The Herbalife company recently launched a new Casa Herbalife program in New Zealand. The Herbalife Family Foundation created the program in 2005 to provide healthy food to needy children. The foundation supports over 130 Casa Herbalife programs in more than 50 countries by working with other charities. One or two hospitals, community centers, and orphanages in each country typically works with the program so they can help families.
The Herbalife Family Foundation also provides disaster relief to certain areas that are suffering from poverty and lack of access to nutritional food. The Herbalife Family Foundation also works with the Red Cross and Save the Children so children and families can receive clean drinking water, food, and shelter.
The Casa Herbalife will partner with the Starship Foundation. The Starship Foundation is a popular charity in New Zealand that assists the families of sick children who are admitted to the Starship Children’s Health Hospital. Donations and government funding support the national children’s hospital. The organization needs almost $1.5 million each year to pay for its research and development, prevention programs, ambulance service, and employee training.
Every donation made to Casa Herbalife from New Zealand Herbalife members and employees will assist the Starship Foundation by providing groceries and other important items to families. The assistance can provide temporary relief while families are trying to support sick loved ones.
Mark Hughes founded Herbalife in 1980 after he witnessed his mother Joanne die from complicated weight issues and unhealthy eating practices. He was determined to create products that could help people lose weight and maintain their new size without going through “yo-yo” dieting.
After Hughes did some product research, he developed a protein shake as his first product. Determined to succeed, he started selling the protein shake door to door and from his car whenever he could. He used the profit from the sales to invest in more research and product development. Over time the direct selling company’s products began to include personal care products, fitness supplements, protein shakes, and protein snacks. They also offer vegetarian and kosher items to their customers.
As the company became more popular and sales continued to climb, Hughes decided he wanted to increase sales without hiring additional employees. Eventually, he decided the best way to grow Herbalife was to use a multi-level marketing sales model instead of having a large group of sales people on staff. Now the company has a large network of independent salespeople who receive a commission for each product they sell to other people.
Although the company had humble beginnings, it is now a billion dollar multi-level corporation. The company became publicly traded in 1986. A decade later the company had over $1 billion in annual sales. Eventually J.H. Whitney & Company and Golden Gate Capital purchased the company for $685 million and made it privately held again. Almost eight thousand people sell Herbalife products or are involved in developing and marketing personal care, nutrition supplements, weight loss, weight management, and sports nutrition products. The company reported net sales of almost $4 billion in 2014. Herbalife’s headquarters is in the Cayman Islands.
Although the herbal supplement company donates to worthy causes, its name is also tied to legal problems. As early as the 1980s the California Attorney General brought a lawsuit against Herbalife. The Attorney General made allegations that the company’s products were not as effective as they claimed. Eventually the company settled the lawsuit in a sum under a million dollars. The company has faced other lawsuits over the years but continues to bounce back by focusing on helping others.
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