I want to address FAQ about becoming a LuLaRoe Retailer in spite of the fact that there’s been a lot of press about LuLaRoe lately and some of it is rather intimidating and negative. I’m confident there are lots of people out there who have been hesitant to say that they’re still curious about the business opportunity in spite of those exiting the business and the hype the media has created about this natural phenomenon. See this blog post for my take on the universal fact of business success and turnover rates in corporate America and in any type of business and my response to the negative press! I’m here today to address the questions I most frequently get asked about the LuLaRoe business opportunity! I also want to be clear that the time has never been more perfect for someone to jump on board.
My top 5 reasons for why NOW is a perfect time to get started!
- The company has weathered the first 5 years of business and has come out the other end ahead! There’s common fact out there that startups fail in their first 5 years. LuLaRoe is stable and strong 5 years in. (Not to mention we’ve sold over 2 BILLION dollars in retail product so far in 2017!!)
- The company has come leaps and bounds in terms of systems and programs to ensure independent retailers’ success. Training programs, new apps and software. The tech team is on it!
- The company has created a strong brand that is becoming more known. Think Disney, Coca Cola, etc. As you create a strong brand people want to buy your product rather than some obscure, unknown brand they don’t recognize.
- There’s no market saturation on the internet so there’s room for more retailers and there’s so much variety among retailers that your product DOES have a fighting chance in the marketplace!
- The company is debt free and expanding! There’s lots to be excited about and the stability of the company and product expansion is a phenomenal thing.
So now, let’s get into those questions!
Q. Why LuLaRoe?
A. LuLaRoe has a unique business model that has found it’s niche in a very competitive and ever changing clothing marketplace. There are a couple things that set LuLaRoe apart. The fact that prints are limited and nothing is mass produced makes their appeal that much more, plus they are fashion forward. They may not be high fashion, but the price point is right and the product on trend. They are able to market through social channels and sell online but also have an in person draw with retailers who have boutiques in their home, similar to a retail store, but not in a retail location.
Q. How does the sales model work?
A. Basically you buy at wholesale and sell at retail prices. The company calls this MAP (minimum advertised price). Retailers are not allowed to advertise prices lower than MAP so as not to compromise other retailers and the value of the items.
Q. How much money do you make per sale?
A. Depending on the item you’ll make approximately 100-110% profit. So for example, if you buy an item for $10, you’ll sell it for $22 and make over 100% profit.
Q. What does is cost to get started?
A. Packages vary depending on when you get started in the business, but the standard start up kit is about $5,000 and you’ll want to budget another $250-500 for other business supplies like clothing racks, hangers, business cards/marketing materials, shipping supplies, etc.
Q. How do people pay for an investment that big?
A. SAVE! Hustle and sell off household items, belongings you don’t need anymore, fundraise! If you want it, you’ll make a way. You can also consider using a credit card (preferably with a no interest period) or a business loan. You can also do a combination payment for your initial inventory kit, so you could pay for some with a checking account and then put the rest on a credit card, etc.
Q. What happens when I sign up?
A. You go into what the company calls the “queue”. You basically get in line to be called by an on boarding specialist who will go over your start u
p options and get you started in the business. There’s no cost to get in the queue and you can decline your call or postpone when they call if you’re not ready. If they call and you decide you don’t want to do it at all, you can let them no and the
re’s no cost or problem to do so!
Q. What if I sign up and decide it’s not for me after I get started?
A. The company has a very generous buy back policy that allows you to get 90% of your money back on your investment!
Q. What are the ways I can sell?
A. The question should really be, how can’t you sell, because you can get as creative as you’d like. The only thing you can’t do is use a website with a shopping cart/checkout system (like eBay or amazon). You can use Facebook and other social media channels to promote your items. There’s also huge draw for in person events like vendor fairs, private parties, open houses, etc.
Q. If I have someone host a party how do I incentivize her?
A. The company encourages you to be generous with your hostesses and encourages that you at least give her 1 free item for every 10 her friends buy. However, you can add to your hostess program and incentivize as you’d like.
Q. How do I get paid?
A. The point of sale system is called “BLESS” and can be accessed via mobile devices on an app or through a website browser on a computer. Once the customer has either paid their invoice or you have completed the transaction with your card reader (provided by the home office), you get paid! Generally ladies click the “get paid” button daily, but the app will now periodically click the “get paid” button for you and deposit the funds to your account. You have a “funds account” associated with a checking account you enter. The funds are transferred to your “bless” debit card that you can use just like any other credit/debit card. This is also the card you’ll use to purchase more inventory (although you can use a credit card or checking account as well for future wholesale orders.) If you’d like the money transferred off your funds card and to your bank account you can do that at any time!
Q. When I place an order for more inventory, how long does it take?
A. Orders are usually processed within 24 hours and shipped UPS ground. You can also pay an extra fee to have your shipment expedited after processing.
Q. How many items do I have to purchase? What happens if I don’t purchase all the time?
A. A minimum order is 30 items. You cannot place an order for a smaller amount. They ship your boxes to you FREE, although you can pay expedited shipping. To remain active status with access to all back office features one 30 piece order is required per month. However, there’s no penalty fee if you don’t.
Q. Why should I sign up with you as my sponsor as opposed to other retailers out there?
A. I would strongly encourage you to interview those you are considering as your sponsors and ask questions like, “How big is your team and what sort of time will you be able to offer me when I have questions and need support?”, “How long have you been in the business?”, “What makes you a strong leader and someone who can be a mentor?”
So, I’ll do you the quick favor and give you a very brief response to these questions but would implore you to reach out to me and ask these and other questions before choosing me (or anyone else) as your mentor/upline leader in the business! I have been with LuLaRoe one year although my direct sales experience spans over a decade. I currently have a handful of ladies on my team who I am very proud to have close relationships with and check in with weekly. My motto is, “If you’re not succeeding, then I’m failing.” My goal as a leader is to inspire you, set an example for what a respectable, professional, service oriented business looks like and help you do the same!
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