Public Affairs Conference Success – On To Franchise Update TODAY

The IFA Public Affairs Conference was high energy and positively charged. IFA’s Conference and Government Affairs team was on top of their game and did a stellar job in keeping the program on track and the speakers relevant. George Will as a repeat speaker worked well for me as well. He was every bit as good this year as we was last. Just as he does weekly on ABC’s This Week with George Stephanopoulos, he breaks down all of the political double speak, to the simplest of common denominators.

More than 400 IFA loyalists attacked the Hill to lobby their members of Congress for the myriad of issues that are important to IFA and its members, predominantly:
· Capital Access
· Card Check
· Health Care

As for me, I broke ranks and instead of joining the rest of the Georgia gang to visit our Peach State elected officials, I spent my time seeking out those Members of Congress and staff that can make the greatest difference with reference to the passage of another issue that IFA has signed on to, one that is near and dear to all of us at RetroTax. I am referring to HR 1677, HR 3500 and S 1222, three bills that are focused upon the extension and expansion of the legislation governing the Federal Empowerment Zones and Renewal Communities and tax credits available to businesses that send resident employees to work in those zones. My time on the Hill was very productive and I am confident that we will prevail in the extension of these benefits.

And, I think other IFA member’s time was productive, too, as there were easily 450 in attendance, a true reflection of the times and how important our collective voices are on the Hill, in these challenging times.

This week, the franchising fun continues, as I will be Networking, networking, networking at the Franchise Update Leadership Conference in Chicago – STARTING TODAY.

I am looking forward to robust conversations with franchisors that can benefit from RetroTax services, to learning as much as possible from my peers and as always, to giving back as much as I can, to those that can benefit from hearing from me. I’m really looking forward to participating in the “pre-conference, CEO Summit again this year. As was the case last year, it is facilitated by the very able Linda Burzynski and is a mindshare session for CEOs and Presidents only. This interactive program is all about "Exceeding Today's Stress Tests for Franchise Growth". How to continue to grow franchise units, where to get the right capital, what your org. chart should look like, how to craft salary and incentive programs and issues like that.

As for the panel that I am speaking on this year, our topic is: Lead Generation Track -- Where Can I Find More Qualified Prospects in this Economy? I join the very capable Paul Mangiamele, President/CEO, Salsarita's Fresh Cantina and Kevin Drudge, Vice President of Franchise Development at Valpak for this session.

Information shared at events like the IFA Public Affairs Conference and Franchise Update’s conference in Chicago this week are validating my belief that the recession has hit bottom, but that there will be a long slog to recovery. It could take years to get there, but barring any unforeseen events, I don’t think that things are geared to get any worse than that which we have already experienced.

If you are at Update – be sure to connect with me (best way if you want to schedule a meeting is by emailing me at stan.friedman@retrotax.com). Can’t wait to see all of you!

IFA’s Public Affairs Conference a Must – as is Tonight’s ATLFA

We all know how every move we make is critically important during these trying economic times. Equally important, is absorbing as much information as possible, to support our moves. This week's blog post serves as a friendly reminder that Ron Feldman, CEO of Siegel Financial Group, (and RetroTax franchisee) is in town and will be discussing financing in franchising at tonight’s Atlanta Franchise Alliance networking event, just ahead of next week's big IFA conference, September 14-15 in DC. Both of these are MUST attend events for everyone in franchising!

ATLANTA FRANCHISE ALLIANCE
TONIGHT (9.9.9) from 5:30 – 7:30
The Ravinia Club
2 Ravinia Drive
Atlanta, GA 30346

An evening with Ron Feldman, CEO of Siegel Financial Group discussing the state of financing in franchising.

IFA’S PUBLIC AFFAIRS CONFERENCE
September 14-15, 2009
JW Marriott Hotel
Washington, DC

IFA’s Public Affairs Conference is the franchise industry’s most important advocacy event.
Formerly known as Franchise Appreciation Day, re-branded Public Affairs Conference, is your chance to discuss with members of Congress how franchising is being impacted by their decisions. During the conference, IFA schedules meeting on Capitol Hill to discuss:
Economic Stimulus Programs
Health Care Reform
Card Check Legislation
Finance/lending reform
Tax Policy

This year’s keynote speaker is George F. Will, America’s foremost political commentator and columnist.

There is no registration fee to attend either of these programs.

More than 500 franchisors, franchisees and suppliers participated last year to tell franchising’s story. Join the IFA again this year to lobby Congress on the issues that matter in protecting the business climate for franchising.

Economic Improvement Continues – My Economic Predictions

For those of you that read my blog regularly, you know that I remain optimistic about the future, despite these challenging times that we’re all living through. It’s been a while though since I last commented on how I see things, so an update seemed in order. While on some fronts I believe that economic conditions surrounding the recession may finally be close to bottoming out, I’m still a bit concerned about the potential for another meltdown in real estate. This one though, on the commercial front. With so many business failures recorded during the first half of the year, there is the potential for a commercial crisis, stemming from landlords unable to meet their mortgage commitments on unoccupied retail and office spaces.

