Indoor Dining Decision Welcome, But Restaurants Can’t Make a Profit at 25% Capacity

TRENTON (Aug. 31, 2020) – Small Restaurants in New Jersey learned this morning from Governor Phil Murphy’s tweet that they will be allowed to open on Friday at 25% capacity for indoor dining. NFIB, which represents thousands of small businesses in the state, many of them restaurants, is pleased there is some movement on this issue but hopes if safe, there will be a quick expansion of the capacity limits. The following comments are from NFIB’s State Director in New Jersey, Eileen Kean:

“This has been a financial and emotional roller coaster for independent restaurant owners who were shuttered in March, then bought food in July when told they could reopen indoors, but that didn’t happen so they lost money and hope. Now months later, word comes from the Governor on Twitter they can reopen inside before Labor Day weekend, which is good but at 25% capacity they still can’t make a profit.”

“Many restaurants operate on narrow profit margins and only had a few months of cash reserves, so while loans and grants extended that, it has gone on so long that some had to close for good. Mostly those with savings, or who owned a building and didn’t have pay rent have lasted to this point. But they will only survive if they are safely able to increase to 50% and hopefully full capacity in short order.”

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