RELIEF FOR RESTAURANTS
Restaurant Revitalization Fund
On March 11th, President Biden signed the American Rescue Plan which includes $28.6 billion specifically for restaurants as part of the Restaurant Revitalization Fund. The fund will be administered by the US Small Business Administration (SBA). WRA is grateful to see a program that provides restaurant-specific relief that small and independent restaurants deserve after closures, increased costs and decreased revenues have threatened their ability to stay in business for nearly a year. The RRF reflects our year-long effort together to help restaurants in need and builds on other relief tools that have been provided.
As of April 22nd, the Restaurant Revitalization Fund program is not yet open for applications, however, information is available so that restaurants can prepare. The Small Business Administration (SBA) recently released a sample application for the Restaurant Revitalization Fund (RRF) as well as a program guide. The SBA has not announced when they will begin accepting applications. The sample application and guide have been released so that restaurants can prepare.
Restaurant Revitalization Fund Overview Webinars from the SBA
NOTE: The U.S. Small Business Administration (SBA) confirmed on March 30 that applicants for the Restaurant Revitalization Grant (RRG) program will not need to register for a DUNS number or on SAM.gov.
This is a change from early March, when it was expected that applications would require this process as they currently do under the Shuttered Venues Operators (SVO) grant program. The shift by SBA recognized the significant demand for
the RRG program.
The National Restaurant Association has created an online portal with the latest information and resources regarding the Restaurant Revitalization Fund. We encourage you to check this portal frequently for the latest updates.
We have heard that some restaurants are being solicited by grant writers offering guidance on walking them through the grant process. We are confident that WRA and the National Restaurant Association are able to provide the necessary information and resources
so that most operators should not feel the need to hire outside consultants to be able to successfully complete a Restaurant Revitalization Fund grant application.
Keep in mind that the release of information from the SBA, the administrator of the grants, is an ongoing process and changes are still occurring. WRA will continue to keep restaurant operators informed as more information becomes available. Check this page on our website for updates.
Thank you to the National Restaurant Association for this information.
If you think your business qualifies for the RRF, It’s a good idea to start preparing early.
A restaurant, food stand, food truck, food cart, caterer, saloon, inn, tavern, bar, lounge, brewpub, tasting room, taproom, licensed facility or premise of a beverage alcohol producer where the public may taste, sample, or purchase products, and other similar places where the public or patrons assemble for the primary purpose of being served food or drink.
Publicly-traded companies, restaurants with over 20 locations (together with affiliated businesses) regardless of multiple or different operating names, companies who have applied for a Shuttered Venue Operator grant, or a State or local government-operated business.
Strings Attached to Dollars - RRF vs PPP
*Second Draw PPP expenses refer to forgivable expenses under SBA regulations. These expenses must adhere to a 60/40 payroll-to-nonpayroll expense formula during the covered period in order to be eligible for loan forgiveness. RRF regulations on expenses may be developed.
Disclaimer: Federal legislation is subject to change and this slide should not be used for or taken as for legal, financial, and/or business planning advice
Remember, the Ink is Still Drying
Let’s Remember – The Ink Is Still Drying These Processes Are Not Guarantees and There Will Likely Be New Oversight
- Pause before signing up with any vendor who pledges they know how to shepherd a business through this process – it’s a new program led by an agency that has never done it based on similar rules no one has seen.
- RRF will be a high-profile program with major regulatory and legislative scrutiny.
- Stay connected with the SBA website and application status at www.sba.gov and www.restaurantsact.com/rrf