Needless to say, when it arrives, economic recovery will be good for all businesses, franchised or otherwise. I think though, that it will take a bit of time for demand to catch back up with supply on the real estate side. Overall, as a business model, I believe that franchising would have weathered this storm with far less stress, but for the perfect storm caused by the simultaneous impact of the recession and credit freeze. More than anything, it was the latter that has gummed up the works for franchising, keeping displaced employees from becoming aspiring new entrepreneurs.

Through all of this, IFA members should all be extremely proud of their membership in the International Franchise Association. Now, more than ever, the IFA, it’s Board of Directors, its Government Relations Team, and members on all fronts, franchisors, franchisees and suppliers have made their voices heard at the White House, on Capitol Hill, at the Federal Reserve and the U.S. Treasury.

Don’t miss your chance to do the same by voicing your concern to your elected officials at http://www.franchisingvotes.com/ and by attending the IFA’s fall Public Affairs Conference on Capitol Hill in mid September. More about that opportunity to meet with your elected officials can be found at http://www.franchise.org/publicaffairs.aspx. Each of these efforts support the loosening of the purse strings so that banks again begin lending to existing and/or soon-to-be franchisees. That will provide the best assurance of sustainable growth for our economy and the creation of new jobs and businesses on Main Streets across America. In addition to the obvious value propositions provided by the IFA, like education and networking, in my opinion, there is nothing more powerful than the voice it provides in terms of political action.

As for the future – or the end of this economic drought -- I wish I could read those tea leaves and see through the haze. I do think though, that what happens (or hopefully doesn’t,) between now and summer recess on Capitol Hill, will speak volumes to where we can expect things go from here.

As the old saying in TV news goes, “film at 11.”

On Nationwide Tour of Zoned Tax Credit Cities, Milwaukee Impresses

Each minute of my three days last week in Milwaukee was so highly charged that it was like trying to take a drink of water from a fire hydrant.

My first meeting which I really thought of as a social call, turned into anything but. It was to catch up with a restaurateur that I met back in 2003-04, when I was still at Wing Zone. Back then, this gentleman came to Atlanta for one of our Discovery Day programs, but at that time, chose not to move forward with our Milwaukee opportunity. We liked this guy a lot though and I still do. That’s why I phoned him in advance of my trip into Milwaukee. I, of course, figured that since he still owned his restaurant, I might be able to do him some good with tax credits.

After getting caught up on what he’s been up to for the past five years, it turns out that his current business interests, high profile and network of connections in Milwaukee, make him a really strong candidate for a RetroTax franchise. I’m very much looking forward to receiving a preliminary application from him and his partner and then bringing them to Indy for a RetroTax Discovery Day. Perhaps this time, we’ll come to a different conclusion.

As witnessed by this reconnection, my search for a franchisee in Milwaukee could actually be over before it even starts, given the application that I am expecting to receive and the upcoming Discovery Day that will follow. A second potential candidate has also expressed interest in the market, but is not quite as far along in the process just yet.

What a bonus and sweetener all of that that turned out to be. My Milwaukee trip was originally scheduled because I was invited to participate in a meeting of the Milwaukee UEP. (Urban Entrepreneur Partnership) The UEP has local chapters nationwide, designed to encourage entrepreneurship in urban areas, particularly among minority entrepreneurs. This partnership combines public, private and nonprofit sector resources to expand entrepreneurship and jobs in historically neglected and economically underserved areas across the country. At the local level, this meeting very much reflected the work that I have recently jumped into with both feet at the national level, with the US Chamber of Commerce and its BCLC (Business Civic Leadership Center).

I came to speak to these civic and business leaders in Milwaukee, about the benefits and advantages of wage-based tax credits and the positive impact that they can bring to businesses located in and around Milwaukee’s Federal Renewal Community. Attendees at this meeting represented leadership from the public and private sectors, bankers, CEOs, financial professionals, attorneys, academicians and the Federal Reserve Bank of Chicago’s, Community Affairs Director, who assists with the facilitation of this UEP Chapter and its work.

My interest in this market is spurred by the fact that some 70 percent of Milwaukee’s city limits are located inside the boundaries of the city’s Federal Renewal Community. Milwaukee also has a strong urban residential population. These two factors together spell significant opportunity for the identification and generation of wage-based tax credits. Add to that the charm of the city and its people and that Milwaukee is a great place to do business, especially at this time of year.

