| Comment Number: | 522418-06775 |
| Received: | 7/7/2006 12:54:00 PM |
| Organization: | XanGo, LLC |
| Commenter: | James Godwin |
| State: | FL |
| Subject: | Business Opportunity Rule |
| Title: | Notice of Proposed Rulemaking |
| CFR Citation: | 16 CFR Part 437 |
| No Attachments |
Comments:
Dear Tom Feeney: I am writing this letter because I am concerned about the proposed Business Opportunity Rule R511993. I believe that in its presented form, it could prevent me from continuing as a Distributor – with XanGo, LLC and destroy my small business. I am also envolved with 4-E Corp which is trying to lower pollution and gas consumption. I have been an Independent Distributor – with XanGo for more than a 1 year. I recently in April of this year got involed with $-E Corp due to rising gas prices and my interest in hellping the environment. If these extremly ridiculous laws are passed, then one of the most important aspects of the US will be destroyed, and that is the Small Business Man. At this point we are becoming a Dictatorship and not a Free Enterprise. These laws don't protect us, only burden us! Originally, I started my Network Marketing because of the products I loved them and wanted to earn some additional money. Now my family depends on this extra income to supplement our budget. Please don’t destroy my small business we need it! Some of the sections in the proposed rule would make it hard or almost impossible for me to sell my company’s products, (ETHOS FR), and (XanGO). The waiting period will give the public the idea that there’s something wrong with me or our plan and also reflects badly on me. I also think this seven-day waiting period is unnecessary, because XanGo and 4-E Corp already has a buyback policy for all products. This law if passed will not prevent failures of most small startup companies and only pick on one type which has been designed by people who have failed at this type of business. What will be next, more red tape and costs for all types of small businesses because someone failed due to their own inabilities?? One of the most difficult sections of the proposed rule is the seven day waiting period to enroll a new Distributor. 4-E Corps sales kit only costs $49.95. People buy TVs, cars, and other items that cost much more than that and they don’t have to wait seven-days. Under this waiting period requirement, I will need to keep very detailed records when I first speak to someone a prospect and will then have to send in reports to my company. I am a small home business and this burden hurt or destroy my business. This proposed rule is bad! This will only cause more expense to the government to police this bad law; do we have that kind of Taxpayers money to throw around to satisfy a cumbersome law! Finally, the proposed rule requires the disclosure of a minimum of 10 prior purchasers nearest to the prospective purchaser. I am glad to provide references, but in this day of identity theft, I am very uncomfortable giving out the personal information of individuals (without their approval) to strangers. Women in my organization may be subject to sexual or racial harassment so this part can’t go in at all, unless the FTC passes an addition to this rule Prohibiting sexual or racial attacks related to this disclosure. In the end the rule must bind the FTC to take direct enforcement action on sexual and racial attacks with a special unit assigned to monitor actions related to the disclosure forms. Does other business give out references like Auto dealers, Furniture sales, Gas stations, Grocery stores!!!! I have seen many scams on the Internet and been approached by many crooks because of my success. This rule will do nothing to stop them. They hurt my business! This rule will not stop Crooks – they violate the current rule all the time. But I am a good American citizen and it will hurt me. Thank you and please help me. Let's use our present laws which could be enforced without creating more laws to cause only trouble for the Honest Small Business Man. Where would Microsoft, AOL, Yahoo, etc be if they would have been forced to follow these propsed laws!! Sincerely, James Godwin