Philip Reitcheck | greentrees

Karatbars Review

Sep 9th 2013 at 4:54 PM

My review of the Karatbars International MLM program.  Karatbars sells credit sized cards with either 1, 2.5 or 5 grams of currency grade Gold embedded on them, plus offer an MLM type comp plan.  The company full name is Karatbars International GmbH, the owner is Harald Seiz & director for America is Thomas Schranner, and the company office is in Munich Germany.  Their website states that the company started in late 2011 (as KB Gold) and have offices іn Germany, Europe, Belize, Asia, аnd Thailand.  Their URL is "karatbars.com", was created on September 3rd 2011, and its registrar is Karatbars GmbH by Fazio Pietro in Stuttgart Germany.


How Does Karatbars Work? The program has five investment packages, as follows;
99 euro Bronze package=  (1) 100 bonus & (1) 3% discount card
239 euro Silver package= (1) gram Gold, (3) 100 bonus & (3) 3% discount cards
595 euro Gold package=  (2) grams Gold, (7) 100 bonus & (5) 3% discount cards
1,595 euro VIP package=  (3) grams Gold, (20) 100 bonus & (10) 3% discount cards.

The 100 bonus cards are used to get up to 100 euro discounts on K-Exchange centers, Branding card purchased, World Aurum Licenses, and VIP package purchased.  The 3% discount cards are for customers to use to get a 3% discount on Gold package purchases.

Karatbars referral comp plan (called Dual System) pays monthly based on purchased package, as follows;
Bronze package, 5% commission and 10 euro per cycle
Silver package, 10% commission and 40 euro per cycle
Gold package, 15 % commission and 60 euro per cycle
VIP, 20 % commission and 80 euro per cycle

It also has an 2Xunlimited unilevel matrix that pays out 0.5% to 6%, commission weekly based on your sells volume.  Every package has a unit value attached.  A cycle is generated once you have 50 Units on one side of the unilevel matrix and 25 Units on the other side.  Other bonuses are the Karatbar Bonus Pool, Generation Bonus, Package Bonus, and Karatbars Gold Funds Bonus that are also available based on the volume generated by your matrix affiliates and customers.

Karatbars commissions are paid out to a Karatbar MasterCard automatically when commissions are greater than 35 euro.

My Opinion.... First the good things.  They are selling a marketable product, Gold and that is very good.  Their comp plan is directly based on both customer and affiliate sells, also good.  Their URL is public record and their place of business are proven to be "legit", another good point.

Unfortunately there are some things that I have found out that are not good.  One is the fact that the company states that they owned a Gold mine and refinery.  From the information I have found this is not true.  Also that they had their own precious metal depository, which I believe that is not true either.  Second I have heard of complains from other affiliates that had stated that customers have been waiting for more than 4 months for get their branded and special gift cards to be delivered and the lack of company support, with the company making "bogus" excuses and not telling the truth when they are contacted.

Second is since you are paying 30% more per Gold ounce to purchase these very small (1 gram) Gold amounts, so you need to remember that your will lose 30% or more of you original investment on these Karatbars cards, if you need to convert them back to cash quickly for any reason.  Which is why I believe most new affiliates are joining Karatbars, not for the Gold investment value, but for the MLM comp plan payments.

You must also remember that Gold is NOT A CURRENCY but a trading commodity (like corn or wheat), no matter what the web site states.  And as such is only "worth" what someone else is willing to pay for it and can go down in price at any time.

My advise to anyone who are either planning to sign up and purchase Karatbars or is already a affiliate/customer is to:
NOT leave money on the Karatbars MasterCard and IF you bought gold or cards, have them delivered to you as fast as possible.  But be ready for delivery to take a long time, as many affiliates have been waiting 4.5 months to receive their special orders.

Just My Opinion.
Philip Reitcheck
greentreesmlm@gmail.com

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Jan 4th 2014 at 7:31 AM by TerriLPattioMLMmento
This is a very good review Philip with facts that is beneficial for people to learn more about Karatbars. Someone approached me about joining Karatbars and I did my search on the owner/company and found your article. I appreciate you taking the time to write this article. People need facts and truth to make a good decision when joining a business opportunity. I will be happy to share your article so more can read and learn from your review about the company. ~Terri Pattio - MLM Coach/Mentor with a servant's heart
   

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