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IFA Insider, Volume 12, Issue No. 7, Monday March 26, 2007
IFA URGES CAPITOL HILL ACTION ON SMALL-BUSINESS LENDING
IFA encouraged the committee to support an amendment to the bill that was offered by Rep. Mary Fallin (R-Okla.) The amendment would have clarified the treatment of franchised small-business owners in the temporary staffing industry who have found themselves ineligible for SBA programs. The Fallin amendment would have remedied the situation as it relates to 7(a) loans by making clear that a business applying for lending assistance under this subsection shall be considered small for purposes of this subsection without regard to affiliation with another business concern if the applicant has no legal recourse to have its affiliate repay any of its debt obligations. Unfortunately Rep. Fallin withdrew her amendment to make technical adjustments and is expected to offer it again when the bill is considered by the full House of Representatives. The House is expected to consider HR 1332 this week.
CALIFORNIA
MENU BOARD LABELING BILL ADVANCES Senate Bill 120, by state Sen. Alex Padilla (D-Los Angeles), requires the posting of calories contained in each food item on menu boards. Printed menus would have to list calories, as well as the amount of saturated fat, trans fat and sodium. The bill applies to restaurants that share “the same trade name with at least nine other food facilities in the state, regardless of whether the food facilities are subject to the same ownership or type of ownership, that offer for sale substantially the same menu items. During recent meetings with legislators and staff in Sacramento, IFA relayed the concerns of its restaurant members regarding the effectiveness and potential liability of the menu board mandate contained in SB 120. Gov. Arnold Schwarzenegger (R) has yet to indicate his view on the legislation. However, it should be noted that the governor in recent years has signed measures banning soft drinks and certain foods in California schools. For more information, contact IFA’s Director of Government Relations Troy Flanagan at 202-662-0792 or tflanagan@franchise.org.
FRANPAC PROGRAM ATTRACTS PROMINENT SPEAKERS, GENEROUS CONTRIBUTORS
Through these well-received events, FranPAC was able to raise more than $100,000 to promote and protect the sector and elect pro-franchise, pro-business lawmakers to Congress. IFA Chairman Michael Isakson, immediate past chairman Lawrence
“Doc” Cohen CFE and Pres. Matthew Shay, helped to elevate FranPAC’s visibility and confirm its importance in remarks during the general sessions.
ICFE STUDY GUIDE RELEASED DURING IFA ANNUAL CONVENTION “Because of the rapid growth of the CFE program, the ICFE Board developed this study guide for both start-up and mature franchise systems,” Haneborg said. “The subject matter ranges from basic topics to very complex subjects, and from foundational concepts of franchising to more timely issues such as e-commerce and brand protection in the global marketplace,” she added. “We designed this workbook, with a big emphasis on ‘how-to’s’, with lots of checklists, steps, best practices and examples that franchise executives can modify to fit their particular business model,” said Haneborg. The study guide was also designed to assist franchise executives who are enrolled in the CFE program or who are renewing their designations. Successful completion of the online review exercises and final exam earn 300 CFE credits. For a limited time, through April 1, the guide will be offered at a special price of $350, which includes enrollment in the CFE program. Current CFEs and candidates may purchase the guide for $100. The regular IFA member price is $450; $550 for non-members. Copies can be ordered from the IFA Store at www.franchise.org or by calling 1-800-543-1038.
LEARN “HOW TO” AT EXPO Expo, produced by MFV Expositions, is a primary site for members of the franchising community to attend educational sessions designed to help systems improve their operations. The informational sessions and symposia will include topics such as creating operations manuals, operating a master franchise, technology usage, earnings claims, lease negotiation and dispute resolution. Find program and registration details at www.ifeinfo.com.
