light-check Amendments to regulations on multi-level marketing business

Decree No. 18/2023/ND-CP dated April 28th, 2023 of the Government on amendments to the Government’s Decree No. 40/2018/ND-CPstatus2 dated March 12, 2018 on management of multi-level marketing business
Posted: 4/5/2023 7:35:00 AM | Latest updated: 12/5/2023 1:52:15 PM (GMT+7) | LuatVietnam: 5695 | Vietlaw: 611

This Decree amends, supplements some regulations of Decree No. 40/2018/ND-CPstatus2 relating to conditions for carrying out multi-level marketing business and responsibilities of multi-level marketing enterprises.

Accordingly, a multi-level marketing enterprise must be granted a certificate of multi-level marketing registration by a competent authority.

In case the registering organization is an enterprise whose owners or members or shareholders are foreign investors or foreign-invested business organizations, all of these foreign investors or foreign-invested business organizations need to have at least 03 years of continuous operation of multi-level marketing business in a certain country or territory.

Regarding multi-level marketing participants, this Decree requires that they must be individuals who have full legal capacity in accordance with regulation of laws and reside in Vietnam.

Regarding responsibilities of multi-level marketing enterprise, this Decree supplements the regulation on banning the use of images, names, correspondences of health facilities, health units, physicians, pharmacists, health workers, testimonials of patients, articles written by physicians, pharmacists, health workers to provide information about products sold via multi-level marketing.

Each multi-level marketing enterprise also has to make sure that at least 20% of the revenue from multi-level marketing in a fiscal year is from customers who are not the enterprise's multi-level marketing participants."

This Decree takes effect from June 20th, 2023.


Related documents

Not found

Penalty document



Effective date 20-Jun-2023
Expired date Unknown
Published Vietlaw's Newsletter No. 611

Files attachment

enflag pdficon ND18_28042023CP[E].pdf


No data

Business registration

light-check Amendments to regulations on multi-level marketing business
blue-check [Merged] - Regulations on multi-level marketing
light-check Guidelines on registration of household businesses via website
blue-check It is not required to update information of citizen identification of legal representative on business registration certificate
blue-check Now there is no regulation on early resumption of business activity of cooperatives
blue-check Business Registration Offices hold the right to accept or reject names of enterprises
blue-check Regarding cases where an FDI enterprise is exempt from investment registration
red-check New forms of enterprise registration, applicable from May 1st, 2021
blue-check Process of enterprise registration from 2021
blue-check It is required to obtain a new Certificate of Business registration upon changing legal representative
blue-check It is required to declare employees, social insurance participants and register the use of invoices upon establishment of an enterprise
blue-check Regarding registration for provision of legal consultancy, legal service
red-check 2020 Law on Enterprises (applicable from January 1st, 2020)
blue-check Program for cutting and simplifying business regulations during 2020 - 2025
blue-check [Merged] - Business conditions for 8 sectors under the Ministry of Industry and Trade’s state management
blue-check Measures to improve business environment
blue-check How to determine an enterprise’s name which overlaps with another enterprise’s name
blue-check Issues relating to naming enterprise
blue-check It is required to initial each page of the application for investment registration
blue-check Regarding procedures for acquisition