The real-world consequences of mass shutdowns continue to materialize across the nation.
Many backers of these shutdowns argue that closing down every single “non-essential” business will ultimately stop the spread of COVID-19. Others believe that there are appropriate ways of combatting coronavirus without tanking our nation’s economy and destroying millions of jobs.
Yet another casualty of mass shutdowns is the popular restaurant known as The Cheesecake Factory. New developments have affirmed that Cheesecake Factory is unable to make rent on any of their storefronts for the month of April. This will undoubtedly have an impact on the more than 38,000 workers who are employed by the popular restaurant chain.
Why Can’t Cheesecake Factory Make Rent for April?
Cheesecake Factory’s inability to cover rent for any of their storefronts ultimately comes down to revenue loss engendered by coronavirus. Mass shutdowns also play a role in this, seeing as so-called “non-essential” workers who aren’t able to go into their jobs are less likely to frequent restaurants. Therefore, Cheesecake Factory is now seeking to boost its liquidity via use of a $90 million dollar credit line.
