Young Living is a multi-level marketing company that sells essential oils and wellness products

Young Living Entertainment, founded in 1994, operates as a multi-level marketing (MLM) company that distributes essential oils, personal care products, and supplements. Unlike a traditional retailer, Young Living does not sell through stores. Instead, it recruits independent distributors — called "members" — who buy products at wholesale prices and sell them to consumers or other distributors below them in their sales network.

The company's revenue model depends on two sources: retail sales to end consumers and commissions paid to distributors based on their own sales and the sales of people they recruit. This structure means your earnings potential, if you join as a distributor, depends partly on how much you personally sell and partly on how many people you recruit and how much they sell.

Young Living's product catalog includes essential oils (single oils and blends), diffusers, skincare lines, nutritional supplements, and home care products. The oils are marketed for aromatherapy, topical use, and ingestion, though the company's claims about health benefits are not reviewed or approved by the FDA.

Key Takeaways

  • Young Living is an MLM company where you buy products at a discount and earn money by selling to others or recruiting new distributors below you.
  • Joining requires an initial purchase (usually $50 to $300 depending on the starter kit you choose) and ongoing monthly purchases to maintain your distributor status and commission may be able to access.
  • Your income comes from two sources: retail markup on products you sell directly, and commissions on sales made by people you recruit into your downline.
  • The FTC reports that in most MLMs, the majority of participants earn little to no profit after accounting for product purchases and business expenses.
  • Young Living's product claims about health benefits are not FDA-reviewed, and the company has faced regulatory action and lawsuits over marketing and income claims.

How the distributor compensation structure works

When you join Young Living as a distributor, you purchase a starter kit and products at a wholesale discount (typically 24% off retail). You then sell those products to consumers at retail price, keeping the markup as profit. This is the direct retail income path.

The second income stream comes from recruitment. When you recruit someone into your "downline," you earn a commission on their purchases — usually between 5% and 25% depending on your rank and their rank. As your downline grows and their sales volume increases, your commission income can grow without you personally selling more products.

Young Living uses a rank advancement system. Your rank determines your commission percentage and which bonuses you become may be able to access for. Ranks typically require you to maintain a minimum monthly personal sales volume (called "PV" or personal volume) and a minimum group sales volume from your recruits. If you fall below these thresholds, you drop to a lower rank and lose access to higher commissions.

This means that to maintain your earning potential, you must either keep selling products yourself or keep recruiting and motivating your downline to purchase and sell. Many distributors find they need to buy products monthly just to maintain their rank, even if they have not sold everything from the previous month.

Initial costs and ongoing expenses

Joining Young Living requires an upfront purchase. Starter kits range from about $50 for a basic membership to $300 or more for premium kits that include multiple oils and a diffuser. Some distributors are encouraged to buy larger initial orders to "stock inventory" for retail sales.

After joining, most distributors face ongoing monthly costs. To maintain distributor status and commission may be able to access, you typically must purchase at least $50 to $100 in products each month (the exact amount depends on your rank and company policy at the time). This is called a "personal volume requirement" or "PV requirement."

Beyond these direct costs, running a Young Living business involves expenses that are not part of the company's fee structure: shipping costs if you order products, materials for marketing or hosting events, travel to training sessions or conferences, and time spent recruiting and managing your downline. The FTC does not require MLMs to disclose average distributor expenses, so these costs are often not factored into income claims.

What the research shows about MLM earnings

The FTC has studied MLM income structures and found that the vast majority of participants earn very little. In a 2021 FTC report on MLM compensation plans, the agency found that in most plans, over 99% of participants earned less than the cost of their starter kit and monthly purchases combined.

Young Living does not publish detailed income disclosure statements showing what percentage of distributors earn at each rank or how many earn a profit. Without this data, it is difficult to know your realistic earning potential before joining. The company publishes average earnings figures, but these typically do not account for product purchases, business expenses, or the time required to build a downline.

Success in an MLM typically requires recruiting a large downline quickly. However, market saturation — the fact that there are only so many potential customers in any given area — means that as more distributors join, it becomes harder for each person to find new recruits or retail customers. This is why most people who join an MLM eventually leave.

