One in 4 restaurants won't re-open after pandemic, study says

originally posted by: peter_kandra
Two things stand out from that thread. You arguing with another member that the money you didn't spend was not going to miraculously make it into the economy and people bitching at you about your $50 haircut, which with a generous tip isn't outrageous. I suppose you've missed 3 maybe even 4 by now.

My money has not been going into the economy and I'm now up to three months without a haircut.

a reply to: DanDanDat

With some of the more established businesses going out of business that might leave more room for the start ups to gain a foot hold. With that turn over it may be true that new innovations come along too.

Would you gamble on a "start up" with a severe recession if not a depression staring us in the face?

I shut my shop down and gave it to my loyal employees. I hope they open it back up but I doubt if they will with the extreme overhead and death of the tourist industry.

It's not just the food industry that is taking a yuge hit, It's small business retail as well and all the service industries that support them.
I see trucks emptying shops and restaurants in my small village every day. They have no faith that we will "return to normal" do you?

A total restructuring of American business needs to happen and fast. Do we have leaders that can handle it. Probably not...

originally posted by: and14263
a reply to: mysterioustranger
We're about to enter a period of economic mess that will make Covid-19 look like fun.

You got that...

a reply to: mysterioustranger

Should be real interesting in July, when the stimulus money runs out.

If things don't open up across the board in a hurry it will be way worse than 25% of the restaurants shutting down. It will be absolute devastation.

Imagine even 25% of restaurants closing down and defaulting on their loans. 25% of retail defaulting on their loans. 25% of manufacturing defaulting on their loans.. and on and on and on. Then follow that by 25% of people defaulting on their mortgages, car loans, etc... Then the banks start to go down 1 by 1.

This will make 2008 look like a tiny blip on the radar.

a reply to: 727Sky

Restaurants will open this coming Friday here with limit of 33% indoor capacity but as many outdoor customers as they can accommodate with restrictions being lifted so outdoor dining areas can be expanded to parking lots and sidewalks. Still there are many restaurants that wont be opening because they are either still afraid of the virus or because they can't get enough employees to return due to making more money sitting at home. Several restaurants have already closed permanently.

People around here will need to bring their own forks (can't eat with flimsy plastic cutlery) and check the weather report before going out to dine.

originally posted by: KKLOCO
a reply to: mysterioustranger

Should be real interesting in July, when the stimulus money runs out.

Some...haven't gotten any stimulus...nor unemployment...wait.

Long food distribution lines here now. Wait.

a reply to: 727Sky

Doreen, that gal who bought out Lil Suzies in our town 15 years ago and ran it nicely all those years. She knew us almost by name once we had been there a couple of times. Always remembered how I like coffee black and my wife likes it decaf. She would always put on a pot of decaf for my wife when we walked in the door.

Or that she always knew what we wanted but would always ask if we wanted the ''regular'' Doreen had a loud laugh that was always part of the ambiance of her little breakfast nook. She would cruise the floor with a pot of java in one hand while picking up empty plates with the other always asking how everyone was doing.

Every year her cookery would be filled all day on her birthday cuz every one loved her so. She knew, I would say, 90 percent of her customers by name.

Our county lifted the lock down for restaurants four days ago and Lil Suzies did not open up. Four mornings and no sign of Doreen's truck on the far side of the parking lot. No one answers the phone. Sad.

Sorry to be that debbie down to y'alls doom porn, but nothing I've experienced, currently experiencing have shown any of that.

I can't control the over reach by some in power that keep some of you people down, but your experiences aren't reminiscent of mine.

As stated multiple times, Texas has been very positive post Covid, restaurants are now open at limited capacity and PACKED.

Crackerbarrel, Beijing Express, Golden Wok, Panda Express, Mcds, Burger King, Little Italys, Tandoor palace, Spice Indian, Hooters, Ihop, Dennys, Jeruselum Grill, Outback steakhouse, Chipotle, all these places, mom and pops, are all open and PACKED.

Took the wife out for a porterhouse the otherday, we went early, very empty until the lunch crowd started to move in.

Got a haircut, all that was asked was to keep my face mask on, too easy.

I'm not rich, but I do have a roth IRA I put into monthly which took a minor hit during this pandemic.

All in all, I can only say, take it up with the powers that be in y'alls area, even our Mayor took some criticism in his overreaching response and told to simmer down by Gov and AG.

Our economy is not collapsing people, facts.

originally posted by: DanDanDat

With some of the more established businesses going out of business that might leave more room for the start ups to gain a foot hold. With that turn over it may be true that new innovations come along too.

That’s actually happened down here with 2 vegan joints that opened up the same week things went essential only. They both did soft-opens, limited staff and menu items. They both took up a strong social media presence and started offering free delivery. As someone who worked for over 20 years in the restaurant biz and was a store opener, I’ve never seen such quick growth, especially from a niche restaurant. Works out perfect for me, one of them has the most amazing ribs I’ve ever had and the other has this awesome queso burger that I love so much, I ordered two of them this weekend.

originally posted by: Nickn3
I believe it. Local restaurants in my area of Tennessee, are limited to 50% seating, no seats at the bar, and no live music or dancing.
They can’t make a profit that way. Most of them won’t survive long.

