About the Restaurant Revitalization Fund
The American Rescue Plan Act established a $28.6 billion “Restaurant Revitalization Fund” to be administered through the Small Business Administration. The SBA is currently in the process of creating the grant funding website and has not released when the grant program will go live.* (*Just FYI: We were on a call on 3/12/21 where the U.S. Chamber indicated it might be weeks before this program launches.)
Here are some key points about the RRF Grant:
* An eligible business may receive a tax-free federal grant equal to the amount of its pandemic-related revenue loss, calculated by subtracting its 2020 gross receipts from its 2019 gross receipts. If you have received the PPP or second draw PPP loans previously, you must include this amount as revenue. Grants are capped at $10 million and limited to $5 million per physical location of the business.
* For the initial 21-day period when the program opens, the SBA will prioritize awarding grants for small business concerns owned and controlled by women, veterans, or socially and economically disadvantaged small business concerns. The MOV Chamber is hopeful that the Mid-Ohio Valley area will be categorized as economically disadvantaged and given access to the grant program in the first 21 days.
* Funds must be spent on payroll; principal or interest on mortgage obligations; rent; utilities; maintenance including construction to accommodate outdoor seating; supplies such as protective equipment and cleaning materials; normal food and beverage inventory; certain covered supplier costs; operational expenses; paid sick leave; and any other expenses that the SBA determines to be essential to maintaining operations. Eligible expenses are those incurred from February 15, 2020 to December 31, 2021, or a date determined by the SBA.
* Eligible entities include 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, or other similar place of business in which the public or patrons assemble for the primary purpose of food and drink.
* Own or operate 20 or fewer establishments (together with any affiliated business), regardless of ownership type of the locations and whether those locations do business under the same or multiple names, as of March 13, 2020.
* Publicly-traded companies are ineligible. However, we are still awaiting guidance to see if franchise owners will be included as an eligible entity.
What can you be doing to get ready to apply for the RRF Grant?
It may be a few more weeks before the RRF Grant portal is opened with the SBA, but there are two tasks that you need to do as soon as possible to prepare to apply. (Keep in mind, you will need to know the precise legal name of your business to register with both of the following systems.)
* Register your business in the DUNS system to receive a Duns #. This must be completed FIRST before registering your business in the SAMS System. You should receive your DUNS number within a week.
* Register your business in the SAM system through the US Government. SAM stands for System for Award Management. You MUST be registered in this system to be awarded the grant money from the RFF. The approval process can take at least 2 weeks for this system.
The National Restaurant Association put out a great flyer that outlines the current information that we know regarding the Restaurant Revitalization Fund. Once more information is available, the National Restaurant Association will be dedicating a page on their website solely to this fund. This information can be found under the Relief tab on the National Restaurant Association website at www.restaurantsact.com
If you have any questions regarding the above information or need assistance with your DUNS or SAM registration, do not hesitate to reach out to us here at the MOV Chamber. As always, thank you so much for your support of the MOV Chamber. We are proud to serve you.
Visit this space every other Saturday for more Chamber news. We also invite you to call us at 304-422-3588 or email us at email@example.com. The Chamber office is open by appointment only at this time (501 Avery St., 9th Floor in Parkersburg.)