As you can see, my love for Milwaukee is identified in both business, personal terms. One of my Chicago franchisees actually lives in Milwaukee’s northern suburbs. That probably begs the question, “why then isn’t he a Milwaukee franchisee?” The answer is that he is “hard-wired” to the city of Chicago. Additionally, he is in partnership with his daughter and son-in-law on their RetroTax franchise and logistically, Chicago makes greater sense for them all. I’ve actually made some very significant new friends and business connections in Milwaukee who are proving to be very deep and meaningful. My links to this community are already running deep and I am looking forward to expanding them all, in good time.

Great trip, great momentum, great results – all for our growing RetroTax brand that is STILL attractive in any economy, most certainly, this one.

Update on The Recession Friendly Franchise – RetroTax

Amazing how fast this year is zipping by. With each and every meeting that we take with a prospective franchisee or business client, we are creating more and greater opportunities for the growth of our company. Right now I am at our processing center in Indianapolis, overseeing the training of our newest franchisees, RetroTax No. 6 (more to come on these “high profile” guys in an upcoming blog).

Our business won’t slow either. By year’s end I expect to have at least six more franchisees trained and operating. Being that we are a boutique type concept, this will be a tremendous measure of success for our young company. RetroTax was never contemplated to be an offering that would put out dozens or hundreds of franchise units in any given year. Six more by year end would have us at a total of 12, in less than two years. That is a number that I will be very proud of. Actually, for me the real measure of success comes from the numbers that the franchisees post, (sales and margin) not the number of franchises that we award.

For certain, times like these are troubling, but things around here are good. That said, this economic climate can be humbling. At this stage of our growth and development, our biggest challenge as a franchise concept and company, is deciding how, when and where to deploy our assets, both current and future. As we grow, we will continue to make enhancements and additions to our infrastructure. Our plan is to plow ahead aggressively with our development strategy, despite the fact that the world around us is still locked in the grips of recession. We can ill afford to sit around and wait for an upturn in the economy, before upgrading systems, technology and human resources. One such major addition is the introduction of a new position on our. org chart. RetroTax now proudly boasts the addition of a Director of State and Local Tax. That position has been filled by a very talented “recovering attorney” named Carol Stephan. Carol is an accomplished professional in the field of State and Local tax and we are extremely proud to have her on our team. Along with Carol, our recently inked alliance partnership with the Ryan Company brings a whole new level of services and programs for our franchisees to offer and for us to administer.

So, challenges like recession do breed opportunity. We face no shortage of interested parties to talk with, regarding our core services and our franchise offerings. When times are good, people like what we do, because we save them money. In times like these, people LOVE what we do and are interested in learning how they too, can become part of the RetroTax team.

More updates to come.

Together for Recovery Provides Path for Economic Resolution

A few weeks ago, I wrote about an organization that I have recently been introduced to and for whom I have subsequently committed to work tirelessly. It is called the Business Civic Leadership Center. (BCLC) is an arm of the U. S. Chamber of Commerce. Its mission is to advance the positive role of business in society. As such, (BCLC) and the U.S. Chamber work with leaders from business, government, and non-governmental organizations to address and act on shared goals.

Given the depth of the current recession and credit freeze that our nation has been feeling the pains of, since at least Q4 of 2008, one such goal has been to find a way for all of those served by BCLC to weather this storm. In early May, 2009, (BCLC) and the U.S. Chamber actively engaged the business community, government, and nonprofit organizations to help America get back on its feet. It did so during a Rally for Recovery, at its annual National Conference on Corporate Community Investment in Chicago.

Subsequently, (BCLC) launched: http://www.togetherforrecovery.org/ At this portal, business owners, non-profits, individuals will find a one-stop-shop for information and guidance regarding economic recovery. BCLC and the Chamber has assembled the largest collection of examples on how the business community is part of the solution to economic recovery. If your company is doing something to help blunt this recession but is not yet listed, please tell (BCLC) what you are doing, so that they may update the site and share this with their subscribers.

Personally, I wish to thank Katie Loovis, Director of Business and Society at the (BCLC) and Stephan Jordan, Senior VP of the (BCLC) for inviting my participation in the video that is found at http://www.togetherforrecovery.org/ (BCLC) and the U.S. Chamber are committed to ensuring that that American businesses thrive, and that those of us on Main Streets across America emerge as victors, not victims of these trying times. My sincere thanks to each and every member of their team, for all that they do. Let me encourage you too, to become engaged and involved in the work of this organization.

ATLFA Meets This Week: If In Atlanta, Don’t Miss It

I would like to personally invite all of the RetroFacts readers to the Atlanta Franchise Alliance’s May meeting, 5-7 p.m. tomorrow (Thursday, May 21, 2009) at the Paper Mill Grill, 305 Village Parkway, in Marietta, GA.

The meeting is a great networking event and an opportunity to connect with your franchise colleagues from Atlanta.

