Agel Enterprises LLC | Business Review

Posted in MLM Reviews

Agel Company Profile

Agel Enterprises LLC carries a variety of gel-based vitamins. Agel uses an independent direct sales force to sell its products.

Agel Enterprises is a private corporation and does not disclose its sales figures. According to Dun and Bradstreet, they are a $2.2 million company.

Currently Agel is sold in 75 countries according to a recent article in the Network Marketing Journal.

Agel Enterprises was founded in 2005 by Glen Jensen. Jensen had 18 years of experience in the network marketing industry at the time.

According to Dun & Bradstreet, Agel Enterprises employed 25 people at its headquarters is in Lehi, Utah in 2009.

Agel Vision, Mission, and Goals

Agel’s mission statement is to “empower individuals to achieve new levels of health, financial success, and personal freedom by extending those same benefits to those around them. Agel grows as its people grow – through commitment, dedication, and collaboration.”

Agel Company Management

The company is led by Glen Jensen, Founder and CEO.

Craig Bradley serves as Co-Founder and VP of Team Member Relations. James Savas serves as Board of Managers. Dave Harkness is the EVP Marketing, Board Member Scott Bocklund is President of International, and Jeff Higginson is EVP of Global Sales.

Agel Products and Services

Agel’s products are gel-based supplements. They fall into one of 4 categories: Agel Active, Agel Body, Agel Core, and Agel Live.

Agel’s Active line includes OHM, aimed at increasing mental energy, and FIT, which is promoted as a way to “eat less, move more, and lose weight.”

Agel’s Body line includes GLO, a daily cleansing gel, a gel scrub, a gel serum, a moisturizing gel, and other skin care items.

Agel’s Core line includes EXO, promoted as a way to “lose free radicals and gain better health,” MIN, with vitamins and mineral, and UMI, which is promoted as a way to boost your immune system.

Agel’s Thrive line includes FLX for healthy joints, HRT for the heart, and GRN for the digestive system.

Agel Business Model

New distributors can start at either the personal pack level or at the executive level. Distributors then receive the difference between wholesale and retail prices.

They also receive a one-time “first order bonus” of $35 for personally sponsored distributors at the personal pack level; $200, at the executive pack level.

In order to receive commissions, distributors must place a “qualified product order” of 50 Commissionable Volume (CV) or greater each month and must enroll one active team member who also places a qualifying order as well.

Distributors must build 2 legs of their businesses and are paid 10% commissions on their weaker legs.

Executive level distributors have 3 business centers, giving them the opportunity to earn commission on their 3 weaker legs.  The maximum team volume commission is $25K a month.

Distributors receive more benefits as they move up the ranks, starting with promotion to Supervisor level and ascending through 10 more ranks to the Quadruple Diamond Director level.

A leverage matching bonus allows qualified distributors to earn up to 50% of the team volume commissions earned by their personally sponsored team members, paid up to 7 levels down. Supervisor Level or above (1K CV in your weaker leg) with a 2-box-minimum personal purchase qualifies distributors for the leverage matching bonus.

Senior Director level distributors  (40K CV on the weaker leg and 2 director level positions personally enrolled) are eligible to earn expense accounts ranging from $500 to $3K, matching bonuses, allowances, a luxury car fund up to $3K per month, and more.

Executive Bonuses are available to those at the executive level whose businesses are growing at a significant amount per month. It is paid via a 3% company pool.

Agel Public Record

As a privately held company, Agel Enterprise does not disclose its financials. However, according to Dun & Bradstreet, as of June 2010, the company has $2.2 in annual sales.

The Better Business Bureau rated Agel Enterprises, LLC  as a C as of June 2010. In the last 36 months, there have been 8 complaints filed: 3 regarding billing or collection issues; 1 regarding customer service issues; 2 regarding refund or exchange issues, and 2 regarding sales-practice issues.

Of the 8 complaints, 8 were resolved.

There was no apparent evidence of any pending lawsuits as of June 2010.

MLM Files: Miscellaneous Notes

Agel Enterprises faces challenges first with the nature of the product itself. It is expensive (about $80 for a 30-day supply) to use the product, especially compared to the varieties available at the local grocery or drug store.

In 2008, Randy Schroeder, a major distributor, left for another network marketing company, which may have hurt the company financially.

In the beginning, the company benefited from an influx of distributors. However, mainstream acceptance of a gel-based nutritional supplement does not appear to have happened.

Its compensation plan is extremely complex and requires the continual recruiting of new distributors in order to be paid commissions on the team’s volume. In addition, it has been estimated that it takes 450 people in a downline just to generate $2K a month (or $24 a year) in residuals.

Agel also suffers from the lack of a Internet marketing strategy. In fact, the company still seems to push traditional MLM techniques such as personally approaching a warm list. These techniques have been shown to be ineffective over the last century.