RAA Group

If you have taken a blogging course with me, then you already received an email from me with this information.  However, it’s such an important issue that I want to share it here with everyone.

It was recently brought to my attention that WordPress.com is now outright banning MLM blogs, referring to them as “affiliate marketing” and “pyramid schemes.”  While I disagree with this assessment, and have alerted the DSA who is looking into the issue, it is important that you be aware of this, so that you don’t get your blog shut down.

In my own correspondence with WordPress about the issue, here is their clarification:

“Any kind of MLM blogs – or blogs created to direct readers to external domains for commercial purposes – are not permitted at WordPress.com. If you are creating the blog to make money, WordPress.com is not the place for you.”

However in WordPress’s rules, they do allow business blogs to demonstrate expertise:

“Business: Professionals ranging from realtors to lawyers and stock brokers are using WordPress to share their expertise, and companies have discovered the power of blogs to more directly and personally engage with their customers.”

When I followed up with them asking about this, here is what they said:

Jennifer: “If legitimate direct sellers are only using their blog to demonstrate their expertise, wouldn’t that fall under those rules?”

WordPress: “Yes, but if the direct seller is continually linking back to their own domain to sell things, they will not be allowed. If the blog is purely information (with no intent to direct users elsewhere to buy things), that is perfectly okay.”

You can read all the rules here: http://en.wordpress.com/types-of-blogs/

If you follow the strategy laid out in my courses and teachings, you SHOULD be OK.  You should not be highlighting specific products or opportunity, but instead should be giving practical, actionable content that people can use right now without spending a dime.  However you will NOT be allowed to include a link to your personal website based on WordPress’ interpretation of the rules.  Instead, you should have a place for people to sign up for your newsletter, and you can share the link to your website there.  Be aware, however, that WordPress.com will shut you down without notice if they decide your blog is in violation of their rules.

Please note that this does not apply to you if you are hosting your blog on your own domain.  However if you are using the free WordPress.com service, it is important to make sure you are in compliance.

If you have any questions, please don’t hesitate to email WordPress directly at support@wordpress.com.

What do you think about these rules?  Do you think the actions of a few “bad apples” is messing it up for the rest of us?  Is it fair?  Would love to read your thoughts below.

ADA — The economy is still in the doldrums, people are losing their jobs — and conditions couldn’t be better for Ada-based Pre-Paid Legal.

At least that’s the outlook for CEO Harland Stonecipher, whose company saw net income rise 6 percent the first half of 2009 with cash flow of $35 million, up 28 percent.

“It’s just our business model,” Stonecipher said. “We’ve reported positive net income for the past 10 years. We’re an Oklahoma company, we’ve got offices in Ada, Antlers and Duncan and we’re still rural America. You get a good work ethic, attitude and lesser cost of operations.”

Tulsa financial analyst Jake Dollarhide sees the depressed economy, however, as yet another strength for Pre-Paid Legal: people need attorneys more than ever, and the company’s “pre-paid” approach is more appealing than a hefty $2,000 retainer.

“The thing about Pre-Paid is some might consider it to be a luxury item, much like Starbucks coffee,” Dollarhide said. “But it does cater to middle income or lower income level, or anybody who finds it distasteful to pay a $2,000 retainer.”

Stonecipher agrees.

“The economic downtown has not affected our company, but it has affected our Pre-Paid members,” Stonecipher said. “They need our services more now than at any other time. Foreclosures are at record highs, and, in fact, we’re told in 2010 and 2011, more than 50 percent of mortgages will be under water. Those people will need lawyers.”

Stonecipher said Pre-Paid members are already getting good use of their service, consulting with attorneys about foreclosures and having a better shot at working out an agreement to keep their homes.

“A lot of people who get into this situation can’t afford $300 to $500 an hour,” Stonecipher said. “But with Pre-Paid, they get unlimited access.”

Pre-Paid Legal is continuing with the programs it has had for years but is adding programs designed to help small businesses deal with unions and debt collection.

“Some of these small businesses are very concerned about being unionized. They know there’s a major press in that area, but they don’t know how to respond or what to do about it,” Stonecipher said. “And our lawyers can help them with that. They can also help on debt collection — these businesses need help in tough times to collect every dollar they can.”

Dollarhide said that when the economy recovers, Pre-Paid is in good position to do even better — if it can survive a recently launched Securities and Exchange Commission investigation of Pre-Paid’s marketing practices and stock repurchase program.

Pre-Paid has had a mixed bag in its dealings with the SEC. Several years ago, the company restated its earnings steeply downward after regulators disagreed with the way it booked its sales staff’s commissions. But the last time the SEC came around Ada, the end was nothing but a hit on the stock price.

“Investors hate bad headlines,” Dollarhide said. “Obviously a subpoena casts a cloud. How dark that cloud is remains to be seen. The sooner they can get through that, the better.”

Stonecipher said he was surprised, but not shocked, by the latest investigation. He suspects the probe is related to his company’s repurchase program, in which Pre-Paid has spent $421 million buying back 14 million of 24 million shares the past several years.

“We’re a public company, and that’s the price you pay when you’re a public company. It’s not the best use of our resources, not best for shareholders. It’s only in the interest of the short-sellers. The shorts don’t like our stock buyback program.”

Stonecipher’s response makes sense to Dollarhide.

“The executive founder of a company will always put something in a good light,” Dollarhide said. “And I’m sure the short-sellers don’t like it or anything that might limit them. Some blame short-sellers for the entire crash.”

Could Pre-Paid go private?

“We don’t really need to be public anymore, we don’t need the cash,” Stonecipher said. “We’re buying back one day at a time.”

via newsok.com

Pre-Paid Legal In The News

Recent US Chamber Magazine article highlights Debt Collection as leading nationwide service request among legal service plan members of Pre-Paid Legal Services, Inc., during the second quarter of 2009.  “The Pre-Paid Legal Top Five List is intended to be a snapshot of the issues that legal service plan members face today.  Given the economic hardships that so many Americans are experiencing, it’s not a pretty picture,” says Pre-Paid Legal Services Founder and CEO Harland C. Stonecipher.

Posted on October 15, 2009 Current Affairs | –>Permalink |