May 2010
Newsletter
CallSource May 2010 Newsletter
Management
With escalating health costs, implementing a corporate wellness campaign just make good sense. Read more about what you can do to prevent illness in David E. Wade’s article “Should You Be Involved with Corporate Wellness?”
Marketing
Hosting corporate events are a perfect way for businesses to come face-to-face with their customers. Kevin O’Brien will take you step-by-step in his article titled “Key Steps to Event Marketing”. Read his article.
Training
Gain insight into how far Learning Management Systems have come since the early days of eLearning in Dr. Ann Kwinn’s article titled What’s So Great About Learning Management Systems? Read her article.
Industry News
Award Winning VetFran Program to Break 2000 Mark
The International Franchise Association recently reported that sales of franchise small businesses to former military personnel through its award-winning VetFran program has reached 1,778 – an increase of more than 250 since last fall. “This is an important milestone. As more veterans learn how franchising can help them get into business for themselves and start careers after military service, this program continues to grow,” said Ken Walker, IFA Chairman.
Since 2002, the Veterans Transition Franchise Initiative has enabled honorably discharged veterans to apply discounts, or other financial incentives, to the purchase price of franchises in a wide variety of industries ranging from auto repair to commercial and residential cleaning concepts. Endorsed by the U.S. Department of Veterans Affairs, VetFran is supported by nearly 400 companies who are active IFA members.
Individual franchises are offering veteran’s reductions on their initial franchise fees, some are providing discounts on inventory, while others are waiving certain fees. Recognized by VA’s Veteran Affairs Center for Veterans Enterprise as a “Champion of Free Enterprise,” VetFran is a volunteer effort that receives no federal funding. Source: International Franchise Association
What Motivates an Entrepreneur?
Running your own business isn’t for everyone. Many find it difficult to deal with the amount of time, energy and financial investment required without knowing what’s around the corner. 93 percent of entrepreneurs are males, with close to two-thirds in the 26-39 age range. A quarter of them possess undergraduate degrees, with 69 percent having gone on to earn their master's degree. What motivates someone to become an entrepreneur? Most say it’s the opportunity to engage in work they find interesting, exciting, satisfying, or personally challenging.
In a recent Yahoo survey, 21.4 percent of small business owners said part of the reason they become entrepreneurs was the freedom associated with being your own boss due to the flexible work schedule. Also, many businesses start-up in a garage and can end-up on the Fortune 500 list. Entrepreneurs enjoy the challenge of building something from nothing. They like the process of conceiving an idea, recognizing opportunity, creating organization, assembling resources, assuming the risks and reaping the rewards. They tend to look at the big picture and even during the most challenging times, focus on the end product. They like working for their own goals and measure life’s success on a personal level. Source: Franchise Business Review
Those Seeking Loans Left in the Lurch by Erratic Funding
Recently, Congress infused a popular small-business loan program with capital on separate occasions to keep it running. But these short-term renewals, rather than the government committing to a long-term program has caused business owners to fall through the cracks of the lending process. "A long term solution is our goal, but to get a bigger package passed, takes more time," says Richard Carbo, spokesman for the U.S. Senate Committee on Small Business and Entrepreneurship.
Lenders have historically issued loans backed by the Small Business Administration as a means to accommodate some of their more risky Main Street customers because up to 75% of the loan would be reimbursed by the government in case of default. But in the depths of the credit crunch, lenders aren't enticed by the 75% guarantee and SBA lending plummeted. This prompted Congress to include provisions to temporarily boost the government guarantee to 90% and drop fees associated with the loans. Thanks to those provisions, SBA loans have increased. In the government's most recent fiscal quarter, loans jumped to more than $3.75 billion - twice as many as the quarter a year earlier. Source: The Wall Street Journal
Senate Bill Sets a Plan to Regulate Premiums
Fearing that health insurance premiums may shoot up in the next few years, Senate Democrats recently laid a foundation for federal regulation of rates, four weeks after President Obama signed a law intended to rein in soaring health costs. Democrat of Iowa, Tom Harkin, praised a bill introduced by Senator Dianne Feinstein, Democrat of California, that would give the Secretary of Health and Human Services the power to review premiums and block “any rate increase found to be unreasonable.” Under the bill, the federal government could regulate rates in states where state officials did not have “sufficient authority and capability” to do so.
The White House offered a similar proposal in the weeks leading up to approval of the health care legislation last month. But it was omitted from the final measure, in part for procedural reasons. Under the new health care law, starting in 2014, most Americans will be required to have insurance. Insurers will have to offer coverage to all applicants and cannot charge higher premiums because of a person’s medical condition or history. Source: The New York Times
