CONP12189 – Application for a Direct Selling Business Licence

Jurisdiction: Country: Canada | Province/State: Alberta

What is a CONP12189 – Application for a Direct Selling Business Licence?

This form lets you apply for a direct selling business licence in Alberta. You use it to get approval to sell to consumers away from a fixed business location. That includes sales at a customer’s home, a workplace, a hotel ballroom, or a pop-up kiosk. It also covers sales completed over the phone that start with a home visit or a temporary display. If you conclude the sale away from your usual business premises, you likely need this licence.

You typically use this form if you own or run a business that sells goods or services through in‑person outreach. Common examples include home security systems, educational packages, cosmetics, cookware, and cleaning services. You may also need it if you sign renovation or repair contracts at a customer’s home. Franchise operators and national brands use it when they deploy local field teams. Independent business owners use it when they build sales through home parties or appointment-based visits.

You need this form to lawfully carry on direct selling in Alberta. The licence is mandatory before you solicit or accept orders in a consumer’s home or at a temporary site. It confirms your business information. It records who owns and controls the business. It collects your sales staff roster. It confirms that your contracts and sales practices meet consumer rules. It also records the security you post, if required, to protect consumers.

Typical usage scenarios

• You plan to launch a door-to-door sales team.
• You rent a booth in a mall for two weeks to sell cleaning systems.
• You host in-home product demonstrations that end with order forms.
• You meet homeowners to sell yard services and ask for deposits.
• You run seasonal sales at community events and sign contracts on-site.

In each case, you are selling away from your regular business premises. That triggers the direct selling licence requirement.

If you already hold a different business licence, you may still need this one. The direct selling licence is specific to the sales method. If you sell energy products or services, other approvals may also apply. Some products have restrictions on unsolicited visits. You should confirm that your sales method fits the rules. The application helps you align your process with those rules.

Once approved, your licence will have conditions. It will have an expiry date and must be renewed. You must also register or list your salespeople under your licence. You must update the regulator when key facts change. The form is the starting point for this compliance framework.

When Would You Use a CONP12189 – Application for a Direct Selling Business Licence?

You use this form when your business plans to sell face-to-face at a consumer’s location or a temporary site. Picture a team booking appointments and closing contracts at kitchen tables. Picture brand reps signing orders at a hotel event. Picture a kiosk that collects deposits for later delivery. These are all direct selling activities. You use the application before those activities begin. You also use it when you add Alberta to your existing national program. The licence is province‑specific.

If you are a business owner hiring sales reps, you use it to license the business and register your sales staff. If you are a franchisor, you use it when opening Alberta locations that will sell away from store premises. If you are a franchisee, you may need to file separately if you contract with consumers in the field under your own legal entity. If you are an incorporated contractor who solicits work door to door, you use it before you sign contracts at the home. If you operate a pop-up retail program that takes orders and deposits, you use it as well.

You also use the form when you change your business structure. If your sole proprietorship becomes a corporation, you must apply under the new legal entity. You use it when you add or change trade names. You use it when you move your head office or change directors. In each case, the regulator must have current records. The application captures those changes.

You use the form to renew an expiring licence. The renewal process mirrors the initial application. You confirm your business details and compliance status. You update your sales staff list. You confirm your bond or other security remains valid. You pay the fee and request a new term. You must apply early to avoid lapses.

You also use the form if you had a licence suspended or cancelled and want to return to the market. In that case, you address the reasons for the prior action. You provide evidence of corrective steps. You may need to provide extra documents or accept conditions. The application is the vehicle for that review.

In short, use this form before you sell outside your fixed place of business. Use it again when your facts change. Use it to renew on time. Use it to re-enter the market after a break.

Legal Characteristics of the CONP12189 – Application for a Direct Selling Business Licence

This application is a legal filing. You submit it to obtain a statutory licence. Your statements in the form are made to a regulator under law. You confirm that the information is true and complete. You accept that false statements can lead to refusal, suspension, or prosecution. That makes the form legally significant. It is not a casual questionnaire.

The licence itself authorizes you to conduct direct selling in Alberta. Without it, you cannot lawfully solicit or accept orders in the field. Operating without a licence exposes you to fines, orders, and restitution obligations. It can also impair your ability to get licensed later. The form is the gateway to that permission. That is why accuracy matters.

What ensures enforceability?

Enforceability comes from several features. The regulator verifies your legal name, registration, and control persons. The form requires identification of owners and directors. It asks for criminal or regulatory history. It records any bankruptcies or unpaid judgments. You must disclose these facts. The regulator can check them against records. This screening protects consumers and honest businesses.

