What the Stimulus Bill Means for Restaurants | Modern Restaurant Management | The Business of Eating & Restaurant Management News

On Friday, March 26, 2020, the president signed the CARES Act, the largest stimulus legislation in U.S. history, into law. The act provides some relief for restaurant owners in forgivable paycheck protection loans and tax relief. The measures in the act are designed to incentivize keeping workers employed and businesses continuing to invest in business infrastructure and improvements.

Paycheck Protection Loans: Restaurants with fewer than 500 employees may borrow money through the Small Business Association (“SBA”) for a variety of costs related to employee compensation and benefits. This includes payroll costs, compensation for employees making less than $100,000 annually, rent, continuation of health care benefits, and rent.

The maximum loan amount is calculated by multiplying the average total monthly payroll costs of the business by 2.5, with a cap of $10 million. Loans will be provided at an interest rate of or under four percent. If the business spends the loan…

Pooja S. Nair

A partner at Ervin Cohen & Jessup LLP, Pooja S. Nair is a business litigator and problem solver with a focus on the food and beverage sector. She advises food and beverage clients, startups and other businesses on a comprehensive range of issues, including employment, trade secrets, partnership disputes, contract negotiations and intellectual property.

Nair focuses on finding creative, long-term solutions to the business problems affecting companies of all sizes, from startups to publicly traded entities. She combines litigation experience with a strategic perspective, so that legal decisions make sense on a business level.

Prior to joining ECJ, Nair practiced at TroyGould, where she was the head of the Food and Beverage practice group. She also spent five years at Foley & Lardner focused on white collar criminal defense and internal investigations.

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Pooja S. Nair