| Comment Number: | 522418-11911 |
| Received: | 7/17/2006 4:40:11 PM |
| Organization: | Quixtar |
| Commenter: | Louis E Hunziker |
| State: | FL |
| Subject: | Business Opportunity Rule |
| Title: | Notice of Proposed Rulemaking |
| CFR Citation: | 16 CFR Part 437 |
| No Attachments |
Comments:
My wife and I have been Quixtar IBOs for about a year and a half. Both of my sons, and daughter are also IBOs. We have not met all of our goals as IBOs; however, that is purely due to effort on my part. Quixtar blends perfectly into our everyday life because we build our business by talking to and helping people. Even though my wife and I havent hit all of our goals, the association with other Quixtar IBOs has significantly positively affected our lives including our current jobs. We made a decision based on a package of information which is standard for our organization, and which we offer to everyone for their private evaluation. Even before we register someone as an IBO they receive a comnplete standard package containing how to get started, frequently asked questions, the business plan, facts and stats, production information, 3 levels of access, our training and education system and income options plus a DVD created by Quixtar. They are told about the money back policy where their registration money can be refunded within 6 months. We do not present this as an easy or quick way to riches, but that on a long term basis based on consistent effort it can be rewarding. We do not require new IBOs to purchase anything when they register other than what is required on the Quixtar site, which can range from around $50 to $170 depending on their choices. In some cases we have taken road trips of over 2000 miles to focus on remote prospects, and several have registered while we were there. That probably would not have happened had there been a 7 day waiting period. The seven-day waiting period requirement would be a huge burden as a requirement because we have a network business, which when you understand how that works can cause significant delays for someone who is energetic, ambitious, and wants to build a stable profitable big business quickly. If an IBO and a prospect are remote to each other, a delay can cause the IBO to incur significant costs in repeat travel expense if the prospect couldn't get registered while the IBO is present. This would cascade down an organization, and be very discouraging, and possibly cause new IBOs to quit out of frustration. Would a company voluntarily provide competitive references to its customers as an alternative supplier? I don't think so, plus I wouldn't want to be used as a reference for somebody else because they're an "independent" business owner, and so am I. Because of the way we build our businesses, we already encourage prospects to meet and associate with the team at our weekly workshops, even those outside of our line of sponshorship. Seems like you're trying to solve a problem that doesn't exist, at least in our organization. When someone goes in to interview for a job, are they allowed to see the hiring company's litigation list? I've never heard of such a ridiculous idea. Frivilous lawsuits are already a huge burden on our economy, and this would be equivalent to reading the wall in any Texaco bathroom, or the scandalous fradulent Internet blogs. We already stress that there no guarantees in how money somebody can make, because we make it very clear that how much you make is based on your effort. Plus as I mentioned our standard package includes the average earnings and a complete explanation of how the business plan works. Providing detailed information doesn't make any sense, most people wouldn't understand it anyway, and in fact probably would even raise expectations of some kind of guarantee of what can be earned regardless of individual effort. Less regulation is always better for small businesses, especially when those who are making the regulations do not have direct experience in the business they're trying to regulate. There will always be crooks and dishonest people at all levels of business. I can say that our organization is several cuts above corporate ethics based on my 34 years of experience in the corporate world