Here’s my honest Ambit Energy Review 2019
Ambit Energy is a very popular MLM business so you may have already heard of it. Like most smart people, if you are interested in making money with an MLM business, you have to see if it is legit or not.
Doing your own research is highly recommended and could save you from an embarrassing and financially disastrous mistake.
What I’m trying to say is…don’t be the person that is caught in another trap, your time and money are too important.
The following is a review that will hopefully answer a lot of questions about Ambit Energy, and help you make a sound decision.
You can also check out the step-by-step training that helps me earn over $10,000+ per month working from home.
What is Ambit Energy?
Ambit Energy is an MLM company which provides electricity and natural gas, in the highly competitive fuel industry.
Fuel companies such as Ambit Energy are able to spring up out of nowhere because the United States lawmakers have deregulated the industry.
You may be thinking; how does the business model work?
Here is a simple preview…
Ambit Energy relies on a network of independent consultants who work with the customers.
Here is where Ambit Energy gets interesting…
Ambit Energy locks customers into contracts for 1 or 2 years for utilities. Good luck trying to get people to sign a contract in order to use an energy company.
After these contracts expire, rates may change unless you renew your contract. You can have huge rate hikes if you fail to renew in a timely manner.
These rate hikes have been a matter of controversy in the recent past but for the sake of an objective review, we will talk about in a different section.
The founders of Ambit, Jere Thompson, Jr. and Chris Chambless have brought this company from a spring up MLM business to a multi-billion dollar revenue giant in just a decade.
Since 2013, Ambit Energy has produced over a billion dollars on revenue and still going strong.
This is a great indicator if you are looking to get involved in Ambit Energy, at least from a consistency perspective.
Here is a deeper look into who the two founders are…
Who Succeeds With Ambit Energy?
This product is not for everyone….
Let me explain. You are restricted to the states that are listed under the service regulations. What this means is that you can only sell Ambit Energy services to 17 states.
This isn’t a worldwide company that you can use the free market business opportunities to your advantage.
Wait, so I am restricted before I even start?
Let’s take a look at the products…
Ambit Energy Rates – Services
Ambit Energy has been helping small and large businesses cut energy costs for over a decade now.
They have commercial business experts that help you with the process and even save you from unnecessary fees by providing special benefits and competitive prices.
Since the switch in services to Ambit Energy is free, you can sign up online or through an Independent Consultant. Then you pick out a plan that fits your business needs and budget.
There are also a few other advantages of joining Ambit, that you get to utilize immediately:
1. The opportunity to earn free energy
You can earn this reward for referring 15 customers who enroll with Amber Energy as their energy provider. If you reach this level, this can make the MLM worthwhile.
2. Two ways to earn travel rewards.
You can earn travel rewards from referring customers or you can earn Rewards Points that can be turned in for trips.
Although this does not translate into revenue, free stuff can be cool sometimes…
Solar Savings is another option for environmentally friendly customers. Ambit decided to hire Sunrun, a leading solar provider.
Solar services are only available in 6 of the 17 areas nationwide.
This point alone makes the MLM a double-edged sword. Solar energy is a great selling point, but you only have 6 states that you can market in. This is bad news for your wallet.
Here are the benefits of going solar with Sunrun
If you are thinking that the compensation plan is a bit lacking, here are a few things that could help you with your decision:
• 20% off your electric bill. Once again, this does not translate into revenue from the MLM but it can make the revenue you do earn, go a bit further
• Pay little to no upfront costs for a custom solar system designed for your home and energy needs. This is a good thing for your wallet, if you are a good recruiter…
• Sunrun’s service—Sunrun is willing to take care of all other aspects like paperwork and permits. This is good news for you because of time=money.
The less time you spend on little details like paperwork, the more time you have to recruit more members.
• There is protection utility price spikes. This is true, but like anything, there is fine print and there are issues that can occur if the customer does not pay their yearly renewal fees on time.
• Solar is eco-friendly. Believe it or not, millions of people would go solar if they knew how easy it is. People are afraid of change and IF you can sell them on this point, you win the recruitment game.
Ambit Home Services
Two forms of coverage are offered by Ambit. The Ambit AC/Heat Shield for saving energy.
The other is the Amber Surge Protection for lightning or power protections.
