| Comment Number: | 522418-11968 |
| Received: | 7/17/2006 5:06:39 PM |
| Organization: | XanGo Inc. |
| Commenter: | Helen Bromert |
| State: | AZ |
| Subject: | Business Opportunity Rule |
| Title: | Notice of Proposed Rulemaking |
| CFR Citation: | 16 CFR Part 437 |
| No Attachments |
Comments:
Re: Business Opportunity Rule R511993 Dear Sirs: I am writing to comment on the above proposed Rule. I do appreciate the fact that this Rule is aimed at the fraudulent "opportunity" businesses that prey on unsuspecting consumers; however, as it now stands, I'm concerned that it will hurt the legitimate direct selling businesses even more. I just started my business two months ago at a cost of only $35.00 for the distributor kit, and the training I'm getting is beyond my expectations. It's helping me grow as a person and building my self-conficence. I've always been shy and reticent and have never considered myself as a salesperson. My sponsor is always ready to help me or to refer me to someone else in the company who can help or answer my questions. I am also retired and just barely getting by on my Social Security and pension (I have no savings). I see this business as an opportunity to earn more money to enhance my quality of life. The problems with this Rule as it stands are that the seven-day waiting period before someone can sign up for the business will likely "cool" that person, make them suspicious and they will miss out on a legitimate business opportunity. Also that period could be drawn out even further by the requirement of getting the required data together to give to the prospect and finding the "ten nearest existing sales people" to them (which also brings up the problems of privacy and safety - anyone can use this information any way they want). Also, salesmen for unscrupulous businesses can just "make up" any information required and "plant" associates as sales people who are near their prospects. I hope these comments are helpful to you. I know you are just trying to protect people from fraudulent schemes, but if this Rule is adopted it will hurt the whole direct sales industry, as well as my chances to get my business off the ground and improve my life. Sincerely, Helen M. Bromert Payson,