Omegatrend
Encyclopedia : O : OM : OME : Omegatrend
Omegatrend is an Australian multi-level marketing company. It was founded in 1990 in Perth, Western Australia by Loren Watts and Sandra Watts, who had achieved Diamond (a significant level) in Amway.
In the late 1980s, Amway tried enforcing its rules of conduct with regards to the distribution of non-Amway sanctioned products through the distributor network. As a result, Loren and Sandra Watts left Amway, founded Omegatrend and took many of the direct-level distributors with them. Amway took them to court and lost. Loren and Sandra Watts worked closely with the government to develop a multi-level marketing model that would be legal under Australian law. The result was a system with low joining fees (only a few hundred dollars) and a simple binary structure (see Multi-Level Marketing article).
They distribute basic consumables, under the exclusive Sanden-Brook brand.
Expanding initially across Australia, the company opened in New Zealand in 1995, Malaysia in 1997 and Singapore in 2003. In July 2005, Omegatrend initiated a Rapid Global Expansion Program that sees new markets open in Hong Kong, the Philippines, the United States of America, the United Kingdom, South Africa and Brunei. Omegatrend now operates in Australia, New Zealand, Malaysia, Singapore, USA, U.K., South Africa, Philippines, Hong Kong and Brunei.
Current Financial Problems
In May 2006, Omegatrend called in administrators from insolvency accounting firm PPB. Omegatrend's suppliers were owed $2 million and Omegatrend directors have said they are fully committed to preserving all members' rights and to fixing the group's financial problems.
Business transactions and functions with most of the countries from the Rapid Global Expansion Program have since been suspended.
Omegatrend directors are working on a restructuring plan, and with the enormous support received from the members are confident the business will continue.
As of June 2006, Citibank has withdrawn alliance with Omegatrend due to the company being under administration.
External links
For an alternative point of view visit: http://beam.to/omegatrend
From Wikipedia, the Free Encyclopedia. Original article here. Support Wikipedia by contributing or donating.
All text is available under the terms of the GNU Free Documentation License See Wikipedia Copyrights for details.