Regulation On Direct Selling Was Published 26 August 2025

Direct selling is comprehensively regulated under national legislation for the first time by this Regulation, which establishes the procedures and principles of direct selling systems. In this regard, the Regulation prescribes rules to ensure the transparent, fair, and reliable functioning of the direct selling system and provides safeguards against its conversion into a pyramid sales scheme. The extensive obligations imposed on direct sellers and direct selling companies also establish a control mechanism.

A. Scope and Application
 

The Regulation applies to direct selling systems, direct selling companies, and direct sales. The relevant definitions are set out in Article 4 of the Regulation. In this context:

• Direct selling system means "a sales system established by a direct selling company, in which individuals who are not employed under an employment contract but act as independent representatives, distributors, consultants, or under similar titles, market or sell goods or services to consumers in exchange for benefits such as commissions, bonuses, incentives, or rewards.".
   

• Direct selling company means "a seller or supplier that, within the scope of the direct selling system, sells goods or services directly to consumers."
   

• Direct sale means "a transaction where the direct seller, as an intermediary, receives benefits from the consumer's purchase of goods or services either from the direct seller or from the direct selling company represented by the direct seller."
   

The Regulation does not apply to sales of goods or services to consumers by third parties that are not direct selling companies and not direct sellers, unless the direct seller receives any benefit under the earnings plan.

Another exemption concerns distance sales made by a direct seller through a system established by himself/herself or through platforms belonging to intermediary service providers. In such sales, only Article 8/2 of the Regulation shall apply. This provision requires that, in cases where the direct seller sells or intermediates the sale of goods or services belonging to a direct selling company, the direct seller's identification number must be indicated, and sets forth the direct seller's liability towards the direct selling company in this respect.
 

B. General Principles of the Direct Selling System
 

The Regulation establishes the general principles and fundamentals of the direct selling system as follows:
 

• Marketability and Sellability: Goods or services offered through the direct selling system must be marketable and sellable to consumers. The direct sale of goods or services prohibited under applicable legislation, as well as capital market instruments defined in Capital Markets Law No.6362 and crypto-assets, is explicitly forbidden within the direct selling system.

• Prohibition of Misleading Information: The Regulation prohibits providing misleading information about the system, such as promises of rapid wealth or other unrealistic claims. It also explicitly forbids compelling individuals to join the system through pressure, deception, harassment, or similar methods.

• Consumer Sales- Based Principle: Direct sales must primarily target consumers, and the purpose of the direct selling system should not be the recruitment of new sellers. In other words, earnings should be derived from the sale of goods or services to consumers rather than from recruiting new direct sellers into the system.

• strong>Benefit Cap: Total benefits provided to direct sellers, including commissions and bonuses, must not exceed 50% of the company's annual net direct sales. Benefits arising from the recruitment of new direct sellers must not exceed 30% of all benefits paid in the relevant calendar year. Retail profit is excluded in calculating these ratios.

C. Principles for Direct Selling Companies

The Regulation imposes several requirements on companies engaging in direct selling, including company type, capital amount, blocked account, and obtaining an authorization certificate. Thus, companies involved in direct sales must meet these specified conditions.

• Company Type: The company must be a capital company (corporation).
   

• Capital Amount: The company must have a minimum paid-in capital of 10 million TRY.

• Blocked Account Requirement: The company must deposit 3 million TRY into one of the blocked account types maintained at banks in Turkey, including blocked term deposits, demand deposits, special current accounts, participation fund accounts, foreign currency deposit accounts, or precious metals accounts.
   

• Authorization Certificate: Companies must obtain a "Direct Selling Authorization Certificate" from the Directorate General for Consumer Protection and Market Surveillance to operate. Detailed provisions regarding the application process are set out in Articles 9-12 of the Regulation. The certificate is valid for three years. In cases of incomplete information or missing documents during the application, the Directorate General may grant up to three months to complete the application. Violation of the principles set forth in the Regulation may result in the cancellation of the authorization certificate.

D. Principles for Direct Sellers

The Regulation introduces rules regarding the inclusion and exclusion of direct sellers in the direct selling system:

• Registration in the System: Persons under the age of 18, persons without legal capacity, company shareholders and managers, and their spouses and first-degree blood and in-law relatives are prohibited from joining the system as direct sellers.
   

• Participation Fee: Direct sellers cannot be charged any fees, dues, renewal payments, or similar amounts for inclusion or continuing in the system, nor can they be required to sign any document creating an obligation to pay such amounts.
   

• Seller Identification Number: Direct sellers are required to include their seller identification number when selling or mediating the sale of goods or services belonging to a direct selling company. Direct sellers are liable to the company for the proper use of their identification number in connection with sales or mediation activities.

E. Consumer Protection Provisions

The Regulation introduces several provisions for the benefit of consumers and imposes obligations on direct selling companies and direct sellers toward consumers:

• Obligation to Inform: Direct selling companies and direct sellers are obliged to provide consumers with adequate information:
   
  • Companies must establish an information system covering the right of withdrawal, product information, and the return process.
     
  • Direct sellers must provide consumers with an information form in writing or through a durable medium. Failure to do so constitutes "misinformation" and is treated as a breach of obligations.
     

• Delivery Deadline: The delivery date of the goods sold must not exceed thirty days from the date specified in the information form.

• 30-Day Right of Withdrawal: Consumers in direct sales have the right to withdraw within 30 days without giving any reason and without paying penalties. In cases of misinformation, the consumer is not bound by the 30-day period, which is also extended up to one year. An example withdrawal form for consumers is included in the annex of the Regulation.

• Joint Liability: Companies are jointly liable with the direct seller for ensuring that consumers can exercise their rights under the Regulation and for fulfilling other obligations toward consumers.

F. Transition Period
 

Direct selling companies that were operating prior to the publication of the Regulation may continue their activities until their authorization certificate applications are processed by the General Directorate.

However, these companies must restructure their organization and operations in accordance with the procedures and principles set forth in the Regulation and submit their applications for the direct selling authorization certificate by 30 January 2026.
 

G. Effective Date
 

The fifth and sixth paragraphs of Article 5, which contain key provisions on direct selling, will enter into force on 1 January 2026. All other provisions of the Regulation entered into force on the publication date, 8 August 2025. The full text of the Regulation can be accessed here.¹

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1}https://www.resmigazete.gov.tr/ eskiler/ 2025/ 08/ 20250808-1.htm