COVID Wrecked Live Entertainment, Grants Are Here To Help: Are You Ready To Apply? (Guest Post)

Thankfully, that help is on the way in the form of the Shuttered Venues Operator Grant (SVOG) program. Initially drafted as the Save Our Stages Act, which I helped publicly champion along with Congressman Roger Williams (R-TX 25th District), SVOG was passed by Congress in December and includes $16 billion in federal money to directly help entertainment industry businesses. Opening to businesses for grant applications on April 8, this program will serve as a lifeline for thousands. As with many government programs though, applying isn’t as simple as snapping your fingers. Eligibility requirements can be vague, the information needed to apply can be extensive and I’ve heard from a lot of organizations and individuals who have questions. 

Below are some of the most important things that you should remember to make sure you’re ready to apply and secure the money that will help support your business.

One common misconception about the program is that you actually have to own a venue to qualify for a grant. That 100% is not the case. Despite the program’s name, many other entertainment industry businesses qualify for funding beyond venues. If you are a talent agent, a manager or a theatrical producer, apply! If you produce live concerts, music and concert-style events, work in stage design, ticket sales, lighting design, projection, or sound, among many other professions, you may qualify. In order to get the clearest picture of whether your business qualifies, be sure to check the list of organizations that have been approved under SVOG, in Section 1 of the SVOG’s FAQs as well as section 3 under the “Live Venue Operator or Promoter” clause.

One particular eligibility requirement we’ve heard a lot of questions about from venue owners is the “fixed seating” clause. This requirement, which is defined as having “seating permanently fixed to the floor or ground,” is applicable to museums and movie theatre operators only. Live event venues that do not have any fixed seats but instead are standing room only are not subject to this definition.

Over the last few weeks, I’ve heard from business owners who are not sure what information they might need when applying. The truth is, it’s not a short list, so start gathering the information detailed in the SVOG preliminary application checklist as soon as you can. Depending on what type of business you run, you’ll need unique information, but no matter your profession, make sure you have ready your corporate documentation, 2019 and 2020 tax returns and quarterly income statements. Every business will also need to provide payroll statements and a list of all of your employees. As a venue operator specifically, some key information you’ll need includes a floor plan and documents to show that you hold events, such as proof of audio mixing equipment, a public address system and a lighting rig. As a promoter or artist manager, you’ll need to provide a list of venues where you have promoted, produced or managed as well as contracts with artists and those venues. 

One important thing to remember is that not all organizations will be subject to the same guidelines. Generally speaking, what we can anticipate is that there will be some leeway with the documentation needed and that the larger an organization you own, the more detailed information – including financials records – you will need to provide. So if you’re a mom-and-pop venue and you’re not quite sure that you’ve kept every receipt or every invoice you’ve received, don’t panic.

Not all federal funds are created equal. The stimulus funds you may have already qualified for and received are not the same as the money earmarked for the SVOG program. The funds in this new program are generally meant to be applied to projects that get large groups of people back to work. So plan on using that money to book a band or to hire contractors that will help get a live event up and running. Use it to add new staff members and for anything else that gets you and others that work for you back to work and doing what you love to do. And remember, just because you’ve applied for and received a Paycheck Protection Program (PPP) loan this year that you’ve put toward payroll or rent, you are not disqualified from applying for SVOG. Adjustments to these programs made at the end of last year ensure that you are eligible to apply for and to receive both. 

Things are turning around. Recent jobless claims were the lowest they’ve been since COVID began. Our economy is showing signs of strength. Thanks to the work of our leaders, like Congressman Williams,  Congresswoman Nydia Velázquez (D-NY 7th District) who have fought for the entertainment industry and the people who keep it alive, SVOG money is in place and ready to be distributed. 

With summer approaching and the concert season on the horizon, I know that you, like me, are excited to get back to work bringing people joy. So read carefully, don’t assume you’ll be disqualified for any reason and get your documents together early so that you can receive the money you’re entitled to in order to not just get back on your feet but to hit a home run this year.