How long does it take to issue a Certificate of registration of multi-level marketing activities?

Issuing a Certificate of registration of multi-level marketing activities is a sub-licensing procedure that is carried out after business registration. Only after being granted a Certificate of registration of multi-level marketing activities can the company do this business. Our following article will provide detailed instructions on the process, procedures and necessary requirements to be granted Certificate of registration of multi-level marketing activities.

Conditions to be granted a Certificate of registration of multi-level marketing activities

Enterprises that want to be granted a Certificate of registration of multi-level marketing activities need to meet the conditions prescribed in Article 7 of Decree 40/2018/ND-CP (amended and supplemented by Decree 18/2023/ ND-CP).

• Enterprises must be established in Vietnam according to current laws.
• The enterprise has never had its Certificate of registration of multi-level marketing activities revoked.
• The enterprise’s charter capital must be 10 billion VND or more.
• General partners for partnerships, owners for private enterprises or one-member limited liability companies, members for limited liability companies with two or more members, shareholders For joint stock companies, founding shareholders and legal representatives of the enterprise do not include organizations or individuals who once held one of the above positions at a multi-level marketing enterprise whose certificate has been revoked. Registering for multi-level marketing activities must not have held a similar position at a multi-level marketing enterprise whose Certificate of registration of multi-level marketing activities was revoked.
• Enterprises need to deposit at the bank an amount of 5% of charter capital, a minimum of 10 billion VND.
• There is a multi-level marketing participation contract form, operating rules, compensation plan, and basic training program that is clear and transparent.
• There is an information technology system to manage the network of multi-level marketing participants, and an electronic information page to provide information about the business and its multi-level marketing activities.
• Have a communication system to receive and resolve questions and complaints from multi-level marketing participants.

Application for issuance of Certificate of registration of multi-level marketing activities

Complying with Article 9 of Decree 40/2018/ND-CP (amended by Clauses 7 and 8, Article 1 of Decree 18/2023/ND-CP), the application dossier for issuance of Certificate of registration of multi-level marketing activities includes:

• 01 Application for a Certificate of registration of multi-level marketing activities according to Form No. 01 in the Appendix issued with Decree 40/2018/ND-CP (amended by Decree 03/2023/ND-CP )
• 01 copy of business registration certificate or documents of equivalent legal value.
• 01 list with copies of valid personal identification documents of general partners for partnerships, owners for private enterprises or single-member limited liability companies, members for limited liability companies with two or more members, founding shareholders for joint stock companies, legal representative of the enterprise
• 02 (two) sets of documents related to multi-level marketing activities of the enterprise, including: Sample multi-level marketing participation contract; Compensation plan; Basic training program; Rules of operation.
• 01 list of goods traded by the multi-level method of the enterprise.
• 01 original deposit confirmation document;
• Technical explanation document on the information technology system for managing the network of multi-level marketing participants.
• Documents proving that the enterprise has an electronic information website.
• Documents proving that the enterprise has a communication system to receive and resolve questions and complaints from multi-level marketing participants.

How to submit application

• Submitting directly to the Ministry of Industry and Trade is the traditional option.
• Businesses can also submit applications online through the online public service system of the Ministry of Industry and Trade.

Procedure for issuing Certificate of registration of multi-level marketing activities

The process of granting a Certificate of registration of multi-level marketing activities according to Article 10 of Decree 40/2018/ND-CP (amended by Clause 9, Article 1 of Decree 18/2023/ND-CP) includes many steps in sequence.

1. Step 1: Submit application

Document set:

• Prepare paper and electronic files in prescribed formats.
• Electronic files include .doc or .docx format for registration text documents
• For the list of goods, it is necessary to submit an Excel file in .xls or .xlsx format. Be sure to submit both paper copies and electronic files.

1. Step 2: Receive documents

• Within 5 working days, the Ministry of Industry and Trade will check the completeness and validity of the dossier.
• If the dossier does not meet the requirements, the Ministry of Industry and Trade will notify the enterprise in writing for additions and amendments.
• Businesses have 30 days to complete the required documents.
• If the deadline passes and the enterprise does not supplement, the Ministry of Industry and Trade will return the dossier.

1. Step 3: Appraisal of documents

• After receiving complete and valid documents, the Ministry of Industry and Trade notifies the enterprise to pay the appraisal fee.
• The Ministry of Industry and Trade returns the dossier if the enterprise fails to pay the appraisal fee within 30 days from the date of issuance of the notice;
• Within 20 working days from the date of receiving the appraisal fee: the Ministry of Industry and Trade conducts the appraisal;.

1. Step 4: Issue certificate.
2. Step 5: Within 10 working days from the date of issuance of the multi-level marketing activity registration certificate, the Ministry of Industry and Trade:

• Announced on the website of the Ministry of Industry and Trade.
• Notify the bank where the business deposits money.
• Provide a copy of the multi-level marketing activity registration certificate along with copies of regulatory documents to Departments of Industry and Trade nationwide.

Consulting and support for applying for a Certificate of registration of multi-level marketing activities

Long Phan’s consulting services will guide businesses to prepare complete and accurate documents. Services include:

• Instructions for preparing dossiers to apply for a Certificate of registration of multi-level marketing activities;
• Consulting on orientation, business planning and registration of multi-level marketing activities;
• Receive authorization to submit documents and monitor application progress at state agencies.
• Instructions on deposit procedures at banks.
• Prepare multi-level marketing participation contract templates, operating rules, compensation plans, and training programs.
• Consulting on building an information technology system to manage a network of multi-level marketing participants, an electronic information page to provide information about the business and its multi-level marketing activities.
• Consulting on building a communication system to receive and resolve questions and complaints from multi-level marketing participants.

Thus, businesses that want to conduct multi-level marketing activities will have to apply for a Certificate of registration of multi-level marketing activities. The time for this procedure is from 15 to 30 working days according to the law. Customers need to carefully prepare documents and follow the correct process. For detailed advice on this procedure, please contact the hotline 0906.735.386. Long Phan is ready to assist customers in completing procedures quickly and effectively.