The closure of Brasseries T! suggests the start of a wave of restaurants closing their doors in early 2024.
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“It's really sad news, but it's not unexpected,” reacted Maximilien Roy, vice-president of Restaurants Canada for Quebec.
According to a report from the organization released in November, one in four independent restaurants in the country do not plan to pay off debt incurred during the pandemic and could close in the coming months.
In Quebec, Brasserie T! was among the first to announce the closure of its restaurants in Montreal, Sainte-Thérèse and Brossard on Wednesday, leaving behind 130 employees.
challenges
It was not possible to speak to the group's leader and co-founder, Normand Laprise, who explained the reasons for the closure in a press release.
Although restaurant traffic was good, the company was unable to recover from the pandemic, which “occurred at the worst time in the network's evolution,” it said.
“The operating costs of our production kitchen in Beaumont were too high to serve just three branches. Therefore, our business was loss-making,” we read.
Inflation also plays a role, he added.
“These are elements that many restaurant entrepreneurs experience,” notes Mr. Roy.
Maximilien Roy, vice-president of Restaurants Canada for Quebec. Provided by Maximilien Roy
The report shows that food and labor costs are the biggest challenges for restaurateurs.
In order to give restaurateurs a break, the restaurateurs' association is calling for a postponement of the repayment of Corona emergency loans. The deadline is January 18 to repay $40,000 and thus keep $20,000 in grants.
uncertainty
The day after the closure of Brasseries T! café boutique Les Malins in Le Plateau-Mont-Royal in Montreal announced it would be closing its doors.
“You know that the catering industry is currently facing major challenges, and these have not spared us either,” we explain in a Facebook post.
These first closures come after a difficult 2023 for the industry.
In the first nine months of 2023, 511 businesses went bankrupt in the country, an increase of 48 compared to the previous year, Mr. Roy notes.