Franchise Advocacy

Power of Brands

A brand name is one of the most valuable assets a company possesses. It lends credibility to a product or service, and it provides an assurance of quality, letting consumers know what they can expect, whether in Tuscaloosa or Tokyo. Franchising is inherently built on this “Power of Brands.” From providing consistency and familiarity to customers to empowering entrepreneurs and motivating employees, the Power of Brands represents an integral component of franchising's economic success, amounting to nearly 3% of US GDP.

In an effort to reset the public conversation and debate on franchising issues, IFA announced a new education campaign aimed to raise the profile and benefits of franchising fundamentally made possible through the Power of Brands. The campaign will promote pro-franchising brand messages and industry voices, build additional stakeholder support for franchising alongside awareness and bipartisan support within Congress and the Administration, and highlight the meaningful and often hidden contributions of franchise brands across the country.

To learn more about the campaign, or to get involved, please contact IFA's Erica Farage.

Enhancing Brand Protections

Trademarks are powerful symbols. They signal safety, consistency, and quality to consumers. Brand recognition and trust are essential to a franchise’s strength and success. Enhancing brand protection is a key legislative objective for IFA’s advocacy team.

IFA supports the Trademark Licensing Protection Act. This legislation resolves the discrepancy between employment and trademark law regarding brand integrity, provides clarity to brands, local business owners and employees, and solidifies consumer protection.

Expanding Economic Opportunities

At IFA, we believe diversity drives innovation. Studies have shown that when a veteran opens a franchise, that business typically sees an enhanced level of success and goes on to employ people at a higher rate. The Veteran Entrepreneurs Act will extend this opportunity to more of our nation’s heroes by creating a tax credit of up to 25% of initial franchise fees for veteran franchisees.

Embracing diversity not only enhances our culture, it drives the success of a business. IFA is focused on creating opportunities for minority small business owners and is dedicated to working with Congress to lower barriers to entrepreneurship.

The outcome is impactful: making franchise ownership more accessible to countless entrepreneurs strengthens the future of franchising.

Franchisee Fairness

Franchises are local businesses. Spanning industry, representing diverse ownership, from rural towns to urban centers, these businesses hugely impact the American economy. Regardless of brand recognition or corporate support, franchises face the same challenges as non-franchise businesses.

IFA fights to ensure our small businesses are treated equally and not penalized because of preconceived notions about franchises. On local, state, and federal levels, IFA’s advocacy team is dialed into the pulse of business-related regulations.

The Fairness for All Businesses Act is one such piece of legislation, providing the fairness our small businesses deserve. Specifically, the legislation mandates the equal implementation of minimum wage levels between the franchise and non-franchise businesses. By passing this legislation, Congress can level the playing field for all small businesses, and promote healthy and transparent franchise relationships.

IFA's FranPAC

One way IFA can be an effective public policy advocate for franchising is through a strong and vibrant PAC. FranPAC creates an opportunity for IFA members to provide financial support to candidates for federal office, and a robust PAC means more contributions to candidates who understand franchising and who will promote a legislative and regulatory climate favorable to franchised businesses. To learn more about FranPAC, please click here.

Thanks to the generosity and participation of IFA members, in the 2019-2020 federal election cycle, FranPAC raised over $1 million.

According to federal election law, IFA must have your permission before it can solicit your contributions to FranPAC. To receive the appropriate form or if you have any other questions, please contact Erica Farage, VP, Political Affairs & Grassroots Advocacy, International Franchise Association at efarage@franchise.org.

For information about federal election laws, please visit the Federal Election Commission website.

Our Recent Efforts

To Protect Franchising

Qualified Improvement Property (QIP)

By supporting a commonsense fix to the technical glitch in the tax law allowing for immediate depreciation on the costs of eligible remodels, renovations, and improvements, IFA seeks to improve the bottom-lines of thousands of franchise businesses throughout the United States.

Improving Tax Policy

Minority Business Ownership

Bipartisan Members of Congress Promote Minority Franchise Ownership.

Enhancing Opportunities

Financial Accounting Standards Board (FASB)

Historically, franchise brands have been allowed to immediately recognize the initial franchise fees earned from incoming franchisees, which average $36,000, when all material services or conditions relating to the sale have been substantially performed or satisfied. For small business, “emerging brands,” the recognition of this income is critical to the financial stability of entrepreneurs who are beginning to grow their business.

Improving Tax Policy

Affordable Care Act

IFA supports the intent of the ACA to expand access to health care, but has urged for the return of the 40-hour workweek and elimination of the employer mandate.

Promoting Healthcare Coverage

Joint Employer

The International Franchise Association advocates for a thoughtful, clear, and narrow joint employer standard that creates certainty for brands and business owners alike.

Protecting Brands

Franchise Relationship Legislation

In recent years, the federal and several state governments have introduced legislation that would codify franchise contracts into law, which would increase regulation on small business owners, reduce franchisee equity, damage brand standards and public safety, and insert the federal and/or state government into all preexisting and future contracts.

Protecting Brands