Comment Number: 522418-06088
Received: 7/5/2006 12:06:43 PM
Organization: XanGo
Commenter: Marcilyn Johnson
State: CA
Subject: Business Opportunity Rule
Title: Notice of Proposed Rulemaking
CFR Citation: 16 CFR Part 437
No Attachments

Comments:

Dear FTC, I have been with XanGo for 3 years. I was recently made aware of the new changes that will effect my business. I want to go on record that some of these changes will be devastating to me and others like me that are working XanGo part-time in hopes for a better financial future. Some of the new guidelines are too labor intensive for the normal part-timer and I for example may wind up having to give up on my dream for success in network marketing. I have three major concerns: 1) Privacy issues 2) 7-day waiting period 3) Setting a $500 limit on initial orders ============================ 1) Privacy Issues - names and address being made available to just about anyone. As a single Mom, I prefer my personal mailing information to be kept confidential by XanGo. 2) Time delays -- A 7-day waiting period. I believe a 3-day "cooling off period" for any honest company is long enough. A 7-day waiting period for people to get signed up given that all information is provided on the first presentation is much too long. This would cause too much delay in getting people into the industry properly and would be devastating to people on the road. Part-timers like myself would be overwhelmed by the paperwork and follow up required. This would do more to destroy network marketing dreams than anything that I can think of. My company, XanGo also has a very generous 30-day money back guarantee. So I believe that a 3-day policy is sufficient time for a person to make a buying/joining decision. 3) Setting a limit of $500 on initial purchases. Some business people and people like myself wanting to start a business realize that you cannot go into business without something to sell. Let's face it having a product to sell makes us legitimate. We don't want the product sitting in garages; but, we should not have to limit serious business people's dreams or business buying decisions. XanGo is not a franchise but not having enough product to sell or to expose people that you talk with is like shooting yourself in the foot. It stops you for talking about the product for fear that the person will want to try a case and you know you only have two bottles (that's two bottles left that your own family needs for this week). The customers usually want to try at least one bottle the same day that you talk to them. Even though we have access to an excellent order department, we do not promise next day or same day shipment to our customers. If we don't have it on hand ourselves, we limit the number of people we can effectively talk to about our product - XanGo in a day. I actually have more concerns but must cut this short. As a part-timer, I sincerely hope my voice is heard. Looking forward to a decision that works for the majority of honest networkers. Marcilyn M Johnson XanGo Independent Distributor