McKenzie Paul, 26, of Citrus Heights, California became an independent retail consultant for LuLaRoe in July.
The company has recently been hit with a $1 billion lawsuit filed by three former Sacramento area women who worked as consultants alleging it’s a pyramid scheme.
The company responded saying its recent success has attracted unfounded claims
Despite the claims made in the recent lawsuit, Paul says her home business has been successful. LuLaRoe consultants buy the clothes wholesale, then markets and sells the clothes from home.
Paul says she wanted to be a nurse but decided to start her own business instead. Initially took out a small business loan and invested $8,000. Three months later, says the loan is almost paid off and there is money left over to buy new inventory and to pay herself.
She says the business is a full-time job for her, although she has friends that sell clothes part-time.
Paul spends hours selling her clothes on Facebook Live, marketing, packing, and shipping. She also recruits her friends and family to help out.
She’s confident LuLaRoe is not a pyramid scheme, Paul said.