Iconic Restaurant Closes Overnight Without Notice

If you love a challenge or perhaps you just enjoy attempting nearly impossible tasks, consider opening a restaurant. 

Restaurants are notoriously difficult to operate. 

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They require long and inflexible work hours, are subject to the fickle and demanding consumer tastes, operate in often very crowded markets, and have high overhead costs. 

Consider all the costs associated with running a restaurant: labor, routine operational costs (e.g., water, gas, and electricity), food costs (which can be high because food is perishable) and rent. Typically, rent is outsized because you'd want your restaurant to be in a high-foot-traffic, popular area — with plenty of parking. 

Labor tends to turn over more quickly than is typical since restaurant wages are generally low and require long hours — usually on weekends or evenings. 

In fact, the National Restaurant Association estimates that approximately 60% of all restaurants will fail within the first year of business. 

About 80% fail within the first five years. 

That's about a 20% success rate. Not great odds, when you put it that way.

Wolfgang Kaehler/Getty Images

Rising costs are eating into profits

Recent economic conditions have made restaurant operations even more difficult. 

The latest February Consumer Price Index (CPI) found that the cost of goods and services rose 0.2% on the month. 

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The annual rate of inflation increased 2.8%.

Here's a breakdown of several price changes for February:

• Food: increase 0.2%
• Energy: increase 0.2%
• Electricity: increase 1.0%
• New vehicles: decrease 0.1%
• Used vehicles: increase 0.9%
• Apparel: increase 0.6%
• Shelter: increase 0.3%
• Transportation: decrease 0.8%
• Medical care services: increase 0.3%

"The food away from home index rose 3.7 percent over the last year. The index for full service meals also rose 3.7 percent and the index for limited service meals rose 3.5 percent over the same period," the CPI found.

Iconic restaurant closes suddenly

And now, as costs are rising, an iconic Maryland restaurant has shuttered its doors, seemingly without warning. 

The Edgewater, MD-based Bayside Inn on Mayo Road has closed its doors overnight after over 50 years in operation.

Several reports indicate the seafood restaurant, which is about 15 minutes outside of the state's capital Annapolis, closed overnight in mid March without warning employees or customers. 

Bayside Inn's owner, Charles Paul Carlow, died in June 2023. He was 85 years old. 

Bayside Inn had also been investigated in late winter 2024 for alleged health violations.

A benefit to support Bayside Inn employees has been set up on Facebook at fellow local restaurant The Greene Turtle. 

"We’re coming together to support the incredible employees of Bayside who were blindsided by the sudden closure — leaving them without jobs or income. Let’s rally as a community to raise funds and show them they’re not alone," the Facebook page reads. "Every contribution counts. More details on how you can help coming soon!"

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