Ararat's Vines Cafe and Bar plan to transform their shopfront into a dining area for customers to eat and drink safely after COVID-19 lockdown.
Vines Cafe and Bar chef Sandra O'Malley said the outdoor dinning plan was a "fabulous idea" for the hospitality industry.
"Vines is in a much better situation than a lot of places because we have a large shop front," she said.
"We already preempted that we would be doing an outside dining experience ... we set ourselves up with extra umbrellas and curbside bolsters.
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"We are pretty well geared for it and we can open up our courtyard door.
"Part of the courtyard is on the pavement, so we can open that and utilise that space ... "
On Tuesday, Premier Daniel Andrews announced regional Victoria would move to phase three which allows a cap of 50 people in outside venues.
The government's Outdoor Eating and Entertainment Packagewill provide $87.5 million to councils and businesses outside of Melbourne's CBD, to make widespread outdoor dining safe, practical and a reality this summer.
Ms O'Malley said the outdoor dining initiative would involve a lot of organising for businesses.
"The government definitely has to chip in to help beautify everything and make it more practical," she said.
"We would welcome any help to beautify the outside area.
"It will enhance dining. Nothing makes a business more lively and active than outdoor dining."
Vines Cafe and Bar has remained open since the first lockdown and Ms O'Malley said they had received a lot of support from the community.
"Because we are a dine-in restaurant predominantly, we had to expand our takeaway and delivery services," she said.
"We have just tried to adapt and keep going which has been difficult at times, but the general public has been supportive.
"We are positive about the outdoor dining plan and we think this is a nice introduction to get back into dining."
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