McDonald’s Offers Aid and Warns Some Downsizing Needed
- Struggling franchisees could be forced to sell locations
- Tourist areas will see negative virus impact in coming months
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McDonald’s Corp. is estimating that tens of millions of dollars will be needed to help U.S. franchisees, but has also warned that some distressed franchisees may need to downsize or sell off locations.
The company has earmarked about $40 million in aid for restaurant owners that are in crisis following the Covid-19 lockdown, according to documents and internal emails viewed by Bloomberg News. The fast-food chain has nearly 14,000 U.S. locations, 95% of which are franchised.