Hartford Business Journal

12 HARTFORDBUSINESS.COM | MAY 17, 2021 By Matthew Broderick Special to the Hartford Business Journal L ike many restaurateurs in Connecticut and across the country, the past year has been a near endless struggle for Chip Kohn, owner of West Hartford's Beachland Tavern, Beachland Smoke and Rockledge Grille. As capacity limits dropped over the past year while expenses for government-required safety measures rose, the calculus of Kohn's focus shifted from worrying about profits to simply minimizing his financial losses. "Even with takeout orders increasing significantly, [business] was nowhere near where we were pre-pandemic," he said. "It's not a sustainable business model." Even as signs of optimism emerge in Connecticut with vaccination levels increasing and Gov. Ned Lamont scheduled to lift all capacity restrictions on May 19, the past 12 months have been devastating for the state's restaurant industry. The sector has seen nearly 600 restaurants permanently close, 90,000 employees — more than half of the industry's workforce — lose their jobs, and collective revenue losses of more than $1 billion, according to Scott Dolch, executive director of the Connecticut Restaurant Association (CRA). Kohn can relate. His employee count has dropped by more than one-third, from 85 last February to 55 today. He said he's been frustrated by what he sees as mixed messages from policymakers that have disproportionately affected the restaurant industry. "I don't think [restaurants] were ever as dangerous as [people] made them out to be," Kohn said. "We did everything correctly and we were still [treated as though] we were unsafe; restaurants became a scapegoat." Kohn points to the thousands of dollars he invested per restaurant to add safety features like plexiglass dividers, increase sanitation supplies and create socially-distant dining environments. Statewide, CRA's Dolch estimates restaurant owners, on average, spent between $8,000 to $15,000 on similar upgrades. While Kohn may have disagreed with the risk assessment of restaurants, he credits the federal government's Paycheck Protection Program (PPP) with saving his businesses. Over the last year, nearly $70 billion in PPP funding was pumped into the restaurant industry, including all three of Kohn's establishments. He said he got more money in the program's second funding round after switching lenders to TD Bank. "We ended up qualifying for a lot more money because [the bank] really took the time to understand the details of our needs and went through all the details," Kohn said. "It was a lot better Fight for Survival Restaurant owner, industry stay afloat with PPP, other relief funds Scott Dolch Chip Kohn, owner of West Hartford's Beachland Tavern, Beachland Smoke and Rockledge Grille, says funding from the Paycheck Protection Program was key to keeping his restaurants afloat over the past year. PHOTO | CONTRIBUTED

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