The Small Business Administration’s (SBA) Shuttered Venue Operators Grant (SVOG) program, also known as the SRD grant, was created to provide relief to live entertainment venues that have been affected by the COVID-19 pandemic. The program has been a lifeline for many venues across the country, but many have been waiting for news of an extension to the program as the original funds allocated to the program have been exhausted.
On April 26, 2021, the SBA announced that it would be extending the SRD grant program to allow eligible venues to apply for additional funding. The extension came as welcome news for many small businesses that had been left out of the initial rounds of funding due to high demand.
The SRD grant program provides eligible venues with a grant equal to 45% of their gross earned revenue, up to a maximum of $10 million. The funds can be used for a variety of expenses, including payroll, rent, utilities, and personal protective equipment (PPE). The program is designed to help businesses cover the costs associated with reopening and getting back to normal operations after the pandemic.
The initial funding for the program was $16.2 billion, and it was quickly exhausted due to the overwhelming demand from eligible businesses. The SBA received over 14,000 applications in the first two days of the program’s opening. As a result, many eligible businesses were left without funding.
The extension of the SRD grant program will allow eligible businesses to apply for additional funding, giving them a second chance to receive the financial support they need to survive. The SBA has not yet announced how much additional funding will be available or when applications will reopen.
Businesses that were eligible for the initial round of funding will be able to apply for the extension. Additionally, businesses that were not eligible for the initial funding due to timing restrictions may also be able to apply. The SBA has stated that it will prioritize businesses that have suffered the greatest revenue loss first.
The SRD grant extension is a much-needed lifeline for many small businesses in the live entertainment industry. It provides the financial support necessary to help businesses survive and thrive in the post-pandemic world. Business owners should keep an eye on the SBA website for more information on when the application process for the extension will reopen and how to apply.