The SBA’s Shuttered Venue Operators Grant Opens April 8

The U.S. Small Business Administration (SBA) announced it will begin accepting applications for the Shuttered Venue Operators Grant (SVOG) program on April 8, 2021.

The Shuttered SVOG program was established by the Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act, and amended by the American Rescue Plan Act. The program includes over $16.25 billion in grants to shuttered venues, to be 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. $2 billion is reserved for eligible applications with up to 50 full-time employees.

Eligible entities for the SVOG include:

• 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 February 29, 2020
• Venue or promoter who received a PPP loan on or after December 27, 2020 will have the SVOG reduced by the PPP loan amount. Please note:  You are eligible to apply for a SVOG if you received a PPP loan, but are ineligible to apply for PPP after you receive a SVOG.

The SBA recommends that potential SVOG applicants register at SAM.gov for the federal government’s System for Award Management (SAM). Applicants must have a SAM registration to receive an SVOG. The SBA also recommended in late January that potential applicants obtain a Dun & Bradstreet (DUNS) number, which is required to register in the SAM system.

The SBA has created a dedicated website for the SVOG program, including additional information on eligibility and how to apply. ALL encourages our clients to speak with us before applying to ensure you are optimizing the various relief programs. If you have any questions about the Shuttered Venue Operators Grant please contact your ALL tax advisor or call us at 617-738-5200.