Comment Number: 522418-00569
Received: 6/2/2006 5:19:19 PM
Organization: individual
Commenter: Freda Hubert
State: VA
Subject: Business Opportunity Rule
Title: Notice of Proposed Rulemaking
CFR Citation: 16 CFR Part 437
No Attachments

Comments:

I believe your Business Opportunity Rule, R511993, will SEVERLY limit free enterprise as much of this countries business is done through direct selling! Most direct sellers are a part of a Direct Sale Company like the one this rule will target! Though I agree with the intent of this rule to prevent fradulent companies, I see this rule as merely making it difficult for those making their livliehood through these businesses. Those wanting to defraud will find a way around such restrictions. I believe if the statistics are checked, the economical impact of the legitimate sellers is exponentially more beneficial than the small amount being used to defraud! I believe a business purchaser should be required to go through a seminar to protect himself! Our country simply cannot make enough rules and/or laws to protect those who refuse to lift a finger to protect themselves! Most information is readily available if one is willing to look for it! I check out companies and if I have a doubt after checking, I figure I lived without them, I can continue to do so. If I find my research satisfies me, I purchase/get involved! The best defense is not to overtax business in that they cannot operate but to educate those who are thinking of getting involved! The part which requires a reporting of lawsuits, what company (or companies) do you personally do business with or have you applied to work for that has been required to to such??? Direct Sale Companies have many of their own natural obstacles to overcome, it is unfair to place on them this added burden. Again, I believe it is the opportunity seekers' place to look out for his/her interests. That burden placed on companies will negatively affect our country's free enterprise system. Your expectation to report on the 10 nearest representatives is truly a matter needing to be thought through to the end. As a distributor I would not want my logistical and personal information distributed! For personal safety and identity theft 'insurance' I use a PO box, do not report my information to POLK for city directories, etc. Therefore, only those whom I have researached and feel safe receive my street address and any other personal information. I do this because of fraudalent individuals and groups who may try to approach me (and many do). For instance, I am on the do not call list. I do not respond to emails before checking out claims (by means other than the email gives me!) Again, this is information that is gladly given out if asked for (legitimate organizations ask you if it is okay to share your name and contact info, with possible recruits)-this again is the responsibility of the opportunity seeker! One last note. As a 23 year old, I enlisted with a DSA company and spent 17 years with it! I was very happy with my experience. Had the company had to go through all the hoops you are proposing before they could take my money, I would not have been able to begin my business at the opportunity time I found myself in! Not having that experience would have meant that when I was burned and unable to work, I would have received NO income and no assistance due to the fact I had a home and a car that made me inellegible for public assistance. My direct selling kept me eating, and then when I became a single mom, it afforded me and my daughter precious time which in effect has made her a successful individual (now 16 years old and tops in her classes!). My daughter is an overachiever and I expect she too, will one day find herself becoming self employed through an opportunity which this ruling will so hinder that she will be unduly delayed and frustrated finding the one right for her! Our country is great in its abundance of opportunities, I understand that our urge is to protect people. However, personal responsibility is also what makes our country great...let's put the responsibility where it belongs, on the individual searching! Respectfully, Freda Hubert