|Received:||6/28/2006 12:58:24 AM|
|Subject:||Business Opportunity Rule|
|Title:||Notice of Proposed Rulemaking|
|CFR Citation:||16 CFR Part 437|
Comments:While I agree that there are fradulent business opportunities that may warrant protection from government rulings, the proposed rules will hinder legitiment business operations by requiring unecessary steps. I beleive the provisions requireing a seven day waiting period before starting a business as well as the requirment to provide references and disclose any past or previous lawsuits. These steps are often investigated anyway and such information is readily accessable via the internet. Without reasoning the concerns with each issue, I will summarize that the individual provisions will not accomplish the obvious goals that are intended. These goals could be better attained by requiring more straight forward cancellation policies and clearer methods of complaint that could be found by those seeking such information. Perhaps and independent organization to provide a rating system for oportunities such as the better business bureau would be a method for prospective business owners to screen opportunities. Further, income statements should not be required to be disclosed to prospective business owners to verify income claims. Having standard income verification with a resource to show calculations would be better. I look at this as unreasonable. If I were to compare it "normal" business, prospective employers are not required to show proof of income, current lawsuits, nor do they require a seven day waiting period. For most legitimate business opportunities, the investment is minimal compared to the investment in time, resources, and the risk is far greater in choosing employment...while the business opportunity upside is so much greater. These proposed rules put the burden on the sponsoring business owner. Perhaps better education of the general public that no matter what you work to accomplish, that it will take effort. If they are promised something for little or no effort that they should learn to look elswhere. They should also recognize that even within legitmate businesses that there are unethical people that will continue to be such...even if these rulings are enforced.