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>give you partial rent for a while until they can pay you back And this is the happy choice! Existing businesses will be saddled with the debt of operating thr
by omegaworks 7y ago
>give you partial rent for a while until they can pay you back
And this is the happy choice! Existing businesses will be saddled with the debt of operating through the crisis. New businesses without that debt will have an advantage.
When bankruptcy is logistically more advantageous than debt service, bankruptcy naturally follows.
The world will look different after the crisis.
- greedo 7y agoThis is absolutely correct. If all we're going to do is defer expenses, then this will ruin small businesses. We might see a wave of entrepreneurs opening up restaurants at bargain rents, but I don't know that the demand will be able to support them. Existing restaurants are toast, unless they get assistance (not zero loans) to keep running. Zero interest loans still mean debt.