The Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act, P.L. 116-260, the COVID-19 relief bill that was signed into law in late December 2020 included the Shuttered Venue Operators Grant (SVOG), a $15 billion program. The U.S. Small Business Administration (SBA) expects to begin accepting applications in early April for the SVOG program.
Entities eligible for an SVOG, per the Economic Aid Act, may be live venue operators or promoters, theatrical producers, live performing arts organization operators, museum operators, motion picture theater operators, and talent representatives. Entities of those types owned by state or local governments are eligible to apply if the governmentally owned entity acts solely as a venue operator, such as for a museum or historic home, and does not also run other types of entities. For example, a city parks and recreation department that operates a bandstand in a public square but also runs several nature parks would be ineligible to apply for an SVOG.
In addition, SVOG grant applicants must meet the following eligibility requirements.
A venue operator is not eligible for an SVOG if any of the following apply.
The $1.9 trillion American Rescue Plan Act, H.R. 1319 includes an additional $1.25 billion in funding for the SVOG program and also allows eligible entities that receive a first- or second-draw Paycheck Protection Program (PPP) loan after December 27, 2020, to also receive an SVOG. Receiving or even having open applications for both programs had been prohibited, but the new law makes it possible for venue operators to receive both, provided the amount of the SVOG is reduced by the amount of PPP funds approved
Additional, more specific questions about entity eligibility are covered in the Shuttered Venue FAQs, published by the U. S. Small Business Administration.
The information presented here should not be construed as legal, tax, accounting, or valuation advice. No one should act on such information without appropriate professional advice and after a thorough examination of the particular situation