COVID-19 | Relief Packages

New York State COVID-19 Pandemic Small Business Recovery Grant
June 10, 2021
Eligible small businesses can now begin to apply for the NYS COVID-19 Pandemic Small Business Recovery Grant. These grants will be available between $5,000 and $50,000 and Empire State Development has released the qualifications for small and micro businesses that are looking to apply. Eligible Applicants will be required to show loss of gross receipts or other economic hardship as a result of the COVID-19 pandemic and compliance with COVID-19 health and safety protocols which resulted in business modifications, interruptions, or closures. These businesses must also:
  • Have 2019 or 2020 Gross Receipts of between $25,000 and $500,000 per annum (line 1a, IRS Form 1120 or 1065; line 1 IRS Form 1040 Schedule C).
  • Demonstrate positive net profit on 2019 Business Return ($1 or greater) (line 28, IRS Form 1120; line 22, IRS Form 1065; or line 31, IRS Form 1040 Schedule C).
  • Demonstrate that total expenses on 2020 Business Income Return are greater than the grant amounts.
  • Demonstrate at least 25% loss in annual Gross Receipts in a year-to-year revenue comparison as of December 31, 2020 to the same period in 2019.
  • Be in substantial compliance with applicable federal, state and local laws, regulations, codes and requirements.
  • Not owe any federal, state, or local taxes prior to July 15, 2020, or have an approved repayment, deferral plan, or in agreement with appropriate federal, state, and local taxing authorities.
  • Not have qualified for business grant assistance programs under the federal American Rescue Plan Act of 2021 or any other available federal COVID-19 economic recovery or business assistance grant programs, including loans forgiven under the federal Paycheck Protection Program, or are unable to obtain sufficient business assistance from such federal programs. Eligible Applicants may have received or been awarded the following federal assistance:
    • Paycheck Protection Program loans totaling $100,000 or less.
    • COVID-19 EIDL Advance Grant of $10,000 or less.
    • COVID-19 EIDL Supplemental Targeted Advance Grant of $5,000 or less.
    • SBA Shuttered Venue Operators Grant of $150,000 or less.
 Read more about the grant program here. 

Restaurant Relief Fund (RRF) Grant Next Steps Guide
I just got an RRF grant – what do I need to know now? The SBA has begun distributing grant awards to restaurant owners. The National Restaurant Association has produced a “next steps” guide that walks you through everything you need to effectively – and legally – utilize your RRF grant to preserve your restaurant. To view the guide, click here.

The U.S Small Business Administration (SBA) released tips for Restaurant Revitalization Fund (RRF) applicants waiting for word on their grant submission. The National Restaurant Association summarized the information:
  • SBA is reviewing and processing priority applications first during the initial 21 days (May 3 to May 24), and then all applications will be reviewed. Applicants under review status should not anticipate any outreach from the SBA during this period. 
  • To make any corrections following submission and before award funding, applicants must revisit the application portal or call the support hotline to submit the correction, new documentation, and initiate a restart of the timeline for review. If an applicant initiates a restart, it may take 14 days from the time of re-submission for SBA to finalize review. The SBA will not allow corrections to awards that have been paid to awardees.
  • If the submitted application is successful, all applications enter “IRS verification.” No action is needed from applicants for this process, which simply allows the SBA to validate information. The process may take up to seven days.
  • An additional 4506T form submission is not required after applicant’s sign the application during the e-sign process.
  • If you are entering a state in the address section(s) use the abbreviation in capital letters (e.g., PA, TX, ME, WA, etc.).
  • Applicants can submit a message using the platform inbox for help when on the web portal. 

​The National Restaurant Association has posted three new resources for restaurant owners completing grant applications for the Restaurant Revitalization Fund (RRF)
  • An updated FAQ document, reflecting the latest guidance we have received from the Small Business Administration.
  • A new step-by-step guide to completing an RRF grant application.   
  • An archive of past webinars we have held with the SBA on the RRF.  Yesterday, we hosted the SBA Administrator and the President of the Multicultural Foodservice and Hospitality Alliance for a discussion on how the 21-day priority period works for restaurant owners from economically and socially disadvantaged communities.
Remember, the application portal on SBA’s RRF site goes live Monday, May 3, at 12:00 p.m. EST.  Even if you do not qualify for the 21-day priority period, you should submit your grant application as early as possible. Applicants can log on to SBA’s RRF page Friday, April 30, to create an account and download the latest forms. Link to RRF page here.
Additional Information about Partnership Between SBA and POS Providers for Restaurant Relief Fund 
Once the SBA begins accepting applications, eligible restaurants can apply directly with their POS service providers. While each POS provider is helping differently – such as building pre-packaged point-of-sale documentation – all POS systems listed are helping restaurant owners with their application submission process.
The National Restaurant Association shared information about the Restaurant Revitalization Fund (RRF) from the SBA. The Small Business Administration released: The SBA is not accepting applications for RRF at this time. However, you can prepare your application by reviewing the documents above or the National Restaurant Association's Frequently Asked Questions. You will be able to apply through SBA-recognized Point of Sale Restaurant Partners or directly via SBA in a forthcoming online application portal. Registration with SAM.gov is not required. DUNS or CAGE identifiers are also not required.