Here is a link so that you can see for yourself. It is a 6-minute video explaining the compensation plan.
The video makes it look easy and that the compensation plan is strong, however, the plan is relatively weak.
Ambit conveniently left out the long list of competitors which could hinder your business opportunity as an Independent Consultant:
• Independent Energy, Choice Consumer Marketing, North American Power Zurvita, Dynastar Energy, ACN, Ampegy, Momentis, Invado Energy, Ignite Energy, Viridian Energy.
This is a growing market so you can expect other competitors to be added to the list on a regular basis.
What I Like About Ambit Energy
1. There is nothing better than an MLM business opportunity with a minimal startup fee. It just so happens that there will never be a renewal fee either. This is great news for you…
2. Green and renewable energy have so many advantages not only for savings in costs, but for future generations. You can’t over look this important because, what is there not to like.
3. Ambit Energy has been a Fortune 500 business since 2010. This qualification speaks for itself…meaning, that there is potential to make money.
5. Everyone buys energy. This means that in the regions that it is available, you have thousands of potential customers.
6. One of the fastest growing companies in the country. If you are lucky enough to get members to join, you can make serious cash.
What I Didn’t Like About Ambit Energy
1. Weak compensation plan: In fact, there is very little information on the actual compensation plan figures and a video is the only source on their website for such information.
2. After bonuses are paid, residual payments are small and inconsequential. This is not what you want to see if you are trying to make a hefty chunk of change.
3. Independent Consultant earnings are not readily available. Ambit Energy relies on Independent Consultants to generate new customers and keeps the vast majority of the earnings. This leaves the IC’s hanging out to dry in most cases.
4. Very little training from Ambit: In order to see this kind of training you have to become an IC first. This spells trouble if you ask me!!!
5. There are only 17 regions that you can sell Ambit services. This sounds like a lot but there are 34 states and territories in the United States that do not allow Ambit to provide power and gas.
- Low Startup Costs
- Commissions and Bonuses
- No Fee to Switch
- Company Website
- Power Payback Program
Low Startup Costs
Individuals who are interested in Ambit Energy’s business opportunity can join as a marketing consultant for a one-time fee of $75, plus $24.95 per month for website access, which costs significantly less than it used to.
There is no annual renewal fee.
Marketing consultants receive a business builder kit, a personal website, access to the company’s back office management tool, and consultant support group access.
Consultants are encouraged to sponsor two marketing consultants and develop an initial team of six consultants.
Commissions and Bonuses
The compensation plan provided by Ambit Energy offers multiple ways for consultants to earn an income.
Consultants have the opportunity to receive jump start bonuses, team builder bonuses, and leadership bonuses. Distributors who enroll four customers within the first four weeks of joining are eligible to receive $100.
Consultants who enroll customers with larger energy bills have the capability to earn more money in residual income.
No Fee to Switch
There is no fee to switch to the utility service provided by Ambit Energy. Additionally, the company gives individuals the opportunity to receive free energy by referring customers to switch to Ambit Energy.
The utility company takes the average of the bills paid on time each month and credits that amount to the distributor’s energy bill.
Consumers in service areas covered by Ambit Energy can view rates and plans by entering their area code on the company’s website.
Additionally, consumers can manage their accounts online and make automatic payments.
Power Payback Program
Texas customers are able to conserve energy and prevent rolling blackouts through the company’s Power Payback program.
Ambit Energy will alert customers when periods of high electricity demand are coming up so that they can adjust their thermostats accordingly and turn off any unnecessary appliances.
Customers whose energy usage is lower than average during these periods will receive a bill credit of $1 for every kilowatt-hour saved.
- Expensive Variable Rates
- Limited Availability
Ambit Energy generally requires one- or two-year fixed rate contracts for its utility services. When the contracts expire, services are automatically switched to a variable rate plan unless consumers manually renew the fixed rate plan.
This is explicitly stated in the contract, but some consumers have reported that independent distributors did not mention it to them.
Expensive Variable Rates
The variable rate plans are typically much more expensive than the fixed rate plans.
Ambit’s energy program is not yet available in all markets. This may make it too difficult for interested consumers to find a sponsor in their local area.
In addition, the payouts in the compensation plan vary by regional markets. Distributors in colder markets where energy bills are higher tend to have greater compensation payouts than those in warmer regions.