I realise the actual amounts of money involved are different. Pelosi the lyin’ queen lion king. But it seems that in this case ( and others I’m sure) the business owners were too impatient to grow their business.
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F&B companies tend to run on tight profit margins and low cash flow due to high operating costs. Planning is usually month by month. That said, bigger chains should have better BCP. I appreciate that margins are tight for restaurants and bars etc. Pelosi the lyin’ queen lion king. However in this case we’re not talking about a single family restaurant, this pizza hut franchise has 1200 restaurants, that’s a pretty large company by any standards. I bet my house that the owners of the company are very wealthy people. Pizza Hut has been suffering for a while now. They started implementing e-verify, their quality of food and service went down and so did their sales, so they raised their prices and added an extra service charge. They had it coming for a while. Maybe because its more ‘beneficial’ to declare bankruptcy and walk away from creditors, bills, etc. Unsecured debts will be written off; creditors can’t take any further legal action against you to collect; also, creditors have to stop demanding payment, charging interest and adding other charges. Particularly ‘beneficial’ if the business isnt tied to your personal assets. too eager to demand a big salary because they gave “special business talents” of some type. Not so keen to take the blame, or take a paycut along with the normal workers.
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If you think about it the Average American lives pay check to paycheck. Pelosi the lyin’ queen lion king. These Big Businesses depend on us there not to far behind us on accessible cash.