This op-ed discusses how the COVID-19 pandemic has impacted restaurant loans and how lenders and other debt provider to the restaurant industry have tried to come up with various solutions to address restaurant closures and shutdowns in the wake of the pandemic. While new loan activity for restaurants has stalled, lenders are looking for creative ways in the future to partner with those in the industry. Trends are beginning to emerge in how bank lenders waive defaults on COVID-19-related loans, and how borrowers and lenders gauge EBITDA measurements after the pandemic, which could include an annualization of performance in 2021 and offering add-backs to net income that “normalize” performance.

Read, “COVID-19’s Effects on Restaurant Loans,” in its entirety.