As we saw yesterday, the announcement of the closure of dining rooms located in the red zone is not to the delight of restaurant owners. They are worried on several levels. The government has tried to reassure them with the announcement of aid that will allow them to receive a "forgivable" loan for the month of October. But what is it exactly?
Thus, eligible institutions will be able to obtain an 80% “forgiveness” on their loan, up to $ 15,000. The measure concerns all restaurants in red zones, whether they are now completely closed or whether they offer take-out, deliveries or ready-to-eat meals.
A quick calculation shows a potential of some 12,000 companies. The announcement should allow them to pay the fixed costs for the current month, October: municipal and school taxes, rent, mortgage interest, electricity and gas, insurance, telecommunications fees, permits and association fees.
What they said:
Restaurants Canada: “Our request for support for fixed costs, including rent, has been heard and this is an important step forward. In addition, the fact that the new government measures have a very high forgiveness rate on new loans (80%) is good news. We are also satisfied that the Quebec program can adapt to a possible federal program in order to be complementary to it. Finally, the eligibility will not discriminate on the basis of usage, which is positive for restaurants that also sell alcohol. The Quebec government heard from the restaurant industry and acted to provide adequate short-term assistance. We hope that the closures in red zones are limited to the 28 days currently planned. These closures are devastating, but the measures presented today will allow hundreds of restaurateurs to survive while they are allowed to reopen "
Association Restauration Québec: “The plan is not perfect, but it will give a good boost to a majority of restaurants located in the red zone. Offering restaurant businesses located in the red zone a forgiveness loan to pay their fixed costs, 80% of the total amount granted up to a maximum of $ 15,000 per month will not have to be reimbursed, will allow a large number of them to keep their heads above water during the second wave and the ARQ, subject to knowing the details of the program, wants to salute the effort made by the government of Quebec which puts on the table 100 million dollars with this one for the month of October. "
Yannick Parent (Le Bello, Le Savini et la Bûche): “The government should have demanded that we see our fixed costs with supporting evidence. In my restaurants, I have one in three whose expenses are covered with assistance of $ 15,000. For the other two in Old Quebec, it's small change. At La Bûche, I have between $ 35,000 and $ 40,000 in fixed costs. I wonder if I'm not going to wait until summer 2021 to reopen. "
Catherine Dionne-Foster (La Korrigane): “For us, we're happy with $ 15,000. It covers our fixed costs. We will limit our expenses as much as possible. We will be open three days a week for customers who want to buy beer to go. I remain optimistic and realistic, although it could be longer than a month. I was anticipating a second wave and I'm not surprised. "
