1851

Franchising has never been more under attack than it is today, said Aziz Hashim, <a href="http://www.franchise.org/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franconnection-2016-franchising-under-attack-must-change-the-narrative-4676" target="_blank" rel="nofollow" target="_blank">International Franchise Association</a> Chairman and CEO of <a href="http://www.nrdcapital.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franconnection-2016-franchising-under-attack-must-change-the-narrative-4676" target="_blank" rel="nofollow" target="_blank">NRD Capital</a>, an Atlanta-based private equity firm, at FranConnection 2016. &#8220;We are being attacked by every sector of the government,&#8221; he said. His speech came on the heels of DOL Overtime Rule that became public this morning, in which IFA responded with a statement, including this from IFA CEO Robert Cresanti: &#8220;Far from &#8216;giving America a raise,&#8217; the new overtime rule will compel many franchise businesses to reduce their managers&#8217; take-home pay simply to comply with the extreme new salary level. The rule is unfair to employees who will need to be reclassified from exempt to non-exempt, and thus effectively demoted. The Administration irresponsibly failed to conduct any economic analysis of this rule&#8217;s impact on a myriad of stakeholders, and millions of employees will experience reduced take-home pay, opportunity and flexibility in the workplace as a consequence of the Administration&#8217;s actions.&#8221; Overtime rules, NLRB rulings and minimum wage hikes will continue to challenge the franchise industry. Part of combatting this in the future is changing the story of franchising, Hashim said. &#8220;At the IFA, we decided to find out what the general public really felt about franchising, knowing that their opinions, if not aligned with franchising reality, will not help to tell the story,&#8221; he said. &#8220;We did focus groups of ordinary Americans; 10-12 Democrats and Republicans &#8211; a very mixed group. We asked them what they thought about franchising, and it was very negative. The American people do not understand anything about our model. Their opinion is that franchisees are agents of franchisors. The name there says McDonald's, so how could it be owned by the family who lives in the town? Their perception is that the franchisee just manages it for McDonald's. This is a problem." &#8220;We were a victim of our own success. If you walk into one of our units you should not know if it is a corporate or a franchisee owned location. Each location should look and feel the same. We succeeded at building this business culture, but now, the American public really doesn&#8217;t know who owns that unit. They think the franchisor owns the unit," Hashim added."Even our own employees don&#8217;t know who they work for. Who do you work for? Popeye&#8217;s they say, not a Popeye&#8217;s owned by a franchisee. We have this massive misperception about our industry that we must correct through education. Changing the narrative of franchising is essential. The public should know that most businesses in their community are owned by family who lives in the community and invested their own money into that brand. If we change the opinions of the public, then, they will understand how these changes can negatively impact their neighbors.&#8221; Hashim said that everyone in the franchise community should help to educate others on their story. &#8220;We are trying to change the narrative through our fund, NRD Capital, but we need more people to help tell the story,&#8221; he said. The IFA launched FAN, <a href="http://www.franchiseactionnetwork.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franconnection-2016-franchising-under-attack-must-change-the-narrative-4676" target="_blank" rel="nofollow" target="_blank">Franchise Action Network</a>, a network of 11,000 franchisees, franchisors and suppliers committed to helping to change the story.

1851 Franchise

Aziz Hashim, International Franchise Association Chairman, believes that overtime rules, NLRB rulings and minimum wage hikes will continue to challenge the franchise industry.

This brand page has been paid for by 1851. Content within this page that is paid will showcase a Sponsored icon. This means the brand has engaged 1851 FRANCHISE to write the content. Content without the Sponsored Icon is aggregated media placements the brand earned. Questions can be sent to editorial@1851franchise.com

FranConnection 2016: Franchising Under Attack, Must Change the Narrative

franconnection-2016-franchising-under-attack-must-change-the-narrative

Dog Training Elite

Dog Training Elite - Chris Bergman - Dog Training Tips - National Dog Training Education Month

2News Nevada: Dog Training Expert Provides Tips for National Dog Training Education Month

dog-training-elite-chris-bergman-expert-tips

Workout Anytime

Workout Anytime Showcases Prime Multi-Unit Growth Opportunity at MUFC 2025

workout-anytime-showcases-prime-multi-unit-growth-opportunity-at-mufc-2025

Voodoo Brewing Co.

