Washington, D.C. — The 900-billion-dollar federal stimulus package includes additional relief to help restaurants make it through the next stage of the coronavirus pandemic. The bill allows small businesses to apply for a second forgivable loan through the Paycheck Protection Program.
Most businesses can apply for an amount equal to two-and-a-half months of payroll. But Jessica Dunker, president of the Iowa Restaurant Association, says restaurants can ask for more.
(as said) “Because we’ve had such a big hit we’ll be able to have three-and-a-half months of payroll that we’ll be able to borrow and have forgiven as long as we use it in appropriate ways.”
Sixty percent of the loan must be used to pay employees. Dunker estimates that even with the relief money about one thousand restaurants and bars across the state will close because of the pandemic.
(as she says) “Nonetheless, the timing of it will help a number of restaurants get over that hump and into the spring when the vaccine is more widely available and we’re able to open our patios back up,” Dunker says
Dunker says Iowa’s hospitality industry is estimated to have lost nearly one-point-five billion dollars in revenue in 2020.
