AMERICAN RESCUE PLAN HELP

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The American Rescue Plan has been signed into law and contains a number of provisions for small businesses.  Here are some items that might be relevant to our members:

The Restaurant Revitalization Fund grant program will be administered by the SBA. A total of $28.6 billion is allocated to help establishments that have been severely impacted by Covid-19 restrictions. Companies can get up to $10 million (with a maximum of $5 million per physical location) to use for payroll, rent, and utilities. These are grants, not loans, so they don’t have to be paid back.

The SBA is not yet accepting applications for this program but expects to begin in the next few weeks. Those interested in obtaining grants should keep a close eye on the SBA’s COVID-19 relief options web portal.

The SBA will administer an additional $1.25 billion through its Shuttered Venue Operators Grant Program, which began in December 2020. This program provides grants equal to 45% of a venue’s gross earned revenue to: 

  • live venue operators or promoters

  • theatrical producers

  • live performing arts organization operators

  • museums, zoos, and aquariums that meet specific criteria

  • movie theaters

  • talent representatives 

Another $7.25 billion has been added to the Paycheck Protection Program. The deadline to apply for a Paycheck Protection Program loan has been extended to May 31, 2021.

The PPP program was also expanded to include more non-employer businesses. Independent contractors, gig workers, and self-employed people without employees may qualify for up to $50,000 in stimulus.

  • First Draw PPP loans: If you have not received a PPP loan before, First Draw PPP loans are available to you.

  • Second Draw PPP loans: If you have previously received a PPP loan, certain businesses are eligible for a Second Draw PPP loan.

Another $15 billion for Targeted Economic Injury Disaster Loan (EIDL) advance payments, of which $5 billion is earmarked for supplemental payments for those businesses that have been hit hardest by the pandemic.

The SBA also offers debt relief to existing SBA loan borrowers whose businesses have been impacted by COVID-19.

More information is available from the SBA.

CSCC