NWhile the coronavirus is also making its way in our country and needs to be controlled, catering entrepreneurs see that the corona crisis has major financial consequences. The number of cancellations has increased by 48% and the number of new reservations is not forthcoming.
Research by KHN among nearly 4.000 catering entrepreneurs shows that 55% more cancellations of existing reservations than usual and that they experience an average 33% loss of turnover due to the various advice and measures. KHN expects that the negative consequences of the coronavirus will be noticeable for a longer period of time.
The results provide insight into the impact per region, but also per type of company. At the national level, the unrest is now great. At the moment we see that Brabant and Amsterdam in particular have been hit more severely, but with the new measures we see that the concerns among catering entrepreneurs from other regions are also increasing rapidly.
The loss of turnover for March is estimated at 33% (or €630 million) and will increase to €700 million per month, if the rest of the Netherlands follows the patterns of Brabant and Amsterdam.
Overall, this means a major liquidity problem because the operating result, including entrepreneurial wages, is normally around €300 million. This cannot be bridged without government support. Certainly not for the small business owner.
Follow advice from RIVM, guests remain welcome in the catering industry
KHN understands the concerns of entrepreneurs, employees and guests, but trusts the good approach of RIVM. It is important to follow the advice of the RIVM and the local authorities. On Thursday afternoon, the crisis team advised to cancel all events with more than 100 people throughout the Netherlands. Museums, theaters and sports clubs are also advised to close their doors in the coming weeks. For catering establishments, when following the advice, visits to the catering industry will remain possible. But catering companies must also pay reasonable attention to the maximum of 100 people. The new measures apply in any case until April 1. Guests and employees are of course still welcome.
RIVM advises
The RIVM National Institute for Public Health and the Environment recommends the most important measures you can take to prevent the spread of the coronavirus:
- Wash your hands regularly
- Cough and sneeze in the inside of your elbow
- Use tissue paper
- Do not shake hands
- Don't go to the catering industry if you have any flu symptoms, so other guests can just come
source: oa KHN