Performing arts operators, theatrical producers, motion picture theater operators and other small businesses can now apply for a Small Business Administration grant to help pay for personnel, rent, utilities and other costs.
Congressman Michael San Nicolas said the SBA's Shuttered Venue Operators Grant program started accepting applications on April 8. The program, funded through the American Rescue Plan, includes a total of over $16 billion in grants for shuttered venues.
“The opening of the Shuttered Venue Operators Grants program is another pivotal step toward crushing this virus, getting people back in jobs and revitalizing our economy," said Congressman San Nicolas. These grants will help our local shuttered venue operators put paychecks back in workers’ pockets, avoid permanent closures, cover rent payments and more," San Nicolas said.
The Shuttered Venue Operators Grant program was established by the Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act, and amended by the American Rescue Plan Act, according to the SBA webssite. The program is administered by SBA’s Office of Disaster Assistance.
Eligible applicants may qualify for grants equal to 45% of their gross earned revenue, with the maximum amount available for a single grant award of $10 million, according to the website. The program sets aside $2 billion for eligible applications with up to 50 full-time employees.
Who can apply:
• Live venue operators or promoters
• Theatrical producers
• Live performing arts organization operators
• Relevant museum operators, zoos and aquariums who meet specific criteria
• Motion picture theater operators
• Talent representatives
• Each business entity owned by an eligible entity that also meets the eligibility requirements
Other requirements of note:
• Must have been in operation as of Feb. 29, 2020
• Venue or promoter who received a PPP loan on or after Dec. 27, 2020, will have the SVOG reduced by the PPP loan amount
According to the website, grant amounts will reflect either of the following instances:
• For an eligible entity in operation on Jan. 1, 2019, grants will be for an amount equal to 45% of their 2019 gross earned revenue OR $10 million, whichever is less.
• For an eligible entity that began operation after Jan. 1, 2019, grants will be for the average monthly gross earned revenue for each full month you were in operation during 2019 multiplied by six or $10 million, whichever is less.
Funds may be used for specific expenses, which include:
• Payroll costs
• Rent payments
• Utility payments
• Scheduled mortgage payments (not including prepayment of principal)
• Scheduled debt payments (not including prepayment of principal on any indebtedness incurred in the ordinary course of business prior to February 15, 2020)
• Worker protection expenditures
• Payments to independent contractors (not to exceed $100,000 in annual compensation per contractor)
• Other ordinary and necessary business expenses, including maintenance costs
• Administrative costs (including fees and licensing)
• State and local taxes and fees
• Operating leases in effect as of Feb. 15, 2020
• Insurance payments
• Advertising, production transportation, and capital expenditures related to producing a theatrical or live performing arts production. (May not be primary use of funds)
Local venue operators can get more information on how to apply at Guam's local SBA office, at SBA.gov, or by contacting San Nicolas's office at 671-475-6453.