Sunday, 19 June 2011

Multi-level marketing - MLM Works

MLM or Multi-Level Marketing is a marketing method where sales is generate by individuals who have invested their money in products . It works in Hierarchy where on upper level gets more commission he/she join the people in its Down line on multiple levels payments are given commissions according to referrals they have join peoples in the Company .

In traditional companies company employed the people hire the professionals for marketing their
products give salaries and incentives.

In MLM company people sell products directly to consumers by word of mouth marketing. They
get particular commissions on the selling products . Most of the products sell by this type of
Marketing are wonder products or the products having some spatiality and MLM company
take high charge on the Products as they are giving commission on every level.

In this type of Setup peoples are Independent and unsalaried sales peoples who are doing
MLM marketing just for commission or getting money by giving referrals.

MLM Legality  
Multi Level Marketing is firstly gets legal in Year 2000 In Singapore. Some countries, states or
provinces have laws or regulations that may limit what you’re permitted to do in your MLM business
(such as Not For Retail, cooling-off periods, no products kit sales in the first week or month or similar).
The UK and Canada have laws that govern how you conduct your MLM business.

Government of India  Rules for Checking 
MLM Companies Legality
does clearly mention the basic guidelines (what not to do).

2. Certification From RBI ( Reserve Bank of India)

3. Registered Under Ministry of Corporate Affairs
( Speak Asia is Not Registered Under any Of them that is Why it is Closed in India ) 

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