WELCOME NEW IFA MEMBERS
Supplier Forum: Aarene Contracting Alpharetta, Ga., Contact Diana Laughlin; AON Affinity Insurance Services, Hatboro, Pa., Contact Tim Bland; Atticus Information Systems, Thousand Oaks, Calilf. Contact Michael Eaton; Cellfire, San Jose, Contact Danny Tang; Covington & Burling, Washington, DC, Contact Henriette Tielemans; Franchise Analytics, Alexandria, Va., Contact Rusty Luhring; FranGrowth, Orlando, Contact Ryan Shaughnessy; Jobs Printing & Mailing, Waukegan, Ill., Contact Kathy Kirkpatrick; Let's Talk Franchise, Huntington Station, NY, Contact Ben Cerrone; Market Point, San Diego, Contact Jason Patz; NRC Realty Advisors, Chicago, Contact Hope Mineo; O'Malley Hansen Communications, Oak Park, Ill., Contact Todd Hansen; Olivares and Co., Mexico City, Contact Gustavo Alcocer, Esq.; One Source Retail, St. Louis, Contact Michael Hojnacki; Plan Moore Events, San Diego, Contact Kim Moore; Plante & Moran, Toledo, Ohio, Contact Scott Judy; PNC Bank, Greensburg, Pa., Contact James Frey; SageFire, Boulder, Colo., Contact Vaughn Baker; Silberstein Serota CPA's, Las Vegas, Contact Ronald N. Silberstein, CPA; SPG Partners, New York, Contact Sean Epps; Swiftpage, Englewood, Colo., Contact Bob Ogdon; The Riverside Co., San Francisco, Contact Kelcey J. Poe; Visible World, New York, Contact Daniel Hughes.
FRANCHISE DEVELOPMENT, LEGAL AND INTERNATIONAL PROGRAMS COMING SOON Learn the latest strategies for expanding your brand during the IFA's 2007 Franchise Development Seminar Series, which kicks off April 13 in Dallas. Get the essentials on real estate, multi-unit and multi-concept franchising and more. Seminars are also planned in Denver June 22, Washington, DC Sept. 12, immediately following Franchise Appreciation Day, and the Los Angeles “Super Session” Oct. 17-18, just prior to the West Coast Franchise Expo. Got law? Join your colleagues in learning about the latest legal, regulatory and international issues affecting the franchising community this spring when two conferences open their doors in Washington, DC. IFA will conduct its 40th Annual Legal Symposium May 6-8 with a program designed to help protect and strengthen franchise brands. The 23rd Annual International Bar Association/IFA Joint Conference will focus on strategies to aid in successful international franchising May 8 to 9. Both events will convene at the Capital Hilton Hotel. Visit Franchise.org for details.
CONSIDERING FRANCHISING IN BRAZIL?
Gain a better understanding of the market in Brazil for your franchise brand during the US Franchise Mission to Brazil June 27-30 in Sao Paulo, Brazil. The US Commercial Service will work jointly with IFA and the Brazilian Franchise Association to offer a variety of benefits to those participating in this mission, including brand and media exposure, individual meetings with potential franchisees or master franchisees, country and legal briefings and a workshop with a successful US franchise concept in Brazil. The cost of US$1,500 is based on the participation of seven companies and may increase or decrease depending on the number of participants. For more information, contact the US Department of Commerce’s Paulo Rodrigues at Paulo.Rodrigues@mail.doc.gov.
SMALL BUSINESS GAINS WHEN FEDERAL AGENCIES ARE SENSITIVE TO REGULATORY IMPACT “When regulators listen to the voice of small business, agencies can finalize regulations while minimizing the cost of new mandates,” said Chief Counsel for Advocacy Thomas M. Sullivan. “This is especially true when the concerns of small business are heard early in the regulatory process. By taking into account the concerns of small business, regulators are able to avoid the one-size-fits-all mentality that for years has disproportionately burdened small business.” For more information and a complete copy of the report, visit the Office of Advocacy Web site at www.sba.gov/advo.
