03/11/2021
Yesterday, Congress passed the American Rescue Plan—an historic $1.9 trillion package that is a direct result of the advocacy of Recording Academy members, who have fought relentlessly for robust aid that will better benefit music makers and music small businesses.
One of the key victories is an important change to the Shuttered Venue Operator Grants (SVOG) program. Once President Biden signs the bill on Friday, eligible recipients will be able to apply for both a SVOG and a Paycheck Protection Program (PPP) loan through the Small Business Administration. This key change will give many independent venues, talent operators, and other small businesses in our music community the flexibility to meet their immediate, and long-term, financial needs.
The SVOG program is expected to begin accepting applicants in early April. Visit the SBA’s page for the latest information and to sign up for direct updates.
PPP loans are currently available via an approved financial lender. Applicants must apply by March 31 to be eligible. To learn more about PPP and find a participating lender, click here.
Bonus PPP Update: Sole proprietors, gig workers, and independent contractors are now eligible for an increased loan thanks to recent changes enacted by President Biden. Effective March 3, any individual yet to be approved for a PPP loan in 2021 is now eligible to qualify for a larger loan amounted calculated from his or her gross income in 2019 or 2020. Previously, PPP loans for individuals were limited by a calculation based on net income.
Additionally, the American Rescue Plan extends historic unemployment programs for gig workers, self-employed individuals, and “mixed earners” until September 6, and waives federal income tax up to $10,200 for unemployment benefits received in 2020.
For over a year, you have championed priorities to aid and assist the music community in need. Because of your voice, lawmakers have listened and provided. While no aid will replace what our industry has lost over the past year, your advocacy has helped ensure our industry’s survival.
