With the struggles continuing in the American economy this election year, it is imperative that everyone in Washington do everything they can to get the economy back on tracks.
These economic issues are clearly affecting the franchise industry, as the Franchise Business Index (FBI) dropped in June for the first time in 10 months. This slip-up in the face of steady growth in the franchise industry has inspired the head of the IFA Stephen Caldeira to appeal to President Obama to reconsider his tax proposal plan.
According to Fox Business:
Caldeiria wrote a letter to President Obama last week on behalf of the IFA to counter his proposal to raise taxes on those making more than $250,000 annually, claiming this will negatively impact small business job creators.
"It is becoming increasingly difficult for prospective franchisees and investors to get into franchising, for existing franchisees to expand their operations or make capital investments in their current establishments, and for franchisors to make decisions about growth plans due to the ongoing uncertainty in the tax code, regulations stemming from the health care law and the lack of a full recovery in the credit markets which has affected access to capital," Caldeira said.
Let's hope the President heeds the words of Caldeira and the other people lobbying for the franchise industry.