As the U.S. tariffs persist, many restaurant operators are looking for ways to maximize their margins, appeal to the growing patriotic sentiment, and avoid potential supply chain disruption. With consumer confidence dropping, on-going job losses, ever-decreasing discretionary spending, and smaller purchasing power due to the suffering Canadian dollar, restaurateurs may need to be creative to stay afloat and get ahead.

Stay close to home

Sourcing alternative suppliers and looking for local products is a strategy that operators can try to secure more consistent pricing and delivery. Here are some of the ways this approach might help your restaurant:

Make your menu more seasonal by featuring more fresh, local produce in your dishes.
Get closer to your ESG goals by lowering your carbon footprint with closer delivery.
Local ordering may also encourage you to order in smaller quantities, potentially lowering food waste and improving your inventory management.
Looking local can help build Canadian businesses, along with aligning with a growing country-wide sentiment to buy local and support Canadian companies.

Get government help

The federal government has launched a $6.5 billion support package to assist Canadian businesses like restaurateurs who are challenged by the tariffs. The support includes:

Employment Insurance (EI) Work-Sharing Program: The EI Work-Sharing Program has been expanded to cover a broader range of workers/businesses for a longer maximum period of time.
Business Development Bank of Canada (BDC): $500 million in low-interest loans is being offered to businesses affected by the tariffs, designed to reduce borrowing costs and provide flexible repayment options.
Export Development Canada (EDC): A $5 billion Trade Impact Program has been introduced to help exporters access new markets and manage challenges caused by the tariffs, such as losses from non-payment and currency fluctuations.
Farm Credit Canada (FCC): $1 billion to be provided in new financing to support the agriculture and food sectors, addressing cash flow issues, and helping businesses adjust to evolving market conditions.

As operators continue to battle increased costs and supply chain challenges, creating a strategy that focuses on local producers and taking advantage of the aid offered by the government may be enough to keep restaurants afloat through this tumultuous time.