I'm pretty bad at remembering names of new people, too. Here's a trick I try to use: Repeat the person's name to her when you are first introduced, and again when the conversation ends.
I know exactly what you mean about "why are you a local / so small". Before we went AEPhi, we were a small, brand new, local sorority - the only local sorority on campus. During formal recruitment, PNMs would come from a rush room packed with 80 cheering, singing women, come into our room, and see just ten of us - and we weren't singing because only one of us (me) could carry a tune in a bucket.
You can sell the idea that you choose quality women and that new members will have the chance to take on leadership roles right away, but don't linger on your size... small size is a negative. Any chance you could get some alums in to increase your "body count" ?
Good luck!
