| Comment Number: | 522418-12185 |
| Received: | 7/17/2006 6:59:37 PM |
| Organization: | Sonawala Enterprises |
| Commenter: | Mehul Sonawala |
| State: | CA |
| Subject: | Business Opportunity Rule |
| Title: | Notice of Proposed Rulemaking |
| CFR Citation: | 16 CFR Part 437 |
| No Attachments |
Comments:
My wife and I are buidling our Quixtar business since the website started in Sept 1999. We have traditional medical backgrounds. I am an Internist with a Bioengineering background - my wife is a Dentist. We have 3 kids - ages 11,5 and 3 yrs old. We reached the Platinum level in 2001 as a result of upline mentorship and because of building a business network. My wife was able to quit her part-time dental practice and stay home to bring up the kids. Our intermediate goal is to go Emerald and Diamond in 2006-07 and to set up financial security for our family. The business gives us the opportunity to compound our time and gives us residual income. Something which our medical careers would never do - so we are passionate about this business. We also get to help a lot of people on our team achieve financial independence and seeing Moms coming home and taking care of their family - gives us intangible rewards which our careers don't offer. The first rule on the 7 day waiting period is inappropriate as we lose the excitement when we signup a new IBO if they have to wait for 7 days before starting their business. Immediately on sign-up, it is very important to start using products and showing the plan to new prospects for the new IBO to start the sponsoring process, that's how business can start working for him/her. Since our business is based on momentum, these activities if not done in a timely manner will result in a weak start for the IBO. The new IBO typically spends between $325-$340 for signup. This money is 100% refundable for first 90 days. This eliminates the requirement for the 7 day waiting period. The IBO can also go online to www.thisbiznow.com or to my Quixtar affiliated website - www.bww.com/sonent to get information on Industry leaders perspectives, profiles of successful IBO's, product and system info etc which will help them build the business. Also the 7 day waiting period would affect the value which I put into the business by personally empowering people on why they should join the business - using my experience as a Platinum and Physician building the business. The prospect receives the Literature pack at the time of seeing the business plan which has detailed info on the 6-4-2 marketing plan with examples of income at diff. levels in the business and product and registration info.We then follow up with the prospect in the next 1-2 days to get their questions answered and to get them started in the business. The 7 day waiting period would negate these essential business building activities as well. The new IBO has an opportunity to meet other IBO's to find out about Quixtar products at the Product and System education (PASE) meeting which is held weekly where he can associate as well. The rule to provide references of 10 Quixtar affiliated people in local area to the prospect violates my confidentiality and that of the others as I am giving sensitive info such as home phone and addresses to the prospect. Now the prospect has the control of what he wants to do with this information. This opens upto mis-communication and might result in the prospect signing up with other individuals at the cost of my time and experience. This is not fair in any business setting and opens up areas of potential conflicts as well. Might also encourage unsolicited phone calls and email - spamming. The new IBO would benefit from attending the PASE Mtg as mentioned above in lieu of Rule 2. The 3rd rule - shold be discarded as it will open the Pandora's box to reviewing litigations encountered by Quixtar which has an impeccable record as it is - which would even include filed cases with no merit and might distract the new IBO from the potential of the business, causing discourament - so it should be removed. The reqirement for specific earnings is shared in the literature pack and in the average monthly earnings for IBO's - so not needed separately. Financial substantiation will limit income potential of new IBO's