According to a new record, TGI Friday’s is looking for extra funding as the main restaurant chain prepares to file for bankruptcy.
According to Bloomberg, resources with knowledge of TGI Friday’s ideas indicated that the restaurant network is attempting to secure additional funding while preparing to file for bankruptcy protection in the coming days. The record, according to the outlet, comes as the fast food restaurant chain struggles to recover from financial strains and a shifting preference for fast food restaurants.
The business met with various creditors in an effort to secure a loan that would allow it to continue supporting its restaurant chains while completing the Chapter 11 bankruptcy procedure, according to the private sources. According to the resources, Ropes &, Gray LLP attorneys are working with TGI Friday’s to create its debt program. Additionally, the solutions stated that the debt plans have not yet been finalized.
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Bloomberg reported that the restaurant company’s latest commitments include asset-backed assets. The company was also informed by the fact that the company was forced to give control of some of its resources to an outside boss as a result of the company’s failure to submit documents to borrowers in a timely manner last month.
TGI Friday’s has faced substantial challenges over the past few years, including three CEO shifts last year, according to Fox 10. In the last quarter, the restaurant chain was forced to close 12 locations in the United States and 35 more in the UK, according to Fox Business.
If TGI Friday’s decides to file for bankruptcy in the coming days, it will add a growing list of various restaurant companies that have lost organization to eateries like Chipotle that provide everyday foodstuff while offering a faster eating experience. According to Bloomberg, the COVID-19 epidemic caused restaurant chains like TGI Friday’s to continue on a downward trend as they were forced to close and place their operations under stringent limits for an extended period of time.
According to the restaurant company’s website, TGI Friday’s, which has been in operation for over 50 years, now has 213 locations in the United States.