Restaurant Revitalization Fund delivers much needed support to restaurants

Fund bringing much-needed $28.6B to restaurant operators

With the signing of the American Rescue Plan, restaurant operators will get much-needed support for their operations. Part of the Act, signed into law by President Joe Biden, includes the Restaurant Revitalization Fund (RRF), bringing $28.6B to the table to help the restaurant industry, which has seen a loss of $255B in sales and 110,000 restaurant closures.

RRF grant award system

A main feature of the fund will be a new federal program for restaurant owners with 20 locations or less. Restaurant operators will be able to apply for tax-free grants of up to $5M per location—alternately, up to $10M total for multi-unit companies.

Fund bringing much-needed $28.6B to restaurant operators

With the signing of the American Rescue Plan, restaurant operators will get much-needed support for their operations, according to the National Restaurant Association. Part of the Act, signed into law by President Joe Biden, includes the Restaurant Revitalization Fund (RRF), bringing $28.6B to the table to help the restaurant industry, which has seen a loss of $255B in sales and 110,000 restaurant closures.

RRF grant award system

A main feature of the fund will be a new federal program for restaurant owners with 20 locations or less. Restaurant operators will be able to apply for tax-free grants of up to $5M per location—alternately, up to $10M total for multi-unit companies.

Restaurant Revitalization Fund eligible expenses

These are the types of expenses for which restaurant operators will be able to use the funds:

  • mortgages or rent
  • utilities
  • supplies
  • food and beverage inventory
  • payroll
  • operational expenses

As a way of targeting smaller businesses, $5B will be set aside for restaurants with gross receipts of $500,000 during the first three weeks of the application period. The Small Business Administration will prioritize grant awards to restaurants owned by women, veterans, and owners who are socially or economically disadvantaged.

Syntegric Advisors is a accounting and tax service firm located in Los Angeles California. We help restaurant owners/operators, franchise groups, and restaurant startups everyday to navigate through tough terrains and provide valuable guidance to stay afloat during these tough times. Contact us today if you need assistance with analyzing your business health, cash flow, and implementing strategies that will help keep your doors open.

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