If you have a Facebook or Twitter account, then you will know that these types of social media are great for keeping up to date with current issues.
But as well as getting access to current affairs, if you use social media you also fall victim to another thing, and that is rumors. One rumor going around is that the Cheesecake Factory is closing its doors.
The Cheesecake Factory has fallen victim to these rumors more than once, and no matter how many times it happens, you’ll likely still feel that panic. So, is The Cheesecake Factory closing? Let’s take a look.
Is The Cheesecake Factory Actually Closing?
It’s okay, you can breathe because The Cheesecake Factory isn’t going anywhere. Even as reports have suggested that 10% of US restaurants have been forced to close their doors since the start of the Coronavirus pandemic, The Cheesecake Factory is not one of them.
Despite this, the rumor mill has been turning, and a lot of people are under the impression that this beloved restaurant isn’t going to be around for much longer.
But don’t worry, company officials have officially stated that this isn’t the case. So you’ll be able to enjoy your favorite cheesecake for a lot longer.
The Cheesecake Factory is lucky. They are a big company, and this means that they have been able to withstand the financial hardships that have come with the coronavirus pandemic.
As the company is large, they have been able to absorb the losses, and survive months without operating. But other companies haven’t been so lucky, and this is likely where the rumors have come from.
Is There Any Risk of The Cheesecake Factory Closing?
So, The Cheesecake Factory isn’t closing, yet. But, are there any signs that this could happen in the future? Currently, it seems not. In fact, at the moment, The Cheesecake Factory is thriving. Even with the coronavirus pandemic taken into consideration.
At the beginning of the pandemic, The Cheesecake Factory took a hit, but since then things have only been on the up.
In the year before the pandemic, The Cheesecake Factory reported one of its best performances ever.
Since the pandemic, nothing has changed, and that is because in the quarterly report after the pandemic, the company reported an excellent revenue. A revenue that was more than enough to keep the company afloat.
Like many companies, The Cheesecake Factory has sucked it up and made major changes to make their stores suitable for post-pandemic life.
This would’ve caused them to take a small financial hit, but this money will be easily recovered once patrons are allowed back through the doors. So, the Cheesecake Factory is going nowhere.
Where Did the Rumors Come From?
Seeing as the Cheesecake Factory is actually doing well, you might be wondering where these rumors come from.
Aside from the fact that the Cheesecake Factory is constantly surrounded by closure rumors, there is one other reason why they have come around this time, so let’s take a look.
As we have said, the Cheesecake Factory is a huge company, and so is their parent company, the Cheesecake Factory Inc.
The Cheesecake Factory Inc is actually the parent company of many other restaurants too, including Rock Sugar Southeast Asian Kitchen. This restaurant has sadly had to close its doors since the pandemic, and this was a loss for the parent company, The Cheesecake Factory Inc.
This led to a lot of people misinterpreting reports, and guessing that the Cheesecake Factory itself had closed its doors. Not one of the child companies.
Other Restaurant Closures
While The Cheesecake Factory is safe for now, many other businesses – especially restaurants – have been hurt by the effects of the pandemic.
Since the COVID-19 pandemic hit the United States in early 2020, many restaurants have struggled to stay afloat as they were forced to close their doors in the name of public health.
The hospitality industry has been hit by COVID harder than most, and even with a push for takeout orders and delivery services, many restaurants have closed in the last 2 years.
One estimate says that over 100,000 restaurants in the United States had to close permanently due to the pandemic in 2020 alone.
Luckily, The Cheesecake Factory is not a part of that group. Larger chain restaurants like The Cheesecake Factory fared better in the pandemic compared to smaller chains or independent restaurants.
In fact, most of the food and drink businesses that closed were small, independent businesses or food trucks.
While big chain restaurants have had better financial security than smaller businesses, they have still taken a hit during the pandemic. Even big names like Starbucks, Dunkin, and McDonalds had to close some stores, although none have gone completely out of business.
Overall, don’t worry; your favorite place to come and dine on delicious food and massiv slices of cheesecake is here to stay for a while, so go ahead and make reservations at a Cheesecake Factory location near you!