Junior's Cheesecake CEO Alan Rosen joined 'Power Lunch' yesterday and said he is not using his PPP loan to pay his employees to stay home. He returns to 'Power Lunch' to clarify how he's using his PPP loan.

Junior’s Cheesecake owner Alan Rosen said Tuesday that the money the restaurant company has received through the Treasury Department’s small business loan program is not enough to immediately bring workers off furlough.

There is too much uncertainty about when the coronavirus pandemic will subside and when people will be comfortable to “sit shoulder to shoulder in our restaurants” again, Rosen said on CNBC’s “Power Lunch.”

“Until that time it would be, in my opinion, wasted money to start spending it. We have to wait until we have a very clear pathway to success,” said Rosen, whose grandfather founded Junior’s in Brooklyn, New York, in 1950.

The family owned business has grown now to three restaurants in New York City and a location in Connecticut. It also has a bakery outlet in Burlington, New Jersey, and an e-commerce business.

Rosen said he applied for loans separately for its four restaurant locations. The company furloughed 650 employees across its restaurants, which have been closed since March 16.

Junior’s has so far received $1.4 million, Rosen said, and is “probably about a day away” from receiving the remaining loans that will total $5.5 million.

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