| Comment Number: | 522418-06868 |
| Received: | 7/7/2006 7:15:15 PM |
| Organization: | XanGo |
| Commenter: | Ryan Davis |
| State: | AL |
| Subject: | Business Opportunity Rule |
| Title: | Notice of Proposed Rulemaking |
| CFR Citation: | 16 CFR Part 437 |
| No Attachments |
Comments:
Federal Trade Commission/Office of the Secretary, Room H-135 (Annex W) Re: Business Opportunity Rule, R511993 600 Pennsylvania Avenue, NW Washington, DC 20580 RE: Business Opportunity Rule, R511993 To whom it may concern: My wife and I are writing this letter because we are concerned about the proposed Business Opportunity Rule R511993. We believe that in its presented form, it could prevent us from continuing as XanGo™ Independent Distributors, and destroy our small business that we have worked so diligently to build. My name is Ryan. My wife Gabi and I have been XanGo™ Independent Distributors since December of 2005 and enjoy being a part of the XanGo™ family. We started our Network Marketing business because of the wonderful XanGo™ product and opportunity to generate an extra income for our family. Now my family depends on this extra income to supplement our budget. Please don’t destroy our small business we need it! Some of the sections in the proposed rule would make it hard for us to sell XanGo™ or introduce others to the wonderful opportunity. This waiting period will give the public the idea that there’s something wrong with the network marketing industry and also reflects badly on us as individuals. We also think this seven-day waiting period is unnecessary, because XanGo™ already has a 90% buyback policy for all products including sales kits purchased by a salesperson. One of the most difficult sections of the proposed seven day waiting period is to enroll new XanGo™ distributors. Additionally a 100% total money back guarantee, which applies to any new enrollee, and is currently and exercised freely by anyone purchasing from XanGo™ within the first 30 day period. The XanGo™ sales kit only costs $35. 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, we will need to keep very detailed records when we first speak to a prospect and will then have to send in reports to our company. XanGo™ distributors operate small home businesses and this burden could destroy them completely by requiring excessive paperwork, and requiring a person to be a superstar instead of being just an ordinary person seeking to get ahead. With these new proposed rules, the XanGo™ opportunity would cease to be for the average person and would require one to be an aggressive and capable business person in the beginning. This is exactly opposite to what the XanGo™ business opportunity was designed to do. Procedures are currently in place by XanGo™ to insure that no one can ever be hurt financially by the XanGo™ business opportunity. The proposed rule requires the disclosure of a minimum of 10 prior purchasers nearest to the prospective purchaser. In this day of identity theft,We are very uncomfortable giving out the personal information of individuals (with or without their approval) to strangers. Women in our organization may be subject to sexual or racial harassment so, unless the FTC passes an addition to this rule prohibiting sexual or racial attacks related to this disclosure it will open up women to sexual attacks and/or stalking. In the end this 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. Which could hurt everyone, including the FTC. We have seen many scams on the Internet and have been approached by crooks. This rule will do nothing to stop them. This rule will not stop Crooks – they violate the current rule all the time. But We are good American citizens and it will hurt us as small business owners and financially. XanGo™ is a good company, please do not lump great companies like XanGo™. which has a 100% money back 30 day guarantee, into the same barrel as those who currently take advantage of others daily with no repercussions. If you wish to go after those who are damaging or hurting innocent people, we will support your efforts. Thank you and please help us. Sincerely, Ryan and Gabi Davis