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A forum opens that unites all restaurant organizations: requires a series of steps
The Main Forum of the Catering Industry Association unites all restaurant and bar owners in Israel and addressed the Minister of Finance with a demand for an efficiency program: "57 percent of entrepreneurs in the field will have difficulty opening after the end of the crisis"
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Restaurants
Sonia Gorodisky
Monday, 01 February 2021, 12:09
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The Main Forum of the Catering Industry opens today.
The forum unites the "Strong Restaurateurs Together" association and the "Israeli Restaurant and Bar Association".
The Forum of Heads of the Catering Industry has joined the struggle of the Forum of Heads of Commerce in Israel and is joining hands in order to reach the desired opening of all the branches of commerce and catering.
The forum has more than 10,000 businesses representing all the culinary sectors in Israel, including fast food, street food, cafes, chef restaurants, bars, ethnic restaurants, small and private business side chains alike.
Members of the forum's action committee include Chef Haim Cohen, Chef Assaf Granit, Tomer Moore, Shai Berman, Guy Yakar and Ronen Nemani.
The Main Forum of the Catering Industry has approached the Ministry of Finance with a series of supportive steps to open up the industry.
"In a survey we conducted among hundreds of restaurateurs, 57% of entrepreneurs in the field said they would have difficulty reopening businesses when the state allows it, due to cash flow difficulties arising from debts to suppliers, landlords, service providers, repaying frozen loans and taking new loans, changing credit terms to suppliers. The obligation in the banking system and more, "reads a letter to Finance Minister Israel Katz," with the crisis entered the industry numbered about 14,000 businesses and unfortunately, about 4,000 of them have already officially closed, two thousand more are expected to close during the first quarter of 2021. Currently, industry activists. "3,000 businesses, in the form of deliveries. This activity is characterized by low profitability at best and often even losses. The number of employed in the industry fell from 203,000 workers, before the crisis began, to 50,000-60,000 workers now."
The restaurateurs detailed the main points of the plan that they claim should be implemented immediately in order to save the industry from collapsing.
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Trying to save the industry from collapsing.
Demonstrators' demonstration in front of the Knesset on December 14 (Photo: Flash 90, Olivier Fitoussi)
Calculation of the grant for participation in fixed expenses according to the criteria set out in the provision of the law for the entire economy, without unnecessary "asterisks" of delays by the tax authority.
Providing an interest-free "start-up" loan with Grace for a period of one year under the state guarantee.
The loan amount will be 35% of the average monthly turnover of the business in 2019, which reflects the cost of raw materials needed by the entrepreneurs to open the business.
The loan will become a grant provided the restaurant remains active in the year following the loan.
The estimated maximum cost to the state for this section is approximately NIS 400 million.
Grant for restaurants opened in 2020: A formula must be set in accordance with the "industry average profit" and they must also be allowed to receive the grant, since they pay fixed expenses like any other business and their situation is even worse.
One-year deferral at the beginning of repayments of state-guaranteed loans granted in 2020, without interest and linkage.
Immediate credit for property tax starting from 18.9.20 for businesses that decreased by 25% + a 50% discount on property tax payments for 2021, including the cancellation of signage fees and various permits.
The credit will be made in accordance with the representative's reports, regardless of the Ministry of Economy / Local Authority.
The credit will be made on the basis of a report by the representative to the local authority, without going through the tax authority and the Ministry of Economy, an action that prevents businesses from getting what they deserve.
Determination of entitlement to compensation for participation in fixed expenses on a decrease of 25% by June 2021.
Abolition of the levy on the employment of foreign workers on a temporary basis for two years.
The estimated cost to the state is about NIS 50 million a year.
Declaring the catering industry as a preferred job for workers under the age of 30 in order to encourage a return to work (by activating the existing tax benefit mechanism in Eilat).
Supportive activities to encourage outdoor seating - use of public areas, exemption from relevant fees for this purpose (tables and chairs, curtain, etc.).
Supervision and deepening of regulation of the shipping companies in such a way that their total commission does not exceed 15% and the rest can be collected from the customer separately as shipping fees.
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