Comment Number: 522418-07116
Received: 7/9/2006 1:56:17 PM
Organization: Xango Distributor
Commenter: Carol Lapierre
State: IN
Subject: Business Opportunity Rule
Title: Notice of Proposed Rulemaking
CFR Citation: 16 CFR Part 437
No Attachments

Comments:

Fred & Carol Lapierre  Monday, July 10, 2006 Federal Trade Commission/Office of the Secretary, Room H-135 (Annex W) Re: Business Opportunity Rule, R511993 600 Pennsylvania Avenue, NW Washington, DC 20580 RE: Business Opportunity Rule, R511993 Dear Sir or Madam: I am writing this letter because I am concerned about the proposed Business Opportunity Rule R511993. I believe that in its presented form, it could prevent me from continuing as a Distributor with XanGo, and destroy my small business. I have been an independent home based business Distributor, in different companies over 30 years. We started our current Network Marketing business because of the product. I loved the product and wanted to earn some additional money. We are nearing retirement and with the current state of the economy felt we needed to do something to supplement our retirement income. Please don’t use this unnecessary Rule to destroy our small business!! We need it! The Heartbeat of American Business is Small Businesses, many of which are Home Based. Some of the sections in the proposed rule would make it virtually impossible for me to sell my product and operate my Home Based Business. . The waiting period will give the public the idea that there’s something wrong with our plan and it would also reflect badly on me. I also think this seven-day waiting period is totally unnecessary, because XanGo already has a 100% buyback policy for its’ single focus functional health beverage product. One of the most difficult sections of the proposed rule is the seven day waiting period to enroll a new Distributor. XanGo’s membership and sales kit only costs $35. When you compare this cost with what people pay for a lunch or dinner out, not to mention larger purchases like TVs, cars, and other items that cost much more than that and are not required to wait seven-days. Under this waiting period requirement I will need to keep very detailed records, up and above the records normally kept for a small business such as; each time I speak to someone, as a prospect, I would also have to send similar reports to my company. I am a small home business and this burden will hurt or destroy my business. This proposed rule is actually anti-small business Finally, the proposed rule requires the disclosure of a minimum of 10 prior purchasers nearest to the prospective purchaser. I am glad to provide references, but in this day of identity theft, I am very uncomfortable giving out the personal information of individuals (without their approval) to strangers. Women in my organization may be subject to sexual or racial harassment so this part can’t go in at all, unless the FTC passes an addition to this rule prohibiting sexual or racial attacks related to this disclosure. In the end the rule must bind the FTC to take direct enforcement action on sexual and racial attacks with a special unit assigned to monitor actions related to the disclosure forms. This rule will do nothing to stop those who are unscrupulous but It will hurt my business! This rule will not stop Crooks – they violate the current rule all the time. But I am a good American citizen and it will hurt me. Thank you in advance for your attention to and favorable consideration of this request. Sincerely, Fred Lapierre & Carol Lapierre Independent XanGo Distributor’s