Chef expounds on Covid’s impact on business

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Chef Rodney Slane and his wife, Autumn, operate three restaurants, Grotto Wood-Fired Grill and Wine Cave, and Upstairs at Grotto in Eureka Springs, and Sauced Barbeque & Brews in Fayetteville. Then Covid-19 hit. The following is their story written by Rodney and sent by email to the Eureka Springs Independent:

“As the scare hit in those first few weeks, it was surreal as we were constantly clued into the ever-changing updates. Waiting to hear when our businesses may be required to shut down. We started preparing a strategy, started to take steps to conserve every bit of money we had safeguarded for the upcoming months. Thursday, March 16 we received the news that it was our last night for public dining. While refrigerators full for the weekend and now no one to serve. We pivoted quickly transforming Grotto into a small grocer offering fresh items and toiletries. I received enormous support from the local community.

“The next weeks we spent hours a day filling out lengthy forms – multiple times for unemployment and government grants. Only to have every day come up with errors; or to sit on the phone all day to talk to no one. By the second week you become numb to the hemorrhaging of money and no guidance from anyone. All the while begging your accounts payable to continue to be understanding.

“After a tense, long month of waiting we received the news that the Paycheck Protection Plan (PPP) had been depleted, and unemployment was still non-existent for self-employed individuals. At this point you have no other option but to think of every option, our minds racing from bankruptcy to more loans or restructuring. But restructuring to what? What are we coming back to? Bankruptcy after all of this work? Savings was our only option; years of work gone, in an instant.

“On April 22 we received notification that the PPP was opening back up! We applied again; one business funded, but not all. Our spirits were lifted to save the one, but now how do we save the other? We were crushed. Sauced was almost entirely worked by us, so we had little to show for payroll. PPP was based on your payroll + 2.5 percent. Well, we didn’t have any of that to speak of, and now that means no assistance.

The government gave this out with an 8-week expiration date from the day you received the funding (36 days before we could even open the doors). The rules at the time stated 75 percent was to be spent on labor, 25 percent on bills/utilities. This is great news to get our staff back working, but it still doesn’t help us with the costs to reopen. At 33 percent capacity I can only afford to give part-time employment. It’s difficult for them to make more than unemployment is offering.

“Finally, we received the news that we could open to public. The feeling was wildly bizarre. Grotto Wood Fired Grill and Sauced BBQ opened officially to the public May 15 at the recommended 33 percent capacity and 10 feet between tables. This allows us to have a significant reduction in seating at our places. The governor of Arkansas is requiring industry workers to wear masks and gloves, as well as our guests, until they receive a drink or food.

“Government officials have required people to stay home, and now we are supposed to encourage our employees to come back and have them feel safe. It’s been hard to say the least.

“Programs are out there to help with Personal Protection Equipment to protect our staff and customers, but we haven’t received any correspondence for that funding, making it increasingly difficult to protect staff and consumers without again dipping into what little savings is left. After the opening weekend of guiding and providing service to our tourists, mostly from out-of-state, we’ve seen the severe disconnect in information. People are upset to be made to wear the mask. It has been difficult to be the frontline to educate and receive the abuse.

“To make matters worse the supply of beef and poultry is having a complete supply chain breakdown. The price has gone through the roof, and now availability and quality are huge issues. Restaurateurs are a dying breed and will continue to decrease. What once was an already difficult industry is now an occupational hazard with no hazard pay.”