It sure looks colorful and very youthful

Totally depends on the look of the magazine, and the age/interests of the readers if this layout will work.
1. Get hold of all previous issues of the magazine you can, see what ads reoccur there over time (that means these guys are probably making money from those ads), and compare the look and feel with your ad.
2. I would personally be careful about using the words "step-by-step guide" here. Most people just wants a phone to hold in their hand. How does it work, what system is this, do they need technical knowledge, is it fast to set up, are additional purchases nessecary? Can you put info like this down in a few sentences, and provide a little reassurance I think it would be golden.
3. As I see it you're selling two things. The package, and you're attaching a pretty transparent bonus which is trying to recruit distributors. If you have the opportunity you could split test selling the package alone, and then selling them on the distributor deal as it arrived (or in followup later).
4. Also, this has probably been tested to death by others so a little forum and google digging will probably answer this (my opinion may be wrong) - but sending cash in snailmail? I'd love to go online and be able to get it instantly

(I read the phonenumber on the bottom as for ditributors only)
Good luck!
Vince