We’ve Only Just Begun

To steal from a 1970 hit single by The Carpenters, franchisees must remember that indeed, we've only just begun. While we are disappointed in having California Senate Bill 610 delayed from the committee vote, we have to put it all into perspective. The bill is still active and has passed both the Senate and Assembly Judiciary Committees.  It has also passed the full Senate.  This will give franchise owners, their supporting franchisee associations, and lawyers additional time to educate legislators on the issues and rebut the scare tactics used by the opposition. Remember, the committee analysis showed we had 712 individual supporters contact them.   Those supporters were primarily California franchisees, and we appreciate the effort and support from each of you.  This is a great base to build on and remind our legislators that companies, associations, and lobbyists don't vote, but individuals that live in their district do.

Besides California, legislation is active in other states, with more to come. This is being driven by franchise owners in those states, whether they have an association or not.  It is quite simple why; franchisees want to protect their investments, whether that's through increased protection from terminations, renewals, transfers, sourcing of goods, pricing, encroachment, and others. The CFA, along with others, will continue to drive these efforts.  We will work to engage franchisees and continue to refine legislation that addresses the business needs, in terms that legislators feel comfortable with. We will also continue to support other franchisee efforts when appropriate. In the last year, CFA has filed two amicus briefs on behalf of the Mail Boxes Etc. franchisees and an ACE Hardware franchisee. Please note that neither of these are CFA members, yet the CFA board felt the issues at hand were relevant to the rights of all franchisees.

I think we must understand that through history, rights movements have been full of obstacles and challenges.  Our primary opposition has been at this for over 50 years, while the CFA for only a few. We must remember that for franchising to grow, franchise owners must invest.  Our goal is to bring some balance into the industry so that franchisees feel comfortable investing.  We must also continue to remind our legislators that it is franchise owners who invest, support, and create jobs in each of their districts.  I am as confident as ever that we are on the right side of the discussion, and that we are moving closer to better rights and protections for franchise owners.

We ask franchise owners to become personally involved. And frankly, we could use some financial support to really ramp up our efforts. The opposition has spent hundreds of thousands of dollars to date, if not more, and while we have the advantage of individuals volunteering, we can't move to the next level without some financial support. We are requesting franchisee donations to our fair franchising cause through our Universal Franchisee Bill of Rights website by clicking the DONATE button on that site. None of the money collected through this method will be used for CFA general fund expenses, only fair franchising efforts on behalf of franchisees. In addition, if a donation comes in from a state that has active legislation, we will do our best to keep those contributions directed at that state's efforts. And finally, the CFA would always like your direct support. You can become a CFA Supporter, or Individual Franchisee Member via our website, by clicking JOIN.

CFA is run by a board of directors consisting of members from all 19 of our member franchisee associations. It truly is an association of franchisees for franchisees. We look forward to working with all franchise owners and franchisee advocates on issues important to franchisees, including small business legislative issues, best practices for associations, and the rights of franchisees. We must all pull together to succeed.

Sincerely,

Keith R. Miller
Chair, Coalition of Franchisee Association
Subway Franchisee – Auburn & Grass Valley, CA

Profile picture for user Keith Miller

Comments

Franchisees have been battling for rights for over 50 years

Keith,

You may have just begun, but franchisees have been fighting for their livelihood for over 50 years.

Let me understand this, you say you have just begun but the CFA started 5 years ago. Ok I'll accept that because you should have some sort of war chest by now. Share with us your financial situation and membership numbers, so we can understand what you mean by "we could use some financial support"? You mentioned that the IFA spent $100's of thousands and got it tabled, so I suppose "some financial support" would require $100"s of thousands.

Please share with us the CFA membership numbers:

How many $50 CFA Supporting members do you have this year?
How many $1000 Franchisee Members do you have?
Many many new franchisee associations paying $1000 do you have?
How many returning franchisee associations do you have paying $3500?

That should add up to your annual dues plus sponsors less any debts.

We should be able to determine what "some financial support" means.

I assume the CFA is a non-profit so this information is public.

Thanks.

Seriously?

You expect a response?

Wouldn't that be disclosing information that could be detrimental to their cause?

