| Comment Number: | 522418-11705 |
| Received: | 7/17/2006 2:38:38 PM |
| Organization: | Quixtar, Inc |
| Commenter: | Geoffrey Rich |
| State: | MN |
| Subject: | Business Opportunity Rule |
| Title: | Notice of Proposed Rulemaking |
| CFR Citation: | 16 CFR Part 437 |
| Attachment: | 522418-11705.pdf Download Adobe Reader |
Comments:
I have been running my independent business powered by Quixtar for several years now. During this time, the organization has proven to be a legitimate, successful company which provides its’ business owners a great opportunity to capitalize on the E-Commerce industry. From this perspective, I have a few responses to the proposed Federal Trade Commission rules regarding certain types of Multi –Level marketing businesses. First, I do not believe a prospect should have to wait seven days to register in business. The E-Commerce industry is fast-moving, and this rule would limit not only the sponsor in business, but the prospect. In most situations, in seven days most prospects could be already earning income. In my situation, I registered myself in business the same day I was presented the business plan, and was given enough information to make this informed decision right away. By creating this “waiting period”, it limits a prospects’ ability to create fast business. Next, the requirement to provide references. I do not believe we should be required to provide other references to prospects in business, simply because our prospects already have the chance to meet the entire business team at our weekly meetings. This would create unnecessary time constraints on business owners as well as the business team we are associated with. I also do not believe we should be required to give our home addresses to prospects. This infringes our privacy; and although we own a home based business, most of our meetings do not occur at my house. Giving out this information to random people would infringe on this privacy. Last, although I have no problem disclosing how much I earn in the business to prospects, there should not be a regulation for this. We should also not be required to disclose the “average earnings” for other business owners. For example, the “average” grade in a university or high school is a “C”. This is by no means a good grade, or what I would achieve in school. It should not be any different in business. The average Business Owner does not even break even, but I would say I am not part of an “average” organization, but an excellent one. By disclosing this information, we would be degrading our business team to an “average” comparison, rather than an “excellent” one. Although I definitely see the need to protect prospective business owners from illegal or fraudelant businesses in this category, we cannot harm the legitimate businesses in the process. Because the Quixtar Inc Business opportunity provides a legitimate, growing business opportunity, having these regulations go into effect would greatly harm our earning capability and business growth.