To understand the value of the ATLFA, one must first understand our growth, as throughout the last year it has been two-pronged. First and foremost, we continue seeing many first-timers at our networking events, which is always a great indicator of growth. Secondly, we are growing internally, with the addition of four new members of our board in 2009. They are: Nick Powills, CEO, No Limit Media Consulting, Rich Greenstein, Partner, DLA, Piper, Greg Cory, CEO, eMaximation and David Asarnow, President, CEO at CLIX Portrait Studios.

This week, without a doubt, the economy and its impact on our businesses and ability to obtain credit and financing for new and existing franchisees will be top-of-mind. That remains the hot topic everywhere.

Our topical meetings set the tone for great interactions. Anyone with an interest in keeping up to date on what’s going on around them in franchising should clear the calendar for tomorrow night. Whether you are a franchisee, franchisor or a supplier, this is where to connect with all of those on the cutting edge of the franchise business model locally.

Two Weeks Until Tax Day – For Many Businesses Though, It’s Still Not Too Late to Benefit From Tax Credits

While the media is certainly hot on the topic of taxes as we approach April 15th, the topic of “tax credits” is one that our clients talk with us about all year long. In fact, our rush began around January 1 and ran through the deadline for the first quarterly filing date for corporations, which was March 15.

When it comes to business vs. individual tax returns, the biggest myth of all, is that April 15 is tax day. While true for individuals, corporations are on quarterly cycles, with March 15 ending the busiest time of all, for those in the corporate tax world. Many companies have other quarterly filing dates, but March 15 is the grand dad of them all. Can you claim tax credits year round? Certainly, if you are eligible for geographic, wage based credits. (FEZ/RC) But, that said, retroactivity only extends three years from the open tax year. So, once 2008 returns are filed, we would only be able to look back as far as 2006 for any credits that might have been available in those tax years. If the 2008 return has yet to be filed, we could go back as far as 2005, retroactively.

A year from now, tax credits will change, but it’s still too soon to tell what impact the stimulus package will have on jobs creation. If however, those shovel-ready jobs begin gaining traction, there will be many opportunities to generate credits, as a result of the jobs that will be created. More immediately though, there are two new categories for demographic credits (WOTC) that were born out of the stimulus bill and these WILL make a big difference. These categories are: unemployed veterans and disconnected youth. In general, an employer can earn from $2,400-$9,000 in tax credits for hiring a qualified unemployed veteran or disconnected youth who begins work for the employer during 2009 or 2010.

An unemployed veteran is any veteran who is certified as having been discharged from active duty at any time during the 5-year period ending on the hiring date; and being in receipt of unemployment compensation for not less than 4 weeks during the 1-year period ending on the hiring date.

A disconnected youth is any individual who is certified as 16 – 24 years old, not regularly attending any secondary, technical, or post-secondary school during the 6-month period preceding the hiring.

The bottom line is many businesses have tax credits available, but never claim them. That is why our business is so attractive to both potential clients and franchisees as well. Our tax credit administration process is second to none. While we cannot predict future tax credit trends, we definitely know how to maximize their potential, once we identify them and let our clients know that they are available.

Recession Friendly Concept Continues Growth, Signs Franchisee No. 4

With incredible pride and pleasure, I announce that yet another long-time friend of the company and/or its principals has joined the RetroTax family. Please join me in welcoming John Hess, who has signed on as our fourth franchisee and the first in Chicago Land. (BREAKING NEWS… yet another Chicago announcement coming soon) John has been on the RetroTax “fast track” for quite some time, as he has had a relationship with our affiliated company for a great many years and , more recently, became an independent contractor for RetroTax, before we began offering franchises. Now, John has decided to jump in with both feet and become a fully dedicated franchisee.

John is a graduate of the University of Wisconsin-Madison with a degree in Economics. Prior to his involvement with RetroTax, he was President of CC Development Strategies, Inc. (CCDS) a consulting firm specializing in workforce development, employment solutions to non-profits and government agencies and tax credit consulting to organizations hiring low income individuals. Before starting CCDS, John held the position of Vice President and Director of Sales and marketing for over 9 years, with a national staffing and employment services company involved in the syndication of wage based tax credits. In addition to his experience in the employment services industry, he spent 13 years in the investment industry as a portfolio manager and analyst with a Chicago based investment advisor. John is also currently on the Board of Directors of the Social Enterprise Alliance - Chicago Chapter; Bright Endeavors, a social enterprise committed to helping inner city, homeless and at-risk young women; and Asset Builders, LLC an organization dedicated to helping low wage individuals build wealth.

John’s strength as a business owner and as a person make him the perfect fit for us. The market opportunity in Chicago too, is truly unique, as it is home to not either a Federal Renewal Community or Federal Empowerment Zone, but both. Given its size, density of population and the fact that it houses both types of zones, Chicago should be an outstanding market for RetroTax.

More news to come, keeping an eye toward the West Coast, Ohio, Pennsylvania and DC.