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LA County grants $4M to 363 small businesses in entertainment
The Industry Aug 28, 2024
| Image courtesy of the Los Angeles Department of Economic Opportunity
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Hundreds of small businesses in the entertainment industry received a total of $4 million in grants from Los Angeles County agencies, officials announced Wednesday.
The Department of Economic Opportunity and the LA County Film Office awarded Business Interruption Fund grants to 363 small and micro businesses affected by shutdowns in recent years of film and TV production.
The funding provided grants of $10,000 or $25,000 to businesses including prop houses, printers, transportation, food caterers, small production companies and other companies that assist with film and television production.
Dollars from the federal American Rescue Plan Act that the LA County Board of Supervisors approved for distribution in July 2023 funded the grants.
“The Third District is home to more studios and production companies than anywhere else in Los Angeles County. We’re committed to showing up for the entertainment industry — and the vital businesses that power it — in every way we can to ensure its continued success and growth,” Board Chair Lindsey P. Horvath said in a statement. “I’m proud to have established the Entertainment Business Interruption Fund with Supervisor Barger to support the small, essential businesses still grappling with the economic impact of the slow return of local film and TV productions.”
Supervisor Kathryn Barger said in a statement, “The mom-and-pop businesses behind our most cherished films are a vital part of our local economy yet have been hardest hit by ongoing disruptions from the pandemic to the historic double strikes of 2023. The County of Los Angeles remains steadfastly committed to supporting the industry, its workers, and small businesses with timely and innovative solutions such as removing excessive permitting fees, countywide Student Fee Waiver programs, studies on how the County can better attract and retain film, TV, and commercial production — most of which occurs in the Fifth District. We hope those that support the industry found some relief through our $4 million grant program.”
The COVID-19 pandemic stopped all permitted film and tv production in the county, and the effects are still felt throughout the industry today. Combined with the writers and actors 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 in providing immediate capital support to the small businesses that serve the entertainment industry, quickly standing up a $4 million business interruption fund in response — unlike anything seen or done before by a local County agency,” said , DEO Director Kelly LoBianco said in a statement. “Faced with a dramatic drop in film productions and the loss of thousands of jobs, our creative economy continues to experience ongoing effects from the pandemic and the historic double strikes. We hope the grant funds have provided much needed relief during moments of crisis and remain committed to mitigate the continued economic fallout on our locally housed, internationally renowned industry.”
Gary Smith, head 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 touchpoint for local film and tv 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 $10,000 or $25,000 grants based on an applying company’s revenue size and businesses that are within the “highest, high, and moderate tiers” of the county’s COVID-19 Vulnerability and Recovery Index, officials said. Twenty-eight businesses received $25,000 grants, and 335 each received $10,000.
The full eligibility criteria are available at grants.lacounty.gov. See breakdown of each tier below:
Of the 363 grants, nearly half went to businesses owned by black, indigenous and other people of color. More than half of grant recipients were women, LGBTQIA+, veterans or disabled.
One of the grant recipients was History for Hire, a 33,000-square-foot, family-owned prop house in North Hollywood. The business rents contemporary and historical props and graphics available for film and TV productions.
“History For Hire Prop House has supplied props to the entertainment industry since 1985,” Pam Elyea, co-founder and co-owner, said in a statement. “Started by my husband and brother Bob, we’ve supplied props for films all over the United States and the world. There was no film production for months once the pandemic started. We applied for the grant because we needed funding to pay the rent, staff, benefits, and utilities.”
Elyea said the prop business “took a leap of faith” and used the time while keeping most of the staff on payroll to take History for Hire’s catalog of props online.
“I am so grateful to LA County for the Business Interruption Fund,” Elyea said. “This fund brought so many small businesses together to talk about our issues and the road ahead.”
The grant program is administered in partnership with Lendistry and the Los Angeles Regional Small Business Development Center Network, or SBDC. It adds to more than $50 billion the county awarded to small businesses and nonprofits in 2023.
“So many of our region’s small businesses are still recovering from the economic impacts of the pandemic, and continue to face significant challenges,” Pat Nye, SBDC regional director, said in a statement. “LA County’s Business Interruption Fund program is a critical resource to 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, requiring small businesses of all types to support it. I’m proud that Lendistry was able to help (LA County) distribute over $4 million to help them recover from one of the largest disruptions they’ve ever experienced.”
Film LA President Paul Audley said in a statement, “When Los Angeles competes internationally for new film, television and commercial projects, it does so based on the resiliency of its production support infrastructure. Put another way, it’s the working people and small businesses that support this industry that continue to make LA’s global leadership possible. Loss of business due to the COVID-19 pandemic, and the disruptions of the ensuing years, have placed our competitive advantages at risk. We are grateful to the County of Los Angeles for introducing the Business Interruption Fund, to sustain these businesses and the economic stability of our communities.”
Officials said people affiliated with businesses that did not receive a grant or need additional support can visit the Economic Opportunity Department’s website for a list of financial and service-assistance resources.
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