Yes, LuLaRoe is still in business in 2026, but it has significantly downsized since its explosive growth in the mid-2010s. The company continues to sell women’s clothing through a multi-level marketing model, though its presence and popularity have greatly diminished.
Here are the key points covered in this article:
- Founded in 2012 by DeAnne and Mark Stidham in California
- Reached over 80,000 consultants and $2.3B revenue at its peak
- Faced lawsuits, quality issues, and public backlash starting in 2017
- Currently has fewer than 10,000 active consultants
- Shifted from a high-cost startup to a more affordable onboarding
- Operates mainly through Facebook Live and niche communities
- Still maintains a loyal customer base, but trust and reach have declined
What Is LuLaRoe and How Did It Start?
To understand LuLaRoe’s current standing in 2026, it’s important to look back at where it all began. The company’s origin story is rooted in family values, entrepreneurial ambition, and a unique approach to fashion retail that disrupted the market in its early years.
The Founders and Company Origins
LuLaRoe was established in 2012 by DeAnne Brady and her husband, Mark Stidham. They named the company after their granddaughters Lucy, Lola, and Monroe.
Headquartered in Corona, California, LuLaRoe started as a modest operation selling maxi skirts. However, by 2014, the product line had expanded to include tops, dresses, and most importantly, leggings.
The brand was rooted in the idea of offering comfortable, modest fashion options for women while giving stay-at-home parents a flexible income opportunity.
The company’s model appealed strongly to middle-income women in suburban and rural areas, many of whom were looking for a source of extra income or a creative outlet.
Explosive Growth Through MLM Strategy
LuLaRoe used a multi-level marketing (MLM) model that allowed independent sellers, known as fashion consultants, to purchase inventory and sell clothing directly to customers.
What made LuLaRoe unique was its limited-edition patterns. Consultants would receive a random mix of styles and prints, making each inventory shipment unpredictable and sometimes highly valuable.
By 2016, LuLaRoe was one of the fastest-growing MLMs in the U.S. At its peak in 2017, the company had more than 80,000 active consultants and reported estimated revenues of $2.3 billion.
Here’s how the company grew year-over-year in terms of distributor numbers:
| Year | Number of Distributors |
| 2013 | 750 |
| 2015 | 2,000 |
| 2016 | 26,000 |
| 2017 | 80,000+ |
The business model was initially praised for its scalability, but as we’ll see later, it also laid the groundwork for future legal and operational problems.
Is LuLaRoe Still Selling Clothes and Engaging Retailers?
LuLaRoe continues to sell its clothing in 2026 through a combination of online platforms and physical boutique-style events. Although the brand no longer dominates the MLM fashion space, it still maintains a loyal customer base and active consultants, albeit in smaller numbers.
Inventory System and What’s Being Sold Now
The core products in LuLaRoe’s lineup have remained largely the same:
- Leggings (its signature item)
- Tunics and tops
- Dresses such as the Amelia and Nicole styles
- Skirts and cover-ups
The inventory model is still built around consultants buying stock wholesale and reselling to customers. Consultants do not get to choose exact patterns but can select styles and sizes. This keeps the model consistent with LuLaRoe’s original appeal of “unicorn hunting” for rare patterns.
While the inventory experience is familiar, the volume has changed. Fewer consultants means less product turnover, and LuLaRoe has focused more on limited releases rather than mass manufacturing.
Consultant Count Then vs. Now
The dramatic shift in active consultants has been one of the clearest signs of LuLaRoe’s decline. The number fell from more than 80,000 in 2017 to approximately 17,000 in 2021. Current industry estimates in 2026 suggest that fewer than 10,000 consultants are active today.
| Year | Estimated Active Consultants |
| 2017 | 80,000+ |
| 2021 | 17,000 |
| 2026 | <10,000 |
This shrinkage reflects both a shift in public perception and internal changes to LuLaRoe’s operations and recruitment strategy.
Selling Channels: Online Lives, Pop-Ups, and More
Sales primarily occur through:
- Facebook Live streaming events
- Instagram promotions
- Private group sales
- In-person pop-up shops
Consultants set up small boutique events in their homes or at local fairs, but online selling has remained dominant. Despite changes in the social media landscape, LuLaRoe has stayed active on platforms like Instagram and Facebook, continuing to push new collections to niche audiences.
