Comment Number: 522418-06215
Received: 7/5/2006 5:42:59 PM
Organization: rhb International
Commenter: Henry Bergstresser
State: CA
Subject: Business Opportunity Rule
Title: Notice of Proposed Rulemaking
CFR Citation: 16 CFR Part 437
No Attachments

Comments:

I have been a Quixtar IBO for about 10 years. I am presently at the Platinum level. I joined Quixtar to provide extra income for my retirement. When I joined I was provided educational materials developed by Network 21. I was also introduced to my line of sponsorship (LOS) as well as people from other lines of sponsorship. Success in the Quixtar business depends on level of activity. As long as there is regular activity the business will grow. Startup cost runs between $250 and $450 which include about $100 worth of products which can be returned for a full refund in including shipping cost should the new IBO not like the products. I have also offered to buy back the educational materials should the IBO decided not to continue the business...usually within 60 days. I have rarely had to buy back educational materials. A 7 day waiting period would definetly have a negative impact on building the business. I try to get IBOs involved within a 72 hour window. If longer than 72 hours I give them materials to listen to or watch. I give them 'homework' to build on their dreams and what they would like from the business. A 7 day waiting period would hurt those who want to get started NOW. A 7 day waiting period means the prospect would have to charged retail cost should they want to try the products. The prospect would not be able to enjoy the benefits of buying at IBO cost. By selling at retail I would give the impression of making money off the prospect...whereas when I sign them up immediately as an IBO the new IBO gets all the benefits of PV (points) and BV (business volume). The new IBO can begin to build a team which will generate more points. I also have a problem listing references. People in my line of sponsorship know me and introduce me to prospects. People who are outside my immediate LOS can introduce prospects to me at our weekly meetings. As a Deaf IBO I have found most people are not comfortable using the relay service and thus would impact negatively on another IBOs business. People in my line are told what to expect and are made comfortable prior to making contact with me. Every IBO is unique and depending on the structure of their group the income earned is unique to that IBO and not typical of another IBO. I use the averages as listed by Quixtar and make sure the new IBO understands this is an average...some make more, some make less...each IBO is different. I do not share how much I have made personally since I get added benefits tax wise that may not apply to all IBOs. I will point out the benefits of attending weekend seminars and life style trips. These educational seminars and trips give me a chance to travel and impact my business. Because I have a home based business showing my tax records would mean the prospect would see my total income (my other job as a teacher and income from Quixtar). Showing only the business income would not give a true picture of how the business affects me in a positive way. Being an IBO has helped me to become a more outgoing and confident person. As an IBO I now have ways to impact other's lives in a positive way. I can talk with prospects how this has helped me to become a better and more positive person.