Comment Number: 522418-03122
Received: 6/17/2006 1:00:06 PM
Organization: Independant Consultant w/ PartyLite Gifts Inc.
Commenter: Lisa Smith
State: MO
Subject: Business Opportunity Rule
Title: Notice of Proposed Rulemaking
CFR Citation: 16 CFR Part 437
No Attachments

Comments:

Hello Members for the FTC. I am writing today because I have become aware of regulations you are considering which would affect my business. The two regulations I am referring to are: A seven-day waiting period, and Ten required references. The first, seven day waiting period - due to deadlines on specials offered for both hostessing a show with PartyLite and special offers if you become a consultant for a particular month - this might affect the additional benefits a new consultant could be eligible for if there is a waiting period before we can turn in her paperwork and could potentially hurt her/his benefits. PartyLite as a company is completely upfront and honest about their business practices, how profit is earned and the different profit programs available. There is plenty of literature available to a prospective consultant so they he/she may make a informed decision for his/herself. Secondly - the Ten References - this could invade on people’s privacy. I don't see the need of giving someone a reference sheet of other people in the business, I could understand perhaps being required to offer the names and contact info for people above a consultant in their direct lineage (PartyLite is a Lineage based company - Consultants themselves make the most profit from their individual sales, the sponsors of those consultants make only a fraction of the profit a consultant does on the consultant's sales). I am all for informed prospects. I would have not joined this company as an independent consultant had I not been given enough information. If the above referenced measures were in place they may have given me a false sense of worry regarding the practices of direct sales companies and actually deterred me from trying this wonderful business opportunity. Direct Sales is not for everyone; however I think, as least for companies like PartyLite Gifts, who do provide prospects with ample, in fact, more than enough, information and ways to ask as many questions as one wants to, about the direct sales industry and our particular business, these regulations would hinder a prospect looking for an opportunity more than it would help them. Thank you for your time and consideration. Sincerely, Lisa M. Smith, Independent Consultant, PartyLite Gifts