Business Opportunity Rule #522418-12029

Submission Number:
522418-12029
Commenter:
Morrison
State:
WA
Initiative Name:
Business Opportunity Rule
Monday, July 17, 2006 To: Federal Trade Commission Office of the Secretary Room H-135 (Annex W) 600 Pennsylvania Ave, NW Washington, DC 20580 From: Ms. Morrison Subject: Business Opportunity Rule, R511993 To Whom This May Concern; "A network marketing business gives everyone access to what used to be the domain only of the rich." Robert Kiyosaki. Network marketing levels the playing field because it allows no discrimination (with the exception of age; i.e. in most states an individual must be 18 yrs or older to participate). In my opinion, the Business Opportunity Rule R 511993 unnecessarily applies an abundance of laws pertaining to large businesses and corporations. Laws, which will restrict the independent-minded individual from seamlessly and effortlessly conducting his or her business in a lawful manner. These proposed laws, will restrict and encumber him or her unnecessarily. The following is a list of issues in the law that I disagree with. I am a former owner of a National Franchise store -- A Firestone Tire and Service Center; as well as owner of an independent Machine Shop. I know and understand the ever-tightening noose of laws and restrictions in those two industries and that is exactly why as a third-time business owner I choose to be an independent representative in the networking industry. 1. First let me say, I appreciate the FTC's mission to protect consumers. 2. I understand there are companies in the direct selling industry that practice fraudulent and unlawful practices. 3. However, enacting laws that encumber, restrict, and discourage lawful, legitimate companies who employ best-practice rules of conduct will in no way prevent the fraudulent companies from setting up business. 4. Specifically; The Seven Day waiting period. It unfairly cast a giant shadow over the entire industry. It will take the focus off of revenue generating activities and redirect them onto the creation of burdensome and unnecessary paperwork. 5. Elimination of the 500.00 business threshold. The cost of a direct selling sales kit is usually between 25.00 and 350.00 dollars. In my opinion, most individuals who consider enrollment are intelligent enough to protect themselves from any loss by doing even a cursory investigation which would inform them enough to keep them from making such a small investment with minimal risk. Any business that requires over a 500.00 business needs more stringent protection laws. I purchased the Firestone Tire Center with cash?. Thousands and thousands of dollars of cash. I had the best attorneys and accountants I could afford reviewing and advising me on the purchase. No one person or law prevented me from loosing everything prior to my 5th year in business. I lost all of my capital investment, I lost my home, I lost my sanity temporarily over that business, because of fraudulent bookkeeping by the former owner and no amount of education or expertise could prevent it. That loss affected me personally, my family, my ability to earn an income subsequently and it took 10 years of blood, sweat and tears to regain some ground and establish some financial stability again. The belief that the public should be protected from loss of minimal investments of 25.00 - 350.00 or 500.00 that you propose in the legislation pending is impractical and overbearing governmental interference in my opinion. 6. Earnings Claims This will target the boys playing unfairly, but what is to stop them from providing inaccurate data anyway. 7. References; I believe the publics' right to privacy trumps any need to disclose the buying habits of my friends and neighbors. This is bad legislation and I want no part of it. Respectfully Submitted; Ms. Morrison