Posts

MLM LEGAL & STATUTORY COMPLIANCE

The direct selling industry has long been plagued with more than a fair share of miscreants who have attempted to make the most out of its myriad business models to line their own pockets with money from innocent investors who have been fooled to part with their hard earned savings by the lure of immediate and adequate compensation usually in terms of money and often in the guise of a better, richer and posh lifestyle. For an industry so often maligned even with the right procedures and laws firmly in place to follow, it seems a little surprising that more often than not companies by themselves just cannot get the ideal governance right. This is where there is a need for an authority on the subject. A consultancy that will help you conceptualize, execute and even grow your business model under the ambit of all the possible legalities that are set to govern the direct selling industry. Strategy India will help you identify the best model suited to your business, help you establi
248 comments
Read more

Multi level marketing - How to became successful multi level marketer

Participant profits and losses The overwhelming majority of MLM participants (most sources estimated to be over 99.25% of all MLM distributors) participate at either an insignificant or nil net profit. Indeed, the largest proportion of participants must operate at a net loss (after expenses are deducted) so that the few individuals in the uppermost level of the MLM pyramid can derive their significant earnings. Said earnings are then emphasized by the MLM company to all other participants to encourage their continued participation at a continuing financial loss. Participant financial loss, company financial gain The end result of the MLM business model is, therefore, one of a company (the MLM company) selling its products and services through a non-salaried workforce ("partners") working for the MLM company on a commission-only basis while the partners simultaneously constitute the overwhelming majority of the very consumers of the MLM company's products and services
3 comments
Read more

What is Multi-level marketing ?

Multi-level marketing (MLM), also called pyramid selling, network marketing, and referral marketing, is a marketing strategy for the sale of products or services where the revenue of the MLM company is derived from a non-salaried workforce selling the company's products/services, while the earnings of the participants are derived from a pyramid-shaped or binary compensation commission system. Although each MLM company dictates its own specific financial compensation plan for the payout of any earnings to their respective participants, the common feature that is found across all MLMs is that the compensation plans theoretically pay out to participants only from two potential revenue streams. The first is paid out from commissions of sales made by the participants directly to their own retail customers. The second is paid out from commissions based upon the wholesale purchases made by other distributors below the participant who have recruited those other participants into the MLM
1 comment
Read more

Illegal Vs Legal MLM - Get the Difference

Image
Illegal Vs Legal MLM - Get the Difference Direct selling business is often considered as a fraud or an illegal pyramid scheme. A lot of people refrain from joining an MLM company or purchasing the products offered by an MLM company due to these doubts. However, the direct selling business has become a legitimate and legal business in India and fortunately, there are several bases on which the difference between a legitimate and an illegal MLM company can be derived.   So here are some core differences between an illegal and legal MLM you should know if you are interested in becoming a direct seller or are willing to use the products sold by MLM firms: In a legal MLM company, an employee or consultant can overtake a person who employed them and can even make more money than them. while in the pyramid scheme, an employee has a fixed position and cannot overtake the higher authorities In a genuine MLM company, a consultant does not earn a single penny until he/she sells
3 comments
Read more

How to Structure MLM Business Legally ?

Image
There is a particular way behind structuring the MLM Business Legally . MLM Legal and statutory compliance are mainly considered very important in some cases. With both good products and intentions, a vast potential is offered by India for the Direct selling companies. The challenges however for a diverse number of statutory compliance and also MLM legal approvals are overcome by one. Also, they should be able to maintain operations and also set up successfully. In India, at some times, it generally seems to be a deterrent thing. This particular business is highly rewarding if all the requirements, as well as the processes, are followed by someone. There is also direct selling compliance which is actively involved in working with some of the great experts. In the country, generally, all the important aspects of the corporate establishments are covered by the attorney. In the compliances, the broadly includes things are mainly Product registration & licensing, NOC, S
Post a Comment
Read more