Fast Food Chain Sends Virus Bailout Back to Federal Government


In the rush to keep our economy grinding away during this pandemic, there were apparently some misunderstandings about a large chunk of money set aside for small business stimulus.

For many, it was assumed that this money would be spent directly to the small businesses of this country; the Mom and Pop shops that you might grab a coffee at when you’re in a strange city.  Or maybe a local music venue in your hometown.  We certainly weren’t under the impression that impressively large chains like Shake Shack would be receiving the bailout.

Now, Shake Shack has responded to the controversy surrounding who did and did not receive these federal funds by returning those very same federal funds.

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…the open letter on LinkedIn from Shake Shack CEO Randy Garutti and the company’s founder and chairman Danny Meyer. Here is a key point they offer:

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“Shake Shack, like all restaurant businesses in America, is doing the best we can to navigate these challenging times. We don’t know what the future holds. Our people would benefit from a $10 million PPP loan but we’re fortunate to now have access to capital that others do not. Until every restaurant that needs it has had the same opportunity to receive assistance, we’re returning ours.”

Of course, there will be an inordinate public relations boost for the burger chain as well, as Americans are growing increasingly aware of how large corporations are behaving during these times of trouble.

 

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