When is it necessary to renew the Multi-Level Marketing Activity Registration Certificate?

Renewing the Multi-Level Marketing Activity Registration Certificate is a procedure that businesses need to carry out when the license is about to expire. Enterprises need to clearly understand the regulations on deadlines, conditions and necessary documents to renew the certificate. Our article below will provide detailed information about the process of renewing the Multi-Level Marketing Activity Registration Certificate.

Validity of the Multi-Level Marketing Activity Registration Certificate

The Multi-Level Marketing Activity Registration Certificate does not exist for the duration of the business’s operation but has a certain expiration date. The multi-level marketing activity registration certificate is valid for 5 years from the date of issue according to Article 8 of Decree 40/2018/ND-CP. Enterprises must submit renewal applications at least 3 months before the certificate expires.

Conditions for renewing the Multi-Level Marketing Activity Registration Certificate

To renew the Multi-Level Marketing Activity Registration Certificate, it is necessary to meet the conditions according to Article 14 of Decree 40/2018/ND-CP.

• Enterprises must be established in Vietnam according to legal regulations.
• The enterprise has never had its multi-level marketing registration certificate revoked.
• The enterprise’s charter capital must be 10 billion VND or more.
• Members, owners, and legal representatives must not have held a position at a multi-level enterprise whose certificate has been revoked. Enterprises must deposit at the bank an amount of 5% of charter capital, a minimum of 10 billion VND.
• Businesses need to have clear contract templates, operating rules, compensation plans, and training programs. An information technology system to manage the network and website is required.

Competent authority to extend the Multi-Level Marketing Activity Registration Certificate

According to Clause 5, Article 10 of Decree 40/2018/ND-CP, the Ministry of Industry and Trade is the competent agency to extend the Multi-Level Marketing Activity Registration Certificate. Within 10 working days from the date of granting the extension, the Ministry of Industry and Trade must publish information on the website and notify the bank where the enterprise deposits about the extension.

Procedures for renewing the Multi-Level Marketing Activity Registration Certificate

Documents need to be prepared

Enterprises prepare 01 set of documents as prescribed in Clause 4, Article 14 of Decree 40/2018/ND-CP (amended and supplemented by Clause 11, Article 1 of Decree 18/2023/ND-CP). Including:

• Application for extension of the Multi-Level Marketing Activity Registration Certificate according to Form No. 05 in the Appendix issued with Decree 40/2018/ND-CP;
• 01 copy of business registration certificate or equivalent legal document;
• 01 list with copies of valid personal identification documents as partners/owners/company members/shareholders/legal representatives depending on the type of business;
• 01 copy of legal documents on the establishment of the organization in case of an organization.
• 02 sets of documents related to multi-level marketing activities of the enterprise, including: Sample multi-level marketing participation contract; Compensation plan; Basic training program; Operating rules;
• 01 list of goods traded by the enterprise’s multi-level method, including information: Name, type, origin, packaging, warranty (if any), selling price and number of points The exchange bonus corresponds to the selling price and time of application.
• 01 original copy of deposit confirmation document.
• Documents proving that the enterprise has a communication system to receive and resolve questions and complaints from multi-level marketing participants.

Procedures carried out

Procedures for renewing the Multi-Level Marketing Activity Registration Certificate include 4 steps according to Article 10 of Decree 40/2018/ND-CP.

Step 1: Carry out the renewal procedure at least 3 months before the certificate expires.

Step 2: Submit 01 set of documents to the Ministry of Industry and Trade.

Step 3: The Ministry of Industry and Trade receives and checks the completeness and validity of the dossier within 5 working days.

• If the dossier is incomplete, the Ministry of Industry and Trade will notify the business to supplement it within 30 days.
• In case the enterprise does not amend or supplement its dossier on time or the enterprise’s dossier does not meet the conditions, the Ministry of Industry and Trade will notify in writing to return the dossier.

Step 4: The Ministry of Industry and Trade appraises the dossier within 20 working days from the date of receiving the full appraisal fee.

Consulting services for renewing the Multi-Level Marketing Activity Registration Certificate

Consulting service for renewing the Multi-Level Marketing Activity Registration Certificate supports businesses in the process of renewing the Multi-Level Marketing Activity Registration Certificate. Long Phan will support multi-level marketing businesses in:

• Instructions for preparing documents to renew the Certificate of registration of multi-level marketing activities.
• Enterprise representatives submit applications and monitor the progress of processing applications to extend the Certificate of registration of multi-level marketing activities.
• Explain and supplement documents as required by the licensing agency.
• Receive the results of the application to renew the Multi-Level Marketing Activity Registration Certificate and hand it over to the business.

Renewing the Multi-Level Marketing Activity Registration Certificate is an important procedure for multi-level marketing enterprises. Customers need to carefully prepare information and documents so that the renewal process goes smoothly. If you need further assistance with renewal procedures, customers can contact Long Phan via hotline 0906.735.386 for detailed advice.