An Opportunity to Be A Part of History, Continued...

In Part One of this very engrossing two part series of blogs on the SBLS, I referenced baseball’s opening day, and voiced the sentiment that many IFA leaders were heading to D.C. with a sense of optimism because we felt we could truly make a positive difference. Well, now a week later, I can whole-heartedly say that last week’s Small Business Lending Summit (SBLS) was one for the record books and I absolutely DO feel like everyone in the room made a positive difference!! Think of the SBLS as the baseball game where each team scores every inning – one for you, one for us, two for you, two for us. My opinion is this “game” is far from over, but our team (the franchise community, the bankers and the policy makers) is currently leading against team No Money for You. We’re only in the bottom of the 2nd inning though, so what we have to do now is be relentless in keeping the pressure on in order to sustain our advantage.

I believe IFA Chairman, and McDonald’s franchisee, Jack Earle summed up the day very well when he said, “The dialog was at times tense and always enlightening”. At one point, there was a lot of “respectful disagreeing” going on, but even after that particular presentation the panelist came off the stage and offered a pat on the fanny to the crowd (metaphorically speaking, of course). True progress cannot be made unless all parties really make an effort to understand the opinions and views of their counterparts. I believe the SBLS absolutely provided the right environment for progress to materialize.

Here are my Top Ten SBLS “Plays of the Day”:

*There is an estimated $10.4 billion dollar demand for capital by the franchise community. Unfortunately, there’s only an $8.4 billion supply available leaving us with a $2 billion “lending gap”. This could seriously further impede the already slow economic recovery.

*When conference attendees are warming their hands by the coffee table heat lamps and wrapping themselves in tablecloths, it’s too cold in the room!

*Five Guys Burgers is estimated to have 1,000 locations by the end of 2011. How have I not eaten at one yet?

*Karen Mills, SBA Administrator, says the three reasons why banks aren’t lending are: 1) they don’t want the risk, 2) they don’t have any capital, 3) regulatory restrictions.

*The US borrows $4 billion dollars per day!

*Tony Wilkerson, CEO of the National Association of Government Guaranteed Lendors (NAGGL) says, history shows direct correlation between small business access to credit and job creation.

*Steve Moore of the Wall Street Journal says history is clear that the economy does worse when one party (either party) controls government. Divided government equals best economic situation.

*Dr. Jeffrey Rosensweig, Associate Professor of International Business and Finance, and Director, Global Perspectives Program, Emory University, says two words to remember regarding franchising: “Resilient” and “Locomotive”. The franchise model is resilient and franchising can be a locomotive for growth.

*It is possible to run a 9 ¼ hour event with 200 attendees, 47 speakers, 5 panels, a white paper release, senior government officials and media and have it finish exactly on time! Amazingly well-done!!

*There are at least nine “C’s” in lending, not just collateral, capacity and character. A tenth was suggested to be added, “Common Sense”.

What a Day at Subway!

I had the amazing privilege of presenting two motivational/educational speeches at the Subway Worldwide Franchisee Convention this past Friday and Saturday. What a day at Subway!! There were 4500 people in attendance, from all around the world, including about 900 vendors to the Subway system. Subway currently has just over 33,000 stores in 90 countries!! Can you believe that? It's hard for me to even wrap my mind around! I learned a lot of interesting stuff through this opportunity (some "deep" things about me personally included), but one neat statistic was in regards to the frequency of people in North America eating out at QSR's or Quick Serve Restaurants. Did you know, that 31% of North American's are considered "heavy QSR users," meaning they eat at a QSR more than 12 times a month - TWELVE TIMES A MONTH!! But if you think about it, many who eat lunch out during the work week quickly fall into this category. Additionally about 34% are considerate "moderate" user (4-11 times per month) and 34% are considered "non/low" users in that they eat at QSR's 0-3 times per month. Which category do you fall in to? Depends on the month for me - if it is a busy travel month, I could easily be somewhere between a moderate and a heavy user. Thank you Subway for your subs under 6 grams of fat!!

The Subway system is made up of many family's, so they seemed to really relate to the family business side of Super Wash. I had a number of people approach me after the Saturday session, in particular, to tell me about their family business experience. For me, that's when we really start having fun!

And it certainly is a small world. After Friday's session, a Subway franchisee came up to me and said, "My mom and dad are franchisees of yours and I wanted to introduce myself." I had no idea who should could have been talking about because her last name did not look familiar (she's married). When she told me who her parents are, I just lit up! She has two super parents who have been a part of the Super Wash family since 1985 and we just adore them. It was a special treat to meet her at the Subway Convention.

Until next time, have a super week!
Susan