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How to Start MLM Company (Multi Level Marketing / Network Marketing) business?

Who can start a mlm, multi level network marketing company?

A company or makers of exclusive and unique products, services or business, aspirant to win worldwide customers without setting up expensive shops, showrooms and handling tedious advertising with little efforts and fortitude can go and make big business out of it.

How to set up Multi Level Marketing (MLM business) Company India ?
MLM law for setting up network marketing business
What is Best Practice to Setup multilevel business
What kind of software and website required for network marketing companies?

What is the law for setting up multilevel marketing company India?

There is no separate law for setting up a multi level network marketing (MLM) in India by now, it was proposed in Indian Parliament in 2005 but not yet passed as a law, however there are certain acts or law of Indian constitutions which we need to consider before setting up Multi Level Marketing Company:

• It should not be a only head count commission Model which falls in Pyramid Scheme which is banned in India, covers MRTP Act alias Money Rotation Trade Practice Banning ACT 1969.
• It should not be only money involved investment return format which falls in PCMC Act alias Prize Chit and Money Circulation banning Act 1978. It should be feasible Product selling Business Model.

What is the best practice to setup a Multi Level Marketing Company?

Essentials of setting up a MLM Business Private Limited or Limited Company is to be setup. In India Multi Level Marketing Company involves limited risk for directors who are setting up a Multi Level Marketing Company Business.

Pertain IDSA (Indian Direct Selling Association) Member Ship. It’s not a government body but it’s a private forum setup by Amway India which is trying to govern the whole Direct Selling Companies in India which prevents unethical and illegal direct selling companies and Multi Level Network marketing Business practices to operate and destroy the direct selling business route.

Apply for Vat/Service Tax/ Tan No/Fssai and all necessary license and registration required for manufacturer and product seller.

Last but not the least Appoint a Legal Advisor, Consultant and a Chartered Accountant to create rules and regulation forms, manage paper works and other company related legal documents and stationary materials.

Please does not cut copy paste other company’s print materials as it may not be applicable on your product or network business model? It is also desirable to develop exclusive website content and information related to company written by legal advisor of the company to counter legal laws of the Land.



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