I have not tried the native support for SV, but I do have SC setup w/ SMSQL and PM. SC will kick SMSQL to take the application consistent snapshot, and then register these snapshots in PM. SC then pokes PM to start the SV transfer. When the transfer is complete, PM then vaults the application consistent snapshot that is created by SC and will keep it for the retention configured in the PM policy.
When doing a config this way, SMSQL knows nothing about the secondary protection, so the SMSQL command line is configured just like a "local-only" protection would be.