Joel Libava
Dear Mayor Murray,
Let me start off by stating that I commend you. You’ve made a huge and very courageous move regarding fair wages. Thanks for stepping up.
Before I continue, you need to know a few facts about me.
1. I am not a member of the International Franchise Association.
As a matter of fact, I’m not very well liked by the IFA’s upper echelon. I don’t generally agree with their views on well, just about everything. In other words, I’m not a shill.
2. I’m an independent franchise ownership advisor. I advise prospective franchise business owners-from all over the US on how to carefully choose and research franchises.
3. I started the first-ever blog solely focused on franchising…way back in 2006. You’re on that blog now.
4. I write about franchising for several well-known small business websites. I’m called upon by the media-a lot, for my truthful insights on all things franchising. As a matter of fact, I weighed in on the $15 an hour debate on Seattle’s KIRO-TV a couple of months ago.
Now that you know a little about me, let’s get down to the reason for me writing this open letter to you, Mr. Mayor.
You’re Wrong
As much as I support workers getting paid more, and have stated as much in the past, there’s something you need to know.
You’re wrong.
You’re wrong to look at a local franchise business as a big business. It’s not.
The person who opened it up…who took a significant financial risk to open a business in your city is your neighbor. This person, this franchisee, is a citizen of Seattle.
This small business owner…this franchisee, may have 2-3 employees-tax-paying employees. A really successful franchisee in Seattle may have 20 or even 30 employees. But not 500 employees.
The franchisor…the company behind the local franchise owned by one of your local residents, probably doesn’t have 500 employees either.
The Wal-Mart in Seattle…or the Target in Seattle, they have 500 employees. Those are big businesses. They’re corporate operations with thousands of employees and billions of dollars in revenue.
The franchisee…that local resident who’s running a sandwich shop with a few employees, and is working 6-7 days a week, is probably making $50k-$75k a year-if the expenses are in order.
And, this local Seattle resident…this franchisee, probably took out a small business loan to earn the right to make that money.
Please Look At Franchise Businesses One More Time
Mr. Mayor, please don’t lump local Seattle franchise businesses in with big businesses.
They’re not the same. That’s why I wrote this open letter to you.
Corporations don’t own these franchises…the stores and restaurants that dot Seattle’s streets and neighborhoods. People do. Your people. Your neighbors.
Mr. Mayor, please do the right thing here.
Franchises are locally owned and operated small businesses.
They need to be treated as such.
Thank you for your consideration in this matter.
Sincerely,
The Franchise King®
Joel Libava
Cleveland, Ohio
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