Business permits should be shall-issue: if an applicant adheres to a set of rules known in advance, the city ought to have no power to deny its permit application. Want to limit the number of something? Fine. Auction off medallions or something in a transparent, open way. Don't pick and choose businesses the way SF busybodies do. San Francisco has severe and worsening problems primarily due to rampant interference in…
But maybe in another sense, San Francisco is a product, and the feature it's selling includes rampant overregulation.
If that's not a good business model, another city can step up and offer better incentives. And people can move there. There are many nice cities and towns in the US. If you insist on living on the dirty tip of a tiny overcrowded peninsula, that's a choice.
You're trying to regulate San Francisco's right to regulate.