Due to the economic impact of Coronavirus, many businesses are either going bankrupt or are closing down. To combat the collapse of businesses the Government has implemented the PPP (Paycheck Protection Program). The goal of this program is to loan $349 Billion to small businesses to pay workers and keep their businesses afloat. Now that the money has been distributed to the businesses it has some flaws. The majority of the businesses that received loans were chain companies. Although they may employ more people it leaves small business owners penniless. Many companies lobbied to be included in the plan. Even though it is not fair for many businesses who did not qualify, the money is still going directly into the pockets of the workers. Of course, there are going to be disappointed people, but it is inevitable because there are a lot of people in need and not enough money for everyone. Overall the government should revise the plan or create a new plan to loan smaller businesses.
Wallace, Alicia. “Shake Shack, Ruth's Chris and Other Chain Restaurants Got Big PPP Loans When Small Businesses Couldn't.” CNN, Cable News Network, 19 Apr. 2020, www.cnn.com/2020/04/19/business/small-businesses-ppp-loans-chain-restaurants/index.html.
I dont understand why larger chains got the checks while smaller ones didn't. I saw that Shake Shack actually gave there check back to the government in hopes of it being then given to smaller businesses. I think other large chains should realize that they aren't going to be bankrupt because of the pandemic and look out for smaller/local businesses that really will be affected.
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