The experienced restaurateur and president of the Salvadoran Restaurant Association (ARES), Leo Guzmán, confirms that there has been a boom in food service businesses that ends up benefiting the population, but now the call is for them to seek formality of these emerging businesses.

"At this time the enterprises have them at home, they are informal businesses and to a certain extent unfair competition with us, in some way, but it is important because they are trying to get ahead and demonstrate their capabilities," said the businessman.

Guzmán commented that there is creativity in current ventures, even from people who have never been in the gastronomy business.

For him, it is important that they continue to prepare professionally both in the preparation of food and in administrative operations, in costs and purchases and thus take advantage of raw materials in the best way.

ALSO: “It is possible that many companies can no longer return to formality”

They also have to know how to manage inventories properly in such a way that they have product rotation and avoid losses of their inputs.

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“We have very good boys but they have to learn to work more, because to join formal life you have to make some investment and be sure of what they are doing, because it is easy to sell without an invoice, to sell in the neighborhood, with the neighbors, but that is not going to give them growth, they have to manage costs, because that is also learned”, he affirmed.

For Don Leo, a clear example of the benefit of being in formality is the subsidy that the government will deliver to small businesses to assume the increase in the minimum wage that came into force this month and that has as one of the requirements the presentation of the payroll of Social Security.

"I think that for entrepreneurs the next step is to formalize," said Guzmán.

ALSO: 72% of companies in El Salvador are informal, according to the Chamber of Commerce

For the businessman, there is also a boom in the food delivery service because there are restaurant employees who were laid off and have obtained motorcycles for delivery, says Guzmán.

According to ISSS data, as of May this year, 808,911 workers work in the formal sector. Of these, 184,657 are public employees and 624,254 are in the private sector, which in total represent 27.7% of workers. This means that the rest of the economically active population, some 2.1 million, that is, 72.3%, work in the informal sector.

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