MLM Guidelines
Legal Compliance for MLMLaunchPad
Understanding the legal framework for multi-level marketing in India.
1. Legal Compliance for MLM in India
MLM businesses must comply with the Consumer Protection (Direct Selling) Rules, 2021 issued by the Government of India.
- Pyramid schemes and Ponzi schemes are illegal under the Prize Chits and Money Circulation Schemes (Banning) Act, 1978. Our platform does not promote such companies.
- Direct selling companies must be registered with the Ministry of Consumer Affairs.
2. mlmlaunchpad.com’s Legal Standing
Since mlmlaunchpad.com is a listing platform, not an MLM business itself, we ensure:
- A disclaimer that we do not endorse or guarantee the legitimacy of listed companies.
- Ensuring that all listed companies comply with Indian direct selling laws.
- Avoidance of pyramid or Ponzi schemes to prevent legal liability.
- Protecting our platform with legal disclaimers.
3. Business Registration & Taxes
To legally operate mlmlaunchpad.com, you may need to:
- Register as a Private Limited Company or LLP under Indian laws.
- Comply with GST (Goods & Services Tax) if charging for listings or advertisements.
4. Content Monitoring
To avoid legal trouble, we regularly monitor and verify the companies listed on our platform.
- We take action against scams and remove fraudulent listings.
- Users can report suspicious MLM companies for review.
Conclusion
Yes, you can legally run mlmlaunchpad.com in India, but compliance and transparency are key.
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