|Received:||7/4/2006 9:18:45 AM|
|Subject:||Business Opportunity Rule|
|Title:||Notice of Proposed Rulemaking|
|CFR Citation:||16 CFR Part 437|
Comments:I have been an IBO for 3 years, I averaged around $200. per month in income last year, so far this year I have averaged $388. per month. I owned my own business (Alarmtech Corp) for nineteen years before I sold it in 1995. Since I have become an IBO I have learned so much through reading (which I hardly ever did before) and through our local meetings and the monthly seminars. Like any business, if I want to succeed, I have to make the commintment and be persistant and hang in through the rough times. This business is not a get rich quick thing, anytime a new idea comes along (only around 2% of all retail is via the Internet) many people will fight change and will embrace it only after the idea has become mainstream and products and services are lower in price. I believe that network marketing is a way for the individual to get into the distribution business and help move the market to the stores or manufacturer via the Internet and provide ourselves with lifestyle of our choosing, or to simply provide extra money for retirement (that's me). This is a very difficult business to do because it is a people business and most of us do not have the necessary people skills required, that is why we encourage all people that join us to improve their education by reading self-help books by authors like Maxwell, Swartz, Carnegie, Sanborn and so on. If this business was easy, everyone would be doing it. I explain to people that to succeed in this business there is a process you have to go through, it will take some hard work, education, persistance, staying power, good attitude, and time (5) years. Success to me is reaching the $ 1,500 to $ 2,500 average monthly income level. Of course, many people join just to have access to our shopping portal, not everyone wants to build the business. It costs around $250. to join our Team, none of that goes to the sponsor, the new IBO receives around $150. worth of food and drinks, around $51.50 goes to Quixtar for access to site, $24. to Team for personal web site, around $15.00 for leadership book, and shipping/tax. Specific Issues in regards to the proposed rule: 1. The proposed 7 day waiting period - what is wrong with using the standard form that states "you may cancel this transaction, without penalty or obligation, within three business days from the date of signature" ? This is what most other businesses use and people are accustomed to. Quixtar actually has a 6 month free return policy, including shipping on most items. 2. Prospect list of 10 other IBO's in the area - This seems like an invasion of privacy on those individuals, would you even consider an organization knowing that for the next several months you would be getting a volume of phone calls? This seems unfair, Do other business have to do this, no one I know. It is up to the individual to do his own due dilegence and make his own decisions, that is the American way, free to make our own choices. 3. Give prospects list of all lawsuits - Isn't this information part of the Freedom of Information Act? Isn't this information available to all of us now? All lawsuits are simply that, law suits, we are innocent until proven guilty. Do other business have to do this? This requirement would open up legitimant companies to false accusations and dishonest companies would ingore the rule. 4. Specific Earnings Disclosurers - Our business Plan already disclosures "average monthly gross income for 'active' IBOs." We do not give specific income statements, we give a general income potential range if they perform at certain levels, this is the only fair way to do it. 5. Personal financial documents - I don't believe that we should be required to furnish our financial records unless required by a goverrnment agency. I will tell people, if they ask, how much gross income I average over a 12 month period.