The SBA has released the first official guidance on the Restaurant Revitalization Fund, which is the $26B restaurant support program that was included in the most recent stimulus bill. They've also posted the portal for the applications to the program. Find the information here. We know many of you have been eagerly awaiting the release of these details and are looking forward to getting support from the RRF. Details on cross-program eligibility and other SBA programs can be found here.
The portal has been posted today but will not be live until the end of the month while the SBA continues development and outreach about the program. We expect the sequence to proceed roughly as follows:
April 17-April 30: Outreach, development, and applicant document preparation
May 1-21: Exclusive 21 day ‘equity’ period for processing of applications by entities owned 51%+ by women, veterans, and disadvantaged individuals.
May 22+: Processing for applications from entities with any sort of ownership
Most of you have seen the various summaries that have been distributed by the National Restaurant Association, the Restaurant Association of Metropolitan Washington, the Independent Restaurants Coalition, and other trade groups. You may also have seen the draft applications and information that were circulated widely, as well - we chose not to comment on them, as, if there’s one thing we’ve learned in 2020, it’s that stimulus program rules change from day-to-day as the programs are created. The gist of the program remains very simple: the SBA will be issuing grants to eligible applicants to cover expenses. These grants will be equal to an applicant’s decline in sales from 2019 to 2020, minus any PPP assistance already received. For applicants that don’t fit the pure ‘we were open through all of 2019 and 2020’ mold (including restaurants that opened partway through 2019, restaurants that opened in 2020, and restaurants that aren’t even open yet, but incurred costs) the calculations work a bit differently, but the spirit is the same.
The SBA is hosting a webinar and information session this Wednesday, 4/21 at 3:30pm in collaboration with RAMW, Restaurant Association of Maryland, and the Virginia Restaurant, Lodging, and Travel Association, specifically for operators in this region. Registration is required to join the webinar and Q&A. Click here to register. You will receive a link to join the webinar as the event approaches on Wednesday.
For all retainer clients, we anticipate prepping our teams to help you with the application process to ensure your applications are submitted immediately upon opening of the portals, as funding for the program is limited.