Shake Shack is returning the money it received from the government’s stimulus loans program aimed at saving small businesses ravaged by the coronavirus pandemic. Shake Shack received $10 million in forgivable loans under the Paycheck Protection Program (PPP), which kicked off on April 3. The plan was meant to help small businesses pay employees during the pandemic. However, the fund ran out of money on Thursday.
On Monday, the New York-based fast-food chain announced on Twitter that it’s giving the money back, pointing followers to a statement on Linkedin from two of its lead executives. Shake Shack CEO Randy Garutti and founder Danny Meyer said the company sought the loan because it was supposed to be open to all businesses with 500 or fewer employees. The criteria applies to the chain’s individual franchise locations.
“We’ve decided to immediately return the entire $10 million PPP loan we received last week to the (Small Business Association) so that those restaurants who need it most can get it now,” the executives said.
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