CBD MLM Scam: Why I Stopped Selling It After Making $130k

CBD oil has officially hit the “mainstream.” With over a 1,000 companies to choose from, CBD is everywhere. The best “gold rush” to ever hit MLM is CBD Oil. However, are expensive CBD MLMs a scam? Read further to find out why I walked away from CBD MLM after I made over $130k.

CBD MLM is Extremely Competitive

When I started promoting CBD oil in a network marketing company in 2017, there were roughly 3 MLM companies offering it.


My Daily Choice

My Club 8

That quickly grew to 10 a year later, then 50+ in 2019. When I did a top 100 CBD companies online review around the beginning of 2018, I easily filled the list. There were so many companies, not all were MLM, but they had a large online presence.

CBD MLMs have hit mainstream. My Daily Choice just filled 5,000 seats at their 2019 convention, and Kannaway had a huge, invite only event in San Diego.

Here’s the thing: MLM is hard to do by itself, most people only average $1,200 a year, and up to 80% quit their MLM business after just a year.

The average distributor recruits only two people. Add CBD to the MLM equation and you have nearly impossible to promote. CBD is everywhere. CBD is at every gas station down the road from us and there’s 4 stores that only sell CBD in our small town of Boone, North Carolina.

Related: Why CBD MLMs Leave a Bad Taste in My Mouth

Legal Problems with CBD MLMs

If you want to promote your CBD business online, you have to put lengthy income and product claims on every piece of content, even social media posts or the FDA, FTC, or SEC might bust you – or you can get fired by your MLM company. Some CBD MLM companies have strict compliance policies in place now that restrict users of CBD to post any testimony or claim about their experience with CBD.

The CBD company I was in started to enforce their policies aggressively and went after not only all of my CBD-related content, but also my wife’s CBD blog as well.

They also fired one of my biggest leaders who had several blogs and YouTube channels. This leader had content on podcast sites and when compliance told him to take down the content he could only ask the podcast creators to do so, but it wasn’t quick enough for compliance and he was terminated.

In fact, I was no stranger to receiving emails from compliance telling me to delete seemingly innocent articles – or even tweets I tweeted on Twitter 7 months prior. My wife saw the trend of compliance picking away at our content so she just deleted her entire blog all together. She lost over 50 articles which she spent a writer $2,000 to create.

The FDA is also cracking down aggressively on CBD companies that make medical claims without backing it up. 

CBD MLMs are Blocked by Big Brother

If you want to create a CBD business or fan page on Facebook you can also forget that. Facebook won’t have anything to do with CBD and will terminate any account without notice, and any CBD ad on Facebook will quickly be denied. Google and Bing also won’t even take an ad that has CBD keywords.

Promoting CBD Oil and actually making sales will be up to your warm market only, how many friends you have. As far as internet marketers like myself who uses Paid Advertising and PPC, CBD is extremely difficult to sell.

CBD MLMs are Expensive

Network marketing and MLM companies are notorious for increasing their prices so that distributors can get paid as well as the company. Here’s a few CBD MLM Prices:

Prime My Body – 400 MG $149.00  

Zilis – 400 MG $99.95

Trevo – 500 MG $120

Green Compass – 500 MG $67.96

Hempworx – 500 MG $69.00

Hempworx – 750 MG $89.00

Green Compass – 750 MG $87.96

Kannaway – 1000 MG $175.99

Green Compass – 1000 MG $111.96

Hempworx – 1500 MG $149.00

Green Compass – 2500 MG $263.96

If you want cheap CBD Oil without the business opportunity attached then go to eBay or CVS. But, you really don’t know what you’re getting.

CBD Can Be Dangerous

Over the last 2.5 years that I have taken CBD Oil, I have experienced dizziness, nausea, low blood pressure spikes, and blurred vision. Medical reports are coming back that CBD Oil can be very hard on your liver and kidneys. I originally took it for anxiety and back pain. Although, it helped, it wasn’t that noticeable. I can reduce my anxiety a lot better with Lavender Pills, and good old Advil can beat any CBD Oil price.

See More CBD Side-Effects.

Is CBD MLM a Scam? Conclusion

I have to admit, selling cbd in an MLM was a lot of fun and very lucrative from June 2017 to June 2019. However, I believe it would be extremely difficult for someone to join CBD MLM right now and make any significant income. You are better off being a customer or just turning a few friends on to CBD and making a little money for bills and groceries. The leaders in CBD have already saturated the market. Everyone has heard about CBD. Even my mom says it’s everywhere and she is 76 and doesn’t look for it.

So, is CBD MLM a scam? No, but don’t expect it to be easy money at all, and watch what you say about it. Most companies consider “may reduce anxiety” as a “medical claim” and will ask you to take it down. Not fun at all. If I ever felt like my freedom of speech was hindered, it was selling CBD Oil in a popular MLM. 

I would rather promote an MLM company that has a wide range of quality products with the same awesome autoresponder recruiting system that helped me recruit over 800 reps in MLM. Click the button to take a Free Tour:

Thanks for Reading! 


Erik Christian Johnson


  1. Mike Dew October 21, 2019
    • BestMLM2019 October 21, 2019
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