The form also addresses your sales methods. It may require a copy of your standard consumer contract. That contract must include key rights. These often include a cooling‑off period and clear cancellation instructions. The application review checks your contract for those features. If your contract lacks the required terms, your licence can be delayed or conditioned. This review supports future enforcement.

Security is another legal feature. Many direct sellers must post security. This can be a bond or irrevocable letter of credit. The security provides a pool for consumer claims if your business fails to deliver. The application records the instrument details and issuer. The regulator holds the security as a condition of the licence. If a claim arises, the regulator can draw on it under set rules. This enforceable backstop protects consumers.

You also agree to ongoing obligations. You must display your licence as required. You must ensure all salespeople are registered or listed. You must train staff on the cooling‑off and refund rules. You must keep records for a set period. You must follow telemarketing and privacy standards if you use those channels. If your facts change, you must notify the regulator within set timelines. These duties flow from the licence and the Act. Failure to comply can bring administrative action.

Finally, the regulator may impose conditions on your licence. Conditions can limit product lines, sales methods, or geographic areas. They can require extra reporting for a period. Conditions are enforceable. Breaching a condition can lead to penalties or suspension. Read your licence approval carefully. Ensure systems are in place to meet each condition.

How to Fill Out a CONP12189 – Application for a Direct Selling Business Licence

Start early.

• Gather your documents before you begin. Many delays come from missing attachments. Build a checklist for your business. Assign one person to own the filing.

Identify your applicant type.

• Confirm whether you apply as a corporation, partnership, or sole proprietorship. Use your exact legal name. Match it to your business registry record. If you use a trade name, list it. The licence will display your legal name and may list trade names. Keep both accurate to avoid confusion.

Enter your business identifiers.

• Provide your Alberta corporate access number or registration number. Add your federal business number if you have one. State your head office address and your Alberta business address. If you have no Alberta office, list your principal place of business. Provide a reliable mailing address for official notices. Use a monitored email address. You must receive and act on regulator messages.

Name your contact person.

• Assign someone who understands your operations. They will answer questions and provide documents. Include their direct phone and email. Keep this person available during review. Missed calls and emails slow the process.

List your owners, officers, and directors.

• Provide full legal names, positions, and home addresses. Provide birthdates if requested to verify identity. Disclose each person who owns or controls the business. Include partners in a partnership and members in a limited liability structure. Do not omit silent partners. The regulator cares about control and influence.

Answer the background questions.

• You will see questions about prior licences, suspensions, convictions, and bankruptcies. Read each question carefully. Answer truthfully. Provide dates and context where asked. If you have a past issue, include a brief statement and supporting documents. Show what changed since then. Transparency is better than omission.

Describe your business model.

• Explain what you sell and how you sell it. State whether you sell goods, services, or both. State whether you take deposits or full payment at the time of sale. State whether you deliver immediately or later. If you use telemarketing, disclose it. If you sell at temporary locations, explain how you set them up. This helps the regulator understand your risk profile.

Provide your sales contract and disclosures.

• Attach your standard consumer contract. It should include the required cancellation rights. It should show the cooling‑off period. It should give clear instructions on how to cancel. It should present the total price, taxes, and any fees. It should explain delivery timelines and refund terms. It should be clear and readable. Also attach any sales scripts, receipts, or notices used at the point of sale. These documents show how you comply in practice.

Detail your refund and cancellation process.

• Explain how a customer cancels within the cooling‑off period. Provide your mailing address and email used for cancellations. Explain how you process refunds and timelines. Provide sample forms or instructions you give to customers. The regulator will assess whether consumers can exercise their rights easily.

List your salespeople.

• Many direct selling models use field reps. Each rep may need to be registered or listed under your licence. Provide their full legal names and addresses as requested. Keep this list current. Some programs require an ID card for each salesperson. Plan your onboarding to include that step. If you will add staff after approval, explain your plan to register them before they sell.

Provide your training plan.

• Summarize how you train staff on consumer rights and your policies. Name the topics covered, such as cancellation rights, identity verification, and complaint handling. Provide materials if asked. A strong training plan supports your application and reduces risk.

Address your security.

• If your category requires security, attach the bond or letter of credit. Ensure it meets format, issuer, and amount requirements. Name the beneficiary correctly. Align the issuer’s wording with required terms. Track the expiry date and renewal cycle. The regulator will place the security on file. Maintain it for the full licence term.

Disclose any trust account.

