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Hospitality & Entertainment Grant

In April 2021, Indiana announced a new grant program to support the state’s hospitality and entertainment industries that have been disproportionately impacted throughout the pandemic and largely excluded from other government assistance programs. The Indiana Hospitality & Entertainment Grant program is designed to help accelerate economic recovery activity by reimbursing certain expenses incurred during and related to the global pandemic.

Please read through all grant details, eligibility requirements and frequently asked questions below before applying.

Grant Details

  • Entertainment venues, promoters, and hospitality businesses that meet the eligibility requirements can apply for reimbursement for qualified business incurred between March 1, 2020, and Dec. 31, 2021.
  • Only expenses that have been incurred may be submitted. You may not submit forward-looking statements or anticipated costs. If you are approved and receive grant funding, but do not reach the $1 million maximum award, you may reapply to submit additional expenses incurred since first applying.
  • Reimbursements for expenses may be awarded up to $100,000 for each month during that period. Reimbursements may not exceed $1 million total for each eligible venue, promoter, or business.
  • Eligible businesses may apply for grant funding to cover qualified expenses incurred at their Indiana operations, such as payroll, insurance premiums, rent or mortgage payments, utilities, and safety investments. These expenses may be reimbursed up to 80% for non-payroll expenses and up to 100% for payroll expenses.
  • The deadline for applying is Dec. 31, 2021. Eligible businesses are encouraged to apply and submit expenses for reimbursement as soon as possible; grants will be issued in the order in which applications are received until funding is exhausted or until the program expires.

Eligibility Requirements

Registered Indiana businesses and venues must:

  • Have been established prior to Oct. 1, 2019
  • Be registered to operate in Indiana and must be seeking reimbursement for expenses related only to their Indiana operations.
  • Be in good standing with the Indiana Department of Revenue or have entered into a payment plan approved by the Indiana Department of Revenue.
  • Have been profitable and have had between $10 million and $35 million in revenue (Gross Receipts or Sales) in 2019; profitability is determined by EBITDA
  • Demonstrate a monthly gross revenue loss of at least 60% compared to the same month in 2019 (e.g. July 2020 compared to July 2019).
  • Have had fewer than 500 full-time employees in 2019.
  • Still be operating in Indiana.
  • Be an entertainment venue, promoter, or hospitality businesses as defined by the following NAICS Codes:
    • 721110 Hotels & Motels
    • 711310 Promoters of Performing Arts, Sports, and Similar Events with Facilities
    • 711320 Promoters of Performing Arts, Sports, and Similar Events without Facilities
    • 711110 Theater Companies and Dinner Theaters
    • 512131 Motion Picture Theaters (except Drive-Ins)
    • 512132 Drive-In Motion Picture Theaters

Note: Please use the primary NAICS code used on your tax return.

Eligible Expenses

May be reimbursed up to 100%:

  • Payroll

May be reimbursed up to 80%:

  • Insurance premiums
  • Rent or mortgage payments
  • Lease payments for real or personal property
  • Utilities
  • Safety investments

Please Note: Expenses covered by another federal grant program such as PPP, EIDL, Restaurant Revitalization, or from a local government entity (CDBG) may not also be reimbursed by this grant. Funding received from other federal grant programs, with exception of EIDL Loans, will be added to a business' revenue and may impact eligibility or reimbursement in impacted months.

Application

Businesses will need to gather the following documentation to apply. You will upload these documents in the application.

Please note the application has a file size limit: you may submit up to 10 files with a 30-megabyte max. Please logically combine documentation into one upload when possible. If possible, please upload your documents in a lower quality to avoid the size limit error.

To document eligibility:
Registered, Indiana business in good standing
  • Federal Employer Identification Number
  • 2019 Federal Tax Returns
  • Copy of current valid driver's license or other U.S.-issued valid ID
  • Current W9
  • All signed documents (federal loan/grant agreements) if you have received funding from other federal assistance programs.
Profit Loss
Once eligible, to submit expenses for reimbursement:
ExpenseDocumentation Required
Payroll
  • Proof of payroll expenses for wages paid to W2 employees only
  • 900 series payroll forms
Insurance premiums
  • Proof of insurance premium payment
  • Certificate of Insurance (COI)
Rent, lease or mortgage payments
  • Copy of mortgage, rental or lease agreement(s)
  • Proof of mortgage, rental or lease payments for real or personal property
Utilities
  • Copy of utility bills or billing statements
Safety purchases and improvements
  • Receipt of purchases and/or improvements made to increase safety. This may include personal protective equipment (PPE) and infrastructure improvements related to the health and safety of employees and/or customers.

Questions?

Before you apply
If you have questions about completing an application or compiling the required documents, contact the nearest Indiana Small Business Development Center (SBDC) office or call 888.472.3244. Please note the Indiana SBDC can only assist you before you apply to help you gather the required documentation. You can also contact your CPA for assistance.

After you apply

Please check your email frequently and be sure to check your spam folder and/or add these emails to your contacts to ensure you receive communications.