Young Living's product claims and regulatory history

Young Living markets its essential oils for a wide range of uses: aromatherapy, topical process, and ingestion. The company makes claims that oils can support immune function, emotional wellness, sleep quality, and other health outcomes. These claims are not reviewed or approved by the FDA before the products are sold.

The company has faced regulatory scrutiny. In 2014, the FDA sent Young Living a warning letter about unsubstantiated health claims made on the company's website and in distributor materials. The company has also been involved in multiple lawsuits from distributors alleging that income claims were misleading and that they lost money participating in the business.

Essential oils are not regulated as drugs by the FDA unless they are marketed with disease claims. Young Living's marketing often walks a line between wellness claims (which are less regulated) and health claims (which are more regulated). Distributors are sometimes trained to make claims that go beyond what the company officially publishes, which can create legal risk for both the distributor and the company.

Comparing Young Living to other essential oil companies

Several companies sell essential oils through different business models. Some, like Plant Therapy and Rocky Mountain Oils, sell through traditional retail channels — you buy directly from their website or from retailers, with no recruitment or downline component. Others, like doTERRA and Youngevity, also operate as MLMs with similar compensation structures to Young Living.

The key difference is the business model, not necessarily the product quality. An MLM structure means a portion of the price you pay goes toward distributor commissions rather than toward product development or retail infrastructure. A traditional retailer's price reflects manufacturing, marketing, and retail overhead, but not commission payments to a sales network.

If your interest is in essential oils themselves — their uses, quality, and cost — you can purchase from MLM and non-MLM companies. If your interest is in the business opportunity, you should understand that MLM earnings depend heavily on recruitment, and the FTC data shows that most participants do not earn a profit.

Questions to ask before joining as a distributor

If you are considering joining Young Living, the FTC recommends asking the company for a written income disclosure statement showing what percentage of distributors earn at each rank and what the average earnings are after accounting for expenses. Young Living does not publish this data in a standardized format, which makes it harder to assess your realistic earning potential.

You should also ask whether you can return unsold inventory for a refund. Some MLMs allow returns; others do not. If you cannot return products, you bear the full financial risk of inventory that does not sell. Additionally, ask about the monthly purchase requirement — what is the minimum you must buy each month to stay active and may be able to access for commissions, and what happens if you do not meet it.

Finally, consider whether you have a genuine retail market for these products outside of recruiting other distributors. If most of your income would come from recruitment rather than retail sales, the business model is riskier and the FTC data suggests your chances of earning a profit are very low.

Frequently Asked Questions

Is Young Living a scam?

Young Living is a legal company, but it operates as an MLM, which is a business model that the FTC has found generates little to no profit for the majority of participants. Whether it is right for you depends on whether you can sell products at retail prices to genuine customers outside your recruitment network. If your income depends mainly on recruiting, the FTC data shows you are unlikely to earn a profit.

Can I make money selling Young Living products without recruiting?

Yes, but the company's structure makes it harder. You can buy at wholesale and sell at retail, keeping the markup. However, most distributors find that retail sales alone do not generate enough income to cover their monthly purchase requirements and business expenses. Recruitment is built into the compensation plan because it is where most distributors' income comes from.

What happens if I stop buying products each month?

If you do not meet your monthly personal volume requirement, you typically drop to a lower rank and lose access to higher commission percentages. You may also become ineligible for certain bonuses or incentives. This is why many distributors feel pressured to buy products monthly even if they have not sold their previous inventory.

Are Young Living's health claims proven?

Young Living's claims about health benefits are not reviewed or approved by the FDA before products are sold. Some claims are supported by general research on essential oils, but many are marketing statements that go beyond what scientific evidence supports. You should not rely on essential oils as a substitute for medical treatment without consulting a healthcare provider.

How do I know if I should join?

Before joining, ask Young Living for a written income disclosure statement, understand the monthly purchase requirement, and honestly assess whether you have a retail customer base outside of people you recruit. If you cannot answer yes to that last question, the FTC research suggests your chances of earning a profit are very low.