Amanda Morgan of Maine initially invested almost $10,000 to become a consultant for LuLaRoe. From her first almost $5,000 shipment of clothes, plus garment racks, hangers, shipping materials, cameras, a laptop, and more – she says she thought the investment would be well worth it.
Morgan has two young kids at home, and says she was “going crazy” without any work. “I wanted to be able to contribute financially,” she said. “That was my main thing. And I wanted to do something for myself.”
So after some research, she started selling LuLaRoe clothing out of her home. “In the beginning, it was unbelievably amazing,” she said. “My launch date – I think I sold 120 items in 24 hours.”
But sales quickly slowed down, as more and more consultants fought for customers online. Morgan said that after some new policies were implemented, she was left to fight for sales. “[They] are looking for one item and [they] describe it,” she said. “And then you’ve got 2000 consultants fighting for that one sale.”
Morgan – a self-described perfectionist – was unwilling to give up, instead pouring herself 110 percent into her business. “Completely just…I’m no longer a part of the world. My entire life,” she explained. “I was just completely detached because all I did was spend my time on my phone.”
In August – after almost a year in the business – Amanda resigned at the perfect time, thanks to a new company policy. It said she would “be refunded 100% of wholesale amount for all returned pieces with no restocking fee. LuLaRoe will also send prepaid shipping labels.” She would get all of her money back for the items still left in her basement.
It would take time though. She had to individually submit and process every single piece of clothing – that’s almost 500 individual returns.
Then – it all came crashing down very quickly, when LuLaRoe revoked that new policy after Amanda had already resigned. “Oh my God,” she said. “I just started crying.”
Now – Morgan will have to pay for her own shipping, and will only be refunded 90% of what she paid. After 5 days of endless emails and calls with no returns, she finally heard back. An email from the company said “waivers that were in place are no longer in effect and our original policies are being enforced.”
Amanda is not the only person struggling to get her money back.
Changing policy on the return process and screwing thousands out of money #lularoe— Leah Redmon (@LeahRedmon1991) September 14, 2017
In a statement to NEWS CENTER, Lularoe said:
LuLaRoe provides a fair and generous path to Independent Fashion Retailers who want to exit the business. Last week, we simply reiterated a long-term written policy each Retailer agreed to when he or she signed up. We had temporarily provided a waiver on some of the policy requirements between April and September 2017.
Morgan believes that because she resigned within the waiver period, she should be granted a 100% refund.
She’s not alone. Some people are taking to social media to express their frustration.
A Change.org petition already has over 9,000 signatures.
Morgan predicts she’ll be at least $5,000 in debt from the entire experience of working for LuLaRoe.