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For immediate release
Alisa Harrison, 202-628-8000 

Franchised Small Business Owners to Face Higher Costs, More Taxes

WASHINGTON, Nov. 9, 2009—The International Franchise Association today expressed disappointment with Saturday’s late night vote to pass H.R. 3962, the Affordable Health Care for America Act and urged the Senate to consider the plight of small businesses as they take up the measure.  The IFA strongly opposed the health care reform bill crafted by House leadership.  

“This morning, franchised small business owners are waking up with yet more bad news while struggling to recover from the economic recession.  After government officials announced that unemployment eclipsed 10 percent of the nation’s workforce, Congress swiftly responded by passing health reform legislation that seeks to raise taxes by nearly $700 billion on the backs of small business owners,” IFA Vice President of Government Relations David French stated. 

“Small business owners are struggling to find credit in a stagnant economy, and the House acted capriciously in the face of overwhelming opposition by the small business community on a measure that will worsen the situation for many small businesses across the country,” French said.  “Any way you look at it, the House measure will not restrain rising costs for franchised businesses with private insurance nor will it increase access to affordable insurance for those without it.”

French said that IFA has a long history of advocating for changes in health care laws that allow employers to provide health care benefits to their employees and restrain ever increasing health insurance costs.  Association Health Plans, Health Savings Accounts and medical malpractice reform were among many priorities for the IFA in the health reform debate. 

“This legislation will levy a series of tax surcharges and penalties on franchised small businesses, without doing anything to restrain increasing insurance costs” French continued.  “H.R. 3962 is unacceptable public policy; and if enacted, will lead to the failure of many small businesses and continued job loss.

“We hope that Senators will take a step back and look at health reform legislation from the standpoint of a small business owner faced with increasing costs in a weak economy and work to enact legislation that will actually lower costs,” French stated.

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About The International Franchise Association

The International Franchise Association, the world’s oldest and largest organization representing franchising, is the preeminent voice and acknowledged leader for the industry worldwide. Approaching a half-century of service with a growing membership of more than 1,250 franchise systems, 10,000-plus franchisees and more than 500 firms that supply goods and services to the industry, IFA protects, enhances and promotes franchising by advancing the values of integrity, respect, trust, commitment to excellence, honesty and diversity. For more information, visit the IFA Web site at