The multilevel marketing (MLM) business model is in a period of transition. In the last three months, Rodan + Fields, Seint Makeup, and Beautycounter have all transitioned away from the multilevel marketing model that made them millions.Rodan + Fields transitioned from MLM to an affiliate-commission structure and program in the immediate aftermath of a $75 million funding round. Seint Makeup made a similar switch earlier this month, announcing that its representatives will no longer be rewarded for their recruiting efforts. After a $600 million investment from the private equity firm the Carlyle Group went south, Beautycounter is still months away from the relaunch promised by its founder and CEO, Gregg Renfrew, who regained control of the brand from foreclosure by private equity in April. Beautycounter entered Ulta Beauty stores nationwide last year, where its still being sold today.Why is the MLM model failing, and can the beauty brands that were built on this model find success in the competitive retail and affiliate marketplaces? BeautyMatter spoke to MLM and beauty industry experts to explore the future of MLM beauty brands.The Rise and Fall of MLMsThe MLM model and the beauty industry have always been intricately intertwined. One of the first multilevel marketing style businesses was the California Perfume Company, which later became Avon. The business model involves selling products or services through a network of independent sales representatives. Each representative is encouraged to recruit new sales representatives to their “team.