Cutco MLM Review – Is Cutco MLM A Pyramid Scheme?

Sometimes it is hard to see the forest for the trees. Many MLM corporations have excellent reputations and treat their sales staff quite well. However, those trees block potential employees’ views and keep them from seeing those good companies. This Cutco MLM review should help cut one of those trees down.

It is well known that when you sign up to sell any product you are taking your financial chances. Even with no MLM companies, sales is a tough industry to master. There are just too many rejections to overcome

Sometimes having a good product helps overcome those sales difficulties, but those are often overwhelmed by other aspects. Cutco is one of those companies with a great products, but other factors overshadow that product line.

Just keep reading to get the details and why you should rethink employment with this top knife company.

What is Cutco?

Cutco MLM Review

Cutco has had a long and interesting history. It started back in 1949 and focused its production talents on making knives everyone can use. The sales strategy the company has used has always avoided general marketing outlets like department stores and other retail places people shop.

The company felt the air of exclusivity was a great marketing tool. In 1985 Cutco bought Vector Marketing Corporation and used that MLM company to sell its knives through one-on-one sales techniques.

Their product line deals solely with various knives, from butter tools up to nice carving implements. But you can only get them through the many college students or high school graduates. Vector targets to sell those items.

The best thing that I can say about Cutco and its knives is that they give you a top-quality American-made knife accompanied by a forever guarantee. That is a good deal for the purchaser.

How Does Cutco Work?

It is a straightforward process to endure. Vector marketing places ads on places like Craigslist and other high-profile locations to try and get young people to come in for an interview.

Very few people fail the interview, which already tells you something about the company. They are more interested in having warm bodies work for them than in how the sales get done or if their people make any money.

After you pass the interview, you go for some unpaid training and get your demo kit. One reviewer said this was on loan, so there is no product to buy unless you want a set of these knives for yourself or your loved ones.

Of course, your initial sales target is your warm market which comprises family and friends. The employed sales techniques have you picking up potential customers and driving them to what the company calls a conference. Or you get them to watch videos. Unfortunately, the costs involved are borne by the sales rep.

Those conferences are where the sales are made. If the conference is successful, you get a base fee unless you make a lot of sales, then you get a higher amount. Hopefully, you will make more than your costs for these events.

Can You Make Money With Cutco MLM?

Cutco MLM

Yes, you can make money selling Cutco knives. The products have a well-deserved reputation and are made from quality construction materials. Usually, those materials are carbon steel.

What helps your sales is forever guaranteed. Everyone wants to protect their investment, and this warranty helps ease their minds and loosens their wallets. There is also a free sharpening service included in that warranty.

Besides the gas and time expense, it looks like you have to buy a $300 starter kit. That sets you back from the get-go and makes it a little more difficult to make any money. Also, you may have difficulty selling the knives due to their high cost.

The potential is there for you to make money, but it has to be done just right as you will be facing a lot of competition from the cheaper products that the many department stores offer their customers.

Examples Of How To Make Money With Cutco

The best example of making money through Cutco is their commission split. A sales rep starts off making 10% in the beginning. Not bad if you can move those higher-priced knives or knife sets.

If you are good, you get promoted to field sales manager and make 20% off your sales. Those sales can come through product shows as well. So you have ample opportunity to make a buck.

There are 9 levels you can move up through and increase your sales and income opportunities. There is a second way to make money, and it is through successful appointments. The company offers the sales rep $17.50 per event if it works out, But if you make more in commissions, you are only paid the higher amount.

The sales rep does not get both payments. If the commission is lower than $17.50, then you get the base money. Like all MLM companies, you will have to work your tail off and put up with a lot of complaints to make any money at all.

The problem is that Vector Marketing may fudge in their advertising concerning the pay you can get. It has been reported that you can make $17 to $20 an hour, but that is not the case unless you sell a lot during one hour of your work time.

You have to watch out when you read those ads on Craigslist and other places.

Cutco MLM Review Pros and Cons

There are many good things about this company, and there are many bad things you should know about before you leap. Please take a few moments and carefully go through these lists to ensure it is a company you want to become involved with.


  • Very high-quality construction materials
  • Knives meet top quality standards
  • Made in America
  • Forever warranty
  • High commission splits from 10 to 50%
  • Free training over a period of 3 days
  • Good work experience
  • Commissions are based on sales, not on how many people you recruit
  • Work your own hours
  • Opportunity for promotion


  • It’s an MLM company which some perceive to be a bad business model
  • Hard to sell expensive products even if they are good knives
  • Pay for your own expenses that may cost more than you make
  • Rewards are paid by giving you knives, not cash
  • Have to sell to your family and friends
  • A forever warranty cuts out repeat customers
  • Knife sharpening service has a poor reputation
  • Age discrimination in employment is possible. The company likes young people to sell their knives
  • The website is the only place to make contact with the company
  • Pay to play
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Any Negatives? Beware of Lawsuits

As you can see, there are negative factors you will encounter if you sign up with this company. Not only do you have high-priced items to sell, but you are also faced with a lot of competition that markets their knives at a meagre cost.

Also, the base pay is often misleading as the company states in a fashion that has you believing you will make $17 or more per hour when the reality is a lot different. There have been complaints about safety, but those are ridiculous as any injury is not the knife’s fault or construction.

Then there are the lawsuits. To date, we know of only about 4 or 5, and they go back to 1990. The company lost the one that claimed it violated the New York State labour laws. Others focused on the compensation plan.

The company agreed to stop misrepresenting its compensation payouts in one of those lawsuits. The others have to report the decisions that we could find. When you consider signing up with this company, the product may be good, but the other aspects are not so good, and you should be careful.

Is It Cutco Legitimate?

Cutco Review

There is no doubt that the company is legitimate. They make a good product backed by a lifetime warranty that most consumers have not had any trouble being honoured.

The complaints target the sharpening service, not the warranty. Our research has found that the company works hard to keep its word when it comes to honest and legitimate warranty claims.

What people question the most about this company is their Vector Marketing wing that seems to employ many underhanded tricks to hire people to sell those knives. That arm of the company seems to love the bad side of MLM’s business strategies and does not care if they get that reputation or not.

Other than that, the product is top quality and sharp. Any safety issues lie with the consumer, not the company, as the latter cannot dull its knives down if they expect to sell their products.

Final Thoughts

Despite the dubious employment practices, it is easy to be impressed y the quality of knives this company sells. They may be expensive but then anything worth their money is going to cost a lot.

When the products are American-made and come with a lifetime warranty, it is easy to overlook the bad aspects and be tempted to sign up and work for the company. Now you have the good and the bad accounts so making up your mind and making a decision is in your court.

Try to do some more research to see if you can make any money through their system. If you are interested in creating your own home business, check out my #1 recommendation on building a successful business online. You can get access to hundreds of training videos, 24/7 support, professional consultations, private access to training guides, tools, and much more.

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