FAN AND FRANCHISE ADVOCACY IN 2020

Government Relations

By Erica Farage, IFA

2020 was a year like no other for the franchise sector, including our advocacy and the Franchise Action Network (FAN).

Since the outbreak of the COVID-19 pandemic until today, FAN has been fully activated and grown in a way never before seen in the history of IFA. Through the efforts and activism of members of the FAN (FANs) – from emails to congressional offices to phone calls to even being interviewed on major news networks – the franchise sector secured access to emergency lending programs, tax incentives and credits and other components of COVID-19 relief totaling billions of dollars. These achievements are even more impressive when considering their context in the midst of so much upheaval.

Most notably, FANs helped secure franchise inclusion in the Paycheck Protection Program (PPP), through which $16 billion in emergency loans has gone to franchisees, impacting more than 2.5 million jobs. FANs also contacted their legislators and ensured the passage of the PPP Flexibility Act. And in the bleak midwinter, when Congress was deadlocked in December over another rescue bill, FANs kept up the pressure on lawmakers through the #SaveSmallBiz campaign. Because of these efforts, the second relief package included critical sections for franchising, like the second draw of PPP loans and the full tax deductibility of loans.

So, how did FANs do it? The answer: they never relented, and they never muted themselves! As the graphic on the next page demonstrates, FANs flooded Congress with messages, communications, and meetings, conveying the disastrous situation facing franchises. Hundreds of thousands of grassroots emails and tweets guaranteed every member of Congress knew what was at stake for the sector. FANs also fully embraced virtual advocacy, hosting 80 tele-town halls with lawmakers throughout the year. Instead of the normal September FAN Annual Meeting in Washington, DC, FAN hosted a virtual event that secured 100 additional meetings with legislators and their staff. So large was this mobilization that, in the process, and thanks to FANs and IFA members sharing campaigns with their networks, FAN itself grew by 45 percent last year.

Furthermore, COVID-19 wasn’t the only reason 2020 was an extraordinary year. The coronavirus and our national and local responses have clearly demonstrated disparities across our economy and society. As issues of racial justice rose to the national stage in the wake of George Floyd’s death, the IFA and IFA Foundation launched the Franchise Inclusion Leadership Series, a virtual tele-town hall series to assemble local policymakers, business leaders and community organizers in discussing how we can support and advance minority entrepreneurs and minority-owned businesses. The Franchise Action Network was pivotal in the rollout of the series, hosting virtual events highlighting diversity and inclusion in franchising featuring members of Congress, local officials, franchisees and franchise executives.

Atlanta and Georgia FANs hosted Congressman Hank Johnson (D-GA-4) to discuss methods and pathways to improving minority business ownership. Meanwhile, Philadelphia and Pennsylvania FANs hosted Richard Snow of WSFS Bank, Philadelphia Councilwoman Cherelle Parker (D-9), David Dix of the Pennsylvania Commission on African American Affairs, and the trailblazing Tanya Holliday, the first black woman to own and operate McDonald’s restaurants in Philadelphia, to address how the city of Brotherly Love can improve opportunities and outcomes for all its residents. Four franchise advocates and IFA members – Carolyn Thurston (Wisdom Senior Care), Claudia San Pedro (SONIC), Earsa Jackson (Clark Hill), and Daniel Halpern (Jackmont Hospitality) – also took the mainstage to speak during The Hill’s virtual 2020 Diversity Summit, which was viewed live by an audience of over 50,000 and reached 4,200,000 people on Twitter! FAN will continue to amplify how the franchise sector is doing its part in providing accessible means to overcome inequalities and inequities.

Needless to say, 2020 was an eventful year for the Franchise Action Network. But consistently and tirelessly, FANs have stepped-up to meet the challenges our sector faces, whether local, federal, macroeconomic, or microscopic, for that matter. What started as a group of roughly a thousand franchisees has become a nationwide community 100,000 strong. None of this would have been possible without the work of IFA members, leadership, and staff, so a special thanks to everyone involved and to each of our incredible advocates. And if you haven’t already joined FAN, it’s easy: text FAN21 to 52886 and follow the link to register.

We are truly fortunate to live in a period of time in our democracy with the unrivaled capability to make our collective voices heard. We have no excuses for inaction nor justifications for silence. Each of us has a role to play in supporting this inspirational, cooperative and empowering business model. Let’s get to work.

 

Erica Farage is the vice president of political affairs and grassroots advocacy for the International Franchise Association.

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