CHENEY, Wash. — Restaurants in Washington are struggling considerably more than others throughout the country.
For the first time since the pandemic, the restaurant industry received a breakdown of how it spends every dollar. The results were heartbreaking for many.
In Washington, restaurants are 60% less profitable than the national average. The study found the average restaurant owner in the state is taking home 1.5% of business revenue, which totals around $16,500 per year.
Derek Baziotis, the owner of Bene’s, a breakfast spot in Cheney, are scrambling to make ends meet.
“Our local business owners are feeling the heat in the struggle right now,” said Baziotis.
Baziotis, who is also the local government affairs manager for Washington Restaurant Association’s Spokane chapter, has seen firsthand the daily struggles of operating a hospitality business in today’s day and age.
The top expenditure for restaurants is employee wages and benefits, but cutting back on that is out of the question for Baziotis.
“Our main focus is hospitality,” he said. “This report shows us that that’s where we’re having to cut back on and we really don’t want to go down that road.”
Restaurants have tried many things to become more profitable, including raising prices. But menu prices in Washington are 12% higher than the national average which makes owners believe that might not be the best solution.
“They’re trying things to reinvent the model so they can stay afloat,” said Washington Restaurant Association president Anthony Anton. “Please show us grace and understanding. We don’t have it all figured out, but we need to try something different to make this work.”
Despite the adversities, both Baziotis and Anton hope the industry will stay resilient.
“I know we’ll get through it. I have no doubt about that,” Baziotis said.
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