Level Playing Field for Small Business Act of 2012 California Fair Franchising Act

On Tuesday, April 17th, the California Judiciary Committee approved AB 2305, the California Franchising Level Playing Field for Small Business Act of 2012, via a 6 to 3 vote. It now passes to the California Assembly Business, Professions and Consumer Protections Committee for a hearing on April 24. After its approval, it will then later go to the full California Assembly and later, to the State Senate for approval, and on to Gov. Jerry Brown for his approval.

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Assemblyman Huffman on California’s Fair Franchising Bill

Assemblyman Jared Huffman (D-San Rafael) speaks with Don Sniegowski from Blue MauMau about the fair franchising bill he introduced a month ago to the state of California, AB 2305, the Level Playing Field for Small Businesses Act. The bill was introduced to various committees of the assembly on Tuesday.

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California, Vermont and Massachusetts Introduce Fair Franchising Bills

It started with Rhode Island three years ago. That was supported by franchisee groups Dunkin’ Donuts Independent Franchise Owners and the Coalition of Franchise Associations. DDIFO last year helped introduce a bill in Massachusetts. That is up for vote this summer. To the industry’s surprise, the Massachusetts bill was copied over to Vermont by a franchisee. And now California has introduced assembly bill 2305, the Level Playing Field for Small Businesses Act.

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DDIFO Along With the CFA are Listed Supporters of the Small Business Tax Cut Act

Dunkin’ Donuts Independent Franchise Owners (DDIFO) along with the Coalition of Franchisee Associations (CFA) and other franchisee associations have all signed on to support The Small Business Tax Cut Act which was introduced by Majority Leader Eric Cantor. The tax cut bill, if passed, would decrease small business owners’ taxable income and increase bottom lines. Specifically, The Small Business Tax Cut Act would allow franchise owners to deduct 20 percent of their income from taxes, up to 50 percent of their W-2 wages.

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The Fight for ‘Fairness in Franchising’

Jason Daley writes at Entrepreneur Magazine: Imagine owning a small business for 20 years, pouring all your time, money and sweat into achieving a decent cash flow and a little equity. Then imagine getting a contract in the mail stipulating that if you want to continue doing business, you must replace thousands of dollars of perfectly good equipment, adjust suppliers or prices or make a dozen other changes that could destroy your bottom line. And if you don’t sign, you more or less forfeit your life’s work.

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