Could be Christmas today

How much fun life is when you are helping people!

This week I called three business friends whom Siegel Financial Group previously financed to let them know about RetroTax and the power of wage based tax credits.

While each had heard of every conceivable real estate tax abatement, none knew that the federal government had set aside billions of dollars for tax credits for businesses which employed workers from certain demographs or conducted business and employed workers in certain geographic zones.

Each either had worksites in a qualified zone or employed workers regularly who would qualify for the federal work opportunity tax credits.

All three are signing up for RetoTax to assist getting their tax credits off of the table and into their budgets. One was so excited that he said, "if this is really true, it is like Christmas today!"

Minneapolis

Wow, 70 degrees, no humidity and a nice breeze. What a great way for Minneapolis to greet me today. Had a great meeting with a franchisor, discussed our new suite of services and look forward to beginning a long relationship with them. Our SFE report proved its value in the dialogue, as the SBA data is flawed for this particular brand.

Looking forward to a great steak dinner at Manny's with my boys, a nice bottle of wine and cigars for all tonight....

Larry Kane Show

Got up REALLY early today, and finally was able to upload the video from the Larry Kane appearance earlier this month. Thanks to Comcast for their permission to post it.

http://www.youtube.com/watch?v=4bLCn551uaQ

Off to slog through 18 holes of wet golf! Off tomorrow to Minneapolis for the Faegre and Benson Summit. Look forward to connecting with colleagues and friends.

Validation!

The National Federation of Smmall Businesses came out today with data validating the facts that we have been preaching for months! Small business owners are scared, and sales are DOWN. Access to credit, scares over healthcare reform, and higher taxes have small business owners upset.

http://philadelphia.bizjournals.com/philadelphia/stories/2009/08/17/daily39.html?ed=2009-08-21&ana=e_du_pub

Have a great weekend!

Webinar results & Thoughts

Yesterday, Darrell Johnson www.frandata.com and I co-facilitated a webinar with Amit Pamecha from Franconnect for over 40 of Franconnect's clients. We discussed best practices and the current state of the economy and capital markets. It will be posted online in about a week at www.franchiseleadershipnetwork.com .

Nate showed me an interesting article in forbes outlining the new leadership in SBA lending. It seems that Wells Fargo has made it to #1 by REDUCING their SBA volume by 30%. CIT went from #1 to #16. http://www.forbes.com/2009/08/17/wellsfargo-banks-cit-sba-business-markets-loans.html

The government keeps telling us that things are getting better, but I do not see credit opening up to small business at all. That is unless you are borrowing against real estate.

Looking for some commentary out there! Post comments here or on the Siegel Financial Group Facebook group.

New Services Available to Franchisors

Siegel Financial Group Announces New Suite of Services to Aid Franchisors Reach Franchise Development Goals!
Franchise Finance Consulting Practice reacts to market conditions

BALA CYNWYD, PA – The current state of the financial markets have created a demand for services that franchisors can utilize to maximize their franchisees ability to obtain financing. These services, which include Item 19 creation and validation, the “Strategic FDD Expansion”, and franchise finance placement services all dovetail with Siegel’s expertise and experience in the market. Ronald Feldman, CEO stated, “Franchisors have been asking us to provide these services since the beginning of the lending crisis. These tools help to empower them in succeeding in their franchise development goals.” He added “We have purposely priced these services aggressively, with the hope that franchisors will appreciate our commitment to their success, especially during the current state of dysfunction of the financial markets.
Our new services include:

1. Item 19 Collaboration/Presentation
This service provides quantitative analysis of all available franchisor data in order to present an Item 19 in the franchisor FDD in a way that is acceptable and attractive to the lending community. SFG works in concert with franchisor counsel to make sure that all of the regulatory disclosures are within the comfort level of counsel. This outsourcing also provides third party validation to the Item 19.

2. Strategic FDD Expansion (“SFE”)
This report is used in conjunction with a FranData Bank Credit report (“BCR”), (or facsimile) to create a compelling case for lenders to finance the franchisor’s concept. The FDD has limited disclosure ability, and is highly regulated. By having lenders sign a Non-Disclosure Agreement (acceptable to franchisor counsel), better and more persuasive arguments can be made to the lender relative to the normal lender areas of concern.

3. New Franchisee Financing Services
Siegel can become the outsourced finance arm for a franchisor. The franchisor can engage SFG directly on all candidates that need financing, or refer candidates to SFG for services as needed. Siegel is extremely experienced supporting the goals of the franchisor, while making the process of obtaining funding as painless as possible.

4. Lender Relations
This ongoing monthly relationship allows franchisors, once they have obtained a SFE, to engage Siegel in outsourcing the job responsibilities associated with lender relations for franchisee development and expansion. This allows the franchisor to reserve valuable management time for operating the business, and allows this function to be handled by a nationally known finance company.

5. Existing Franchisee Financing
SFG will customize programs for remodels, reimaging, and expansion capital for its core client base. These programs will provide tools for franchisees to solve the finance conundrum that many face.

Nathan Greenberg, President added, “These are the services that we have been providing to our core clients since inception. We have been asked by the market to broaden our distribution, and we are responding. The credit markets have affected everyone in franchising, and we have the knowledge and tools to help navigate these troubled waters”.

About Siegel Financial Group
Founded in 1983, by Bernard Siegel, PhD as a business intermediary practice, Dr. Siegel quickly realized that financing was paramount in getting transactions closed. He formally founded Siegel Capital in 2002, and quickly expanded. In 2004, Ronald Feldman and Nathan Greenberg took over day to day management, and in 2008, acquired the company. Known nationally as an expert on issues of finance in the franchising and intermediary market for transactions up to $10 Million, the Siegel Financial Group of companies continues to provide cutting edge counsel to the industries that it services. Today we serve some of the biggest and most respected brands in franchising, setting the bar for customer service and “getting deals done”.
For additional information about Siegel Financial Group or an update on how current economic conditions are affecting franchising, contact Ron Feldman at 610-668-9780.
###

HELP FROM CAPITOL HILL!

Olympia Snowe introduces the "Next Step for Main Street Credit Availability Act of 2009" (S.1615)

This bill would help bolster credit availability for small business by:

• Increase the SBA 7(a) and 504 loan limits to $5 million. Increase the micro loan program limit to $50,000. Make it easier for those with existing SBA loans to refinance the remaining balance. Create an online clearing house thru which individuals can compare rates from lenders offering loans with an SBA guarantee.

These changes are a great start, but will not incent lenders to actually lend to small business! More change is needed, we must continue to lobby our legislators and make sure that we are the "squeaky wheel"!

To that effect, I would like to personally encourage each and every one of you to register and attend the IFA Public Affairs Conference (formerly Franchise Appreciation Day) on September 14-15 in Washington DC.


Click on this link to get more information: http://www.franchise.org/publicaffairs.aspx


This event brings each and every one of us face to face with our lawmakers so we can voice our concerns over issues that affect our livelihood. If we do not act, we will not get help. The record of this administration speaks for itself, as it allocated all of 1/8000th of the stimulus funds to help small business! Our agenda does not end with capital access, the new Health Care Agenda and Card Check can significantly impact all of us, and the future tax implications of all of this spending will reach into our pockets for years to come.

Please make arrangements to make sure that your company is represented. Better yet, come yourself! There is no registration fee for this event, and you will be doing your civic duty as an American! The entire Siegel team will be represented there, and we look forward to seeing you in Washington!