Hospitality Ulster has said that the partial reopening of the sector this week would be "unfair" and "would cost jobs".
The organisation issued the statement on Sunday after the deputy First Minister Michelle O'Neill suggested that some premises could be allowed to reopen for food but not alcohol sales.
Speaking to the BBC's Sunday Politics programme, the Sinn Fein vice-president said any decision by the NI Executive tomorrow would be made in a "graduated" manner.
"We have to be very mindful of the fact that perhaps people's defences come down when there is alcohol taken," Ms O'Neill said.
"So what we're looking at is are there ways that we can open things up perhaps without alcohol?
"No matter what we announce tomorrow, some people will be annoyed. I understand that. We have to continually try to get the balance right. We need to find a way to live through the pandemic, keep the virus in check and keep R below 1.
"This is a challenge but our objective is to get us into the New Year."
However, Hospitality Ulster said the end of the circuit breaker on Friday was a chance for the sector "to get back on its feet again".
Colin Neill, Chief Executive of Hospitality Ulster, said: “We really need the Executive to make sure that the focus is on getting the entire hospitality sector back up and running again this Friday to save a significant amount of jobs and businesses.”
“We now face a really important part of the year and although we are live to the fact that this will be an extremely challenging trading period, we need to have the doors open.
"Hundreds of businesses are struggling and now in debt as they try to keep staff in the face of mounting bills and a lack of financial aid from the government which covers very little in reality.”
“If there is any decision to defer then it simply cannot be for anything more than two weeks. The 27 November, for example, only gives four weekends in which to trade before Christmas," he added.
"Any date beyond that will have a huge impact and we’ll likely see thousands of layoffs and businesses not fit to reopen again if there is any delay.
“We have not seen anywhere near the level of financial support needed to preserve businesses that are closed, even the furlough scheme, whilst welcome, does nothing to help those under pressure.
"For example, businesses are expected to pay £30 a week per employee, so if you have 100 staff, you need to find £3000 a week from thin air.
"Every day businesses are closed, means more job losses and more business failures, it’s as simple as that.”
