Operating a restaurant in Southern California remains challenging, compounded by pandemic losses, rising food and labor costs, and an impending minimum wage increase to $16.50.
‘Labor has long been a top expense for restaurants. In California, a larger percentage of the bottom line is spent on labor compared to other states.'
Chef-owner Ross Pangilinan highlighted 'the most on staff, which can account for up to 34% of his bottom line,' indicating a severe fiscal strain.
The well-regarded All Day Baby closed due to insufficient revenue: 'the restaurant simply didn't make enough money on a day-to-day basis to sustain operations.'
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