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re: On May 16th, I think Restaurants will have to charge a “dine in fee”

Posted on 4/27/20 at 5:22 pm to
Posted by OceanMan
Member since Mar 2010
23205 posts
Posted on 4/27/20 at 5:22 pm to
quote:

It’s the only way they can open with a 25% occupancy.


Have been thinking the same thing. Restaurants fail at a crazy high rate. Now we are asking them to potentially turn down customers?

The better question is, will this make one lick of difference?

Posted by TheCaterpillar
Member since Jan 2004
76774 posts
Posted on 4/27/20 at 5:26 pm to
quote:

They’ll just stay closed.



I talked to a couple restaurant owners in Nashville about potential 50% restrictions and they said that would be WAYYY better than nothing.

You don't hire everyone back, you tweak your supply chain/inventory to match, etc.

They make most of their margin on alcohol and having people dining in and ordering drinks is definitely better than nothing. I don't get why people are saying this is basically nothing, it is definitely better than nothing and most places will re-open under restrictions.

Posted by Nephropidae
Brentwood
Member since Nov 2018
2772 posts
Posted on 4/27/20 at 5:27 pm to
Restaurants can’t make it without volume. 25% occupancy is absolutely a financial disaster - no way to spin it for anyone without drive-thru ops or efficient take-out. Operational overhead requires significant revenue to break even.
Posted by Fun Bunch
New Orleans
Member since May 2008
130226 posts
Posted on 4/27/20 at 5:27 pm to
50% is doable.

25 isn’t for most places.
Posted by TheCaterpillar
Member since Jan 2004
76774 posts
Posted on 4/27/20 at 5:27 pm to
quote:

will have to pay more to staff because the staff members are making more on unemployment.



You just hire back a skeleton crew. You don't hire everyone back with 25% of the tables open, you hire back 25% of the people to match and get 25% of the inventory.

Posted by TheCaterpillar
Member since Jan 2004
76774 posts
Posted on 4/27/20 at 5:28 pm to
quote:

50% is doable.

25 isn’t for most places.


That's fair, I didn't ask about 25%.

They basically said they were just going to make a ton of drink specials because they needed to sell booze to make their nut.
Posted by Cymry Teigr
Member since Sep 2012
2138 posts
Posted on 4/27/20 at 5:29 pm to
You know VAT is essentially sales tax? Has nothing to do with restaurants and dining in.
Posted by Breesus
Unplug
Member since Jan 2010
69549 posts
Posted on 4/27/20 at 5:29 pm to
(no message)
This post was edited on 4/27/20 at 5:58 pm
Posted by gatorhater08
Baton Rouge
Member since Apr 2011
2508 posts
Posted on 4/27/20 at 5:30 pm to
quote:

You just hire back a skeleton crew. You don't hire everyone back with 25% of the tables open, you hire back 25% of the people to match and get 25% of the inventory.


That’s cool, do you not have to pay rent or utilities for the 75% of your space that you don’t use?
Posted by TheCaterpillar
Member since Jan 2004
76774 posts
Posted on 4/27/20 at 5:32 pm to
quote:

That’s cool, do you not have to pay rent or utilities for the 75% of your space that you don’t use?



Are they not currently with zero revenue?
Posted by Nephropidae
Brentwood
Member since Nov 2018
2772 posts
Posted on 4/27/20 at 5:34 pm to
quote:

You just hire back a skeleton crew. You don't hire everyone back with 25% of the tables open, you hire back 25% of the people to match and get 25% of the inventory.
what about rent and utilities? Not a chance most restaurants can pull that off at 25%.
Posted by BRIllini07
Baton Rouge, LA
Member since Feb 2015
3206 posts
Posted on 4/27/20 at 5:36 pm to
I would propose a break from the government on down.

No property tax on commercial property with active tenants forced to shut down or operate at reduced capacity by government order, for the duration of that order.

Rent relief by commercial land owners to tenants for the same period (I.e pass down the property tax relief).
Posted by Warfarer
Dothan, AL
Member since May 2010
12417 posts
Posted on 4/27/20 at 5:38 pm to
quote:

Many restaurants will just not be able to operate at 25% occupancy, especially because they may have to pay non-tip workers far more because they are making more staying on unemployment.



if you have the option of going back to work then you are supposed to come off unemployment if you decline to come back to work.
Posted by MrJimBeam
Member since Apr 2009
13079 posts
Posted on 4/27/20 at 5:39 pm to
quote:


A lot of restaurants in Italy do that. Tips are not expected. Of course, their wait staff probably makes above min wage too


America needs to go this route.
Posted by TigerstuckinMS
Member since Nov 2005
33687 posts
Posted on 4/27/20 at 5:50 pm to
quote:

You just hire back a skeleton crew. You don't hire everyone back with 25% of the tables open, you hire back 25% of the people to match and get 25% of the inventory.


The problem is that you still have to pay 100% of the lease, the electricity, the water, the gas bill...
Posted by Armymann50
Playing with my
Member since Sep 2011
22392 posts
Posted on 4/27/20 at 5:55 pm to
Getting what they paid for in this joke government
Posted by kciDAtaE
Member since Apr 2017
17601 posts
Posted on 4/27/20 at 6:22 pm to
quote:

Or you can choose not to pay the cover.


Exactly.

I’m not in the restaurant business so maybe this is ignorant, but if establishments are only allowed 25% of occupancy, can’t you just employee 25% of the waitstaff? If the kitchen and utilities are already running for take-out, what other expenses would be needed?
Posted by NoSaint
Member since Jun 2011
12686 posts
Posted on 4/27/20 at 6:26 pm to
quote:

even May 16th?


A bar? Probably not. I’d guess they will be later and start pretty darn restricted.
Posted by LSUJML
Central
Member since May 2008
56381 posts
Posted on 4/27/20 at 6:29 pm to
Pretty sure bars are phase 3

It’s phase 2
This post was edited on 4/27/20 at 6:31 pm
Posted by fallguy_1978
Best States #50
Member since Feb 2018
53520 posts
Posted on 4/27/20 at 6:30 pm to
quote:

The problem is that you still have to pay 100% of the lease, the electricity, the water, the gas bill...

And restaurants make a lot of their money on booze. Not many people are getting that to-go and paying that markup just to go drink it at home. 25% capacity isn't sustainable for long for most of them I'd guess.
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