logo
Error with device mobile widget id ads_slot-8
Error with device mobile widget id ads_slot-8
  • News
  • Retail
  • Opinion
  • Movers & Shakers
  • Business
  • Real Estate
  • Community
  • Entertainment
  • Food & Beverage
  • Archives
  • Free Subscription
    • News
    • Retail
    • Opinion
    • Movers & Shakers
    • Business
    • Real Estate
    • Community
    • Entertainment
    • Food & Beverage
    • Archives
    • Free Subscription
Error with device mobile widget id ads_slot-6
Error with device mobile widget id ads_slot-6
Restaurant industry grows, adapts with rising costs of business
Colorado Boy has reduced its hours in recent years. The restaurant was once open for lunch and dinner seven days a week, but that has changed as the restaurant has adapted. Justin Tubbs | Montrose Business Times
Business, News
Justin Tubbs on
May 31, 2023
Restaurant industry grows, adapts with rising costs of business

For Colorado Boy Pizzeria & Brewery in Montrose, a COVID and post-COVID world has meant adjusting and adapting.

That’s because the cost of being in the restaurant business has increased significantly in recent years. But despite those challenges, the restaurant is growing and is even seeing a larger profit margin with the help of some changes.

Victoria Cornejo, who was a longtime employee of Colorado Boy, even felt confident enough to buy into the company. She is now part owner, as of late last year.

Also the general manager, Cornejo has had trouble finding reliable employees and has faced issues with rising costs of food, labor and more.

Of course, the industry changes all the time, and businesses have to adapt, but the recent pandemic and the following issues with the economy and inflation have meant many businesses have adapted or closed.

According to Cornejo, the business has increased menu prices (9 of 10 Colorado restaurants said they increased their menu prices to offset rising costs. Colorado Boy also reduced its hours and its staffing levels, following along with statewide trends. More than 60% of restaurants cut their hours, and more than 68% of restaurants reduced staff.

But Cornejo knows it’s not always easy making those kinds of decisions.

“We try not to do increases (in prices),” she said. “You can’t just say this used to be $10 and now it’s $15.”

So they increase their prices gradually.

The restaurant was once open 11:30 a.m. to 9 p.m., seven days a week, but it has had to change its strategy on that as well. They are only open for lunch service two days a week currently.

“There was a point several years ago when we were open for lunch, but I don’t plan on opening for lunch much anymore,” Cornejo said. “It’s mostly because of the staff. We would have to double the staff. The profit margin, just for that short amount of time that we’ve cut, has gone up immensely.”

She now carries about half the staff she used to, and the restaurant has seen positive impacts because of it.

On average, that has left only about 3 cents profit from each dollar spent at the average restaurant, after all the rising costs.

Surviving, and adapting in the thick of it

According to the CRA’s January 2022 impact survey, the percentage of restaurants that were considering closing permanently in 2022 was 54%.

Among those, 14% believed they would close within 14 months and 28% expected to close within six months.

More than 99% of restaurants reported that the cost of doing business had increased from January 2021 to January 2022. And with 69% of Colorado restaurants being independently owned and operated, there usually isn’t a larger company to fall back on.

Montrose saw some restaurant closures over the past few years. Even with that, the Colorado Restaurant Association says the restaurant industry grew by 3% from 2019 to 2021.

During the pandemic, Colorado Boy survived with takeout orders and a greatly reduced staff. They also had deals, like $5 growler fills. They also had to follow pandemic protocols, which were constantly changing and make sure their employees were safe and taken care of.

“I got a ton of experience with all the adapting and different protocols,” Cornejo said. “How are we going to sanitize and space tables out? We wanted to make sure we were doing it properly.”

With their restructures, they have also made the decision to pay employees more.

“But that’s just something we always want to do,” she said. “We want to make sure employees have a livable wage.”

Looking ahead

Cornejo, as well as partner and brewer Mike Thomas and primary owner Jenny McClellan, will have challenges ahead as they look at what foods to order and when. They will likely still face hiring issues.

Between 2022 and 2023, 8 of 10 restaurants struggled to hire enough staff, and wages have risen an average of 20%.

“Just to staff for the summer was difficult. It took me three weeks to get people in for interviews and hired,” she said.