• If you hold deposits before delivery, you may need a trust account. Provide the institution name, branch, and account number. Provide a letter from the bank confirming trust terms if required. Explain how you reconcile the account. Describe controls that prevent misuse. Good controls build confidence.

Confirm your insurance.

• While not always required, general liability insurance is prudent. If the form asks, attach proof. Ensure your policy covers your direct selling activities. Include product liability if you sell goods. Include completed operations if you provide services. Check territorial coverage for Alberta.

Describe your complaint process.

• Explain how customers file complaints. Provide the email and phone number used for the process. Describe your response timelines. Explain how you escalate unresolved issues. This demonstrates your consumer focus. It supports compliance and licence conditions.

Complete the declarations and consents.

• You will see a declaration that the information is true. In some cases, an authorized signing officer must sign. If you are a corporation, a director or officer should sign. If you are a partnership, a partner should sign. If you are a sole proprietor, you sign. Do not delegate this to a salesperson. The signer accepts legal responsibility for the filing.

Attach identification if requested.

• Some applications require government-issued photo ID for key persons. Follow the identity verification steps. Provide clear, legible scans. Match names exactly to the application fields.

Calculate and pay the fees.

• There is an application fee for the business licence. There may be a fee per salesperson registration. Confirm the total before you pay. Pay using an accepted method. Record the receipt number. Keep proof of payment with your file.

Submit the application.

• Review all fields before you send. Check names, addresses, and dates for accuracy. Check that all attachments are included. Keep a copy of everything you submit. If you file online, download the confirmation page. If you mail or deliver, get a receipt.

Respond to follow-up requests.

• The reviewer may ask for clarifications or more documents. Reply quickly. Provide clear answers and organized attachments. If an item will take time to gather, tell them when you will send it. Keep communication professional and precise.

Prepare for conditions.

• Your licence may include conditions. Read them and implement controls. Train staff on conditions that affect sales. Update scripts and forms as needed. Document your changes. Be ready to show evidence if audited.

After approval, display your licence as required.

• Keep a copy at your head office. If you must show it to customers, ensure salespeople can present it. If identification cards are issued, ensure every salesperson carries one while selling.

Register new sales staff before they sell.

• Build this into your hiring process. Remove departed staff from your roster quickly. Keep your roster aligned with reality. Regulators check this during inspections.

Update the regulator when facts change.

• Report changes in ownership, directors, business address, or trade names. Report changes in bonding or trust accounts. Report changes in product lines if they affect risk or conditions. Do this within the required timelines.

Renew on time.

• Track your expiry date. Start your renewal at least 30 days before expiry. Confirm your security and contracts are current. Update your sales staff list. Pay the renewal fees. Avoid any lapse in authority.

Keep records.

• Maintain copies of contracts, notices, receipts, and cancellations. Keep training records and complaint logs. Retain records for the required period. Good records support compliance and dispute resolution.

Plan for special product rules.

• Some products have extra restrictions on in‑home sales. Some require extra disclosures. If you sell those products, adjust your process. Include any extra forms or notices with your application if asked. Show that your model respects those rules.

If you sell in multiple provinces, separate your compliance.

• Alberta’s licence is distinct. Tailor your contracts and training to Alberta’s rules. Keep province‑specific documents organized. Ensure your field teams understand where they are selling and which rules apply.

Build a compliance calendar.

• Track key dates for your licence, bond, insurance, and trust account. Track training refreshers and contract reviews. Assign responsibility for each task. Use reminders. This reduces risk and keeps your licence in good standing.

If your application is refused, read the reasons.

• Fix the issues and reapply when ready. If allowed, you can ask for a review. Provide clear, factual submissions. Show how you will manage risk going forward.

If you decide to stop direct selling, wind down properly.

• Cease sales in the field. Resolve open orders and refunds. Notify the regulator and surrender the licence if required. Release security when permitted. Keep records for the retention period.

Filling this form is manageable with preparation.

• Focus on accuracy. Show how you protect consumers. Set up processes you can maintain. That approach gets you licensed and keeps you licensed.

