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At each level members are awarded a bonus as well as an increase on the amount they earn per accounting unit they receive a bonus on.

Members gain membership ranks based on the number of accounting units they have converted into cash returns. There are no fees whatsoever to become a member of the company.

Accounting Units are where the Lyoness compensation plan starts to get a little complicated.

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Being a “down payment”, as I understand it the money stays with Lyoness itself as nothing has been purchased from any retailer.

At a later stage you could cash out a gift card but there doesn’t appear to be any onus or requirement to do so (you can’t redeem the money as cash so it makes sense to request a gift card).

On the surface, Lyoness looks like a regular enough cashback member rewards scheme and that part of the business I have absolutely no problem with.

You sign up for free, you shop and you earn a 1-2% cashback and a 0.5% cashback on the purchases of people you refer (and members they refer).

If this was the extent of the Lyoness compensation plan then, apart from it not really being MLM my conclusion would stop short here.