Business Opportunity Rule #522418-11801

Submission Number:
Gregory Johnson
Initiative Name:
Business Opportunity Rule
I am writing to comment on the proposed Business Opportunity Rule. I have been an Independent Business Owner first dealing with Amway and now Quixtar for 27 yrs. Being a business owner and operating a business I have worked hard to build, I support and applaud your efforts to stop fraudulent scams. In fact it makes it more difficult for me when speaking to potential business prospects when they have been taken by a scam. I work hard to identify the people with the qualities it takes to succeed in business and try to work with people who I feel can be successful. To this end I not only explain my business as clearly as possible and give them information so they can do their due diligence, I let them know this takes work, and that the income they can earn depends in great part to their willingness to learn and work hard and if they are not willing to do so this may not be for them. When I start a new person it takes a great deal of time and commitment on my part to assist them, not just in the begining but for the duration. To this end I believe it is important for both parties to understand not only the business potential, but also that there are no guarantees and there is risk for both of us and effort involved. I do believe that some of the proposed requirements do not assist but can even deter the prospect from getting proper information to make an informed decicion. In addition the proposed requirements can make it overwhelming for both the prospect and business owner. I believe the 7day wait in our case is unnecessary as we have a buy back policy for both products and business support materials if not satisfied. References can be deceptive and those with scams will always have glowing references. Because many people in our business operate their business in addition to their job this would be an overwhelming burden. I believe any company of significant size, college, or govt agency in this country has pending or past litigation. Providing people with a list of lawsuits to make a decision would stop anyone from taking any job, going to college or trusting any govt agency. Anyone can file a lawsuit and even settle without a legitimate wrong. When we show our business plan we are showing examples of earnings based on specific reasonable examples using products with defined margins, not income by some indefined promise. We provide our prospects with an Independent Business Ownership Plan with disclosures printed all over it. Our business model has been accepted as a legitimate business model and as long as it is the same for all parties participating it is fair. Like college, earnings are based on individual skills and initiative and not guarantees. First I believe requiring the providing of anyone with personal financial statements is a violation of privacy. Second a brand new person would not have a financial statement. Third what purpose would it serve? Earnings, if the business plan is accepted as legal is based on individual initiative not on the person that shows them the business. I earn more than the person who started me and probably the first hundred people I met, many who had been in longer than me. If I had based my future success on what they had done to that point or since, I would not have stayed in. We don't promote college by showing earnings statements of 1st year students, they don't have any. Personal Business Ownership is just that, personal, and we cannot regulate success because it is based on the individual. If disclosure of legitimate business opportunities to prospects is an issue why not have the gov't have a listing of registered legitimate businesses and a listing of illegal scams. I believe that these proposed rules will place an undue burden on the legitmate business owners who work hard and build their success on ethics and solid business principles and will be ignored by those these rules hope to impede. Thank you for allowing this opinion.