Gutknecht first raised the alarm in May. At the time, Taco Uprising was celebrating its first anniversary. Gutknecht acknowledged that it had been a tough winter, and the restaurant was lonely as the only spot open on the 2800 block of Welton Street. But Gutknecht and co-owner Samuel Valdez were looking forward to the warmer months. They expected the summer to bolster the business, but it did not.
Sales have decreased significantly and remained low — this year's sales were down 40 percent from the restaurant's first six months in business, which shocks Gutknecht because "those first six months, no one knew us, we were brand-new," he notes.
Gutknecht says Taco Uprising's survival is week-to-week. He expects that if nothing changes, the restaurant will close before the end of the year. "It's a very tough and challenging landscape for restaurants to survive in Denver right now," he says.
The two owners have cut costs everywhere they could. The original staff of ten to fifteen part- and full-time employees is down to five, including Gutknecht. The hours were tweaked so the restaurant is closed during the slowest time, from 2 to 4:30 p.m. The team has run specials, collaborated with nearby businesses like Cervantes' Masterpiece Ballroom and held an anniversary celebration.
When table service became too burdensome, Taco Uprising transitioned to fast-casual counter service for breakfast, lunch and, eventually, dinner. It added a self-service kiosk. The team considered cutting breakfast out completely, but that is part of the core concept, because breakfast tacos and burritos served with good coffee, sourced by Lavazza, are missing in the area.
Gutknecht and Valdez know they aren't the only ones facing challenges, and they echo what many restaurants have been saying for over a year: They are struggling, the economy is worrying customers, and Denver is a particularly tough place to run a small business with rising operational and living costs, including minimum wage, which is set to increase again in January. "Denver is an expensive city — everyone knows it," he says.
As Denver's minimum wage began to rise, people started going out less. Gutknecht makes it clear he believes employees should be paid a fair wage. "We're are all for people needing to afford the city they live in," he says. Taco Uprising was created with the triple bottom line in mind: people, planet and profit. That included an effort to become B-Corp certified, a costly process that requires a business to follow strict sustainable operational requirements, including employment practices like offering health care.
Taco Uprising also serves cocktails and beers like this margarita with Tajin.
Courtesy of Taco Uprising | Noel Media House
He's hoping Taco Uprising's openness about its challenges will help the small business community. "We just want to be fully transparent about it, even though we're still fighting," he says. The owners are putting out the word on social media and posting a letter to customers in the restaurant. "We're going to do this announcement, and hopefully it gives us the lift we need. At the very least, it lets people know small businesses, especially restaurants, are struggling. Even if it gets a few people to go visit their local small restaurant, that's worthwhile," he says.
Two weeks ago, Welton Street Cafe opened next door after months of rebuilding that space. "Welton Street Cafe opening was huge — it brings energy and more people to the block," says Gutknecht. But Taco Uprising hasn't seen a huge increase in sales yet, and there's not much time left.
Taco Uprising is located at 2849 Welton Street and is open from 9 a.m. to 2 p.m. and 4:30 to 8 p.m. Tuesday through Thursday and 9 a.m. to 2 p.m. and 4:30 to 8:30 p.m. Friday and Saturday. For more information, visit tacouprising.com.
