By Rakesh Kamdar
BOSTON–I am one of the well wishers of our community and small businesses, especially the businesses which suffered the tremendous financial impact during pandemic such as restaurants/food outlets.
I came across Small Business Administration RRF (Restaurant Revitalization Fund – Grant) and decided to attend one of their webinars to understand the program. I am not in food-related business, nor I am invested in.
After attending the SBA RRF Webinar, I decided to call a friend who is in the restaurant business, and I came to know that this program needs to reach every food/restaurant business in our community. I have put together some links and overview for restaurant/food business owners; however, please make sure you’re following updates and details from SBA RRF page (https://www.sba.gov/funding-programs/loans/covid-19-relief-options/restaurant-revitalization-fund)
This is a grant, not the loan. You do not have to apply for forgiveness or anything. My sincere request to every single eligible business to review this program and apply for eligible grants. The RRF program guides are available in English, Hindi, Gujarati and many other languages on SBA website.
According to SBA website as of today, who can apply:
Eligible entities who have experienced pandemic-related revenue loss include:
- Restaurants
- Food stands, food trucks, food carts
- Caterers
- Bars, saloons, lounges, taverns
- Snack and nonalcoholic beverage bars
- Bakeries (onsite sales to the public comprise at least 33% of gross receipts)
- Brewpubs, tasting rooms, taprooms (onsite sales to the public comprise at least 33% of gross receipts)
- Breweries and/or microbreweries (onsite sales to the public comprise at least 33% of gross receipts)
- Wineries and distilleries (onsite sales to the public comprise at least 33% of gross receipts)
- Inns (onsite sales of food and beverage to the public comprise at least 33% of gross receipts)
- Licensed facilities or premises of a beverage alcohol producer where the public may taste, sample, or purchase products
Here are important takeaways:
- Download latest RRF program guide from – https://www.sba.gov/document/support-restaurant-revitalization-funding-program-guide
- Registration for the SBA application portal will begin on Friday, April 30, 2021, at 9 am ET. Applications will open on Monday, May 3, 2021, at noon ET. It is important that you register your business on Friday April 30 – link: https://restaurants.sba.gov/requests/borrower/login/?next=/%3Fnext%3D/ (Check for latest link on SBA website). You can apply through SBA-recognized Point of Sale (POS) vendors or directly via SBA in a forthcoming online application portal: https://restaurants.sba.gov. Participating POS providers include Square, Toast, Clover, NCR Corporation (Aloha).
- Check SBA set aside grant amounts for smaller restaurants, very important.
- SBA will be processing applications for priority groups during first 21 days of application – a small business concern that is at least 51% owned by one or more individuals who are: Women, or Veteran or Socially and economically disadvantaged individuals. Check the program guide for details.
- Review following four ways of calculating the eligible grant amounts and prepare your numbers along with appropriate documents ASAP. See the calculation summary based on your business establishment year, review SBA sample application form (
Funding amount payment calculation (Check SBA website for latest update)
Calculation 1: for applicants in operation prior to or on January 1, 2019:
- 2019 gross receipts minus 2020 gross receipts minus PPP loan amounts
Calculation 2: for applicants that began operations partially through 2019:
- (Average 2019 monthly gross receipts x 12) minus 2020 gross receipts minus PPP loan amounts
Calculation 3: for applicants that began operations on or between January 1, 2020 and March 10, 2021 and applicants not yet opened but have incurred eligible expenses:
- Amount spent on eligible expenses between February 15, 2020 and March 11, 2021 minus 2020 gross receipts minus 2021 gross receipts (through March 11, 2021) minus PPP loan amounts
For those entities who began operations partially through 2019, you may elect (at your own discretion) to use either calculation 2 or calculation 3.
- Download sample SBA RRF application form to understand the requirements. (Link: https://www.sba.gov/document/sba-form-3172-restaurant-revitalization-funding-application-sample)
- Download SBA RRF program guide for accurate details
- Take advise from your accountant or a younger family member to review all the information and get ready for the RRF application.
I am not an expert or associated with SBA or any entities, however, feel free to reach out with basic questions and where to look for the information (617) 908-7364 or RakeshKamdar@dbhealthcare.com. Once again, I am just a community member as you’re and trying to help businesses which are affected the most.
(Rakesh Kamdar is founder DB Healthcare, Inc., which specializes in staffing and consulting for hospitals, health insurance companies, pharmaceutical, biotechnology, clinical research, genomics and medical devices companies.)
