# Maryland Group Says 35% Or 40% Of Restaurants May Close For Good



## Queenie (Jul 23, 2020)

If you are a restaurant goer things look bleak. I rarely eat out, mostly on vacations. I'm assuming that those who stay in business will be the ones with lower quality food, which are the places I try to avoid eating at.
A lot more people will not be going back to work or may have something just for now.

I saw an article a few days ago about most buffets will be going out of business, due to the pandemic. I will be permanently avoiding them. I already had cut way back on them in the last couple of years, due to concerns of people spreading germs.

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https://wtop.com/coronavirus/2020/07/maryland-group-says-35-or-40-of-restaurants-may-close-for-good/
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Maryland group says 35% or 40% of restaurants may close for good*

Dire predictions for the restaurant industry are getting even worse as the coronavirus pandemic continues to limit business by keeping people away from gathering together indoors. Initially, the Restaurant Association of Maryland predicted that 25% of restaurants in the state would need to close for good. Now, according to the group’s president Marshall Weston, that number is likely to be around 35% or even 40%. “It becomes increasingly difficult for restaurants to generate the revenue they need in order to remain open,” Weston said. “Restaurants are built on traffic and volume in order to survive and those things just aren’t happening right now.” Making matters worse, Weston said the extreme heat wave and heavy storms that the D.C. region has seen in recent days have made outdoor dining difficult, if not impossible. “We are running out of money as an industry,” said Weston.

*In Virginia, industry experts said they expect at least 20% of restaurants across the state to close permanently. “We’ve seen a lot of closures in all parts of the state,”* said Eric Terry, president of the Virginia Restaurant Lodging and Travel Association. *“It’s very expensive to do takeout and delivery, so it’s very hard to make the numbers work.” Terry said restaurants in the more commercial areas such as Crystal City are being hit hardest right now, while the more residential areas are doing a bit better because they rely less on tourism and business travelers.

The National Restaurant Association sent a plan to Congress dubbed the “Blueprint for Restaurant Revival,” calling for a $120 billion restaurant recovery fund, more money through the federal Paycheck Protection Program and a long-term loan program that would provide at least six months of operating costs. “We are hopeful that Congress will act again to provide a lifeline for restaurants to survive this pandemic,” Weston said. The industry’s blueprint plan also calls for “temporary and targeted liability protections” to stop businesses from facing “fraudulent or frivolous lawsuits” over exposure to the coronavirus. “The financial risk of being dragged into court is leading many restaurants to consider shutting down, or diverting resources away from rehiring staff or expanding service options for customers,” according to the plan.*


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## Transformer (Jul 23, 2020)

this impacts a lot of jobs for minorities.


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## SoopremeBeing (Jul 27, 2020)

I’m curious as to which ones are at the most risk. Many Spots where I live have hopped on the Door Dash train.


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## fula97 (Jul 27, 2020)

SoopremeBeing said:


> I’m curious as to which ones are at the most risk. Many Spots where I live have hopped on the Door Dash train.


DoorDash ubereats etc is not a lifeline for restaurants long term. The fees eat into a lot hence why you see higher pricing when you order via the apps to try and cover some of the costs otherwise it eats into all of the profit. 

All restaurants are at risk.  You can't be successful if you are operating at 50-70% of output than previous levels. Depends on rents, overhead, if you can sell alcohol to go as well. Some are quasi pantries selling produce, meal kits, produce boxes etc so they can continue to buy wholesale but sell product


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## OhTall1 (Jul 27, 2020)

fula97 said:


> DoorDash ubereats etc is not a lifeline for restaurants long term. The fees eat into a lot hence why you see higher pricing when you order via the apps to try and cover some of the costs otherwise it eats into all of the profit.


Yeah, those services are killing restaurants.  There was a viral image of one restaurant's costs for all of the commissions they had to pay in March, where the only option was delivery or carry out so there was no dine in revenue to offset the costs.


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## fula97 (Jul 27, 2020)

OhTall1 said:


> Yeah, those services are killing restaurants.  There was a viral image of one restaurant's costs for all of the commissions they had to pay in March, where the only option was delivery or carry out so there was no dine in revenue to offset the costs.


Yup and add in higher food costs.  It's a negative and unless you can do some seated dining you are def not paying yourself and barely an employee or two. If you have a favorite restaurant call and ask them what they want you to do. 

If they have their own app order from the app or their website directly they are paying much less in fees.  This goes for any type of restaurant. Chains included. The majority of chain are independently owned and not owned by corporate


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## SoopremeBeing (Jul 28, 2020)

OhTall1 said:


> Yeah, those services are killing restaurants.  There was a viral image of one restaurant's costs for all of the commissions they had to pay in March, where the only option was delivery or carry out so there was no dine in revenue to offset the costs.



Oh wow. That really sucks.


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## nysister (Jul 29, 2020)

My favorite Mexican place, closed for about 3 months. (I was afraid it was permanent) but recently opened back up again.

Restaurants run on slim margins in the first place. I feel for the minority and especially Black owned places,since we usually have less access to funds.


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## Kalia1 (Aug 2, 2020)

Yesterday I went to a favorite pizza shop and pulled up to see a For Lease sign on the door. It was disappointing. I’m in Maryland and hope that the prediction doesn’t ring true.


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## vevster (Aug 2, 2020)

Kalia1 said:


> Yesterday I went to a favorite pizza shop and pulled up to see a For Lease sign on the door. It was disappointing. I’m in Maryland and hope that the prediction doesn’t ring true.


That’s sad and surprising considering that most people order pizza to go.


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## Everything Zen (Aug 9, 2020)

While we’re staying at home, we’re also making a point to order out a few times a month to support local restaurants- really trying to focus on mom and pops. We went to order from Boston Market the other day only to find out that the one near us was permanently closed.


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## MizAvalon (Aug 12, 2020)

This saddens me as I love to eat out at smaller, independent restaurants. Of course, those will be the first to go.


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## kupenda (Sep 27, 2020)

SO and I have been getting food delivered quite a bit during this pandemic but I’ve been attempting curbside more and more, just for the opportunity to ride around in my car. I’ll pass this info along to him because I heard Paladar in Annapolis closed for good and I couldn’t deal if the one here in Downtown Crown did too. We love that place


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## larry3344 (Oct 19, 2020)

In a way, people will go back to cooking more at home but I think this pandemic will change the way that restaurants operate and make them adapt.


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## MizAvalon (Oct 20, 2020)

larry3344 said:


> In a way, people will go back to cooking more at home but I think this pandemic will change the way that restaurants operate and make them adapt.


Agreed and I actually think both of those are good things. I like that restaurants have been forced to pivot and change the way they do business. You either adapt or you die. They found that out real quick this past Spring.

One change I have seen that I think is brilliant is restaurants giving you all of the components of a dish in a container to go, so that you can cook their meal yourself at home.


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## vevster (Nov 9, 2020)

Queenie said:


> I'm assuming that those who stay in business will be the ones with lower quality food, which are the places I try to avoid eating at.


See I feel the opposite, I think the ones with higher quality food will stay in business......  the more I cook at home, the more I see my cooking is the way to go.... the stuff outside is gross.


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## vevster (Nov 9, 2020)

The Starbucks near me closed.....  I wonder if it was business related or if Cuomo shut it down for a violation..


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## fula97 (Nov 9, 2020)

vevster said:


> The Starbucks near me closed.....  I wonder if it was business related or if Cuomo shut it down for a violation..


Their lease was probably up.


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