Empower Network is No More [Bankrupt]

Empower Network is one of those companies that seems like it’s been around forever. Founded in 2001 by Dave Sharpe and Dave Wood (the two Dave’s) it has endured both constant criticism and admiration whilst completely dividing people, some of whom argued until blue in the face that it was a Ponzi scheme and others, who would claim it was the greatest things since sliced bread.

Whilst browsing Facebook one day, I saw a lot of commotion within the internet marketing community regarding Empower Network or rather, claims that it has or was in the process of going bankrupt.

That led me to Dave Wood’s Facebook page, which was a compilation of weird ramblings, rants, and videos.

One stood out, however proving that the claims of bankruptcy were indeed true.

Once a leading name in the network marketing/MLM (multi-level marketing) community and boasting sales of $1.5 million dollars per week and close to 200,000 customers all that remains along side Mr. Wood’s rambling Facebook posts is a dead website.

Empower Network bankruptcy

They claim that the demise was down to “accountancy errors”. Somehow, revenues of $7 million per month dropped to just $300,000/month.

Personally, I put the failure down to two things.

  • The company was around so long that it became stagnant, leading to many of the “leaders” jumping ship, many of which took their “teams” with them. A lack of “heavy hitters” proved troublesome as there was no longer a steady stream of new reps joining each day.

 

  • Leadership (or rather, lack of). Wood was alienating the reps which remained by posting strange and “drug fueled” rants to his Facebook page, some of which were directly attacking leaders who left his program. Not only that, but the other founder, Dave Sharpe had stood down some time ago due to health problems, leaving the company entirely. Perhaps if he was still there to balance things, maybe I wouldn’t be writing this post, who knows.

No matter what your opinion was of Empower Network, they had a hell of a run and probably lasted longer than most critics could have ever imagined (or indeed wanted). Ultimately, the demise of companies like this is inevitable and should be accepted as “normal”. As EN exists I’m sure another company will come along and take its place.

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