Comment Number: 522418-04806
Received: 6/28/2006 1:37:08 PM
Organization: Quixtar.com
Commenter: Venkat Varada
State: CA
Subject: Business Opportunity Rule
Title: Notice of Proposed Rulemaking
CFR Citation: 16 CFR Part 437
No Attachments

Comments:

Thank you for what you do in trying to protect citizens from fraudulent schemes. My association with Quixtar.com is from the begining of Quixtar in 1999. Quixtar business thus far has allowed my wife's income to be replaced and allowed me to work from home and I was able cut down my fultime job hours by more than half. Though skeptical initally when I took alook at the business, after weighing some factors of risk vs potential, the potential overwirghed anyof the risk compared to any conventional or businesses of this type. Quixtar.com provides a SA-4400 that has been already reviewd and blesed by FTC that we are required to give the prospects as we explain the businsses plan which protects them and us by not claiming incomes levels and "hype" any situation. In our team we are very clear we are not a "get rich quick scheme" and it is a 2-5 yr roadmap to reaching some of their goals. One of the things we have proudly done in our team is anyone who joins the team (around $200+tax and handling) if in 90 days we have not lived up to what we said in initial presentation that they will get the full refund back. This business is a team effort and if we are not all in agreement in the long term it a very hard thing to build a team that can last. Regarding the new rules you propose per the CFR in this communication, here are my suggestions: 7 day waiting period: Our business and our tem has a very solid and generous return/cancellation policy (90days). As long there is way out in a "reasonable" amount of time, this is counter productive considering our business does not require that high investment in the first place. This waiting period makes sense for businesses that do not have meaningful or no cancellation policy. Past Litigation List: This is unreasonable for a small business like ours. The legal disclosures at the time of the registration covers and validates the business plan and practices. Our business should not require this. My other business is real estate. My company I represent does not tell all the litigations they currently have with a perspective client. Disclosure of Financial Records: We do have SA-4400 which clearly outlines the potential incomes and what is involved in getting to different income levels. That should suffice. The beauty of our business is we can pace oursselves and disclosing personal financial records is analogous to asking the company that is hiring me for job to show me check of a person or employee of thier company who is in a similar position that I am interviewing for. Quixtar.com is a private company and I am sure from a corporation perspective they are following the disclosures needed for operating a private company. My personal income is personal and the prospect is protected from our SA4400 document which outlines with examples income levels that typically cannot be in contradiction the my individual claims of income. The only difference should be the it might take one to get there as it is different for each person just like any other business. Thank you again for what you are trying to accomplish in protecting consumers. Please stay vigilent as there are amny farudulent business which are giving a balck eye to a business like Quixtar.com who is palying by the rules and providing an opportunity for individuals to create financial options in this wonderful land of our, the United States of America. --thank you --venkat Venkat Varada Quixtar IBO