Documents on company's MLM business activities
1. Introduction
[Your Company Name] (“the Company”) is engaged in the development, operation, and management of a licensed Multi-Level Marketing (MLM) business model. Our MLM activities are designed to provide entrepreneurial opportunities for individuals while ensuring compliance with applicable laws, industry regulations, and ethical business practices.
The Company operates with a clear mission: to create sustainable income opportunities for our members, while offering high-quality products/services to consumers.
2. Business Model Overview
Our MLM business is structured around a direct selling framework, where members (also referred to as distributors/associates) market and sell the Company’s products/services directly to consumers. Income is generated through:
- Retail Sales – Distributors earn commissions and margins from direct product sales.
- Network Development – Distributors may build their own sales network and receive incentives from the sales performance of their downline members.
- Performance Incentives – The Company provides bonuses, rewards, and recognition for high-performing distributors who meet or exceed sales and recruitment targets.
3. Core Business Activities
3.1. Product/Service Offering
- The Company provides a curated range of products/services in [insert industry, e.g., health supplements, personal care, digital solutions].
- Products are developed/selected to ensure quality, safety, and value for end-users.
3.2. Distributor Recruitment & Training
- Recruitment follows transparent guidelines to prevent misrepresentation.
- Distributors are provided with training modules, marketing tools, and compliance guidance to support sustainable growth.
- The Company emphasizes responsible recruitment, ensuring all members understand the business model before joining.
3.3. Compensation Plan
- Our compensation plan is based on a hybrid MLM structure, incorporating both unilevel commissions and performance-based bonuses.
- Earnings are structured to reward retail efforts first, with additional incentives for building long-term, sustainable networks.
- The plan is compliant with [Malaysia’s Direct Sales and Anti-Pyramid Scheme Act 1993 (Amendment 2010)]and relevant global standards.
3.4. Events & Activities
- Regular seminars, webinars, and workshops are organized to recognize achievements, share knowledge, and motivate distributors.
- Product launch events and promotional campaigns are conducted to engage customers and drive sales.
- Annual conventions are held to celebrate milestones and set strategic directions for the network.
4. Compliance & Governance
The Company is committed to conducting its MLM business in full compliance with applicable laws, including but not limited to:
- Direct Sales and Anti-Pyramid Scheme Act 1993 (Amendment 2010)
- Consumer Protection Act 1999
- Personal Data Protection Act 2010 (PDPA)
Internal governance measures include:
- Clear distributor agreements outlining rights and obligations.
- Regular audits to ensure fair practices in sales and recruitment.
- A Code of Ethics for all members to maintain professional standards.
5. Corporate Social Responsibility (CSR)
The Company integrates CSR initiatives within its MLM framework by:
- Promoting entrepreneurship across communities.
- Supporting environmental sustainability through eco-friendly product packaging.
- Contributing to local communities via charity events and outreach programs.
6. Conclusion
Through its MLM business activities, [Your Company Name] continues to empower individuals with opportunities to achieve financial independence while maintaining strong corporate governance and delivering quality products/services to consumers.
We remain committed to building a transparent, ethical, and sustainable MLM ecosystem that benefits distributors, customers, and the community at large.