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HR 5600 113th Congress House Commerce Administrative law and regulatory procedures Corporate finance and management Government lending and loan guarantees Small Business Administration Small business

Franchise Financing Improvement Act of 2014

Introduced: September 18, 2014 Introduced by: Graves, Sam Republican · Missouri See on congress.gov
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 Everywhere this bill has been 2 steps
Introduced
In committee
Reported out
Passed House
Passed Senate
To President
Became law
Sep 18, 2014
Referred to the House Committee on Small Business.
Sep 18, 2014
Introduced in House
 Plain-English summary Congressional Research Service

Franchise Financing Improvement Act of 2014 - Amends the Small Business Act to direct the Administrator of the Small Business Administration (SBA) to make financial assistance available to franchisees under the Act or the Small Business Investment Act of 1958 if the franchisee is not affiliated with the franchisor.

Declares that a franchisee shall not be considered affiliated with the franchisor if:

  • the franchisor has filed a disclosure document pursuant to specified federal regulations; and
  • the franchisee, upon default on a loan (whether guaranteed by the SBA or not), has no ability to obtain financial assistance from the franchisor to repay the loan.

Declares further that a franchisor's authority to repurchase the franchise for noncompliance with its terms and conditions, or to have the right of first refusal to purchase it from the franchisee, shall not be considered financial assistance to repay loans issued to the franchisee.

What's happening now September 18, 2014

Referred to the House Committee on Small Business.

 Committees of jurisdiction 1