The resiliency of the direct selling industry makes it an appealing choice for those looking to better their lives. How legal is QNET? It is a legal company, often mistaken for a scam or pyramid scheme due to misleading media reports. However, it is an excellent way for motivated entrepreneurs to succeed while maintaining a flexible work schedule.
How legal is QNET? The leading multinational e-commerce-based direct selling company has offices and does business in areas known for having strong regulatory systems and consumer protection laws, including Hong Kong, Singapore, and Germany. In those regions, the direct selling industry is recognized as a legitimate business.
However, in many areas with emerging economies, there is a lack of understanding surrounding the direct selling industry. It is often confused with financial scams and pyramid schemes, which makes people hesitant to get involved.
Direct selling is one of the fastest-growing industries in India. By 2025, it is expected to generate self-employment for over 18 million people. The industry received a boost in 2016 when India’s Ministry of Consumer Affairs, Goods, and Public Distribution implemented the Direct Selling Guidelines. The guidelines are a positive step toward preventing unscrupulous business practices and protecting consumers’ rights and interests.
QNET’s direct selling business, founded in 1998, is legal in India and complies with the Direct Selling Guidelines 2016. It operates in India through a franchisee company that is registered under the Companies Act, 1956. And the company goes to great lengths to explain why it is an honest, law-abiding company because there is misinformation spread by malicious people who misconstrue it as a get-rich-quick scheme, or who make false claims to entice people.
The truth is that the direct selling company is not an investment scheme and does not require anyone to invest any money. Customers purchase products from QNET and that is the only financial transaction that takes place between the customer and QNET. Many customers choose to become distributors by registering as independent representatives of QNET, which allows them to promote the company’s products and services and earn a commission on successful product sales. Depending on which country they register from, registration could be free, or could range from $10 to $30.
The key thing to note is it takes time and hard work for entrepreneurs to build their businesses with QNET.
Learn How To Spot a Scam
The direct selling company encourages entrepreneurs worldwide to learn how to spot a scam. In Ghana, the company launched the Mama Campaign, an anti-scam educational project and informative advertising and marketing campaign using the Ghanaian mother as the matriarch who shows youngsters the right path. The Mama Campaign’s objective is to help the people of Ghana, the media, and government stakeholders recognize QNET is a legitimate business and spot the red flags associated with pyramid schemes and scams.
Even though the company has helped thousands of Ghanaians and other Africans become successful entrepreneurs and better their lives, many still question: How legal is QNET? To answer that question, the company has been offering unique products and services to customers and independent representatives for 25 years. In addition, it is spreading the campaign’s message on social media, television, radio, and billboards.
The direct selling company created the program to better explain the legitimacy of the industry and warn about the improper actions of some people who have misrepresented the company’s name.
“[The company] frowns against any form of unfair and illegal marketing practice,” stated Biram Fall, the regional general manager in sub-Saharan Africa. “This is why [the company] created a dedicated phone number to help anyone who wants further information about the business or wants to report a case of unethical practice. Collaborating with local entities and communities is [the company’s] priority.”
How Legal Is QNET?
Fall continued, “QNET is not an investment company, and it does not support any get-rich-quick schemes. Rather, [the company] is an e-commerce-based direct selling company that offers a wide range of world-class products online. It operates in about 25 countries worldwide and has run the business sustainably for  years.”
There are significant steps that the company takes to ensure that independent representatives understand the business model and are not being misled during the registration process. Interested independent representatives will receive a phone call from the company’s customer support team. The purpose of this call is to clarify that the interested entrepreneur is aware of the terms of the opportunity. Everyone’s identity and banking credentials are confirmed.
In addition, during the registration process, a one-time password is sent to the interested independent representative’s mobile phone to validate the registration. Once the process is properly completed, the interested independent representative receives an official ID card.
Once a person becomes an independent representative, the direct selling business helps them to become knowledgeable product ambassadors. “Only when the independent representative fully understands the value of the product they are promoting can they truly become a product of the product,” stated Malou Caluza, the company’s CEO. “The direct selling company focuses on helping independent representatives understand how its products can help them address some of the challenges they face, be it with air and water quality, or nutrition deficiency, or even in learning a new skill.”
Caluza continued, “The company helps independent representatives build their business in a sustainable manner for the long term. This [is accomplished through] leadership development, professional business practices, utilizing technology to manage their business, and much more.”
Through its comprehensive approaches, QNET aims to empower aspiring entrepreneurs to become professional CEOs of their businesses and spread accurate information about the direct selling company.