I would tell them to go frack themselves and open to full capacity, with a big fat warning sign warning any patrons that we were not practicing social distancing guidelines and that they entered at their own risk - same for employees. You're not comfortable with it, fine, I'll find someone who is.

originally posted by: olaru12
a reply to: DanDanDat

With some of the more established businesses going out of business that might leave more room for the start ups to gain a foot hold. With that turn over it may be true that new innovations come along too.

Would you gamble on a "start up" with a severe recession if not a depression staring us in the face?

I shut my shop down and gave it to my loyal employees. I hope they open it back up but I doubt if they will with the extreme overhead and death of the tourist industry.

It's not just the food industry that is taking a yuge hit, It's small business retail as well and all the service industries that support them.
I see trucks emptying shops and restaurants in my small village every day. They have no faith that we will "return to normal" do you?

A total restructuring of American business needs to happen and fast. Do we have leaders that can handle it. Probably not...

If I was included to start a business in my area; now is starting to look like a good time to do it. The business model may be different than pre-pandemic but the turbulence that is causing established business to go out of business could be seen as a leveling of the playing field for unestablished business.

originally posted by: Drucifer

Vegan...

Ribs...

Burger...

Rotflmao!!!!!!!

a reply to: Arnie123

"Texas has been very positive post Covid,"

Post COVID? How does that work since it's still going on.
If you mean past the initial lockdown triage then that makes more sense but that also isnt what you said so I don't want to assume.


You keep rolling out there how great Texas is doing so which of the following pieces of info are not true?

"As Texas reopens, coronavirus cases are increasing while testing misses benchmarks"

" The state set new daily records this week for both new cases and deaths."

"For states to consider reopening, the White House recommends they see either a downward trajectory of COVID-19 cases over 14 days or a downward trajectory in the percentage of positive test results over 14 days.

The former hasn't happened in Texas. The number of new cases reported each day has grown from an average of about 918 during the week ending May 1 to about 1,227 this week."

dup

a reply to: olaru12

That is sometimes the best time to start a business. You can get equipment, leases, employees, etc for cheap...

Wife and I launched a food business at beginning of year. We had all these grandiose plans that were quickly squashed by the lockdown (a big source of business was catering and festivals).

However, because we were in start up phase, we were able to quickly pivot to home deliveries in our local community as soon as we saw what was happening. We are literally selling out three weeks in advance and running at capacity. We are now looking for retail space and will be taking full advantage of failing businesses to get a cheap lease.

originally posted by: DanDanDat

originally posted by: olaru12
a reply to: DanDanDat

With some of the more established businesses going out of business that might leave more room for the start ups to gain a foot hold. With that turn over it may be true that new innovations come along too.

Would you gamble on a "start up" with a severe recession if not a depression staring us in the face?

I shut my shop down and gave it to my loyal employees. I hope they open it back up but I doubt if they will with the extreme overhead and death of the tourist industry.

It's not just the food industry that is taking a yuge hit, It's small business retail as well and all the service industries that support them.
I see trucks emptying shops and restaurants in my small village every day. They have no faith that we will "return to normal" do you?

A total restructuring of American business needs to happen and fast. Do we have leaders that can handle it. Probably not...

If I was included to start a business in my area; now is starting to look like a good time to do it. The business model may be different than pre-pandemic but the turbulence that is causing established business to go out of business could be seen as a leveling of the playing field for unestablished business.

One positive outcome is that the SBA and some credit unions are awash in money for startups. I hope you are correct. Despite my skepticism I have approached some venture capitalist off shore for a project of mine.

I wish all entrepreneurs the best of luck. I know what it's like to dream. I have my dreams come true as well as nightmares.

Restaurants work on very thin margins. Most will fail if they are forced to operate at 50% capacity if they can't replace that revenue with deliveries.

Some restaurants can do delivery well but there are plenty of restaurants that can't pivot to delivery or takeout because the food simply isn't compatible. For example, there is a diner I like to grab breakfast before going into the office occasionally. It is a traditional sit down breakfast / lunch place with mediocre food. Love to stop in to grab some eggs and coffee at 7:30am before going to work. However, there is no way in hell I am paying to have that grease pit food delivered to my home.

On the other end of the spectrum you have fine dining establishments. Again, I love steakhouses. Wife and I would go a few times a year and drop say $275.00 on a nice dinner. No way I am paying that kind of coin to get a take out steak. I can just go to my butcher and get a ribeye and throw it on the grill.

However, pizza, chinese, sushi, etc are all foods that we continue to order for home delivery because it works.

The sad thing here in Chicago is that they are anti-Food Truck. There are a few restaurant owners on the city council and they have tried to squash food trucks with onerous regulations. So now restaurants can't even pivot to a food truck model if they don't need the full on restaurant space.

a reply to: tanstaafl
Open

Successful

originally posted by: LSU2018
a reply to: 727Sky

If this is true then it's only a matter of time before people revolt. They'll only lie down for so long.

A desperate man is a dangerous man.

Extending the notion further afield (which hardly anyone does, as you have probably noticed, but which has stuck with me since Day One), once the shocking economic consequences of the inevitable Depression are fully realised and understood, a desperate COUNTRY is a dangerous country.

We've been here before, of course, except financial institutions themselves were to blame in 1929 rather than the current overwhelming display of human fear, naivety and crass stupidity on an unprecedented global scale.