Photo of Voodoo Brewing Co. main dishes on wood table

Voodoo Brewing Co. Shifts Focus to Food Innovation in 2025

voodoo-brewing-co-shifts-focus-to-food-innovation-in-2025

Famous Dave's

Famous Dave’s Unveils Exciting New Prototype Model for 2025

Famous Dave’s Unveils Exciting New Prototype Model for 2025, Expanding Its Reach With More Affordable, Convenient and Quality Dining Options

famous-daves-unveils-exciting-new-prototype-model-for-2025-expanding-its-reach-with-more-affordable-convenient-and-quality-dining-options

Beef 'O' Brady's

Marketplace: Beef ‘O’ Brady’s Adapts to the Growing Demand for Takeout on Game Days

beef-o-bradys-game-day-takeout-trends

Buying a Franchise Masterclass

 Franchise Opportunities

Get Support Buying a Franchise

How to Buy a Franchise White Paper

How to Buy a Franchise

How to Sell Franchises

How to Grow a Franchise

Find a Franchise Supplier

1851 Franchise Opportunities

Franchisor News

Franchisor Power Rankings

FranCamp Mastermind Summit

Franchise Resources

What ALEC-Laffer's Report Means for Franchising

Website Awards

Power Rankings

About 1851

Advertise on 1851

Contact 1851 Editorial

Terms of Use

Login

facebook

instagram

twitter

linkedin

youtube

NRA: Restaurants Focus On Enhancing In-Store Experiences To Attract Diners in 2025

nra-restaurants-focus-on-enhancing-in-store-experiences-to-attract-diners-in-2025

The Joint Chiropractic - Dr. Anthony Tran - IFA Franchisee of the Year - 1851 Franchise

The Joint Chiropractic’s Dr. Anthony Tran Named Franchisee of the Year by the IFA

joint-chiropractic-dr-anthony-tran-ifa

TruGolf - Hybrid Golf Franchise - Nexus Golf - 1851 Franchise

TruGolf Links Unveils Revolutionary Hybrid Golf Franchise Concept

trugolf-links-unveils-revolutionary-hybrid-golf-franchise-concept

Photo of a basket of chicken wings with dipping sauce and celery

RestaurantNews: Franchisees File Comprehensive Legal Complaint Against Hurricane AMT

restaurantnews-franchisees-file-comprehensive-legal-complaint-against-hurricane-amt

Hooters - Bankruptcy Chapter 11 - 1851 Franchise

Hooters Prepares for Bankruptcy Amid Financial Struggles

hooters-prepares-for-bankruptcy-amid-financial-struggles

Paris Baguette Ranks Among Top Franchises on Entrepreneur’s Franchise 500® for 2025 - 1851 Franchise

Paris Baguette Ranks Among Top Franchises on Entrepreneur’s Franchise 500® for 2025

paris-baguette-ranks-among-top-franchises-on-entrepreneurs-franchise-500-for-2025

DOJ FTC Antitrust Guidelines - Franchise News - 1851 Franchise

DOJ and FTC Issue New Antitrust Guidelines with Implications for Franchising

doj-and-ftc-issue-new-antitrust-guidelines-with-implications-for-franchising

Taco Bell Joins the Beverage Boom With New Live Más Café Concept

taco-bell-joins-the-beverage-boom-with-new-live-mas-cafe-concept

Domonique Downing - Big Frog Franchise - Fayetteville, GA - 1851 Franchise

Coca-Cola Scientist Finds Path to Autonomy with Big Frog Franchise in Fayetteville, Georgia

big-frog-franchise-fayetteville-georgia

Franchisee spotlight image with Randy and Sandy Craft, Children's Lighthouse logo on blue background

The Crafts’ Successful Journey from New Parents to Children’s Lighthouse Franchisees

the-crafts-successful-journey-from-new-parents-to-childrens-lighthouse-franchisees

Franchisee spotlight featuring Ian and Dick Rydholm with gradient blue background and Sylvan logo

Ian and Dick Rydholm Celebrate 30 Years of Transforming Lives Through Sylvan Learning in El Paso, Texas

ian-and-dick-rydholm-celebrate-30-years-of-transforming-lives-through-sylvan

Florida Franchisee Reflects on Success and Growth with Sylvan Learning

florida-franchisee-reflects-on-success-and-growth-with-sylvan-learning

Military Veteran and Craft Beer Enthusiast to Bring Voodoo Brewing Co. to Toledo, Ohio

FranConnection 2016: Franchising Under Attack, Must Change the Narrative

MORE STORIES LIKE THIS