The International Franchise Association today urged Congress to quickly pass legislation that would help veterans purchase franchise businesses after they return to civilian service by incentivizing franchise businesses to recruit honorably discharged veterans.
“Members of our armed forces are disciplined, hard-working and passionate people who understand how to work well within systems. These are crucial attributes that make military veterans excellent candidates for franchise ownership,” said Mary Kennedy Thompson, president of Mr. Rooter Plumbing in Waco, Texas, during testimony before the House Veterans’ Affairs Subcommittee on Economic Opportunity. “We applaud the subcommittee for holding this hearing on the status of veteran small businesses, and strongly urge passage of H.R. 2672, the Help Veterans Own Franchises Act to help improve the current status.”
Thompson said the legislation is co-authored by Representatives Leonard Boswell (D-Iowa) and Aaron Schock (R-Ill.) and currently has more than 30 bipartisan co-sponsors. The bill establishes a tax credit for franchise businesses that choose to offer qualified veterans a discounted initial franchise fee. The tax credit would amount to 50 percent of the total franchise fee discount offered by the franchisor capped at $25,000 per unit, and also provides a tax credit for the remaining initial franchise fee paid by the military veteran.
