View pdf of fact sheet here.
Think LD 1458 protects Maine’s small businesses? Think again.
THE BAIT: “LD 1458 protects Maine’s existing franchise small businesses.”
REALITY: LD 1458 actually hurts the majority of Maine’s franchise small business owners and their customers by putting the brand standards they depend on at risk. If LD 1458 takes effect, Maine small business franchise owners will have to contend with uneven quality standards, fewer loyal customers, and shrinking opportunities for new business ventures.
THE BAIT: “LD 1458 will encourage new franchise investment in Maine.”
REALITY: LD 1458 essentially waters down franchise agreements to the point where they are no longer enforceable. The consequence is that fewer franchises will want to expand into Maine, as there is no guarantee that their best practices and quality standards will be adhered to here.
THE BAIT: “Most Franchisees support LD 1458.”
REALITY: This could not be further from the truth. LD 1458 is being spearheaded by a small but vocal group of franchisees claiming to represent the interests of the majority. The truth is, the majority of Maine’s 3,500+ franchise small business owners see this bill for what it is: a potential job killer.
THE BAIT: “Franchisees will feel more secure in their investment if LD 1458 takes effect.”
REALITY: It’s just the opposite. LD 1458 will make franchise small business owners that play by the rules, honor customer deals, and adhere to quality controls actually feel less secure doing business in Maine. That’s because LD 1458 puts these owners at a disadvantage to those franchise owners that decide not to comply with their contractual agreements and quality control obligations.
THE BAIT: “LD 1458 will streamline the franchise relationship and make it easier to do business in Maine.”
REALITY: This legislation severely hurts the likelihood of success in the franchise model by eliminating consistency in products, hours, deals, quality, and customer service between locations.
The Bottom Line: With Maine’s unemployment rate hovering at a staggering 7.1%, LD 1458 could make a bad situation even worse by hindering the way franchise small business owners conduct and expand their businesses.
Take a stand for Maine franchise small businesses before it’s too late!
REJECT LD 1458.