Established Company
FM World has been in business for more than 15 years now.
This is pretty exceptional considering that most MLM companies fail before they even hit the 5-year mark.
In addition, FM World claims to have more than 2 million international Business Partners already working with them.
Not bad at all…
FM World Cons
1 • MLM Business Model
Personally, I’m not that fond of the MLM business model for the following reasons:
- The chances of making a profit as an MLM rep are minimal
- MLM companies are extremely volatile and unstable
- I hate selling and recruiting
Being involved in an MLM is just not worth the trouble in my mind.
Especially when there exist other much more promising ways of building a full-time income without becoming a sleazy salesperson and jeopardizing the relationships with the people around you for the sake of pocketing a commission.
2 • Complicated Compensation Plan
FM World’s compensation plan is by far the most complicated MLM compensation plan I’ve come across until now.
Seriously, it’s 48 pages of complete non-sense about points, flowers, and completely undecipherable formulas of calculating commissions.
I’ve studied dozens of MLM compensation plans but I’ve never seen anything like this.
3 • Focus on Recruiting
FM World’s compensation plan is recruit-oriented and barely covers earning commissions through retail sales.
In fact, out of an entire 48-page comp plan, only two small sentences talk about selling products to retail customers:
When you are a Business Partner you receive discounts for the purchase of FM GROUP products.
Besides, you can also generate direct profit from selling the Products (the difference between the prices for which you buy and sell FM GROUP products stays in your pocket).
Everything else within FM World’s compensation plan is about recruiting, purchasing the company’s products yourself to “try them out” and stay qualified for commissions, and earning points when Business Partners on your downline place their monthly orders in order to remain active.
As it seems, if you’re after building a sizeable monthly income with FM World, you’ll have to focus the majority of your efforts towards recruiting other Business Partners.
4 • No Income Disclosure Statement
The fact that FM World has been operating for more than 15 years now and hasn’t published a single Income Disclosure Statement is a big turn off for me.
There are usually two reasons that MLMs don’t publish an IDS.
- They don’t have the required statistical data to put together an accurate IDS because they are newly launched
- Their reps earn such a low income that if they’d publish an IDS, potential reps would get discouraged from joining the company
Now, FM World has been operating for more than 15 years so we can safely rule out reason #1.
Truth is that all Income Disclosure Statements I’ve come across until now reveal the exact same thing – that the vast majority of MLM reps never actually make any profit and those who do make a profit, would have to throw an additional couple of bucks on top of it to buy a pizza.
Chances are that if FM World published an IDS today it would probably tell the exact same story…
Is FM World Suggested?
The only thing that sets FM World apart from the majority of other MLM companies out there is that you can join its business opportunity for free.
Other than that, the company
- has a very complicated and recruit-oriented comp plan
- doesn’t have an IDS in place
- is kinda hype-y & calls itself “The Best MLM Company in the World”
- and displays pay-to-play instances which indicate that it could be a pyramid scheme
Now, if your heart is set to becoming a Business Partner for FM World, you could create your free account and give it a try.
However, I strongly advise you to consult with a trustworthy Business Partner before you invest any money in the company.
Personally, I’m not that fond of the MLM business model…
- The chances of making a profit as an MLM rep are minimal
- MLM companies are extremely volatile and unstable
- I hate selling and recruiting
If you’re anything like me, make sure to check out this money-making opportunity.