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SF Caps Food Delivery Commissions for Uber Eats, DoorDash & Postmates

Mayor Breed orders 3rd-party delivery apps to charge no more than 15% to help SF Restaurants
By - posted 4/13/2020 No Comment

To support struggling San Francisco restaurants offering take-out food during the Quarantine Period,  Mayor London Breed Announced ad Delivery Fee Cap for delivery apps such as Uber Eats, Grubhub, DoorDash, Caviar, and Postmates. 

Read Full Statement Released Friday, April 10, 2020.

What’s Changing?

These fees typically range from 10% to 30% and can represent a significant portion of a restaurant’s revenue, especially at a time when the vast majority of sales are for delivery. This commission fee can wipe out a restaurant’s entire margin.

Mayor Breed’s Order temporarily limits the fee that delivery companies can charge to 15%. This cap on delivery fees is intended to support small businesses during the COVID-19 pandemic, and will be in effect for the duration of the Local Emergency, or until restaurants are allowed to resume in-person dining.

The emergency order will last through the duration of the shelter-in-place order or until restaurants are allowed to resume in-person dining, whichever comes first. Whether or not this will actually result in lower fees for consumers, or result in better profit-margins for restaurants remains to be seen.

Until then, let’s help keep restaurants stay in business. Stay at home and help curb the spread of the virus.