Ignite Scam Or Income Energizer?

Ignite is the marketing arm of stream energy (a power company) and is based in Texas. Because they chose to use network marketing as their distribution model, many have jumped to the conclusion that there is an ignite scam. Is there?

Ignite has had incredible success in marketplace hitting 800 million in revenues their first year. They are truly a modern day pioneer being the first electricity and gas provider to offer services through the network marketing/mlm distribution model. Government officials and lawmakers alike are in complete agreement that MLM is a legitimate business model as long as there is a product or service sold in exchange for the money collected.

Obviously, Ignite markets a valid product so it passes the pyramid scam test. There was some question, however as to the legality of the distributor signup fee. A Texas law firm attempted to file a class action lawsuit back in 2009 but the lawsuit was quickly dismissed by a federal court judge. No worries there. 🙂

Some people have had worries that there might be an ignite scam because Chris Domhoff is involved in the management of the company. Mr. Domhoff was president of Excel Communications when it filed bankruptcy in 2004. Everyone makes mistakes right?

It looks like Ignite is a valid and legitimate company that provides a great service to the consumer (deregulation is always a good thing), . In addition, it brings income opportunities to the public during a time when income is badly needed.

Although it’s not a scam, I would hesitate to join for a couple reasons.

#1) They only operate in Texas and Georgia. For me, I like to work with projects that operate in at least all 50 states.

#2) The residual income (per customer) seemed to be somewhat low compared to other programs on the market.

All in all, it seems to be a good company and I can unequivocally state that there is no Ignite Scam. If you live in Texas or Georgia and are OK doing business in just 2 states, it might be a great fit for you.


Thanks for stopping by and whatever you do, always go for your dreams,


Paul Hutchings

Paul Hutchings

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7 thoughts on “Ignite Scam Or Income Energizer?”

  1. Nice honest review. FYI, Chris Domhoff is no longer with Ignite. They are about to launch in 2-3 more states this year. All 50 states??? That will only happen if they ALL deregulate. But there are other COUNTRIES that are deregulated !! You don't have to get much of a global energy market to make a lot of money, even if your personal customers only pay 50 cents !!! It keeps the costs down and allows us to save people more money!

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  2. @one-of-them

    Thanks for the comments and the additional information. You're Right. There's still a huge market for Ignite. Good point about the commission as well. There's definitely a balance between paying the distributors well and keeping the costs down. So many companies have gone to the other extreme (paying high commissions) and this is bad for the consumer. It's also bad for the reps in the long run because it makes for poor retention. I'm guessing that Ignite has rock solid retention and there's a lot to be said for that. Good luck to you in your ignite biz.

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