Caught in the crisis

Caught in the crisis

The news reports that franchise lender GE Capital was halting new lending to potential restaurant franchisees was just another bit of bad news for operators feeling the fallout from the Wall Street meltdown.

Tightening credit markets have forced restaurant operators from all segments of the industry to put expansion plans on hold as sources of financing dry up.

Tony Vanjohnson, founder of the six-unit fast casual chain Margaritas in Cincinnati. Is already seeing the economic crisis put a damper on his company's expansion plans.

Published: October 16th, 2008

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