The program provides emergency assistance for eligible restaurants, bars, and other qualifying businesses impacted by COVID-19. (Photo: SBA.gov)
On Monday, May 3, 2021, at noon ET the U.S. Small Business administration will open applications for the Restaurant Revitalization Fund (RRF) to provide funding to help restaurants and other eligible businesses keep their doors open.
What You Need to Know:
- Registration opens Friday, April 30th at 6am PST.
- Applications can be submitted starting at 9am PST Monday, May 3rd. It will go fast, so be ready.
- The SBA is offering up to $10 million in funding per business for restaurants equal to pandemic-related revenue loss. Other eligible businesses can apply also.
- Maximum amount per location: $5 million.
- Repayment is NOT required if funds are used for eligible uses by 2023.
The program will provide restaurants with funding equal to their pandemic-related revenue loss – up to $10 million per business but no more than $5 million per physical location. And again, recipients are not required to repay the fund as long as the funds are used for eligible uses no later than March 11, 2023.
Restaurants, bars, caterers and other food businesses will all be eligible for the Fund. Registration for the application portal will begin on Friday, April 30, 2021, at 9 am ET / 6 am PT. See the SBA’s How to apply for more details.
How and Who Can Apply?
The American Rescue Plan Act established a $28.6 billion grant fund it will extend an extra lifeline to some of America’s hardest hit small businesses. Eligible businesses who have experienced pandemic-related revenue loss include:
- Food stands, food trucks, food carts
- Bars, saloons, lounges, taverns
- Snack and nonalcoholic beverage bars
- Bakeries (onsite sales to the public comprise at least 33% of gross receipts)
- Brewpubs, tasting rooms, taprooms (onsite sales to the public comprise at least 33% of gross receipts)
- Breweries and/or microbreweries (onsite sales to the public comprise at least 33% of gross receipts)
- Wineries and distilleries (onsite sales to the public comprise at least 33% of gross receipts)
- Inns (onsite sales of food and beverage to the public comprise at least 33% of gross receipts)
- Licensed facilities or premises of a beverage alcohol producer where the public may taste, sample, or purchase products
What Do I Need To Do?
STEP 1: Visit SBA.gov/restaurants to determine if you’re eligible for a grant. This site has all of the documentation and instructions you’ll need.
STEP 2: Join a restaurant relief round table to learn how you can prepare to apply. There are several Restaurant Relief Fund webinars & events are offered from the Small Business Administration (SBA) this week; you can join any of them and also watch the recordings on demand. Register on our resources page here.
STEP 3: Apply on day one—or as soon as possible—to start the process.
Make sure you have the following information ready, you’ll need it to apply:
- The EIN/SSN/ITIN and address for yourself and anyone that owns more than 20% of your business
- PPP Loan numbers
- List of affiliated businesses. An affiliate business is a business in which the eligible Applicant business has an ownership interest of not less than 50 percent, or in which the eligible Applicant business has the contractual authority to control the direction of the other business, based on arrangements or agreements in place as of March 13, 2020
- If you’ve filed bankruptcy, proof of your approved reorganization plan
- Gross Receipts Documentation: Any of the following documents demonstrating gross receipts and, if applicable, eligible expenses:
- Business tax returns (IRS Form 1120 or 1120-S)
- IRS Forms 1040 Schedule C or F
- For a partnership: partnership’s IRS Form 1065 (including K-1s)
- Bank statements
- Financial statements such as Income Statements or Profit and Loss Statements
- POS report(s), IRS Form 1099-K
For applicants that opened in 2020: Three months of bank statements, 2020 Federal Tax Returns filed or 2020 Federal Tax Returns (Prepared but not yet filed), 2020 and 2021 Point of Sales Reports, CPA Comfort Letter, Payroll Documents (941s), Outdoor Seating Expenditures (Invoices / Payments), Business Debt (lender loan statements). For businesses who opened in 2020, the Applicant’s original business model should have contemplated at least 33.00% of gross receipts in onsite sales to the public
For applicants that are a brewpub, tasting room, taproom, brewery, winery, distillery, or bakery: Documents evidencing that onsite sales to the public comprise at least 33.00% of gross receipts for 2019, which may include Tax and Trade Bureau (TTB) Forms 5130.9 or TTB.
For applicants that are an Inn: Documents evidencing that onsite sales of food and beverage to the public comprise at least 33.00% of gross receipts for 2019.
For businesses who opened in 2020: Applicant’s original business model should have contemplated at least 33.00% of gross receipts in onsite sales to the public.
Reach out to the SBA for assistance preparing your application.
Call center support is available at 1-844-279-8898 (hours: Monday-Friday 8am-8pm ET) and you can also contact your local SBA District Office.