Legal Terms You Might Encounter

• Direct selling: This means selling goods or services away from a fixed retail location, such as at a consumer’s home or workplace. CONP12189 applies when you use this model in Alberta. If your sales reps solicit or conclude sales off-site, you are in direct selling.
• Business licence: This is the authorization you need before you solicit or sell as a direct seller in Alberta. CONP12189 is the application to obtain that licence. Without this licence, you should not start direct selling activities in the province.
• Salesperson: A salesperson is an individual who solicits or negotiates sales on your behalf. The form may require you to list these people. You must keep this list accurate. If a salesperson leaves or joins, you may need to update or amend your licence details.
• Trade name: This is the name the public sees, which may differ from your legal name. CONP12189 asks for both your legal entity name and any trade names you use. Make sure your trade name is properly registered and matches how you market your business.
• Corporate registration number: This is the identifier issued when your company registers. On CONP12189, you’ll enter this number to prove your legal status. If you operate as a sole proprietor or partnership, you’ll provide the relevant registration details instead.
• Agent for service (Alberta address for service): If your head office is outside Alberta, you may need a local address to receive official documents. CONP12189 asks for this to ensure the regulator can reach you. Choose a reliable address monitored during business hours.
• Security (bond): Some direct sellers must post a financial security. The form may ask about a bond or other security you hold for consumer protection. If security is required, you’ll attach proof. Keep the security current or your licence could be at risk.
• Trust account: In some situations, you may need to deposit consumer funds into a separate account until delivery or other conditions are met. The form may ask if you operate a trust account. If you do, you’ll provide details and maintain strict records.
• Cooling-off period: Consumers often have the right to cancel a direct sales contract within a set time. CONP12189 may ask how you inform consumers of cancellation rights. Your contracts and receipts should clearly show these rights.
• Material change: This is any significant change in your business that affects your licence details, such as ownership changes, a new trade name, or a different product line. If a material change occurs, you may need to file an amendment rather than a new application. CONP12189 collects baseline facts you must keep current.

FAQs

Do you need a direct selling licence if you only sell online?

If you only sell through a website and do not solicit or conclude sales off-site, you may not be doing direct selling. If you or your reps visit consumers or sell away from your business location, you likely need the licence. Review your sales model carefully. If any part involves in-person solicitation or off-site contracts in Alberta, complete CONP12189 before operating.

Do independent contractors need to be listed on the form?

Yes, if they solicit or negotiate sales for you. CONP12189 typically asks for the names of salespeople who act on your behalf, whether they are employees or contractors. Keep this list current. If contractors change often, set a routine to update the regulator promptly.

Do you need to post a bond to get licensed?

Many direct sellers must hold security, often in the form of a bond. Whether you need one depends on your business model, the nature of your products or services, and how you take payment. CONP12189 will indicate if security is required and what proof to provide. If a bond is required, arrange it before you file to avoid delays.

How long does the application take to process?

Timelines vary by volume and completeness. A full, accurate CONP12189 with correct attachments usually moves faster. Incomplete forms trigger back-and-forth requests that extend the wait. Build in a buffer of at least a few weeks. Do not start direct selling until you have the licence in hand.

Do you need a criminal record check to apply?

You may be asked for background information about owners, partners, or directors. In some cases, the regulator may request a criminal record check or other due diligence documents. If asked, respond quickly. Have government-issued ID and corporate records ready so you can supply details without delay.

Do out-of-province businesses need an Alberta address?

Yes, if you are based outside Alberta, you generally need an Alberta address for service. CONP12189 will ask for it. Choose an address where someone can reliably receive official notices. A missed notice can lead to penalties or missed deadlines.

Can you use more than one trade name?

Yes, but list each trade name you use in Alberta. CONP12189 collects trade names because your licence must align with your marketplace identity. If you add a new trade name later, file an amendment within the required time frame.

Do you need to renew the licence?

Yes. Direct selling licences expire and must be renewed before the expiry date on the licence certificate. Set reminders at least 60 days before expiry. When renewing, confirm your trade names, salespeople, security, and address for service are still correct, and update anything that changed.

Checklist: Before, During, and After the CONP12189 – Application for a Direct Selling Business Licence

Before signing: Information and documents you’ll need

• Legal entity details: exact legal name, ownership structure, and corporate registration number.
• Trade names: every name you use in Alberta marketing or contracts.
• Physical addresses: head office, Alberta operating location(s), and Alberta address for service (if out-of-province).
• Contact details: phone numbers, email addresses, and primary contact person.
• Business model summary: where and how you solicit sales, how you accept payment, and delivery timelines.
• Product or service list: clear description of what you sell in Alberta.
• Salespeople roster: full names and roles of individuals who will solicit or negotiate sales for you.
• Security (bond) documentation: proof of security if the form indicates it is required; include bond number and issuer.
• Trust account info: institution, account number, and signatories if you handle prepaid funds in trust.
• Consumer contract samples: standard forms with cooling-off disclosures and cancellation instructions.
• Compliance history: any past suspensions, penalties, or licence denials relevant to your business or owners.
• Government-issued ID: for authorized signing officer(s), if the form asks for verification.
• Payment method: correct fee amount and acceptable payment type.
• Internal policies: complaint handling, refund timelines, record retention, and salesperson supervision.

