|Received:||6/28/2006 12:06:02 PM|
|Subject:||Business Opportunity Rule|
|Title:||Notice of Proposed Rulemaking|
|CFR Citation:||16 CFR Part 437|
Comments:Dear Sir/Ma'am, I have been both an Amway and a Quixtar Distributor for the past 15 years. The Quixtar opportunity has provided vital income to my family for most of that time. We have battled the negative media, the negative on the internet, and public perception during that time. When I registered, I was provided a disclosure statement which told me the average income of active Independent Business Owners (IBOs). I was also told that there was a money back guarantee for the startup, I was informed that any and all educational materials were strictly voluntary, and that I would be provided with help in building my business. All of these were true and I have always given the same information to my prospects. I always inform any prospects that I have that the Quixtar opportunity is not a get-rich-quick scheme, and that it requires time and real effort, but the rewards are potentially greater than the normal job. I stress the fact that there are no guarantees, and that each distributor's income is based upon their willingness to work. When I sign up a new distributor I let them know that the startup costs is approximately $175 to register with Quixtar and that it is refundable if they change their mind. I let them know that there are optional educational materials that they can purchase when they start and that I recommend our monthly educational program. I let them know that it will cost them approximately $2000 per year to build their business, for educational CDs, books, and meetings. If prospects are required to wait 7 days prior to registering, this would place an undue burden on many of us. Many times we drive long distances to share the business opportunity with prospects. If we have to make second trips to get them started, the cost alone would be unbearable for many of us with large families, let alone the time it would require. I can see no benefit, especially since Quixtar provides a money back guarantee for the signup. I believe this rule alone would severely hurt our income from business growth. If each person had to wait an additional 7 days to register family and friends that were interested, their immediate income potential would be nil. As for the rule of giving them 10 IBOs for reference, I don't know any IBO who has the time to answer questions from numerous prospects whom they have no financial interest in. Would you want to answer the questions of several hundred people per year? I have 6 kids at home and have enough questions from them and my own organization. Not to mention the fact that unscrupulous IBOs (unfortunately they do exist) might try to steal your prospect. Prospects have ample opportunities to meet other IBOs and to quiz them on their experiences at our group meetings. At the end of each business presentation, we give a financial disclosure form stating the average monthly gross income of active IBOs. If we are required to give a financial disclosure form for every example we give, this would be an impossibility to keep up with and would limit our ability to even give realistic examples. Financial Substantiation? There are approximately 37 ways of creating income in our business. In order to substantiate every income I make, it would require opening up my bank accounts, tax records, and all other personal financial information to complete strangers. How would you like to allow total strangers access to your financial records? When I share the business opportunity I give approximate earnings over my 15 years, how do I substantiate that? This would totally violate our privacy and potential open us up to unscrupulous individuals. This business has been good to me and my family. I still have 6 children at home and a year ago I lost my job as a Senior Engineer working for the government. If it had not been for the income I have from the Quixtar business, I would be destitute. I beg of you to not destroy our income through unnecessary regulation.