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Home : Replacement Windows Complaints : Apex Pyramid Scheme
Is Apex Energy Solutions A Pyramid Scheme
Is Apex Energy Solutions A Pyramid Scheme? While the company's approach to selling replacement windows and doors is rather unique, Apex is not a pyramid scheme. Instead, it is a franchised company that sells their products door to door (which gives off a kind of MLM feel to it.) The company is actually owned by Great Day Improvements, (purchased in 2020) which has been steadily buying up window and door companies in the past decade or so.
Company Information: Apex Energy Solutions is headquartered in Indianapolis, Indiana and has been in business since 2000. The company consists of more than 20 franchise locations across the nation. They sell the Insignia e2 vinyl window, which is an upgraded Alside 8000 series. I would rate the window a 7 out of 10 - definitely a decent to good vinyl window.
Franchised Business: A franchise is a company structure in which branches or locations for a particular city or area are sold by the parent company to a franchisee. The franchisee (the owner of a local branch) sells the product of the parent company. In turn, the franchisee pays the parent company a certain portion of their profits. While this has an aspect or two of a pyramid scheme, franchises are certainly not illegal. In fact, they are a pretty thriving business model in the United States.
Marketing Approach: Apex essentially canvases neighborhoods looking for homeowners interested in replacing their windows and/or patio doors. The company often gives a "discount" to anyone interested in being a promotional home - meaning you would place a sign in your yard more or less advertising Apex Energy Solutions. This approach has proven effective, although this direct-to-consumer approach has the feel of a MLM (mult-level marketing) scheme.
Pyramid Scheme: A pyramid scheme works like this: you get hired by "Todd" to sell a product (often door-to-door, but also through social media, etc). A portion of your profits going forward goes to "Todd." You then bring in someone to sell the product - a portion of their sales going forward goes to you. The more people you bring in, the more people are giving you a small cut of all of their sales. This has been termed a pyramid scheme or multi-level marketing scheme and is illegal.
Dane - Site Editor - Page Updated in January, 2024
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