Comment Number: 522418-09427
Received: 7/14/2006 2:27:55 PM
Organization: Arbonne International
Commenter: Erin Martin
State: TX
Subject: Business Opportunity Rule
Title: Notice of Proposed Rulemaking
CFR Citation: 16 CFR Part 437
No Attachments

Comments:

Erin Martin   July 14, 2006 Dear Sir or Madam: I am writing this letter because I am very concerned about the proposed Business Opportunity Rule R511993. After reviewing it many times, I am concerned that if it is passed as it is, it may prevent me from continuing as an Arbonne Independent Consultant. I understand that it is part of the FTC’s responsibility to the American public to protect us all from “unfair and deceptive acts or practices,” but some areas of the proposed rule will make it very difficult, if not impossible, for me to sell Arbonne products and sponsor people into the business. One of the most confusing and restrictive sections of the proposed rule is the 7-day waiting period to sign up new Consultants. Not only do the Arbonne Starter Kits cost a nominal amount of money, the proposed waiting period gives the impression that there might be something wrong with the Arbonne Opportunity. Under this waiting period requirement, I will need to keep very detailed records when I first speak to someone about Arbonne and keep track of when to follow up. One of the key elements to my success in this business has been capturing the enthusiasm and immediate results prospects experience with the Arbonne products; the waiting period would potentially limit my ability to grow my business. The proposed rule also calls for the release of any information regarding lawsuits involving misrepresentation, or unfair or deceptive practices. It does not matter if the company was found innocent. A lawsuit may incorrectly imply wrongdoing and it seems unfair to disclose lawsuit information unless Arbonne has been found guilty of something. I fear being penalized by the impression a lawsuit would leave, even if I have done nothing wrong. Finally, the proposed rule requires the disclosure of a minimum of 10 prior Independent consultants nearest to the prospective Consultant. I am glad to provide references, but identity theft is a reality we live with in today’s world and I am very uncomfortable with giving out personal information about individuals, without their permission or knowledge, to strangers. Also, sharing this information could damage the business relationship of references with those involved in other companies or businesses, or provide an unfair advantage to competitors. In order to get the proposed list of 10 prior Independent Consultants, I would need to send the address of a prospect to the Arbonne corporate office in California and then wait for the list. The proposed rule also includes the language, “If you buy a business opportunity form the seller, your contact information can be disclosed in the future to other buyers” and prospects will be understandable concerned about their privacy. I would find it an invasion of privacy to disclose personal data, for my business purposes. I have been an Arbonne Independent Consultant for almost 2 years. I am much better off now then I was back then. I have more freedom to conduct my life on my terms, but it wasn’t always that way. Please take the time to read about my family in the short story below. Almost 5 years ago my middle child was diagnosed with Cystic Fibrosis, a lung and pancreas disease. My husband and I were shocked and devastated by the news. We were determined to get her the very best medical care at any cost personal or financial. So we decided to move to the suburbs of Houston and start our lives over. We knew it would be difficult, but one of the very best CF Clinics worldwide was there and not moving wasn’t an option for us. My husband continued to work in the automobile industry for about a year after the move before starting a business from our home in hopes of providing a better future for the family with a flexible schedule. As sometimes happens in life, our plans fell apart and we found ourselves without any income for about a year. That’s when I went back into the work force, but it was not as easy as just getting a job. Although I have a business degree, I had been a stay-at-home mom for 8 years tending to the children in the traditional roles. Now I was faced with almost overwhelming odds. I had to find a job to pay the bills that still allowed me to be at home with my children especially my daughter who has special medical needs. I ended up working at a preschool to put my youngest child in school and selling food products with a network marketing company. I wanted to feed my family and keep my little boy in school. I worked very hard for very little money and didn’t come close to paying the bills. Then one conversation with my neighbor changed my life forever. I found Arbonne! My neighbor, Linda Parker, told me that it’s only $29 to get started and that by hosting group presentations and sponsoring people into the business that I could work my way to the top of Arbonne just like she did. She made it very clear to me that my success is solely based on my determination and there were no guarantees. I would have been skeptical but she told me upfront I would have to work hard and that this is not a “get rich quick or a pyramid”. This is a legitimate home based business opportunity with an incredible company. I used the products and loved them. They really worked and my skin looked better than it had in years. Over time, my acne cleared up and I started using the Anti-Aging line. I love the way my skin glows and just has an overall healthy look to it. I fell in love with the products and the opportunity to share them with others looking for a more natural approach to their health and wellness needs. Since what I was doing wasn’t working and since she said she would train me, I went for it. What did I have to lose? I worked very hard for 12 full months, 7 days a week. I don’t know how many hours a day I worked because I was fortunate enough to work THIS job from home! I worked around my kid’s schedules and around Allie Kay’s appointments and times of illness. It was fantastic because putting my daughter in a day care or after school program is not an option for her. She has a decreased immune system as a result of the CF and it is not a good way to keep her healthy. You see it’s a circle. I get a corporate job, Allie Kay goes in day care, she gets ill, I take of work, again and again and again, and then I get fired. With the cost of daycare, nobody wins in fact we all lose especially her. After a year in the business, I was eligible for the Mercedes-Benz Car Program. I desperately needed a new car and love my Mercedes compliments of Arbonne. Every month I earn a bonus that actually pays my lease. It’s wonderful. Alongside of the car, I am able to make an impact on the monthly budget. I know that I will never be out of work, fired, or laid off because I am in control of my home based business. My success or failure is completely based on my effort and determination to support my family. It’s been almost 2 years now and my business continues to grow. The best thing about my job is that I get to help others see the big picture. You don’t get paid a lot at first, but like any other business, once you are more established, start team building, and experiencing success, your little check can turn into substantial income. It’s the American Dream and it’s something anyone can do. It doesn’t cost but $29 to get the starter kit and your sponsor helps shows you the simple presentations. We work very hard doing simple work. I love it because if you can read, you can be a success in this business as long as you are willing to do the work. I now have 8 people direct to me building their own business. They have people building their own business direct to them. I have heard their stories and they all have to do with family. Everyone building a business on my team is doing it to either stay home with their children or hoping to be secure in this business and then have children. Most of us want to give our spouses better career options to have more family time. Arbonne is not only about incredible products that really do what they claim to do, but also about bringing families together. Please consider the multitude of us in direct selling that rely on Network Marketing to support our families when you draw your final conclusions about this rule. Remember that most families where I live do have someone in a Network Marketing company and for us, it is a way to keep families together while continuing to provide financial security. The fundamental needs of my family are met because of my job. When I say fundamental, I mean the basics in life that we all should be able to attain in this country. We have food on the table and get to eat together as a family EVERY night, a nice, safe place to live, we go on family vacations, and we are paying off debt. We are more confident in the future for us and our children. Our quality of life has improved thanks to the Arbonne Opportunity. Life is fun again and our children are happy and healthy! I hope you understand how this opportunity has changed my life and the lives of so many other families. I truly appreciate the work of the FTC in protecting consumers, but I believe this proposed new rule would have many detrimental (and unintentional) consequences and I hope there are alternative means to resolving the outstanding issues at hand, without harming the livelihood of millions of successful network marketers, like me. Thank you for taking the time to read my letter and for your consideration, Sincerely, Erin Martin