Hospitality businesses are being forced to close due to the number of customers cancelling bookings - with one restaurant seeing over 100 cancellations on one night alone.
It comes after Nicola Sturgeon urged Scots public to stay home 'as much as possible' in light of the rising number of covid infections as a result of the new omicron variant.
Although businesses are currently allowed to remain open, legal guidance has been introduced to ensure that they take measures to limit transmission including installing protective screens and preventing 'crowing and bottlenecking'.
A combination of words of caution by the First Minister and the number of people having to isolate due to a positive test or being a close contact has led to a raft of cancellations which as left the industry on a 'knife edge'.
Bosses at Platform at the Arches said 'what was meant to be a jam-packed December of events bookings and entertainment' for them has now 'disappeared'.
The venue was forced to close on Thursday due to the 'overwhelming' amount of cancellations.
Saint Lukes and the Winged Ox saw over 100 cancellations on Friday alone, following Nicola Sturgeon's 'stay at home' plea.
General manager Alex Riches said: "I feel there is now just an overarching feeling of dejection within hospitality, that we've been hung out to dry again.
"We saw over 100 covers cancel on Friday alone and all the live events for the remainder of the year are hanging in the balance with dwindling public faith in coming out. It should've been a mad Friday, there should've been parties galore and everyone in full festive spirits, however, it turned into just another bad Friday."
Graham Suttle of Kained Holdings, which owns Porter & Rye, The Finnieston, and Lebowskis, described the industry as being on a knife-edge.
He told Glasgow Live: "On one hand we must ensure the safety of everyone including our teams and our customers and on the other hand we have to balance livelihoods and mental health of everyone in the industry.
"Christmas is a stressful enough time for all and this has given everyone a real challenge. My hope is everyone is still here in the new year to try to rebuild the backbone of the Scotlands economy.
"Everyone’s fears are for jobs livelihoods and health, so a collective approach for everyone is key to preventing an all-out economic disaster."
The First Minister announced on Friday that the Scottish Government had "found" £100million from their budget to support businesses during the latest outbreak.
On the question of where the £100million funding will be broken down, Ms Sturgeon said: "£66 million of this will go to the hospitality sector, and £8 million will go to the food and drink supply chain affected by hospitality cancellations – that includes wholesalers.
"£20 million will go to the culture sector, £3 million to the wedding sector, and £3 million to the worst affected parts of the tourism sector, including international inbound operators.
"We are working with councils, enterprise agencies and others to ensure businesses get this money as soon as possible. Those who have previously received support will be contacted directly."
