How to Start MLM,guidelines for Network Marketing, direct selling Company?
Who can start a multi-level marketing direct selling company?
A company or The Makers of exclusive and unique products or services, 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 out of
How to set up Multi Level Marketing, MLM Company India ?
Guidelines and Law for setting up direct
selling mlm company
Best Practice to Setup a direct selling company
Guidelines for Kind of MLM Software,website
What is the law for setting up Multi Level Marketing Company
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 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
• 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
Essentials of setting up a MLM ENTITY 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) Membership. It’s not a government
body but it’s a private setup by Amway India and other big network marketing companies
which is trying to govern the whole Direct Selling Companies in India which prevents
unethical and illegal MLM companies and Multi Level Network marketing Business practices
to operate and destroy the MLM Business route.
Apply for Vat/Service Tax/ Tan No 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 MLM 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.
*** Note: Government
of India Ministry of Corporate affairs issues
guidelines for direct selling please follow the guidelines set by MCA.