|Received:||6/27/2006 2:41:46 PM|
|Subject:||Business Opportunity Rule|
|Title:||Notice of Proposed Rulemaking|
|CFR Citation:||16 CFR Part 437|
Comments:I understand the need for some regulation to stop the fly-by-night operations, but you will be needlessly crippling the wholesale industry by requiring these proposed rules. No one will want to be a wholesale supplier if you have to give out so much information to your distributors. For one thing, some distributors might not be paying the same prices and stop wanting to be a distributor with your company because of that. There are many reasons you would not want your distributors to have personal information about eachother. The most important one being the horrible breach of privacy. You will leave these people wide open to those who will sign up to be a distributor just so they can get information on your clients to try and scam them. I don't see a reason to disclose how much you have earned to your distributors as well. Statistics are one thing, but you want actual numbers. Realistically the only information they should want or need to know about is how much established businesses in the same industry have made within the first 1-2 years of operation and how much money others in the same industry are currently making to get some idea of how well they could do.