The official application launch date will be announced shortly. Ahead of the application launch and over the next two weeks, the SBA will establish a seven-day pilot period for the RRF application portal and conduct extensive outreach and training on how to apply, application requirements, and where to apply. Participants in this pilot will be randomly selected from existing PPP borrowers in priority groups for RRF and will not receive funds until the application portal is open to the public. 

Following the pilot, the application portal will be opened to the public. For the first 21 days that the program is open, the SBA will prioritize reviewing applications from small businesses owned by women, veterans, and socially and economically disadvantaged individuals. 
​National Restaurant Association Restaurant Revitalization Grants FAQ here.  

Senator Schumer's Office Released a Guide to the Restaurant Revitalization Fund
​March 30, 2021
Read guide here.

National Restaurant Association - Updated Restaurants Act Website
The National Restaurant Association has updated its Restaurants Act website to serve as a central hub of the very latest information from the Association and the Small Business Administration (SBA). As National works with SBA on setting up and implementing the Restaurant Revitalization Fund (RRF), this page will contain important updates, including explainer documents, videos, and webinars. View the website HERE. 
Overview of the Restaurant Revitalization Fund here.

US Small Business Administration Released Additional Guidance on Paycheck Protection Program (PPP)
January 20, 2021
The Interim Final Rule on PPP as Amended by Economic Aid Act can be read by clicking here.​
​SBA Re-opens Paycheck Protection Program Loan Portal 1/15/21
January 15, 2021
The U.S. Small Business Administration, in consultation with the U.S. Treasury Department, re-opens the Paycheck Protection Program (PPP) loan portal to PPP-eligible lenders with $1 billion or less in assets for First and Second Draw applications on Friday, January 15, 2021 at 9 a.m. EST. The portal will fully open on Tuesday, January 19, 2021 to all participating PPP lenders to submit First and Second Draw loan applications to SBA.
Paycheck Protection Program "User Manual" from National Restaurant Association 
January 8, 2021
The latest COVID-19 pandemic relief bill, approved in late December, created a second draw of Paycheck Protection Program (PPP) loans. Eligible restaurants and small businesses can access $284.5 billion in new PPP loans, which can be fully forgiven if proceeds are used for allowable expenses during a selected 8-week or 24-week period that begins after the proceeds are received. This document outlines new rules published by the federal government January 6.
PPP User Manual here. 

Small Business Administration Announces Deadline to Apply for EIDL Loan Extended to 12/31/21
January 5, 2021
The U.S. Small Business Administration announced that the deadline to apply for the Economic Injury Disaster Loan (EIDL) program for the COVID-19 Pandemic disaster declaration is extended to Dec. 31, 2021. EIDL loan applications will continue to be accepted through December 2021, pending the availability of funds. Loans are offered at a 3.75% interest rate for small businesses and 2.75% interest rate for nonprofit organizations, a 30-year maturity, and an automatic deferment of one year before monthly payments begin. For information on how to apply, click here. 

Congress Unveils $900 Billion Coronavirus Relief Bill to Provide Short-Term Economic Relief 
December 22, 2020
The relief plan includes several items that restaurants can utilize, most importantly a second round of access to the Paycheck Protection Program (PPP), with unique provisions aimed to assist the restaurant industry. It includes tailored changes to make PPP a more effective tool for struggling restaurants. While the full legislation is currently being reviewed, here are some of the specific provisions restaurants should be aware of:
  • Enhanced PPP Loan Size: The PPP provides a business with a forgivable loan based on 2.5 times its monthly payroll costs. Restaurants, however, can seek forgivable loans based on 3.5 times monthly payroll costs.
  • Enhanced Access to PPP: Companies that employ a total of 300 or more employees at all locations (combined) are deemed ineligible for the PPP. However, mid-sized and larger restaurant groups can qualify for PPP as long as they do not employ more than 300 employees at each physical location.
  • Deductibility of business expenses paid with PPP loans,
  • Enhancement of the Employee Retention Tax Credit (ERTC),
  • Extension of the augmented Work Opportunity Tax Credit (WOTC), and Increased tax deduction for business meals.
Read the National Restaurant Association's full analysis of the bill here. We will provide more information as further details are released. 

SBA Releases Simpler Loan Forgiveness Application for PPP Loans $50,000 or Less
  • The U.S. Small Business Administration, in consultation with the Treasury Department, today released a simpler loan forgiveness application for Paycheck Protection Program (PPP) loans of $50,000 or less. This “streamlined” PPP forgiveness form does not require businesses to show the calculations used to determine their loan forgiveness amount. However, SBA may request information and documents to review those calculations as part of its loan review process. This is not “automatic PPP loan forgiveness,” as borrowers are still required to submit documentation to lenders on payroll costs, rent/lease payments, and utilities. Additionally, there is a restriction for any otherwise eligible applicants if they have affiliated businesses receiving PPP loans totaling $2 million or greater – we are following up with SBA to ensure the “Affiliation Rules” are waived for restaurants and hotels as outlined in earlier PPP guidance (p. 2).
  • Click here to view the simpler loan forgiveness application.
  • Click here to view the instructions for completing the simpler loan forgiveness application.
  • Click here to view the Interim Final Rule on the simpler forgiveness process for loans of $50,000 or less.

​Restaurants Urge SBA to Protect PPP Rent Forgiveness
The National Restaurant Association submitted comments on September 28 to the U.S. Small Business Administration (SBA) to protect PPP loan forgiveness. Read the full letter HERE. 
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