It’s been publicized that certain companies are taking heat for applying for and accepting a loan through the Payment Protection Program. Now, several of them are returning the money they’ve received.
Of course, self-preservation is important during an economic downturn. However, you have to think about the optics of your organization taking SBA money.
The prime example is the publicly traded Shake Shack, which is worth $1.7 billion. I’m not doubting that the $10 million it received was helpful, especially as so many restaurants are hurting. But the fact that Shake Shack has more access to capital than the vast majority of the companies that applied for PPP makes what it did wrong in the court of public opinion. (Shake Shack did announce it would return the money.)
Remember, all of your company’s actions reflect on your brand. Even if you’re legally entitled to something doesn’t mean you have to take it.