🚫 New Regulation for Multi-Level Marketing
Decree 24 of 2016 prohibits that linking new people to the commercial network of multi-level activities gives rise to economic benefit or compensation of any nature.
📊 The sector in figures: The multi-level industry moves more than $2,000,000,000 USD per year with an annual growth rate of 8%, with 14,000 direct employees and 1.5 million people generating additional income.
Main requirements of Decree 24 of 2016:
- Multi-level companies must operate through commercial companies or branches duly registered
- Prohibition of payments for recruiting new people
- The benefits plan must be publicly available in offices and on the website
- Oversight by the Superintendence of Companies with the power to suspend operations