| Comment Number: | 522418-09800 |
| Received: | 7/15/2006 9:07:54 AM |
| Organization: | |
| Commenter: | Warren Larson |
| State: | TX |
| Subject: | Business Opportunity Rule |
| Title: | Notice of Proposed Rulemaking |
| CFR Citation: | 16 CFR Part 437 |
| No Attachments |
Comments:
Dear Sir/Madam, I have been a Quixtar Independent Business Owner since 1993 and I applaud your initiative to shut down dishonest direct selling businesses. However, I feel these proposed rules would penalize those of us in honest businesses. A well-designed FTC rule would shut down bogus business opportunities while allowing Quixtar IBOs to continue to build successful independent businesses. Specifically, individuals do not need 7 days to think about a business decision that costs less than $100 and such a requirement would be unnecessary and burdensome since Quixtar has a money back guarantee for all. There should be no waiting period for Quixtar prospects. Secondly, few if any individuals wants their confidential contact and membership information sent to others by FCC mandate. There should be no requirement to provide references. Third, providing a listing of all lawsuits and claims in the last 10 years makes little sense for a Quixtar business where the sign up cost is less than $100 and there is a product buy back rule in place. This requirement would open up Quixtar and other legitimate companies to false accusations. Meanwhile, dishonest companies would simply ignore the rule. Fourth, making a different disclosure for every income claim would be burdensome and unnecessary. If disclosures are needed, require a simple, standard, easily understood disclosure such as "average monthly gross income for 'active' business owners." In summary, please do not mandate rules which inhibit honest businesses their ability to grow and prosper. Continue to solicit input from people in legitimate direct selling businesses to help you formulate rules to shut down the scam artists.