As part of its ongoing Campaign for Capital Access, IFA member Sean Falk, a multi-unit franchise owner of Great American Cookie, Pretzelmaker, Mrs. Fields Cookies and Salsarita’s Fresh Cantina, joined small business lenders from the Financial Services Roundtable and the Consumer Bankers Association for a Capitol Hill briefing on small business lending on Dec. 13. Falk briefed congressional staff about his challenges in accessing capital, which have prevented him from opening additional stores and creating jobs.
Falk pointed out that franchising offers the scalability necessary to create jobs quicker than most industries, if given adequate access to capital. Falk noted that SBA lending is now the only vehicle available to him through the local community bank he has worked with for years, given the commercial lending market has dried up due to new regulations requiring borrowers to provide collateral that is unattainable for most low-margin businesses like many franchises.
Have your own story to share about difficulty accessing capital? Contact IFA’s Vice President of Government Relations & Public Policy, Jay B. Perron, Jperron@Franchise.org