Financial Help for Restaurants – Steps to Take NowPosted on March 18, 2021
The following information explains what Restaurant Owners can do NOW to apply for American Rescue Plan relief. It was sent from the Somerset County Board of Commissioners, Somerset County Office of Tourism, and the Somerset County Business Partnership:
The American Rescue Plan Act, a $1.9 trillion coronavirus relief bill that allocates new funds and tax credits to help struggling small businesses. There are some things you can do now to prepare for the availability of these funds. One of the most significant recent developments in the American Rescue Plan is the creation of the Restaurant Revitalization Fund (RRF). This new $28.6 billion grant program will specifically target hard-hit restaurants and bars, with restaurants able to apply for grants based on lost gross revenue between 2019 and 2020. The maximum grant size will be $5 million for restaurants and $10 million for restaurant groups.
What you need to know
The vast majority of American restaurants and bars will be able to apply for these grants, with the bill explicitly calling out these types of establishments: “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.”
Those not eligible for the grants include any state- or local-government-owned entities or owners who own more than 20 restaurants. However, most franchise operators will be eligible.
The Small Business Administration (SBA) will administer and disperse the RRF grants, but the program does not yet have a launch date.
What you can do now
Restaurant owners that want to apply for RRF grants should take the following immediate steps to prepare for this application:
First, create a login.gov user account
Sign up for a DUNS number (this typically takes 1-2 days to process)
Using your login.gov, DUNS number, and standard business info such as your Tax ID Number, register with SAM (it can take up to 2 weeks to get the SAM number)
Start pulling your paperwork and tax documents together now so you are ready to go when the application comes online!