Franchise Lawyer Blog

Franchising and the Election

Your choice of candidate for the U.S. presidency will no doubt be made after a complex consideration of various factors. However, since we are focused on franchising in this space, let’s try to consider the election just from that perspective.

Franchising World Magazine recently published the “FranPAC Report Card.” FranPAC is the political action committee of the International Franchise Association (which also publishes Franchise World Magazine); FranPAC advertises itself as supporting “pro-franchise, pro-business” candidates. FranPAC donated to 27 candidates for the Senate—23 Republicans and 4 Democrats. FranPAC gave financial support to 83 candidates for Congress—64 Republicans, 19 Democrats. FranPAC made a donation to the National Republican Congressional Committee as well. Although FranPAC did not donate directly to either Presidential candidate, clearly it favors Republican candidates in general as the pro-business, pro-franchise candidates and presumably would favor McCain in the same manner. To the extent FranPAC’s financial activities reflect the sentiments of the franchising community as a whole, clearly there is a perception that McCain and the Republican Party will best serve the interests of the franchising community.

Others have tried to sort through the candidates’ stated views to determine who might best serve the franchising community. Blue Mau Mau, a publication primarily serving the franchisee community, analyzed how each candidate would serve the small business community. But there is no plain answer there either, as both candidates offer a litany of ideas that would serve those who might fall within that constituency.

Notably, NPR’s online publication likens the development of the Obama campaign and the Obama brand to the development of a franchise system. But Obama’s intelligent use of the grassroots business structure that forms the basis of many successful franchise systems does not necessarily mean he is naturally the best candidate for those working within the franchise industry.

The IFA went to the candidates themselves with a series of questions, some directed specifically at issues facing the franchise community. Each candidate offers specific solutions to particular problems, although the pair has a tendency to disagree on what the real issues are. Reading through this Q&A might give one a sense of how each particular candidate would address a specific issue facing a specific franchisee or franchisor. It does not give a clear indication, however, that either candidate would better serve the franchising or small business community.

Given the enormous complexities of our current financial environment, an undecided voter would be much better served examining the views of the presidential candidates on our current financial crisis generally and the solution(s) each of them proposes. One of these men will have to lead us out of this morass, and all business models are going to sink or swim together based upon how well the man ultimately elected provides that leadership.

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top