  • Program Overview

    Q: Is this program different from the Indiana Small Business Restart Grant?
    A: This program is similar to the Small Business Restart Grant in that it is designed to accelerate the speed of economic recovery by providing working capital to businesses impacted by the pandemic. The Indiana Hospitality & Entertainment Grant program, however, is more targeted to companies operating in these industries, which have been disproportionately impacted throughout the pandemic and have been largely excluded from other government assistance programs. Because the eligibility requirements are different, companies may not apply for both the Small Business Restart Grant and the Indiana Hospitality & Entertainment Grant.

    Q: How is the program funded?
    A: The program is funded by federal dollars made available to states to support pandemic relief and recovery.

    Q: If I receive a grant, will it impact my eligibility for the U.S. Small Business Administration’s Shuttered Venue Operators Grant?
    A: The U.S. Small Business Administration’s Shuttered Venue Operators Grant is a federal program; please refer to the program website for details.

    Q: If I receive a grant, are the funds taxable?
    A: Yes, grant funds are considered taxable income. Applicants must submit a current W9 with their application documents, and Indiana Relief, an IEDC third-party disbursement partner, will send IRS Form 1099 to companies receiving grant funds over $600.

  • Eligibility

    Q: Are nonprofit organizations eligible for Hospitality & Entertainment Grants?
    A: No, nonprofit organizations are not eligible for Hospitality & Entertainment Grants.

    Q: What does it mean to be ‘in good standing’ with the Indiana Department of Revenue?
    A: Businesses in good standing with the Indiana Department of Revenue do not have an outstanding or delinquent tax liability with the state.

    Q: If I received a grant from another federal grant program, are those expenses eligible for the Hospitality & Entertainment Grant?
    A: Expenses covered by another federal grant program such as PPP, EIDL, Restaurant Revitalization, or from a local government entity (CDBG) may not also be reimbursed by this grant. Funding received from other federal grant programs, with the exception of EIDL Loans, will be added to a business’ revenue and may impact eligibility or reimbursement in impacted months.

  • Application

    Q: Where do I find my business’s NAICS Code?
    A: Your NAICS Code should be listed on your most recent tax return. You may also view additional resources on NAICS Codes from the U.S. Census Bureau.

    Q: What if my business's NAICS Code is not one of the eligible codes listed, but my business is still considered an entertainment venue, promoter, or hospitality business?
    A: If your NAICS Code is not included for eligibility, but you believe your business qualifies as an entertainment venue, promoter, or hospitality business, you can enter the NAICS code for your business for the review team to consider.

    Q: I applied. What happens next?

    Please check your email frequently and be sure to check your spam folder and/or add these emails to your contacts to ensure you receive communications.

    All applications for Hospitality & Entertainment Grants will be reviewed and verified by representatives of the Indiana Economic Development Corporation.

    Q: How long will it take to be approved?
    A: We plan to review applications and notify applicants of their grant award status (approval or denial) within 2-3 weeks of receiving the completed application and required documentation. Please note that the timeline may fluctuate and that the review process is expected to be longer based on anticipated demand.

    Q: My business was approved for a grant. What happens next?
    A: After your Hospitality & Entertainment Grant is approved, it will move to processing, and you will be asked to choose whether you want your grant to be issued via wire or check. Our goal is to have Indiana Relief, an IEDC third-party disbursement partner, send funds within 3-5 days of receiving your executed grant agreement, but please understand that timing may fluctuate based on current capacity.

    Q: How many months’ worth of expense documentation (i.e. paid mortgage statements, utility bills, lease payments for real or personal property) do I need to submit?
    A: Eligible businesses may be reimbursed for eligible expenses incurred between March 1, 2020 and December 31, 2021 and documentation of such expenses will need to be submitted for each month in which the business is seeking reimbursement.

    Q: May I submit expenses for future months if I already know what they’ll be?
    A: No – you may only submit documentation for expenses already incurred; you may not submit forward-looking statements or anticipated costs. If you are approved and receive grant funding, but do not reach the $1 million maximum award, you may reapply to submit additional expenses incurred since first applying.

  • Documentation

    Q: I have not yet filed taxes yet for 2019. Can I utilize a 2018 Federal Tax Return instead?
    A: No. Eligibility criteria for grants is, among other things, based on 2019 Gross Receipts and Sales revenues and EBITDA positive figure, so businesses must be able to demonstrate 2019 figures. Sole proprietor or home-based businesses must submit their full IRS 1040 along with all schedules.

    Q: How many months’ worth of expense documentation (i.e. paid mortgage statements, utility bills, lease payments for real or personal property) do I need to submit?
    A: Small businesses may be reimbursed for eligible expenses incurred between March 1, 2020 – December 31, 2021, and documentation of such expenses will need to be submitted for each month in which the business is seeking reimbursement.

    Q: I don’t have access to some of the required documentation and/or I need help gathering required documentation for the application. Who can help?
    A: If you have questions about completing an application or compiling the required documents, contact the nearest Indiana Small Business Development Center (SBDC) office or call 888.472.3244. Please note the Indiana SBDC can only assist you before you apply to help you gather the required documentation. You can also contact your CPA for assistance.