The American restaurant and bar recently filed for bankruptcy. Minneapolis-based Carlson had owned the brand for 40 years before selling it to a private equity firm in 2014.
Buy the chains, separate the building from the land. Legally speaking.
take out a massive loan using the land as collateral. The chain and not the equity company being liable for said loan. This money is of course pocketed. Often it is enough to repay the investment funds initial play.
Then exorbitant rent is laid upon the restaurant chain, and this is where the end consumer perceives all this going on as “enshitification”. The restraints are no longer profitable, every penny gets squeezed. Portions get smaller, restrnt staff get even worse pay.
Some asswipe in a suit will walk away with millions, never having looked one person he screwed over in the eye. You’ll never meet him, never enjoy the fruits of his labor.
In his wake you’ll find a shell of a company. Somewhere that provided jobs for thousands, and a relaxing night for millions more. I was never a fan of t.g.i. but it deserved better than this. R.I P.
A popular method is thus:
Buy the chains, separate the building from the land. Legally speaking.
take out a massive loan using the land as collateral. The chain and not the equity company being liable for said loan. This money is of course pocketed. Often it is enough to repay the investment funds initial play.
Then exorbitant rent is laid upon the restaurant chain, and this is where the end consumer perceives all this going on as “enshitification”. The restraints are no longer profitable, every penny gets squeezed. Portions get smaller, restrnt staff get even worse pay.
Some asswipe in a suit will walk away with millions, never having looked one person he screwed over in the eye. You’ll never meet him, never enjoy the fruits of his labor.
In his wake you’ll find a shell of a company. Somewhere that provided jobs for thousands, and a relaxing night for millions more. I was never a fan of t.g.i. but it deserved better than this. R.I P.