A new report suggests a shocking statistic that 90% of independent venues in the US may shutdown from lack of business and government support.
National Independent Venue Association (NIVA) have published the results of a new survey on how venues in the US are coping with Coronavirus shutdown. The shocking results are damning for the effects of independent venues – note that this doesn’t include huge stadiums and venues but only independents.
Of course venues were one of the first to have to close their doors when the threat of Coronavirus became clear and will likely be amongst the last to re-open. It’s been particularly catastrophic as venues’ revenue stream has completely dried up whilst insurance, bills and other expenses keep coming.
A whopping 90% – that’s no typo, we’re really looking at 90% here – said that without federal funding “they will close permanently in a few months”. They added that the current Paycheck Protection Program funding provided “will not solve the crisis”.
NIVA president, Dayna Frank said: “The complete and instant shut down of every venue is devastating. Revenues have ceased, but overhead hasn’t. We’re fighting for the future of our industry, our beloved venues and our communities.
“This is the one time we’re asking for assistance to do that. Without it, we fail. With it, we can once again be the gathering places that bring back our communities. With it, we will stand on our own feet and once again generate economic gains for businesses around us and the tax base of our towns and cities.”
Some venues in the US have reportedly partially re-opened with limited capacity but even then they’re not looking at a sustainable business. NIVA states that at the moment it “is not economically feasible… payroll, taxes, insurance, and artist pay are not on a sliding scale matching the capacity we’re permitted to host. They are fixed costs.”