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The CARES Act, signed into law on March 27, 2020, provides relief for small businesses impacted by the COVID-19 pandemic, including restaurants. Here are some key provisions of the CARES Act that relate to the restaurant industry:

1. Paycheck Protection Program (PPP): The PPP provides forgivable loans to small businesses to help them keep their workforce employed. Restaurants can use the funds to cover payroll costs, rent, utilities, and interest on mortgages. To be eligible for forgiveness, at least 60% of the loan must be used for payroll costs.

2. Economic Injury Disaster Loans (EIDL): EIDLs provide low-interest loans to small businesses experiencing a temporary loss of revenue due to COVID-19. Restaurants can use the funds to pay for operating expenses, including payroll, rent, and debt service. EIDLs do not have to be repaid if the business meets certain criteria.

3. Employee Retention Credit (ERC): The ERC is a refundable tax credit designed to encourage businesses to keep employees on payroll. Restaurants that were fully or partially suspended due to COVID-19 or experienced a significant decline in gross receipts can claim the credit.

4. SBA Debt Relief: The SBA is providing debt relief to small businesses with existing SBA loans. The SBA will pay the principal, interest, and fees on these loans for six months.

5. Technical Assistance: The SBA is providing technical assistance to help small businesses apply for loans and grants, navigate the application process, and access other resources.

To be eligible for these programs, restaurants must meet certain criteria, such as having no more than 500 employees and being located in the United States. It's important to note that the funds for these programs are limited, and they are distributed on a first-come, first-served basis.

To apply for these programs, restaurants should visit the SBA's website (sba.gov) or contact their local Small Business Development Center (SBDC) or SCORE chapter. It's recommended that restaurants gather all necessary documentation, such as financial statements and tax returns, before starting the application process.

Overall, the CARES Act provides important relief for restaurants affected by the COVID-19 pandemic. By taking advantage of these programs, restaurants can keep their workforce employed, cover operating expenses, and position themselves for long-term success.