Operators prepare to apply for grants under the Restaurant Revitalization Fund. Jobless claims fall yet restaurants struggle to find employees. These stories and more This Week in Foodservice.

After weeks and weeks of discussion and speculation about how the plan would work, etc., the time has come for the Restaurant Revitalization Fund to kick into gear. The Small Business Administration will begin to accept registrations at 9 a.m. (EST) on Friday, April 30 and open applications at noon (EST) on May 3. The online application will remain open to any eligible establishment until all funds are exhausted.

The Restaurant Revitalization Fund will provide $28.6 billion in direct relief funds to restaurants and other hard-hit food establishments that have experienced economic distress and significant operational losses due to the COVID-19 pandemic. This program will provide restaurants with funding equal to their pandemic-related revenue loss up to $10 million per business and no more than $5 million per physical location. Funds must be used for allowable expenses by March 11, 2023.

Some operators may find applying for aid through this program a bit tricky. To help answer questions from the restaurant community, the SBA will hold pre-recorded training webcasts at 1 p.m. and 2:30 p.m. (EST) on April 28.

For the first 21 days that the program is open, the SBA will prioritize funding applications from businesses owned and controlled by women, veterans, and socially and economically disadvantaged individuals. Following the 21 days, the SBA will fund all eligible applications on a first-come, first-served basis.

To help smaller businesses, the SBA created a $9.5 billion set-aside: $5 billion for applicants with 2019 gross receipts of no more than $500,000; $4 billion for applicants with 2019 gross receipts from $500,001 to $1,500,000; and $500 million for applicants with 2019 gross receipts no more than $50,000.

The National Restaurant Association has developed a Restaurant Revitalization Fund FAQ Document. And after hosting a webcast with the Small Business Administration, the Independent Restaurant Coalition has developed a FAQ page on its website.

Economic News This Week

• Initial-jobless claims showed a significant decline for the second consecutive week. The number of claims fell by 39,000 to a level of 547,000 for the week ending April 17. The 4-week moving average totaled 651,000, a decline of 27,750 claims.
• March single family home sales came in at 6.01 million homes, per the National Association of Realtors. This represents a 3.7% decline in sales from February but a 12.3% increase compared to March 2020, when the pandemic hit the U.S.
• March new home sales totaled 1.02 million, according to the Census Bureau and the Department of Housing and Urban Development. This is an increase of 20.7% compared to February and a 66.8% increase over March 2020.
• The Conference Board’s Leading Indicators Index increased 1.3% on the strength of all 10 indicators showing positive results. The strong performance in March offset February’s slightly negative results. The Conference Board believes the economy is gathering momentum.

Foodservice News This Week

• As restaurants reopen another problem arises. Restaurants cannot find help. One theory is employees fear getting COVID-19. Other former employees are concerned with getting let go again. As a result of the labor shortage, wages are rising and some operators are offering signing bonuses, increased pay, family leave and college tuition.
• One chain openly discussing its struggles in finding people to hire is BJ’s Restaurants. A spokesperson says the company needs to hire 5,000 hourly workers and 126 managers. But, BJ’s management also said the company will not lower its hiring standards.
• Here are the 10 fastest growing restaurant chains in the U.S., per Chicago-based research firm Technomic’s Top 500 Chains report. The top 10 are shown in declining order of their growth rate: Teriyaki Madness, Wingstop, Sonic Drive-Ins, Marco’s Pizza, Pizza Guys, Ono Hawaiian BBQ, Popeye’s Louisiana Kitchen, Freddy’s Frozen Custard & Steak Burgers, Tropical Smoothie Cafe and Jersey Mike's Subs.
• The robots are coming! The robots are coming … to a city in Southern California? Chicken chain Chick-fil-A signed an agreement with a manufacturer to provide four-wheeled robots to deliver its product to customers sans human contact. The delivery cost is $1.99 and average delivery time is 30 minutes.
• Just like in the hit television show Mad Men, the power lunch is back. The Wall Street Journal reports the virtual lunch continues to fade as people look forward to a meal with someone they aren’t related to. And, yes, a cocktail or a glass of wine is part of the bill of fare. One New York restaurant owner expressed optimism and thinks New York will come back faster than people expect.
• WOWorks, parent company of Saladworks and Frutta Bowl, will partner with Combo Kitchen to bring these concepts into existing restaurants. WOWorks previously announced an agreement with Ghost Kitchen Brands to add 90 locations. The company expects to add five to seven locations per month this year.
• Growth Chains: Aloha Poke will open 11 locations in Houston by 2025. Chicken Salad Chick will open six locations in Virginia. Another Broken Egg Café has signed agreements for 14 restaurants and plans to open another 14 restaurants this year. Ziggi’s Coffee signed an agreement for the chain’s 100th store. JINYA Ramen Bar inked a deal to open its first South Carolina location in the Hilton Head market. Little Caesars has targeted the Pacific Northwest for growth, with plans to add more than 50 locations in the Seattle and Portland, Ore., markets by 2026. The company has more than 120 locations in operation across the region.
• Comparable Store Sales Reports: Chipotle Mexican Grill up 17.2%

For details and same store sales of other chains, Please Click Here for the latest Green Sheet.