Shuttered Venue Operator Grant – Overview
The Covid19 pandemic has destroyed many industries due to mandated lockdowns. The federal government and many NGOs came ahead during the lockdowns to rescue the suffered businesses.
Many grants and supportive programs launched by the organizations and government combined to help small businesses and industries recover from their losses.
Shuttered venue operator grant was created by the Federal Government to provide financial support to the shuttered venues. Production houses were the most affected ones during the lockdown period.
To help them recover from all the losses that they have faced, the SVOG program was launched. Everything you need to know about the Shuttered Venue Operator Grant is given in this article.
What is Shuttered Venue Operator Grant Program?
The Shuttered Venue Operator Grant Program was created by the Economic Aid for hard-hit businesses and venues including production houses.
The program is administered by the U.S. Small Business Administration.
The Federal Government has decided to provide financial aid to artists, actors and actresses, live venue operators, and other related businesses.
The SVOG program was amended by the American Rescue Plan Act.
The Shuttered Venue Operator Grant Program includes $16.25 Billion in grants to shuttered venues and other related businesses under the administration of the U.S. Small Business Administration.
Who qualifies for the SVOG Program?
To get qualified for this program, one must meet the eligibility criteria set by the federal department. Here’s the full list of eligibility requirements that an applicant must match.
Eligibility Requirements for SVOG Program
Who can apply for the SVOG Program?
#1. Theatrical producers
#2. Museum operators
#3. Talent representatives
#4. Live venue operators
#5. Live venue promoters
#6. Live performing art operators
#7. Motion picture theatre owners
#8. Motion picture theatre operators
What are the requirements?
#1. The above-listed entities must be active as of February 29, 2020.
#2. Those who received a PPP grant will get a reduced amount of the PPP grant with SVOG.
#3. The entity has suffered a reduction of at least 25% in gross earned revenue during one of the quarters of 2020 compared to the year 2019.
#4. Besides this, the program has some venue-centric requirements such as a certification for accepting or requiring the SVOG’s financial aid to recover the losses due to lockdowns.
The program has categorized the eligibility criteria as per the type of entities and individuals. Here’s the list of all the SVOG program categories of shuttered venues and the entertainment industry.
Live Venue Promoters and Operators
#1. Must be hosting, promoting, and managing live venues, live programs, comedy shows, etc.
#2. 70% of the income must come from selling the tickets or entrance fees, selling of foods and beverages, reimbursement, and production fees.
#3. The entrance fees or ticketing system must require.
#4. Must pay performers for their performances.
Must be operating private, public, or non-profit entities for educational, aesthetic, and cultural heritage purposes.
Motion Picture Theatre Operator
The principle business should be to operate the theatre owned by the operator to show movies by selling tickets.
Who benefits from SVOG Program?
SVOG Program was created to provide financial support to those who come from the entertainment industry and production department.
The eligible entities received up to $10 Million as a grant through the SVOG program. $10 Million is a cap for each entity, no entity will receive more than $10 Million through this grant.
The amount of grant per entity was calculated as the lesser of 45% of the gross revenue of $10 million.
The entities must match the eligibility requirements to file their application to receive the grant’s amount.
The U.S. Small Business Administration has decided to start the supplemental phase of the SVOG Program.
The supplemental phase or the next stage of the SVOG program has over $16.25 Billion to distribute among small businesses related to the entertainment industry.
About SVOG Supplemental Awards:
The SVOG Supplemental Awards is the next phase of the original SVOG Program announced by the U.S. Small Business Administration.
The program extends the time to use the grant by the recipients to June 30, 2022. The budget period for the grant is also extended to 18 months.
The funds available for shuttered venues are not sufficient for the applications that the department has received.
The grants will be distributed to those who need financial support. The authority will prepare a list of applicants who are eligible for the grant’s money.
Eligible Candidates Should Do the Following as Suggested by the Authority:
The applicant must register their application through an online portal. To register a new application, a multi-factor authenticator app and a smartphone or computer system are required.
The applicant user guide and the Frequently Asked Questions on their official portal must be checked by the applicant.
Check the checklist of the application documents and collect all the required documents. The required documents need to upload at the time of applying through an online portal.
The Bottom Line:
The U.S. Small Business Administration department is always ready to help the worst-affected businesses due to the Covid19 pandemic.
The department has helped thousands of entities during the lockdown period by providing financial support.
SVOG program is a savior to shuttered venues and those who are related to the entertainment industry.
The program has already distributed millions of dollars as grants to eligible entities. For more information about the documents, resources, FAQs, etc. visit their official portal now!