SBA Webinar on Restaurant Revitalization Grants - Shared screen with speaker view
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Can we file a 4506-T now or will this be part of the application?
Great question: to verify Tax Information, restaurants need to submit an IRS Form 4506-T, completed and signed by Applicant. Applicants can complete this form DIGITALLY on the SBA Platform to satisfy this requirement
I don't see golf courses which has bar/restaurants within?
would donut shop be consider as bakery?
Please clarify franchise owners can apply even if chain has more than 20
Is there a % of loss you have to have to be eligible?
Brandon, it's not a percentage loss. It's broadly 2019 Gross Receipts subtracted by your 2020 Gross Receipts subtracted by all PPP loan amounts. It's a formula.
What if you have not been in business for a whole year?
I read that we subtract the amounts we got in PPP loans forgiven. What about any Iowa grants we received?
dadsplace, it's a different formula but you're still eligible. Look at our FAQ.
Laurie Ray, state/local grants should be excluded
If you have some of the 1st round PPP that was not forgiven doe that get subtracted
Yes, Trudy, any PPP funds received are subtracted
Aaron - excluded meaning we do subtract from amount eligible for or excluded meaning we do not need to report the local/state grants?
To clarify, if we rec'd the Iowa Restaurant Grant (Feb/March 2021), we DO need to subtract that amount from the eligible grant amount?
Did you just say that if we have an outstanding PPP application, we are not eligible for the RRF?
If the owner is an LLC do you list the LLC and it’s EIN as the owner or do you need to list actual people as owners?
Laura, you do NOT include state/local grants in your gross receipts total NOR deduct it from your eligible grant amount
Are these eligible expenses for expenses going forward or spent previously?
Unrelated question, but I believe the Iowa grants did have to be counted as income on the PPP second draw as income?
Cherry - a PENDING PPP application would confuse the RRF application process because you need to deduct PPP loan amounts from an RRF total. So it's recommended to RESOLVE this PPP pending application before applying for RRF.
Thank you for clarifying
If owners get a salary, are they included in the payroll costs?
Owner - as long as salary is below $100K annually
did you say unforgiven PPP debt is included?
so we can not use it to pay property tax and back rent
Owner - and you cannot pay up to $100K... any salary/compensation that exceeds $100K is excluded
Trudy - you CAN pay back rent, going back to Feb. 15, 2020.
Paul - eligible expenses go back to Feb 15, 2020 and then forward to March 11. 2023
Do we need to differentiate eligible expenses for PPP vs. RRF?
Are you able to pay back salaries that haven’t been paid to owners?
We have applied for our PPP forgiveness but have not heard back on that. How would that impact our application for the RRF? or not at all ?
it doesn't, Andre
owner - I think so, but ensure it's consistent with previous pay periods
Holy crap these will be good size items.
are you meaning the average sales number for the month open?
When do applications begin to be received?
If operated partially in 2019?
we were not open the first 3 months of 2019 so I would take total sales/ 9 instead of 12 to get the average
Don't see ERC on the list - deduct or not?
For calculation 3, are the gross receipts dates lined up with the eligible expenses date? i.e. Feb 15, 2020-March 11, 2021? The slide said 2020 & 2021 sales but I assume it would just go until March 11, 2021?
Giuseppe: check out page 7, there's a worksheet https://www.sba.gov/sites/default/files/2021-04/SBA%20Form%203172%20RRF%20Application%204.20.21-508.pdf
When does this open up for submission?
ok thank you
what if your business was open under the same name but with different owners starting 8/20
what if we had a business open in the beginning of 2019, closed for 4 months and rebranded the DBA but it is the same EIN?
Can you step back one slide for a moment?
All slides will be available after the presentation
Joe - if it's the same EIN, you should be all good. As Jayne said, the SBA is looking for the EIN consistency from PPP
As a franchisee we purchased some locations that where closed because of covid in 2020 and reopened them. It doubled our number of locations. So our gross receipts are slightly higher in 2020 vs 2019 because of the purchases. How does that affect us in applying for this grant?
dadsplace - was it the same EIN? Joe's question is similar
no it was not
So we can use it to pay back rent but not property taxes?
you're still eligible, but it's a different calculation
the start date is 8/20, i believe
i am worried about the lack of income for thos 4 months in 19 limiting our total elgibile funds
@owner, i have not seen property taxes listed anywhere as an eligible expense
When will POS list be available?
what about Iowa Sales tax paid .Do you subtract it from gross receipts
Aaron, what did you say about ERTC again? Do we subtract that amount from our gross receipts?
It does not appear that tax payments are eligible expenses NOR can you deduct them from your gross receipts calculations
What about Sales Tax reports?
I plan to submit 1120-s for income verification. Do I enter the amount on line 1 minus grants (eidl) received or would something else be better?
Should I submit the entire tax return?
Are all of these forms required or just one of them?
Will this powerpoint be available for printing?
Which 3 months for the bank statements?
Yes. Will be on our website following the presentation, along with the recording.
Will it be the last 3 months of bank statements or which months
which 3 months of bank statements are needed?
The powerpoint will be available after the call at restaurantiowa.com. You can view online or print it.
If we have two franchises under one LLC with different times they were purchased (one in 2019 and other store at March1st 2020)the stores, how does it work?
Presentation is available now at restaurantiowa.com
on home page
Jaya, check the application and worksheet: https://www.sba.gov/sites/default/files/2021-04/SBA%20Form%203172%20RRF%20Application%204.20.21-508.pdf
I'm able to find the 4506T PDF on the SBA site, but not a link to digitally file. Will a link be provided somewhere?
do we have to do all requirements
What if you don't use a point of sale
If we have multiple different restaurants, each as its own LLC, are they considered affiliates?
my veteran ownership is 33% does that qualify for early entry?
Della Viti Bethany DeVries
is there a checkbox for the priority status?
Glenn, no - Jayne discussing this now
it's self-certification, check the application
Alex, stick with the EIN # you used for PPP
Thank you very much
Thank you everyone!!!!
How we can we get in touch with Aaron for questions?
Good luck Hawkeyes! #FITN
Thank you Jessica and Stacy for all you do to help us!!!
Tangerine is absolutely a member!
We are a member!
Members are joint members. We can connect with all National resources!
Thanks Jayne and Aaron for this informative webinar today, too!
thanks everyone very helpful!!
On behalf of the DSM West Side, thanks for all of your hard work.
@Tangerine...yes you are. Making sure it was you! Thank you for your membership!!
Thank you everyone for the information
Thanks so much!
Aaron, based on your previous question, I assume it would also be a poor choice to pursue a buyout until an application is approved or denied?
3 consecutive months of bank statements or what?
2019 or 2020?
Single payment loans used for eligible business expenses - assume they can be paid in full. They usually don't have any type of scheduled payments.
Della Viti Bethany DeVries
thank you for everything!
Please clarify in FAQ's what can be used for eligible expenses in arrears during the covered period.
Join the Iowa Restaurant Association if you are not a member!!!
Thank you for all your help.
Thank you, @Mike Rastrelli!!
Thank you very much for all of your help!
Thank you for your dedication and to Jayne's team too!
Della Viti Bethany DeVries
and please if there will be a specific section for priority status
Last question, if a buyout occurs after being awarded through the RRF, can we use funds to pay off the rest of an SBA loan if we don't use all funds from RRF for that?
will you need an email?