How Did LuLaRoe’s Business Model Evolve Over Time?
LuLaRoe’s original business model was straightforward. Consultants bought large volumes of clothing upfront, typically spending between $5,000 and $9,000. They were encouraged to recruit others and earned bonuses based on their downline’s purchases.
From High Startup Costs to Lower Barriers
Over time, the backlash against expensive startup kits and lawsuits led LuLaRoe to lower the financial barriers. In 2022, the company introduced a simplified startup package priced at $499, a significant reduction from earlier requirements.
| Year | Startup Cost to Join |
| 2016 | $4,925 – $9,000 |
| 2022 | $499 |
| 2026 | $499 |
This change was partly driven by the company’s need to attract new consultants without the negative publicity associated with high upfront costs.
Changing Commission and Bonus Structures
After legal scrutiny, LuLaRoe made significant adjustments to its commission model. Consultants are now rewarded more for actual product sales rather than recruitment. The new compensation structure focuses on retail volume rather than downline performance.
From a business standpoint, this made sense. But for consultants who had joined with the expectation of building a downline, the shift resulted in lower income and reduced motivation.
What Legal and Financial Setbacks Did LuLaRoe Face?
LuLaRoe’s public image began to unravel in 2017 as lawsuits and financial claims mounted. At the heart of many legal disputes was the accusation that LuLaRoe operated as an illegal pyramid scheme.
Class Action and Pyramid Scheme Allegations
In 2019, the Washington State Attorney General filed a lawsuit alleging that LuLaRoe’s compensation structure encouraged recruitment over retail sales. The case accused the company of misleading income claims and inflating consultant earnings to attract new recruits.
LuLaRoe denied the allegations but agreed to settle in 2021 for $4.74 million.
The terms required the company to:
- End recruitment-based incentives
- Provide accurate income disclosures
- Improve transparency in consultant agreements
These reforms were a step in the right direction, but they didn’t undo years of damage to the brand’s reputation.
| Case | Year Filed | Outcome |
| Tax Miscalculation Lawsuit | 2017 | Class-action settled |
| Pyramid Scheme Lawsuit (Washington) | 2019 | Settled for $4.74M |
| Supplier Lawsuit (Providence Industries) | 2018 | Ongoing legal battle |
Product Quality and Consumer Complaints
Apart from legal troubles, LuLaRoe was also hit hard by customer backlash. In late 2016, complaints began to surface about leggings ripping easily or arriving damaged. Distributors posted photos online and formed Facebook groups to share frustrations.
The company initially dismissed the concerns, but eventually had to offer refunds and revise its return policy. By then, the damage was done. Online sentiment turned sour, and LuLaRoe’s Better Business Bureau rating was downgraded to F in 2017.
Although the rating has since improved to a C as of 2026, customer trust remains a challenge.
Why Did LuLaRoe Lose Its Momentum After 2017?
There was no single reason for LuLaRoe’s decline. Instead, a combination of quality issues, consultant dissatisfaction, oversaturation, and legal scrutiny led to its downward trajectory.
Quality Control Issues and Social Media Fallout
The product complaints were a turning point. Many consultants were left with unsellable inventory and no clear path for refunds. Patterns that once sold out in minutes began collecting dust on virtual shelves.
“At one point, I had over 300 pieces that no one wanted. I couldn’t even give them away,” said one former consultant I interviewed. “It was like overnight, people just stopped caring about LuLaRoe.”
This sentiment echoed across social media, where former fans and sellers shared screenshots, videos, and memes criticizing the company.
Consultant Disillusionment and Return Policies
When LuLaRoe abruptly changed its refund policy in 2017, it angered consultants who had been promised full returns on unsold inventory. Suddenly, they were told they would only receive 90% back and would have to cover shipping costs.
The shift sparked a petition and widespread backlash. Many consultants quit the business entirely, some losing thousands of dollars in the process.
Here’s a comparison of return policy structures:
| Year | Return Policy Details |
| 2016 | Full refund on unsold inventory |
| 2017 | Changed to 90% refund, shipping costs not covered |
| 2026 | Return policy varies by case; more restrictive |
Oversupply, Saturation, and Public Trust
By 2017, the market was saturated. Too many consultants were selling the same types of products to overlapping audiences. Combined with increased competition from other fashion retailers and influencers, LuLaRoe’s product demand waned.
“In hindsight, we were all competing for the same group of buyers,” a former top seller told me. “It stopped being fun. It felt like a clearance sale that never ended.”
This comment stuck with me. It illustrates how even a loyal consultant base can erode if the product and support systems don’t evolve.
What Do People Think About LuLaRoe in 2026?
The brand still has supporters, particularly in conservative communities or among those seeking modest fashion options. However, for most consumers and entrepreneurs, LuLaRoe feels like a relic of the past.
Customer Reviews and Brand Reputation
Online reviews from customers are mixed. Some praise the comfort and fit of the clothing, while others cite inconsistencies in quality and poor customer service.
While LuLaRoe continues to release new prints and designs, it struggles to match the excitement and exclusivity it once offered.
A current customer shared with me:
“I still buy LuLaRoe, but only from consultants I know personally. The website doesn’t feel reliable, and I don’t trust random sellers anymore.”
Testimonials from Former and Current Consultants
Most consultants who remain with LuLaRoe in 2026 do so part-time. They typically sell to a small community of repeat customers and don’t rely on it as a primary source of income.
In one section of our interview, a former consultant who now runs a boutique business said:
“LuLaRoe taught me a lot, but it also broke my trust. I’ve taken that lesson into my current business. I’ll never join another MLM again.”
The emotional weight of those words shows how deeply MLMs like LuLaRoe can affect the people behind them. It’s not just about sales. It’s about belief, identity, and community.
Can LuLaRoe Reinvent Itself or Is It Doomed to Fade?
With Mark Stidham stepping down as CEO in 2025, LuLaRoe’s leadership is entering a new chapter. Early signs suggest the brand may explore new retail models, potentially moving away from MLM altogether in the coming years.
Some consultants and analysts believe that LuLaRoe could succeed if it focuses on:
- Niche modest fashion markets
- Improving manufacturing and logistics
- Rebuilding customer trust through transparency
However, in my professional opinion, the brand will need more than rebranding to survive long term.
“It’s no longer about whether the clothes are cute,” a retail strategist I consulted with told me. “It’s about whether people trust the system. And that trust has been badly damaged.”
Her insight was clear and direct, and I agreed. If LuLaRoe is to thrive again, it needs more than new prints and hashtags. It needs a new promise.
Conclusion
While LuLaRoe is still in business in 2026, it operates on a much smaller scale than during its peak. The brand has weathered lawsuits, public criticism, and significant consultant losses, yet it continues to serve a niche audience.
For some, it remains a source of side income or personal style. For others, it’s a cautionary tale about MLM pitfalls. Its survival reflects resilience, but also the limits of a business model that hasn’t fully evolved with its market.
FAQs
What caused LuLaRoe’s decline after 2017?
A mix of product quality issues, legal troubles, and poor consultant relations led to a steep drop in trust and sales.
Are LuLaRoe leggings still being sold in 2026?
Yes, they are still part of LuLaRoe’s product lineup and are available through consultants and online events.
How much do LuLaRoe consultants earn today?
Most earn a modest income or operate part-time. LuLaRoe now focuses more on sales than recruitment commissions.
Is LuLaRoe still a pyramid scheme?
While previously accused, LuLaRoe operates within legal MLM parameters after settling lawsuits. It emphasizes retail sales more now.
What are LuLaRoe’s best-selling products in 2026?
Leggings and dresses remain top sellers, especially in limited patterns that attract niche buyers.
Is joining LuLaRoe worth it now?
Only if you have a specific market and understand the risks. It’s not the high-profit opportunity it once claimed to be.
Has LuLaRoe rebranded or changed strategy recently?
Some shifts are underway, including a leadership change and talk of downsizing the MLM structure.
