US Rep. Richard Baker (R-La.) introduced the Veterans Self-Employment Act in February that would establish a five-year pilot program allowing veterans, National Guardsmen and reservists to use a portion of their Veterans Administration educational assistance toward costs associated with training to start a franchise.

Most franchises include in their start-up programs a required training program.  These training courses come with a cost.  If the bill passes, that cost can be defrayed making it easier for our nation's heroes to start their own franchises.

This program works hand in hand with the VetFran, the Veterans' Transition Franchise Initiative.  The VetFran program was designed to help more veterans start their own business.  It allows veterans to acquire a franchise with a 10 percent down payment on the initial start-up costs and the remaining costs are absorbed by the franchise.

The VetFran program was started 10 years ago and so far more than 270 veterans have successfully opened franchises using the program.  The program was initiated by Dwyer along with the International Franchise Association during the first Gulf War and as our nation is once again in turmoil, a task-force has been created to reinvigorate the program.  The financial incentives are a way for a group of more than 150 franchise organizations to show their gratitude to our troops.

Part of that initiative included meetings between the IFA and congress on ways to help veterans start franchise operations.  Out of those meetings was born the idea for the Veterans Self Employment Act.  Although the idea quickly caught on, some logistics had to be addressed.

There is no uniform franchise training program.  With many other vocational programs, as standard curriculum exists that would qualify the program for funding opportunities.  The bill was written with the discrepancies in training in mind and is flexible enough to allow for different training programs.

The bill allows veterans to either use one-third of their remaining GI bill or half of the franchise training fee whichever cost is less to help with the training costs associated with starting a franchise.  This along with the benefits of VetFran increases the accessibility of franchise ownership to veterans and their families.

It has long been a goal of the US congress to increase small business ownership among veterans and the IFA has adopted this goal and worked in partnership with congress to see strides made to make small business ownership and specifically franchise ownership more accessible to veterans. 

Both the congress and the IFA have previously said that veterans are perfectly poised to become franchise owners because of their organizational skills, team work, and mission focus.  During a time when many Americans are looking for a way to give back to our troops, the IFA and congress are looking to give to troops by helping them find ways to help themselves through business ownership.

By: Heather Wellman

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