Business Opportunity Rule #522418-12619

Submission Number:
522418-12619
Commenter:
Christian Anderson
State:
NC
Initiative Name:
Business Opportunity Rule
To whom it may concern, My name is Christian Andeson. My wife and I started our own Quixtar business two years ago when a friend of mine approached us and asked us if we would like the opportunity to increase our income. Naturally we said yes. Of course we were concerned that this was just another get rich quick scheme. Those fears were quickly extinguished by some simple online research. And we encourage all of our prospects to do the same. We became quite concerned though when we heard what the FTC was proposing in order to stop what it sees as fraudulent business practices by some. While we agree that fraudulent business practices and schemes should be stopped, we disagree with the way the FTC is proposing to try to stop them. First, though we have owned our own business for two years, have not put a lot of effort into it yet. There are several reasons for this, but they are all irrelevant. I say that becasue one of the problems my wife and I see with the FTC's proposal is that it would require us to provide every prospect with a personal financial statement. As you well know, when a person first begins to build his or her business, he or she has no business credibilty. We rely on our business team for our credibility until we build our business large enough to where our own credibility has been established. Forcing new business owners to do this would do nothing more than make it more difficult for average Americans to start there own business and would not punish those who are causing the problems. Seeing as how those people have no interest in obeying the law to begin with, why would this propsal change their thought process? Independent Business owners should be required to provide substantiation for any claim, but should not be required to disclose it except when required by the FTC in the course of official investigation. The second cause for our concern is the FTC's proposal to require every prospect with a list of all lawsuits, arbitrations, etc for the past ten years involving Quixtar. Why are we placing an individual's responsibility on the business owner. This is no different than when a conumer purchases a product. Is it the manufacturer's responsibility to provide EVERY customer with a list of all arbitrations, lawsuits, grievances, etc against them? No. It is the responsibility of the individual to research the product or manufacturer of that product via the FTC, Better Business Bureau and the US Chamber of Commerce and then decide whether or not he should purchase that particular product. The logical solution would be to treat Independent Business Owners (IBO) no different from manufacturers or other businesses. This can be done simply by eliminating this requirement. The third reason we are concerned is that the FTC is considering making IBOs give each prospect a list of ten references, to include their names and phone numbers. Ask yourselves, would you want someone you don't know to have your address and phone number? I think not. In addition to the privacy violations this would cause, this requirement would penalize the sponsor, who would be required to give his prospect contact information for 10 other IBOs who may be more than happy to sponsor the person themselves. The last reason we have a concern is the required 7 day waiting period. Business's like Quixtar have a six month money back guarantee. These business should not need a waiting period for that reason alone. In closing we would like to thank you, the FTC, for allowing us the opportunity to express our concerns to you. We are law abiding citizens who feel that those who obey the law should not be punished because of the actions of those who do not. We trust that all of you in the FTC will make the right decision and allow the average American to pursue the American dream. We thank you for your time and consideration. Sincerely, Christian and Jodi Anderson IBO