Comment Number: 522418-05783
Received: 7/3/2006 2:39:46 PM
Organization: Diversicom
Commenter: Kristie Buell
State: NC
Subject: Business Opportunity Rule
Title: Notice of Proposed Rulemaking
CFR Citation: 16 CFR Part 437
No Attachments

Comments:

I have been an independant business owner powered by Quixtar and Alticor for more than twelve years and it is now my only source of income. I certainly respect the efforts of the FTC to protect my business and others starting this type of business from those with deceptive business practices. I am very concerned, however, with some of the proposed rule changes. With respect to the 7 day wait for regristration : My business is home based and therefore often requires driving to other locations and even states to educate and assist. Often groups of people have come together in central locations to see the opportunity or for education. To have each person wait 7 days could cause the IBO to have to drive hundreds of miles and hours to drive to each location to register and educate seperately and would delay each new IBO in sponsoring their new IBOships. Each new prospect is shown an FTC approved business plan and has a 1 year time period to thoroughly evaluate the business opportunity for themselves- first hand - and if they wish, may have a full refund. Most new prospects for any business opportunity are not going to do the bulk of their research in the first week and therefore this would not prevent deception by illegitimate opportunists. With respect to providing a list of references: This is a business where work should reward the industrious IBO who calls prospects first. In a small town, such as the one I live in, reference calls could well result in a prospect being registered by an "old friend" who was a reference but not industrious enough to make the initial call. Also with as many solicitation calls that most households field daily, most IBO's would not appriciate being called on by prospects daily to provide a reference. With respect to disclosing all lawsuits: No company that I have ever worked for or purchased from has ever disclosed all litigation. That information should be provided if asked for, but only those litigations that a court of law found the company at fault. We have sources of corporate legitimacy ( ie. BBB, D&B ) on the front page of the Quixtar website available to anyone, IBO or otherwise, who types www.quixtar.com on the internet. With regard to making a different dsclosure for every income claim: My goal is to educate others about a business opportunity in a simple, understandable way. Durring an opportunity meeting a simple, understandable disclosure such as the average monthly gross income is honest and can be broken down further if the prospect is interested in becomming an IBO. With respect to providing prospects with personal financial information: Personal income is PERSONAL. I have no problems showing a single business month income but do not feel disclosing further is appropriate. If I were considering entering a new profession I would never approach a professional in that field and request their personal financial information. I would, however research the information from the MOST credable source. Again I appriciate the efforts of the FTC and respect what the FTC has done over the years to validate Quixtar and the IBO's who are able to provide for their future with this opportunity. Sincerely, Kristie Buell