Posted on 05/05/2020 8:53:05 AM PDT by Hojczyk
In New York, and other states that have yet to reopen, and where occupancy limits are inevitable once they do, a PPP loan can feel more like a burden than a gift. “It feels really scary to take on potential debt even though it’s like, maybe forgivable when the timeline for reopening is so vague. And then there’s no clarity about whether or not we can open in a full capacity,” says Carla Perez-Gallardo, a co-owner of Lil Deb’s Oasis, a snug neighborhood restaurant in Hudson, New York.
Lil’ Deb’s Oasis has a legal capacity of 30 people, and the restaurant’s owners can’t see a way to hire back their full-time staff members while serving a half-empty restaurant. “The pressure is on businesses to pay their employees that they’ve hired back, at a time in which they may not even be able to pay their rent,” says Perez-Gallardo. “It feels like an odd narrative to be moving toward at a time where it doesn’t feel possible.”
The path forward is extremely uncertain for restaurants, whether they apply for and are given a PPP loan or not. Resources and guidance across the country are limited, and restaurant owners are left to ask questions that no one, it seems, will answer. “For us, the best-case scenario would be to have flexibility with our landlord and for our local and our federal government to provide some relief or guidance in how to move forward,” says Sprouse, who applied for a loan but has yet to hear back. “Right now it’s like they’re putting a Band-Aid over a severed leg.”
(Excerpt) Read more at eater.com ...
Ouch...that’s gonna leave a mark...good one, TS!
Yep!
The only people who don’t know this are politicians, union and non-profit workers.
The WHO and CDC now recommend everyone wear a blindfold to protect you from seeing what’s really going on
its worse than being closed completely....you have to have all your cook staff, cleaners, etc....you have to pay rent, utilities, taxes on your place YET only able to do half the business...
It is the end for most restaurants who built their business on a capacity to fulfill a high number of table turns.
Won’t help to have a server in their personal mask, which they cough, hack and sneeze in all day long and constantly adjust with the gloved hands and then with their naked hands during breaks and going to the bathroom.
Gross
the indian casino here is going to open, against the governors wishes and it will be packed....
your lockdown has not saved one life...not one....
go hide....just go hide under your bed...
How are they dealing with the “half occupancy” requirement?
Did they close off tables?
Of course this will result in most restaurants going out of business. Who couldn’t figure that out? Most operate with a small profit margin even in the best of times. So they’ll have to shut down or charge twice as much for food/liquor.
Thank the Lord.....
It will be. Along with higher prices. At the best, their profit margin is not that high anyway.
Maybe I’m wrong, according to Fledermaus restaurants in Tennessee are back and full of people. I don’t know how bad the virus was there but here in Michigan we’ve been on lockdown for 6 weeks today. It’s long since been time.
Lawsuit protection for makers of vaccines is what got us into this mess to start with.
There really shouldn’t be any industry-specific lawsuit protection—including, of all sectors, restaurants and entertainment.
Also, just a note: a majority of those with the virus don’t actually feel sick.
All that said, what we should be doing is this three-pronged approach:
- channeling resources to enable the elderly/compromised and the young in multigenerational households to stay separated for some time or else for the young to study more readily from home, etc.
- widely expand the availability and use of HCQ as a prophylactic and treatment (with zinc and/or z-pac, as circumstances require). This should have included using the DPA a couple of months ago to get it widely manufactured here. It may even be that multigenerational households can stay together through this with a prophylactic, as we move to herd immunity, and
- make sure the most at risk understand to get/keep their vitamin C and D, zinc, and general health (sleep, exercise, hydration, etc.) up through the time to herd immunity.
There's no way to prove a particular customer got it from a particular restaurant.
That new normal won’t last long as your dream restaurant will quickly go out of business.
How you going to eat at a restaurant with a freaking mask on?
Its sad to see all the “Karens” that infect FR. It has been real eye-opening to say the least.
The virus has run rampant and it didn’t cause anything like you are saying.
Then the court should be able to toss it out.
There is zero reason for just this type of business to get a special exemption.
Likewise, Trump is pitching the elimination of capital gains taxes. Those are overwhelmingly taxes on the rich and they should NOT be getting some new tax deal now either.
Likewise, the CARES Act should NOT have given LLC investment vehicles (used overwhelmingly by hedge funds and commercial real estate) the opportunity to suddenly use previous years’ losses to offset tax obligations.
This is not the time or place for special tax and liability carve outs—and there usually isn’t a time or place for such anyway.
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