Apr 12 Restaurant Revitalization Fund Update
The updated coverage period for the Restaurant Revitalization Grant Fund may be extended by 14 months to March 2023.
The definitions of bakeries, breweries and inns may change, based on percentage of onsite sales.
The gross receipts total for 2020 may no longer include Paycheck Protection Program loans and other debt relief awards.
Applications for the $28.6 billion Restaurant Revitalization Grant Fund are still expected later this month.
The National Restaurant Association released a list of 39 answers to the most frequently asked questions the group has received since the program was introduced.
Find the full FAQ and sign up for the latest information on the program here.
The FAQs will be updated as details are released by the U.S. Small Business Administration. Here are a few of the new items to highlight:
- “Eligible entity” definition may have new context for bakeries, breweries, brewpubs, distilleries, taprooms and wineries, only if onsite sales to the public comprise at least 33% of gross receipts (presumably in 2019). For inns, onsite sales of food and beverage to the public may need to comprise at least 33% of gross receipts.
- Permanently closed entities might be ineligible.
- Bankrupt entities without approved plans for reorganization might be ineligible.
- The minimum grant award might be set at $1,000.
Some of the items with additional clarification include:
- For gross receipt totals in 2020, applicants might not need toinclude PPP loans, SBA debt relief, COVID-19-related Economic Injury Disaster Loans, EIDL advances, targeted EIDL advances or any other state and local small business grants (via CARES Act or otherwise).
- PPP first-draw loans, returned before the safe harbor deadline, might not be countedagainst grant fund amount.
- Self-certification for prioritization eligibility is the likely path for targeted groups and differs from SBA certification for traditional loan programs.
The FAQs also provides specific details about the documents that might be required for application:
- Application form
- IRS Form 4506-T
- Acceptable documentation of gross receipts and, if applicable, eligible expenses, might include:
- Business tax returns (IRS Form 1120 or IRS 1120-S)
- IRS Forms 1040 Schedule C; IRS Forms 1040 Schedule F
- For a partnership: partnership’s IRS Form 1065 (including K-1s);
- Bank statements
- Externally or internally prepared financial statements such as income statements or profit and loss statements
- Point of sale report(s), including IRS Form 1099-K.