During signing: Sections to verify carefully

• Legal name vs. trade name: ensure each field is correct and uses consistent spelling.
• Registration numbers: confirm digits and suffixes; transcription errors cause delays.
• Alberta address for service: verify it’s staffed and able to receive official mail.
• Salespeople list: include all individuals who will solicit; add start dates if requested.
• Bond or security details: match the exact legal name and coverage noted in the form.
• Trust account details: confirm the account is active and designated for consumer funds.
• Product and service description: be specific and accurate; avoid vague categories.
• Declarations: truthfulness statements and compliance confirmations must be checked and initialed if required.
• Signature blocks: signed by an authorized signing officer, with printed name, title, and date.
• Attachments: bond certificates, contract samples, identification, and any extra schedules; label each attachment clearly.
• Fee: confirm amount and payment method; include proof of payment if required.

After signing: Filing, notifying, and storing

• File the package: submit CONP12189 and all attachments through the accepted channel (mail, in-person, or online, if available).
• Keep proof: retain courier tracking, submission confirmations, and payment receipts.
• Monitor for notices: watch the email and mail addresses you listed for deficiency letters or approval.
• Do not sell yet: wait for the licence certificate before starting or resuming direct selling.
• Store records: keep a clean, dated copy of the full application and all attachments.
• Train your team: brief salespeople on licence conditions, cooling-off rules, and receipt requirements.
• Post and carry: post the licence at your business location and ensure salespeople carry proof of the licence if required.
• Update systems: add the licence number to contracts, receipts, and marketing where appropriate.
• Diary renewal: set reminders 60, 30, and 10 days before expiry.
• Plan amendments: if ownership, trade names, salespeople, or products change, file an amendment within the required timeframe.

Common Mistakes to Avoid

Missing or mismatched trade names

• Consequence: The regulator may refuse or return your application. You may be barred from using an unlisted name. Don’t forget to include every trade name you use, and register new names before you file.

Starting sales before the licence is issued

• Consequence: You risk penalties, orders to stop, and reputational damage. Wait for the licence approval notice. Don’t schedule sales events until you have the certificate.

Omitting salespeople or using unlisted reps

• Consequence: Your licence can be limited or suspended. Sales made by unlisted reps may be non-compliant. Keep your roster current and file updates as people join or leave.

Not providing required security

• Consequence: Your application stalls, or your licence is denied. If security is required, arrange the bond early. Don’t let bond coverage lapse during the licence term.

Incorrect or outdated address for service

• Consequence: You can miss official notices and deadlines. This leads to fines or suspension. Use a reliable Alberta address and update it immediately if it changes.

What to Do After Filling Out the Form

1. Submit CONP12189 with all attachments and the fee using the accepted submission method. Keep a full copy of what you filed and proof of delivery or online submission.
2. Hold off on direct selling until your licence certificate arrives. When approved, review the certificate for accuracy. Check legal name, trade names, and expiry date. If something is wrong, request a correction right away.
3. Add your licence number to any documents where it should appear. Update customer receipts, contracts, and sales scripts to include required disclosures. Train your sales team on how to explain cooling-off rights and cancellation steps.
4. If you operate with a bond or trust account, maintain records that prove compliance. Reconcile trust accounts regularly. Keep bond documents current and note renewal dates.
5. Create a change-management process. If you add a new trade name, appoint a new director, enter a new product line, or change your Alberta address for service, file an amendment promptly. Use the same care you used for the original application: clear details, correct attachments, and signatures.
6. Track your renewal date. Start the renewal process well before expiry to avoid a gap. Confirm salespeople lists, product descriptions, and security details as part of renewal housekeeping.
7. Keep all licence-related records organized for quick retrieval. Store your approved licence certificate, application copies, bond documents, trust account statements, contract templates, and complaints log. A tidy compliance file helps if the regulator asks for information.
8. Build a consumer complaint path. A simple, documented process to receive, log, and resolve complaints reduces risk. It also shows you take consumer protection seriously.
9. Set periodic internal audits. Quarterly checks ensure your team uses the right contracts, gives proper receipts, and follows cancellation rules. Correct issues before they escalate.
10. If you stop direct selling in Alberta, plan an orderly wrap-up. Notify the regulator if required, settle outstanding consumer obligations, and maintain records for the retention period.