As the Washington Post reported, IFA member Jamie Smith, franchisee of Mr. Rooter Plumbing of Greater Baltimore testified on behalf of IFA yesterday on the rising cost of gasoline. Speaking to the House Small Business Committee Jamie focused on how the high costs are having an adverse impact on the bottom line of franchise small business owners.
“Since opening my operation in 2010, I have seen a 29 percent increase in fuel prices, at a time when my sales and revenues have declined,” said Smith in his written testimony. “As a small business owner, I cannot leverage economies of scale to absorb cost increases like larger corporations. Absorbing these costs drastically affects my bottom line. I ask American policymakers to immediately invest in strategies for increased energy production, greater use of our existing resources and promotion of alternative energy options like natural gas and hybrid electric vehicles.”
While the majority of the hearing was dominated by testimony as to the cause of the rising fuel prices, Mr. Smith pointed out that the government inaction is overlooked in its role in exacerbating and prolonging the problem. “Right now, with the gridlock and the red tape, what’s not happening is making sure there’s a plan in place to help the economy, help businesses, and help families”, he said.”