Posted By Nina Rangel on Wed, Dec 23, 2020 at 2:23 PM click to enlarge Shutterstock Congress’ recently approved $900 million stimulus package includes more relief for restaurant operators via another round of federal Paycheck Protection Program loans, the This time, PPP applicants in the restaurant industry can draw at 3.5 times their average monthly payroll, compared to other industry sectors, which will be capped at 2.5 times their average monthly payroll. Those who are granted the forgivable loans will also see more practical expenditure guidelines. This time around, purchases of personal protective equipment, cleaning products and costs associated with reconfiguring spaces to accommodate social distancing will be allowed which wasn t the case in the first round of PP
“I think another nod that happened in this bill is really all that restaurants have had to do in terms of cleaning supplies, PPE, reconfiguring their restaurant, investing in technology. Now, this Paycheck Protection Program, they can take deductibility on those expenses of up to 40%,” Williams Knight told NBC 5 Tuesday.
Specific guidance on how this round will work has not been released yet, a North Texas district director for the Small Business Administration told NBC 5 Tuesday.
Jason Pollard, managing partner for The Usual in Fort Worth, said they plan to apply for the second round of PPP loans assuming if they are eligible and when applications open. The Usual opened 11 years ago as a craft cocktail bar, but they reopened this past September under new permits as a restaurant after months of closure.
The latest COVID-19 relief bill will not revitalize the restaurant industry but it’s a step towards recovery, the president of the Texas Restaurant Association said. Emily Williams Knight, president and CEO of the Texas Restaurant Association, said an estimated 10,000 to 12,000 restaurants across the state have closed for good. What the nearly $900 billion stimulus package can offer is…