FTC SUGGESTS PERSONAL DATA SAFEGUARDS “Information security cannot be an afterthought for businesses,” said FTC Chairman Deborah Platt Majoras. “Consumers expect and deserve to have their sensitive personal information kept secure.”
Protecting Personal Information: A Guide for Business is available at www.ftc.gov/infosecurity. The plain-language guide includes checklists to get businesses thinking about the kind of data they collect, how they store it, and with whom they share it. It offers solutions for determining what needs to be kept, how to secure it, what to get rid of and how to properly dispose of it. The guide also instructs businesses in the basics of creating a plan for dealing with a security breach, in the event one does occur.
NEW IFA INSIDER UNVEILED APRIL 9 To read recent issues of the IFA Insider, visit www.franchise.org, select Members/Business Resources, News and from the drop-down menu, choose Top Stories.
FIND IT AT FRANCHISE.ORG.
http://www.franchise.org/certification.aspx
http://www.franchise.org/IndustrySecondary.aspx?id=3568
http://www.franchise.org/impactstudy.aspx
http://www.franchise.org/IndustrySecondary.aspx?id=3554
http://www.franchise.org/government.aspx
Coming soon: The NEW IFA Insider!
Important dates in franchising
APRIL 10: Franchise Business Network, Best Use of Technology to Grow Your System (contact IFA for location)…13: Franchise Development Seminar, Fairmont Dallas, Dallas…23:24: How to Manage the Franchise Relationship, Management 2000*, Houston…26-27 How to Manage the Growth of Your Franchise Company & Its Brand, Management 2000*, Houston.
MAY 6-8: *40th Annual Legal Symposium, Washington, DC… 8-9: IBA/IFA Joint Conference*, Washington DC… 8-12: American Hotel & Lodging Association Annual Meeting, The Fairmont Southampton Bermuda, Bermuda…19-20: National Restaurant Association Annual Convention, Chicago…20-23: International Council of Shopping Centers Spring Convention, Las Vegas.
JUNE 22: Franchise Development Seminar*, Grand Hyatt Denver, Denver.
JULY 10: Franchise Business Network, Web Portals or Brokers-What Works Best?* (contact IFA for location).
SEPTEMBER 11: Franchise Appreciation Day, Washington, DC…9-12: Fall Leadership & Board of Directors’ Meeting, Washington, DC…12: Franchise Development Seminar*, Renaissance Washington, DC, Washington, DC.
OCTOBER 17-18: Franchise Development Seminar, Wilshire Grand, Los Angeles…19-21: West Coast Franchise Expo, Los Angeles Convention Center.
2008 *=Institute of Certified Franchise Executives credits given. CFE=Certified Franchise Executive. The IFA Insider is written, edited and produced by Laura Fenwick, Terry Hill, Jodi McCray, Hilary Strahota IFA Insider newsletter is published bi-weekly (24 times a year). Correspondence: International Franchise Association, 1501 K Street, N/W., Suite 350, Washington, D.C. 20005, (202) 628-8000. © Copyright 2007 International Franchise Association. Contents of this publication may not be reproduced, stored in a retrieval system, or transmitted in any form or by any means (electronic, mechanical, photocopying, recording or otherwise) without prior permission of the publisher. The International Franchise Association sends out email and fax updates and opt-in email newsletters to its membership. If you would no longer like to receive one or all of these communications follow the "Unsubscribe" instructions found at the bottom of each email, fax or newsletter. For further questions, please call our Membership Service Department at 202-662-0765 between the hours of 9:00 a.m. and 5:00 p.m. Eastern, Monday-Friday or e-mail ifa@franchise.org.
On March 15, the US House Small Business Committee approved the Small Business Lending Improvements Act of 2007, HR 1332, to make a number of significant technical improvements to the 7(a) lending program and the certified development company loan program. The changes made in the 7(a) lending program will ensure that the guaranteed loan program will expand the availability of the program to those entrepreneurs that might not have considered the program. The modifications to the certified development company program will make sure that these organizations continue to promote local economic and community development. IFA is especially supportive of the provision in Title II that allows borrowers to maximize the use of both loans under Title V of the Small Business Investment Act of 1958 and the guaranteed loan program under the 7(a) segment of the Small Business Act.
