| Comment Number: | 522418-05675 |
| Received: | 7/2/2006 11:50:49 PM |
| Organization: | Quixtar affiliate - TEAM |
| Commenter: | Scott Schrock |
| State: | OH |
| Subject: | Business Opportunity Rule |
| Title: | Notice of Proposed Rulemaking |
| CFR Citation: | 16 CFR Part 437 |
| No Attachments |
Comments:
We have been IBO's for almost four years now. This business has given us the opportunity to have Melissa stay home with our two children, and there is no price that I could set to explain to you how much that means to us. We are definetly very commited and loyal business owners. One of the best parts of this business is the deep and true friends that we have found and developed, once again a non-measurable value. We got into the business not knowing a whole lot about it. Frankly, at the time I didn't care. For the price of a softball bat, it sounded like fun. I was told that I could join, but I would never make significant income until I became a leader, which is definetly true. I always explain to propects that this isn't for everyone, and it is going to take some hard work for a couple of years to win. It costs roughly $260 to join our team with our recommended sign-up procedure, all of which is refundable within 30 days, $165 refundable within 180 days. I wanted to address some of my concerns with the proposed rule. First, I think that the ideas are very well intentioned, but I fear that they may not play out the way they were designed. Doesn't it make sense that any business with no integrity will not pay attention to a rule anyway if they trying to take advantage of people? And looking at the scope of the requirements, doesn't it seem like it would put many extra burdens on the people who are trying to build solid businesses? Given that, it may actually create less legitimate opportunities for people to be part of instead of more. Here are my biggest concerns: I feel like the seven day waiting period may give the prospect time to evaluate the information, but would cause a lot of new people to lose most of their excitement and drive before I can really help them. We always give the prospect as much information as they want, and refuse to make any claims or statements that we can't back up. To have to wait a week for each person added would be like pouring water on charcoal before trying to light it. We personally don't make any claims about our income, period. If someone can't look into my eyes and see that I am there to help them, they don't trust me yet and wouldn't join anyhow. I may say a statement like this, "it makes a big difference when you start getting enough money every month to cover a house payment and a couple of car payments!" I feel like I can specifically mention that because it happened to us although I don't specifically claim it. We always try to get prospects around our team as soon as possible, in fact we usually are promoting the next event to them at the very first meeting. One of the critical components of building successful networks is not being "the man", but letting other IBO's share their experiences to build belief in my prospect. To legislate a referral list seems to be a distraction at best, and invasion of privacy at worst. As far as income potential claims, I have found it best to undersell. We give them a couple of examples, and back them up with the SA-4400 before registration. To get bogged down in numbers and figures would take away from the relationship that I am trying to develop with them. Many propects get confused at the very basic example in the SA-4400, so more numbers wouldn't help them decide. As you well know, the most successful companies have the most critics. Wouldn't deluging someone, who may not have much experience in business, with litigation reports just discourage them from trying anything? It comes down to the fact that you can't legislate integrity. Fortunately in our free market economy, illegitimate business gets voted out by the lack of success they will eventually have, while business done right can flourish. Please allow us to reach for dreams and serve our teams with the wind at our back and not in our face. This country needs more people encouraged to win and achieve, not more messages of mistrust and hopelessness.