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LA County grants $4 million to over 360 small entertainment businesses

LA County grants  million to over 360 small entertainment businesses

Hundreds of small entertainment businesses received grants totaling $4 million from Los Angeles County authorities, officials said Wednesday.

The Department of Economic Opportunity and the LA County Film Office have awarded Business Interruption Fund grants to 363 small and micro businesses affected by production shutdowns in the film and television industry in recent years.

Funding included grants of $10,000 and $25,000 to businesses including prop manufacturers, printers, transportation companies, catering companies, small production companies and other businesses that assist with film and television production.

The grants were funded with money from the federal American Rescue Plan Act, which the LA County Board of Supervisors approved for distribution in July 2023.

“The Third District is home to more studios and production companies than any other district in Los Angeles County. We are committed to supporting the entertainment industry – and the essential businesses that power it – in every way we can to ensure their continued success and growth,” Board Chair Lindsey P. Horvath said in a statement. “I am proud to have joined Supervisor Barger in establishing the Entertainment Business Interruption Fund to support the small, essential businesses still struggling with the economic impact of the slow return of local film and television production.”

Supervisor Kathryn Barger said in a statement, “The small family-run businesses behind our most popular films are an important part of our local economy, but have been hit hardest by ongoing disruptions from the pandemic to the historic double whammy of 2023. Los Angeles County remains committed to supporting the industry, its workers and small businesses with timely and innovative solutions, such as eliminating excessive permit fees, countywide tuition waiver programs and studies on how the county can better attract and retain film, television and commercial productions – most of which are in the Fifth District. We hope those who support the industry have found some relief through our $4 million grant program.”

The COVID-19 pandemic halted all sanctioned film and television productions in the country, and the impact is still being felt across the industry today. Combined with scriptwriter and actor strikes and other disruptions, the entertainment business is still in a recovery phase.

“(The Department of Economic Opportunity) and our County Film Office recognized the urgency of providing immediate capital assistance to the small businesses that serve the entertainment industry and, in response, quickly established a $4 million business interruption fund – unlike anything any local county agency has seen or done before,” DEO Director Kelly LoBianco said in a statement. “With a dramatic decline in film productions and thousands of jobs lost, our creative industries continue to suffer the ongoing impacts of the pandemic and historic double whammy. We hope the grant funds have provided much-needed relief in a time of crisis and remain committed to mitigating the ongoing economic consequences for our locally based, internationally renowned industry.”

Gary Smith, director of the film office, said in a statement: “No other region in the country has responded to the pandemic with such a proactive and comprehensive approach. As the county's primary advocate and point of contact for local film and television production, the LA County Film Office is committed to supporting the growth and recovery of the entertainment industry through innovative approaches, including streamlining processes, reducing fees and exploring local tax incentives.”

The program awarded grants of $10,000 or $25,000, depending on the revenue size of the applying business and to businesses that are in the “highest, high and medium tiers” of the county's COVID-19 vulnerability and recovery index, officials said. Twenty-eight businesses received $25,000 grants and 335 received $10,000 each.

Full eligibility criteria can be found at grants.lacounty.gov. Below is a breakdown of each tier:

Of the 363 grants, nearly half went to Black, Indigenous and other people of color-owned businesses. More than half of the grant recipients were women, LGBTQIA+, veterans or people with disabilities.

One of the grant recipients was History for Hire, a 32,000-square-foot, family-owned prop studio in North Hollywood. The company rents contemporary and historical props and graphics for film and television productions.

“History For Hire Prop House has been supplying props to the entertainment industry since 1985,” said Pam Elyea, co-founder and co-owner, in a statement. “Started by my husband and my brother Bob, we have supplied props for films across the United States and around the world. When the pandemic began, there was no film production for months. We applied for the grant because we needed money to pay rent, staff, benefits and utilities.”

Elyea said the prop company “took a leap of faith” and used the time while keeping most of its staff on staff to put History for Hire's prop catalog online.

“I am so grateful to Los Angeles County for the Business Interruption Fund,” Elyea said. “This fund has brought so many small businesses together to talk about our problems and the way forward.”

The grant program is administered in partnership with Lendistry and the Los Angeles Regional Small Business Development Center Network (SBDC) and complements the more than $50 billion the county has awarded to small businesses and nonprofits in 2023.

“So many small businesses in our region are still recovering from the economic impacts of the pandemic and continue to face significant challenges,” said Pat Nye, regional director of the SBDC, in a statement. “The LA County Business Interruption Fund program is a critical resource for communities across our region.”

Lendistry CEO Everett K. Sands said in a statement, “Entertainment is one of the largest industries here in Lendistry's hometown and requires small businesses of all kinds to support it. I am proud that Lendistry (LA County) was able to help distribute over $4 million to help them recover from one of the greatest disruptions they have ever experienced.”

Paul Audley, president of Film LA, said in a statement, “When Los Angeles competes internationally for new film, television and commercial projects, it relies on the resilience of its production support infrastructure. Put another way, it is the working people and small businesses that support this industry that continue to enable LA's global leadership. The loss of business due to the COVID-19 pandemic and the disruptions of the years that followed have threatened our competitive advantages. We are grateful to Los Angeles County for implementing the Business Interruption Fund to support these businesses and the economic stability of our communities.”

Officials said individuals from businesses that did not receive a grant or need additional assistance can find a list of sources of financial assistance and relief services on the Department of Economic Opportunity website.

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