Legislation requiring restaurants to disclose calorie counts and other nutritional information on menu boards was approved March 14 by the California Senate Committee on Health. The bill now advances to the Senate Appropriations Committee.
IFA members once again showed their support for the IFA’s political action committee, FranPAC, during the association’s recent annual convention in Las Vegas. IFA members supported the effort through the popular annual Silent Auction, two exclusive FranPAC VIP receptions featuring convention keynote speakers Democratic Leadership Council Chairman Harold Ford Jr. and former House Speaker Newt Gingrich, and through the PAC’s latest endeavor, the “365 Club”. The 365 Club is FranPAC's basic level of membership, asking franchise community leaders to pledge at least one dollar a day for effective political representation in Washington.
Linda HaneborgCFE, chairwoman of the ICFE Board of Governors, announced the release of the CFE Study Guide for Franchise Executives during IFA’s annual convention. More than two years in development, the Dunkin’ Brands-sponsored guide is a self-paced knowledge-base for franchise executives. The 320-page workbook, which includes a CD and links to online review exercises, includes 17 chapters authored by subject matter experts on the core topics of the CFE program.
Although the greatest number of attendees for the upcoming International Franchise Expo March 30-April 1 at the Washington, DC Convention Center will be prospective investors, those professionals who serve franchise systems can learn a lot as well.
Franchise Systems: Agile Pursuits, Cincinnati, Contact George Weathers; Around Town Community Magazine, Woodstock, Ga., Contact Gina D. Carr; Ballet Petite, Bethesda, Contact Nancy Parenti; Cabinet Liquidators, North Palm Beach, Contact Richard Healey; Curtis Johnson Realty International, Mesa, Ariz., Contact Curtis Johnson; Delecta Catering, Bonita Springs, Fla., Contact Ken Spear; eLucida, Indianapolis, Contact Mary Jo Gremling; Firestop Specialty Contractors, Hillsboro, Ore., Contact John F. Goodman; First Choice Business Brokers, Las Vegas, Contact Jeffrey Nyman; Fitniks Franchising, Atlanta, Contact John G. Kennedy; Grupo Americano de Franquicias Miami, Contact Rolando Gadala-Maria; Hamlet Restaurant Group, West Hollywood, Calif., Contact Greg Hernandez; Hester Painting & Decorating, Skokie, Ill., Contact Stephen Hester; Monkey Bizness, Centennial, Colo., Contact Jason Paulo; Mooyah Burgers & Fries, Plano, Texas, Contact Robert Andersen; National Hose Testing Specialties, Dallas, Ore., Contact Bob Evans; Nothing Bundt Franchising, Las Vegas, Contact Debbie Shwetz; OneRoof, San Francisco, Contact Jennifer Ellingson; Overland Capital Corp., Salt Lake City, Contact Kenneth T. Holman; Perquest, Oakland, Calif., Contact Barry Mori; Pure Power Boot Camp Franchising Corp., New York, Contact Lauren Brenner; Questamente, Tampa, Contact David D. Chitester; Restaurante Cojutepeque, Los Angeles, Contact Itzamani Aguilar; Rigatoni's Restaurants, Dublin, Calif., Contact Raymond Bartolomucci; Saks, Inc. - Club Libby Lu, Chicago, Contact Peter Hultgren; Staff IT, Oak Ridge, Tenn., Contact Glenn Zahn; Tasti D-Lite Franklin, Tenn., Contact Peter D. Holt; The Heart Station, Palm Beach Gardens, Fla., Contact Maurice F. Bowler III; Two 4 One Real Estate, Tucson, Contact Dan Pool; Zermatt Franchise Associates, Union, NJ, Contact Scott Stein; ABRA Auto Body & Glass, Brooklyn Center, Minn., Contact Mark Wahlin; Accessible Home Health Care, Coral Springs, Fla., Contact Piero Falci; Alliance Cost Containment, Louisville, Ky., Contact Miles Lee; Blackjack Pizza Franchising, Westminster, Colo., Contact Mike Gaston; Celebrity