Is LifeMax a Franchise?

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One of the constant themes in at BizOp news is the number of business opportunities that are actually franchises or business opportunity franchises, according to the legal definition of a franchise. Many sellers of business opportunities are actually selling franchises, and do so without providing the purchaser the required information about the opportunity.

For example, this is is something I found at the LifeMax website describing their Independent Distributorship, which looks like a franchise to me.

Becoming a LifeMax™ Independent Distributor is a simple process.

Here's what to do --

Required: Register and purchase the $69.95 Business Builder Pack - this entitles you to purchase and sell LifeMax™ products and earn money whenever you do. You may also invite and enroll other LifeMax™ Independent Distributors to join you in your new business, and grow your organization.

As a new LifeMax™ Independent Distributor you receive your own self-replicating LifeMax™ website and your own BMS (Business Management System) back office to manage and administer your distributorship.

Optional: Purchase one of the currently available LifeMax™ Activation Orders (Silver, Gold or Platinum) and gain "active" distributor status. Doing so puts you on the road to becoming a "qualified" distributor. To become qualified, simply enroll (sponsor) an "active" LifeMax distributor on your binary organization's left team and another on your right team.

The "optional" purchase is for an amount above $500, the required fee element for a franchise according to the Federal Trade Commission.

Could be trouble for LifeMax, if they don't have disclosure document for purchasers.