| Comment Number: | 522418-06591 |
| Received: | 7/6/2006 8:00:49 PM |
| Organization: | Quixtar |
| Commenter: | Stephen Gault |
| State: | OR |
| Subject: | Business Opportunity Rule |
| Title: | Notice of Proposed Rulemaking |
| CFR Citation: | 16 CFR Part 437 |
| No Attachments |
Comments:
I started my business in 1994. While the belief in creating a large, sustainable income has always been the prime reason for any of my business ventures, the methods by which income is created through my association with Quixtar have in my opinion, a much larger impact on my family and community than traditional business. Because of our business, my wife and I have been able to travel and afford a certain peace of mind due to the income we create and the many benefits of business ownership. We find that our type of business fits our and our associates lifestyles quite well, and places no undue burden on the many different types of responsibilities people carry. When introduced to what would become our next business and the associates who would train and mentor us, we were given very direct instructions to perform due diligence in researching the companies that would be a part of us making our business successful. To that end, we were treated as adults, fully able to seek out answers to our questions and to deduce from our findings the proper course of action to take. We were not coerced in any way other than encouragement to continue associating with current business owners via group meetings and training sessions, and through audio tape presentations. These, along with our own independant research provided the necessary assurance that our hopes for monetary gain would be fulfilled best via this business and the companies that it represents. This method of acquainting someone with our business is the bedrock of our own efforts in training and retaining other business owners. People that we expose our business methods to are given every opportunity to research and formulate opinions about our methods of business, and all care is taken to give accurate, government approved information regarding potentials for income, and the time necessary to create that income. Regarding the proposed ruling for business opportunities, I would like to address some specifics. A seven day waiting period would seem to be counterproductive for most prospects who, having performed research sufficient to convince themselves that this type of business is for them, would then have to wait and perhaps have their decision challenged by well meaning friends or associates. This then produces confusion as to the best course of action to take. Prospects need an amount of time that is best for them, not one allotted to them. Please remove the waiting period provision. A list of other industry specific business owners in the same geographical area of the prospect simply opens the door to unnecessary privacy violations. And probably more importantly, the possibility of one of the references coercing the prospect into a sponsorship themselves. If the prospect wishes, the parent company can provide them with a name of a business owner willing to sponsor them. The prospect must drive the process. Please remove the list of references provision. The proposed requrement for a list of past lawsuits, arbitrations and other legal claims against the prospective business is, in my mind not required. Most, if not all such information is readily available today to the person who is willing to perform reasonable research. The onus should not be on the business opportunity company to provide such information. Please remove the past litigation provision. Income claim disclosures are already a mainstay of our current business presentations. I see no need for a more elaborate process. Please modify the provision to require a standard, easy to understand disclosure such as "average monthly gross income for active business owners". Personal financial documents to substantiate an income claim, while necessary if the prospect requests it, are not indicative of, or a guarantee for the results the prospect will see as a result of their participation. Please remove the requred disclosure of personal financial documents provision. Thank you. Steve Gault