Kids Portrait Studios, Chicago, Contact Victoria Dodge; Cookie Advantage, Tulsa, Contact Kim Carns; Dinner A'Fare Franchising, Lawrenceville, Ga., Contact Stephanie Wright; EQ3 Franchise Holdings, Winnipeg, MB, Contact Fred Loewen; Franworks Franchise Corp., Calgary, AB, Contact Paul Monger; Mimi Home Solutions, Dublin, Calif., Contact Jerrill Rice; Pacific Auction Exchange, Bakersfield, Contact Marti Barajas; Passport Health, Baltimore, Contact Fran Lessans; Runza Restaurants, Lincoln, Neb., Contact Jon Wurst; Showcolate USA, Waco, Contact Ricardo Marques; Tax Centers of America, Russellville, Ark., Contact Gordon Thornsberry; United Imaging Partners, Kingsland, Texas, Contact Kathy Dimmick; Kindergolf, Singapore, Contact Donna Lee; Tejari Fz, Dubai Media City, United Arab Emirates, Contact Omar Hijazi.
IFA has gathered experts, reviewed pertinent issues and developed practical programs for franchise professionals seeking updates on sector development, legal and international issues.
Small business gains when federal agencies are sensitive to the economic consequences of new regulations, according to a report issued by the Office of Advocacy of the US Small Business Administration. By following the Regulatory Flexibility Act, federal agencies saved small businesses more than $7.2 billion in foregone regulatory compliance costs in Fiscal Year 2006. The Report on the Regulatory Flexibility Act FY 2006 documents these savings.
The Federal Trade Commission is offering a new guide for businesses with practical suggestions on safeguarding sensitive data. The 24-page brochure can help businesses of all sizes protect their customers’ and employees’ personal information.
The next IFA Insider that will arrive in your in-box, mail-box and e-mail-box (April 9 issue) will feature a new look that is reflective of new and inviting overall graphics changes going on at the association. The redesign was created to help readers better navigate through articles with an infusion of color, typefaces and graphic elements. The bimonthly newsletter is currently distributed via mail and electronically.
Find the latest facts about the franchising sector without fighting crowds, standing in line or considering fees. Visit Franchise.org to find:
Is your professional portfolio current?
Complete courses focused on franchising to update your professional portfolio. These online courses offer strategies to enhance compliance, recruiting and marketing.
Make a franchise employment connection now
Make your search for the right candidate or the right job easier. Visit the IFA Career Center to search for jobs or post a job.
The value of franchising, it’s near your fingertips
Whether addressing a local Rotary Club or preparing for a media interview, reach for the Economic Impact of Franchised Businesses, a study commissioned by the IFA Educational Foundation. The study provides detailed material on the economic contributions of franchising and displays it in national, state and congressional views.
Network online
Try the IFA Discussion Forums to question franchising sector experts online about topics of interest.
Compliance and mediation issues reviewed here
IFA provides practical and useful information on regulatory and compliance issues on its Web site, including its Code of Ethics, Ombudsman and other key programs such as the National Franchise Mediation Program.
MARCH 28: Mastering Franchisee Recruitment*, Washington, DC…29: Developing Peak Performing Franchisees*, Washington, DC…29-30: How to Become a More Effective Field Consultant, Management 2000*, Houston…March 30-April 1, International Franchise Expo, Washington, DC Convention Center.
FEBRUARY 10-13, 2008: *48th Annual IFA Convention, Orlando.
