Over the past week, the SBA has started posting draft forms and guidelines for the Restaurant Revitalization Fund, which was authorized on March 11, 2021, by the America Rescue Plan Act. This means now is the time to start gathering materials to apply.
- Most restaurants and bars will qualify
- Tasting rooms, taprooms, breweries, wineries, distilleries, bakeries, and other businesses that have a mixture of retail and wholesale sales qualify if 33% or more of revenue is from direct-to-consumer sales.
Logistics— Some Highlights
- Applications are made on an entity basis, but the calculation of allowable funding can be done on a per-location basis
- You may be able to apply through your POS provider; if not, you can apply directly through the SBA. The first participating POS providers were announced on April 22nd, and include Toast, Square, Clover, and NCR
- Funds will be made available first to small businesses that are at least 51% owned by women, veterans, and/or socially and economically disadvantaged individuals
The program has an expansive definition of allowable costs, including outdoor seating and supplies related to changes in business operations during COVID, mortgage payments, and inventory purchases… and businesses can apply costs back to February 2020 and forward to March 2023 to expend the funds.
This is an emerging area, so we recommend that you sign up for email updates on the SBA website if you want to stay current on the latest information.