Multi-level marketing (MLM) software, also referred to as direct selling software or party plan software, facilitates the operational aspects of direct sales companies and their distributors throughout the sales and marketing processes. Multi-level marketing constitutes a form of network marketing wherein autonomous distributors earn compensation for selling a company’s products or services directly to consumers. Commonly marketed products within MLMs encompass cosmetics, health foods, and household goods. Within the MLM framework, distributors are prompted to enlist new distributors from their personal connections, forming what is termed their "downline." Compensation within this structure is twofold: distributors earn from their own direct sales and additionally receive commissions based on the sales generated by their downline. While multi-level marketing remains a legal business model, certain MLM enterprises have been labeled as pyramid schemes. Notably, pyramid schemes are unlawful in numerous jurisdictions, including but not limited to the United States, Canada, the United Kingdom, India, and Australia.

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