Cost increases, emergency loan repayment, labor shortage… an association of Canadian restaurateurs is not very optimistic for the future of some of its members who are thinking of going out of business in 2024.
• Read also: “No-show” of 18 people: the last straw for a Quebec restaurant
According to Restaurants Canada, one in five restaurateurs could close at least one establishment in 2024 if repayment of Canadian Emergency Business Account (CEBA) loans is not postponed.
Canadian businesses have until January 18 to repay their loan with a minimum amount of $40,000.
Although Restaurants Canada has implored the federal government to push back the deadline, Ottawa is staying the course on this deadline.
“It’s obvious that there are going to be closures,” noted the vice-president of Restaurants Canada, Maximilien Roy, after consulting the data provided by its members.
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Other restaurant operators record low earnings relative to their expenses, Mr. Roy points out.
“53% of restaurant operators are barely making money or operating at a loss. At this time, it is very tight, not only because of the payment of the loan, but we are also talking about inflation which has caused a lot of issues and the labor problem,” he continues. , in an interview on LCN.
DIDIER DEBUSSCHERE/JOURNAL DE QUEBEC
Asked about the problem of “no-show”, or the fact of not showing up for a reservation, without notifying the owner of the establishment, Maximilien Roy denounced a “scourge” which affects the industry.
“It’s very difficult [pour les restaurateurs] […] We really ask people to be careful and if they decide to book in advance, to show up, at least notify as quickly as possible if there should ever be a cancellation,” he recalls, with a tone convincing.