Being non-profit has nothing to do with commiting hari kari by giving any level of consideration to disclosure requests such as this.

 

Perhaps it would help to identify yourself?

Market not crowded enough to want this

There is no law that demands the things the visitor asks. The market isn't asking for this. That information is to be used internally for management purposes. I can't think of any association that posts an audited breakdown of their membership -- be it the National Restaurant Association, the National Retail Federation or the American Hospitality & Lodging Association. For example, the Ntl Retail Assn simply states: "We currently have more than 40,000 members representing nearly 500,000 foodservice establishments." The big ones have the money to audit but even they don't see a need. The National Franchisee Association, American Franchisee Association, DQOA, OFFA, KFCFA, FranMac, Owners8, DFA, DDIFO, the International Franchise Association, the American Association of Franchisees and Dealers, the International Association of Franchisees & Dealers or any franchise group need this even less.

Is there another association that is publicly breaking down this sort of information in order to attract more members or lawmakers to their cause? Are lawmakers asking for audited membership numbers from associations when they come to lobby? I doubt it.

One day an association may want to take a baby step, publishing the names of diamond supporters who give more. However, unlike contributors to the arts, this has its own set of problems for franchisee associations; namely, these outstanding owners would probably be threatened for termination by their franchisors.

 

Market not crowded enough to want this

There is no law that demands the things the visitor asks. The market isn't asking for this. That information is to be used internally for management purposes. I can't think of any association that posts an audited breakdown of their membership -- be it the National Restaurant Association, the National Retail Federation or the American Hospitality & Lodging Association. For example, the Ntl Retail Assn simply states: "We currently have more than 40,000 members representing nearly 500,000 foodservice establishments." The big ones have the money to audit but even they don't see a need. The National Franchisee Association, American Franchisee Association, DQOA, OFFA, KFCFA, FranMac, Owners8, DFA, DDIFO, the International Franchise Association, the American Association of Franchisees and Dealers, the International Association of Franchisees & Dealers or any franchise group need this even less.

Is there another association that is publicly breaking down this sort of information in order to attract more members or lawmakers to their cause? Are lawmakers asking for audited membership numbers from associations when they come to lobby? I doubt it.

One day an association may want to take a baby step, publishing the names of diamond supporters who give more. However, unlike contributors to the arts, this has its own set of problems for franchisee associations; namely, these outstanding owners would probably be threatened for termination by their franchisors.

 

Lot of lobbying bang for the franchisee buck

Visitor: I suppose "some financial support" would require $100"s of thousands

It looks to me that one of the strengths of franchisees is they can create a delicious hot fudge sundae out of a used sugar beet slice.

Judging with how far California's SB610 and other bills went, my guess is that the CFA and its friends could neutralize the IFA's spending at a 1:10 ratio. The IFA and their friends would need over $2 million for every $200,000 that franchisees spend. Franchisees and their communicating with lawmakers to support these bills are getting a lot of bang for their small lobbying buck.

 

Lot of lobbying bang for the franchisee buck

Visitor: I suppose "some financial support" would require $100"s of thousands

It looks to me that one of the strengths of franchisees is they can create a delicious hot fudge sundae out of a used sugar beet slice.

Judging with how far California's SB610 and other bills went, my guess is that the CFA and its friends could neutralize the IFA's spending at a 1:10 ratio. The IFA and their friends would need over $2 million for every $200,000 that franchisees spend. Franchisees and their communicating with lawmakers to support these bills are getting a lot of bang for their small lobbying buck.

 

CFA has the necessary resources

The evidence is in the constant state by state activity. No organization owes anyone's, least P&S all a bust out a anonymous Internet nobody, an accounting. Darnell's hit the nail on the head. Why should any organization answer to anyone but its members?

Why don't you join and get the answers to your questions? If you don't even have a few thousand dollars a year to join to get answers you so apparently desperately crave, I doubt that anyone cares what your questions are.

Show me the money, as they say.

Still waiting.

IFA Troll

Sounds like an IFA troll to me. This is just the kind of information they'd love to have. Plus it's a way to weaken the franchisee side of the issue without having to make their pro-franchisor stance too obvious.

This person is pro-franchisee? Who's he/she/it kidding?

Signed,

Gale