Comment Number: 522418-11009
Received: 7/17/2006 12:56:10 AM
Organization:
Commenter: C. Pickelsimer
State: IL
Subject: Business Opportunity Rule
Title: Notice of Proposed Rulemaking
CFR Citation: 16 CFR Part 437
No Attachments

Comments:

Since August 2001 I have been a Quixtar IBO (Independent Business Owner). For at least 18 of the years between 1975 and the year 2001 I was an Amway Distributor. Further, since 1975 I have consistently used Amway-manufactured products ; and, since September of 2005 have also found it very convenient to do at least 75% of my non-food shopping through my Quixtar business and from Quixtar partner stores. During all of this time, the highest level I ever achieved in my business was the 15% bonus level; I am currently averaging 6%. with bonuses of $40-$161 a month. And yet, I am a firm believer in the positive value of the Amway, and now Quixtar, role in lives. Further, I know that the only reason I have not achieved higher levels and greater income from my business is because I have not yet made the commitment necessary to building a highly profitable business. However, after 31 years of association with, studying; and learning more and more about the business, about many of the people in the business, and about the Amway/Quixtar/Alticor business family, I will always want to be a part of it. I do know that I can earn just about any amount of money I desire, if (and when) I am willing to regularly, consistenltly do the business-building work. However, (as I have heard said by others in this business!) even if I never made a dime in this business, I would be in it for the people! More than in any other venue, I have met so many fine, uplifting people--positive people, caring people, people who are there when you need them; the kind of people I want influencing my son and my life; people, even, who have been role models and such wonderful influences on me that I have quite literally become a much better person because of my association with them. As to your proposed Rule changes/additions: As I read your proposed Rule right now, several unnecessary burdens could be placed on the fledgling IBO which can actually hinder legitimate business-building efforts during the earliest, most vulnerable and most difficult time for any business, the startup. I suggest any income disclosures be clear, simple, and standardized, and must apply to all direct sellers. I suggest a reasonable cancellation and refund policy pretty much obviates the need for the proposed waiting period; that the waiting period can actually be injurious and especially burdensome to the person offering a legitimate business opportunity. In fact, the cancellation and refund policy allows the prospects to actually experience for themselves the business-building process, as well as to determine their own belief and/or commitment; and to change their mind if they so choose. As to requiring IBO references: the IBO who first put in the time and effort necessary to making the business opportunity invitation and offer/presentation then must hand a list of "references" to their prospect, who could then (with their very limited understanding of the business at that point) decide they'd rather join the business of someone who has been in the business longer than the newer person who thought enough of them to make the original effort and offer. Further, and especially as a woman, I seriously resent the fact that you suggest we allow our names and telephone numbers to be handed out (as "references") by people wo don't know to people we don't know. Are you also preparing procedures for handling of the potentially very serious consequences that could result from the necessity that people's names and phone numbers be passed out by strangers to strangers?! (Sorry, but I personally think this is a very thoughtless--even dumb--proposal) Lastly, since it is a fact that anyone can file a lawsuit against anyone--whether or not there was actual wrongdoing--how about simply encouraging people considering a business opportunity to practice the same due diligence they would about any business they were considering becoming involved with?!