DULUTH, Minn. — Winter is part of life in Minnesota, and an essential earning season for small businesses built on snow.
Unfortunately, the snow and cold temps necessary for outdoor activities and winter tourism did not arrive in 2023-24, with record-setting warmth and lack of snow leaving resorts, restaurants and bars empty. Many have had to lay off employees and dip into savings due to lack of business.
On Thursday, Gov. Tim Walz reached out to impacted small business owners, urging them to apply for disaster loans through the federal Small Business Administration (SBA). The loans are available due to ongoing federal drought declarations affecting 81 Minnesota counties.
In a news release, the Walz administration noted that through Feb. 29, the Twin Cities have only received 14.3 inches of snow, with Duluth, usually the epicenter of winter tourism, only collecting 15.7 inches - both among the five lowest totals on record.
“From skiing and snowshoeing to winter festivals, snowy winters are part of our way of life in Minnesota. The low precipitation we’ve experienced this winter has had a real economic impact on small businesses that rely on snow and winter tourism to grow and survive,” said Governor Walz. “I encourage all impacted business owners to apply for assistance as soon as possible.”
To be eligible for an Economic Injury Disaster Loan (EIDL), businesses need to operate in one of the 81 counties currently under a federal drought declaration. Under the EIDL program, businesses can borrow up to $2 million to cover actual losses and pay no interest for the first year, with interest in subsequent years capped at four percent.
Impacted business owners are urged to apply for their emergency loans as soon as possible. Those wanting more information on the loan program, eligibility requirements and application deadlines can find it at the Small Business Administration website.
WATCH MORE ON KARE 11+
Download the free KARE 11+ app for Roku, Fire TV, Apple TV and other smart TV platforms to watch more from KARE 11 anytime! The KARE 11+ app includes live streams of all of KARE 11's newscasts. You'll also find on-demand replays of newscasts; the latest from KARE 11 Investigates, Breaking the News and the Land of 10,000 Stories; exclusive programs like Verify and HeartThreads; and Minnesota sports talk from our partners at Locked On Minnesota.
- Add KARE 11+ on Roku here or by searching for KARE 11 in the Roku Channel Store.
- Add KARE 11+ on Fire TV here or by searching for KARE 11 in the Amazon App Store.
- Learn more about the KARE 11+ app for Apple TV in the Apple App Store.
- Learn more about KARE 11+ here.
Watch WeatherMinds:
Watch the latest deep-dives and explainers on weather and science in our YouTube playlist:
