Ambit Energy Company

By Strahinja | Not Recommended

Sep 20

It seems that no industry is safe,

From the MLM business model. Ambit Energy is an MLM company that has brought that model to your energy needs. The company is an electricity and gas provider and uses the MLM structure to market its products to you and your home.

The company works in deregulated markets and uses a 350,000 independent sales consultant work force to gain access to your home and provide you with what they call quality energy service.

They claim to give you top rated customer service built on their Blue Net system. This system is supposed to bring you great account management along with billing, usage and service access.

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What Is Ambit Energy?

The Ambit Energy story begins in 2006 over turkey sandwiches at a lunch meeting in Dallas Texas. From there Jere Thompson and Chris Chambles saw the opportunity to make money in the new deregulated energy markets.

ambit energy company

Their stated goal was to build the most respected energy provider in the country and they gathered some top executives around them to help make this happen. The company’s first offices were located in an old but renovated warehouse in the historic West End of Dallas.

ambit energy company

Part of their guiding principles was never to sacrifice integrity for growth. In the first few years Ambit was able to grow fast, registering $200 and $325 million in revenues in consecutive years.

Although the growth has slowed some over recent years, it is still a viable energy provider. In 2017, the company opened up business offices in both Japan and Canada making it an international energy providing company.

Their current revenue is about $1 billion and they service deregulated areas in California, Maryland, Texas, new jersey, New York, Pennsylvania and Illinois.


The Ambit Energy Products

Since it is an energy company, the products Ambit Energy offers is quite limited. They deal in electricity, gas and solar only. The also have Green E plans which you need to talk to a sales consultant about.

ambit energy company

For solar the service is provided through a company called Sunrun. You learn about the different plans through the independent Ambit Energy Consultants who initially signs you up. After that initial signing, a rep from Sunrun contacts you and completes the application and gets you the service.

There are two ways you can sign up with Ambit Energy. The first way is a little trickier because it is the variable rate plan whose rates change from month to month.

The reason for the changing rates is that the cost of those energy prices fluctuate every month. Also you cannot get exact rates on purely a research mode. The rates change from market to market.

ambit energy company

Some complaints have come in about this plan as it seems the company will charge you up to 10 times the actual rate. Their fixed plans are more reasonable but you can only get them for 1 or 2 years at a time.

When those plans expire, the company is supposed to notify you and give you 30 days to renew or you are automatically switched to the variable rate plan. Not everyone receives that notice and gets a surprise when their next energy bill arrives.

That term is mentioned in the contract but you may miss it as the contract seems to be very long and complicated to read. Or the company sales consultant did not tell you about the clause when they signed you up.


There are some unethical practices concerning the products by both the company and its sales reps. In 2015, Ambit Energy had to settle a class action lawsuit because of its unethical practices or it would have lost its right and license to work in New York. The cost to the company was $950,000.

Oh and we did try and get the rates for one location in California. When we put in our zip code, and clicked get the rates, we were not sent to the rates and plans page but a web page trying to get our personal information.

In other words, before you see the facts, you have to agree to their terms and enroll.


Signing Up To Be A Sales Rep

Or as they call it an independent energy consultant. It seems to be one of the most consistent things about MLM corporations. They like to give fancy titles to those doing all the grunt work without paying them a reasonable salary that should accompany those titles.

ambit energy company

Signing up is simple and easy. You go to their website and provide them with your personal information first. You also have to tell them if you know of a sales rep or are working with one. Once you finish filling in the blanks, you just click on the button to get started.

Of course, in big yellow letters at the top of the application form, are the words “Please have an independent consultant contact me”, In other words, someone is going to be your supervisor and get part of your sales commission.

sales associate

There is a sign up fee. It used to be $429 with a $24.95 monthly fee to access their website. That initial fee has been reduced to about $75 but the monthly charge is still the same price. The good news is that there is no annual renewal fee to remain a sales consultant.

Once you get signed up, get ready to recruit because Ambit Energy is an MLM company that survives on recruiting. But before you sign up, you can watch their 6 minute video telling you how others have found financial freedom through being a sales rep for their company.

unsatisfied girl

The video goes into all the awards the company has won over the years as well as paint a very bright and hopeful picture when it comes to working with them. They also lure you in with offers for free energy. The video and sign up process is very slick and designed to hook the unwary.

Can You Make Money Working For Ambit Energy

If you can afford the $75 sign up fee and the $24.95 monthly website access fee then you do have the possibility of making money through this company. Here is a link to their 4 page compensation plan that spells how much money you can potentially earn.


To start off, there is what is called the jump start bonus. This bonus has 6 levels to it and you can earn $100 initially if you get 5 customer points in your first 4 weeks with the company. You get 1 points if you sign up and switch your energy provider to Ambit Energy.

2 points come when you build your website and the final two come if you sign up 2 customers within your first 4 weeks of active duty. There is the potential for you to earn $400 in jump start bonuses if you sign up enough people in 12 weeks.

ambit energy company

Keep in mind that while you may do all the hard work and get $100 for this bonus, $340 of the total amount of the bonus is kicked up line to your superiors who didn’t do any of the work.

Also, there are customer residual bonuses, residual income, team builder bonuses and more ways to get paid. The problem is that not only do you have to do a lot of recruiting, you need to sign up people who use a lot of energy each month. The more energy they use the better your bonuses.

To answer the question, it is highly unlikely that you will be able to make a lot of money selling Ambit Energy to your friends and relatives or even strangers. The compensation package is very complicated though it is easier than most MLM corporations. But you are also trying to sell in a limited market.

ambit energy company

What that means is that those approx. 350,000 energy consultants are located in those few states we listed above. Plus, to make roughly $10,000 a month you need to recruit 3 more consultants who recruit 3 more consultants and on it goes to 7 levels. There are too many consultants to compete with to make any money.

The real money makers are the company itself and the top dogs.


Is Ambit Energy A Pyramid Scheme?

Unfortunately, the MLM business model is legal. As long as there is a legitimate product being sold to the customers it is not illegal to use the MLM compensation method.

mlm hierarchy

The MLM system is very similar to an illegal pyramid scheme but because Ambit Energy sells actual energy products, there is nothing wrong with their business model.

Of course, every MLM business is set up like a pyramid and it does act like a pyramid scheme except in that one part. One of the key elements to a pyramid schemes is the need for constant recruiting. This is also a key element in MLM corporations. You need to keep recruiting to earn big bucks.


Because it costs the company nothing to hire new recruits, they do not care how many sign up at one time. They only pay out if those recruits actually sell product. Plus, they earn money if you as a new recruit sign up to be one of their customers.

MLM companies, like Ambit Energy, are very unethical and make sure the money flows to the company and not to the bank accounts of their hard workers. Your chance of success with this and other MLM companies is very small. It is more of a waste of time than a constructive employment opportunity.


There Is A Better Way To Make Money

You can avoid MLM corporations and still not work at a regular 9 to 5 job. Plus, you can avoid all those MLM companies that have faced and lost a variety of lawsuits over the years. There is a simple alternative to working for financial freedom than joining an MLM corporation.

ambit energy company

Your answer to your financial situation may be found in affiliate marketing. This is a growing and very legitimate business opportunity simply because more and more people are getting connected to the Internet.

You are your own boss, and you get to select the products and niches you are most comfortable with representing. If you know a lot about a niche, then the products under that category could help you earn some extra money.

affiliate marketing

But it takes some hard work, some training and some writing skill to make it all happen for you. Affiliate marketing is not a get rich quick scheme nor is it a business plan that earns money off of other people’s hard work.

You have to do your research and make the right decisions for you and your new business outlet. But the good news is, you do not have to recruit, suffer through complicated compensation plans or high pressure tactics from supervisors and the company.

You work at your own pace and take your time to build up your new company your way. There is no pyramid structure either. It is just you, your vendor and your website. That makes life a little simpler for you as you can earn money in your spare time or while you are working your traditional job.


How To Start In Affiliate Marketing?

We are ready and willing to answer your questions so you know exactly what you are getting involved in. Plus, we will even turn you on to one of the best affiliate marketing platforms out there - Wealthy Affiliate.

affiliate marketing training

This platform provides you with the education, the training, niches and the products you need to be a successful independent business person. Wealthy Affiliate has been around for 14 years and they have built a good , reputable platform for you to work through.

All you have to do to find out how affiliate marketing and Wealthy Affiliate can work for you is to create free account. Do it now so you can get the boost you are looking for.

Thank you for reading.

Let me know in the comments below your impressions with this platform.


About the Author

Hi there. I'm just a regular guy that worked many different jobs before finding out about affiliate marketing. Decided to give it a try, followed the instructions, worked hard and started making money online. Here to help you achieve same thing. Working from home is possible if you have the proper training and people.

  • Heidi says:

    MLMs are very appealing, but having tried a few myself, I agree that they rarely lead to “passive” income. You also don’t get to work your own hours because you are at the mercy of your customer’s time constraints. In order to succeed, a lot of time and effort is required, and there is no way to win without being at least a little “salesy.” Online marketing is definitely a better way to go – work your own hours, get what you put in, and more potential for “passive” income. Thanks for the great post!

    • Strahinja says:

      Yes, that is the truth. That is why I suggest affiliate marketing as a better alternatives to MLM business model.


  • dt says:

    MLMs seem to only be appealing to those already at the top of the industry. With affiliate marketing how long is the learning curve for someone just getting started?

    • Strahinja says:

      Thank you for the comment.

      I guess you can learn the basics of affiliate marketing in one week. There is not really anything too complicated around this business model.

      There are some things that will maybe take some time, like learning the basics of WordPress, but this platform is easy to learn as well.

      Thank you.


  • Devara says:

    Thanks for this great review! This Ambit Energy MLM corporation, along with many others I’ve heard about over the years, don’t seem very trustworthy to me!
    I appreciated your honesty!
    In my opinion, from my research, all MLM companies seem to be fishy in one way or another.
    With their hidden contract info, or “seriously embedded deep into the paperwork” that they know people will miss, and poor company communication is a dead give away for me to stay clear of them.
    I also don’t like the fact that they try to collect personal information before sharing with the individual what it’s all about.
    The initial fee and monthly cost seem pretty reasonable for a company that CAN be trusted. But, I personally have a bad feeling about this one!
    I think I’ll check more into Wealthy Affiliate. Building my own website and going through the training they offer sounds a lot safer and I like being able to get started for free!
    Thanks for sharing!
    Best wishes,

    • Strahinja says:

      Yes, they are legit, but their MLM compensation method is not good at all.

      That is why I do not recommend this company as a business opportunity.

      Thank you for the comment.


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