Top Ten Trade Issues For Direct Sellers Doing Business In Canada

Direct sellers (also known as network sellers) enter the lucrative Canadian market, often without asking questions about whether there are any Canadian laws that apply to the import of goods into or sale of the goods in Canada. Canadians sign up as independent sales contractors and start to build their sales networks before all questions are asked and answers are received about compliance with Canadian laws.  As a result, many direct sellers sell to Canadian consumers and are not in compliance with Canadian laws.  Often sales to Canadian consumers increase exponentially and compliance with Canadian laws is not addressed before audits commence.  What this means is that successful businesses may face significant assessments and must pay penalties and interest adding to the cost of non-compliance.  Sometimes, there is publicity on social media concerning the non-compliance, which has a negative impact on the reputation of the direct seller.