And with food costs, they have to be more diligent than ever to keep things running smoothly. Food prices have risen 11%, the highest increase in four decades, according to the CRA.

“With food ordering, we want everything to be right pricewise,” she said. “I’m very strict going through things once a month and seeing what we can afford and what we can or can’t do without.”

Colorado Boy, like other Montrose businesses, will likely be OK, though.

“We’re just really grateful to the community through everything, and I want to pay our appreciation to them,” she said.

Justin Tubbs is the Montrose Business Times editor. He can be reached by email at justin@montrosebusinesstimes.com or by phone at 970-765-0915 or mobile at 254-246-2260.

Related Posts
Error with device mobile widget id ads_slot-4
Error with device mobile widget id ads_slot-4
Error with device mobile widget id ads_slot-2
Error with device mobile widget id ads_slot-2
Error with device mobile widget id ads_slot-7
Error with device mobile widget id ads_slot-7
MOST READ
What is the average cost of a wedding on the Western Slope and in Montrose?
Business, Community...
What is the average cost of a wedding on the Western Slope and in Montrose?
By Justin Tubbs Montrose Business Times 
May 8, 2025
The wedding industry in southwestern Colorado has evolved into a diverse market catering to both high-end destination events and intimate, budget-frie...
this is a test
News
Montrose County commissioners reconfirm Ahmed as public health director after making him interim
By Justin Tubbs Montrose Business Times 
May 7, 2025
Without much discussion, the Montrose County Board of Commissioners on Wednesday voted to appoint Dr. Mirza Mashrur Ahmed as Montrose County public he...
this is a test
The Bridges $1M in upgrades, new restaurant menu and more member benefits
Business, Food & Beverage...
The Bridges $1M in upgrades, new restaurant menu and more member benefits
By Justin Tubbs Montrose Business Times 
April 30, 2025
After undergoing around $1 million in renovations under new ownership, The Bridges Golf & Country Club officially reopened to the public Wednesday, Ap...
this is a test
Clearnetworx internet company, founded in 2012, expands into Farmington, marking five years of big growth
Business, News
Clearnetworx internet company, founded in 2012, expands into Farmington, marking five years of big growth
By Justin Tubbs Montrose Business Times 
April 24, 2025
Clearnetworx, a Montrose-based internet company that first got its start in 2012, has grown steadily over the years. But since 2020, that growth has p...
this is a test
Silver Basin Brewery offers fun events and really good beer yearround
Business, Food & Beverage...
Silver Basin Brewery offers fun events and really good beer yearround
By Jen Wolfe for the MBT 
April 24, 2025
Located at 147 N. 1st St in Montrose, Silver Basin Brewing opened its doors three years ago. For owners Bob Ross and Shauna Mikelich, this is a new ph...
this is a test

Subscribe for Free to the interactive E-edition. Each Wednesday.

subscribe
logo

The Montrose Business Times has established itself as the premier source for local business news, community updates, events, and trends in Montrose, Colorado, and its surrounding areas. Our mission is to inform and support the growth of our residents, businesses, business leaders, and entrepreneurs within our community—a commitment we hold with great sincerity. Our vision transcends the act of sharing success stories; we strive to create them. We believe in the transformative power of storytelling—how sharing experiences, insights, and personal journeys can ignite inspiration and drive meaningful change within our community. At the heart of our endeavor lies growth and impact. We are devoted to engaging with the community at large, ensuring that everyone has access to the remarkable stories and insights we present. Our offerings encompass digital news content, a weekly digital newspaper, and a variety of events—all designed to honor and celebrate the best that Montrose has to offer. We invite you to join us on this journey as we illuminate the narratives that shape our vibrant city. Professional Memberships: National Newspaper Association, Colorado Press Association, Colorado News Collaborative, LION Publishers, Montrose Economic Development Corporation, and the Greater Montrose Chamber of Commerce  

INFO

  • About Us
  • Advertising
  • Contact Us
  • Become a member
  • About Us
  • Advertising
  • Contact Us
  • Become a member

CONTACT INFO

montrosebusinesstimes.com

Montrose Business Times

501 E. Main Street

Montrose CO 81401

9707650915

submissions@montrosebusinesstimes.com

Got a story tip? Drop us a note at submissions@montrosebusinesstimes.com