It’s always a sad story when you hear that a company that you’ve been part of has gone down the gurgler.
The reason for its demise?
Mr Rocke said the business was struggling with sales slumping to $12-$15 million per annum because in boom times members were less inclined to supplement their incomes by selling Omegatrend products.
This is certainly an interesting way to fail. Who would have thought it were even possible that as the economy increased your business prospects decreased?
Certainly in the ’90′s after the sharemarket crash of 1987 in a world of spiraling interest rates and businesses were going bankrupt at a great rate of knots, finding a way to bring in some extra dollars was almost a God-send. Omegatrend’s founder, Mr Loren Watts, set about to create his own “Amway” and found increasing success for the first decade. Many mum’s and dad’s joined the business hoping to achieve some of their ‘dreams’ that could only be achieved through a sales system that was Omegatrend – at least that’s what they told us.
As administrators were appointed there was still a salesforce of 13,000 but only 1500 were active. The business still owed creditors A$2m and 70 employees were laid off.
Look on the bright side. At least there’s one less phone call we’ll receive from an overzealous friend looking to build his empire.