Working in insurance companies and actuarial business : network marketing : [1]

Fatawa Question

[Question One] : Dear Mufti, Assalamualaykum, -I want to ask is network marketing is allowed in Islam ? -Is it permissible to take the commission from the people’s works whose is working below you ? -One of my friend showed me your fatwa (12 Jan 2003) says that it is allowed to get the commission from the people who works under the umbrella or chain, but the condition it should be transparent and with the full disclosing the commission. IS it true ? Thanks and Regards, [Question Two] : Bismillah al Rahman al Rahim Thank you so much for your kind reply and Happy Ramadan Kareem Please count us in your prayers. One of my friends told me about one networking marketing business which is follows : 1. We have to buy a product from company (products like, Vacation Package, Bio Chemical disc, Health products, gold coins, pendants, Internet Telephone etc. 2. Once we buy a product we will become customer of that company (Main Intention to buy the product is to earn commission) 3. After buying the product we are allowed to refer to only 2 people. 4. For each reference we will get commission of 41.67 $ 5. If I refer you than I will get 40 $. Than if you refer your son, you will get 41.67 $ and I too Get 41.67 $. Any level down us will get the same commission. 6. For Each and Every reference below you will get same commission. 7. Each and every person who is joining is know that the fact of commission calculation. 8. Introducer will provide lots of training to learn the business. We have to learn the business and likewise we have to train our people (those of my reference) 9. Price of the products are good for vacation packages, Bio disks, Internet telephone etc. for the gold products it is bit high since it is rare products. My friend gave me above details and he wants me to join this business. I checked your site and I found out many points about network marketing I would like to request you to give me idea about this business whether it is allowed in Islam. Since if I want to join this business or any networking marketing business our main intention is to earn money not for the products. Thanks and Allah showers his blessings on all Muslims

Fatwa

Click hereto view more

Publication Date

2008-08-31

Main Subjects

Economics & Business Administration
Islamic Studies

No. of Pages

2

Data Type

Fatawa

Language

English

Record ID

BIM-731137

• APA
• MLA
• AMA