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Wednesday, December 25, 2024

Matthews promotes small business loans as solution to COVID-19 closures

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Sen. Andrew Mathews (left) | Facebook

Sen. Andrew Mathews (left) | Facebook

The Bella Vita Salon, a beauty shop, announced that it is closing until May 1 due to COVID-19 and now its owners are pleading for financial assistance.

“Our salon is in serious jeopardy,” Darla Peterson Terpstra posted on Sen. John Jasinski’s Facebook page. “Please help us!"

Located at Medford Outlet Center, Bella Vita Salon posted the news of its closure on March 25, 2020 in response to Gov. Tim Walz’ stay-at-home executive order.

“The Minnesota Board of Cosmetology has announced that hair salons are under mandatory closing due to Gov. Walz executive order in an effort to curb the spread of the virus,” the hair salon posted.

In an attempt to help small businesses like the Bella Vita Salon, the governor established a Small Business Emergency Loan program pursuant to Executive Order 20-15, which provides immediate relief to small businesses and independent contractors that are closed due to coronavirus, according to the legislatures website.

“With up to 50% forgivability on these emergency loans, this is one option available for business owners that will not drown them in debt on their way to recovery,” said Sen. Andrew Mathews in a joint statement online.

Many business owners, however, are adamantly against debting to stay afloat.

“We don’t want to take out a loan and create more debt with no money coming in,” said Peterson Terpstra in a statement online. “Losing money for a month and a half!! Losing clients, no money to pay for rent and utilities!!! I pay taxes and get no relief!!!”

Sen. Eric Pratt affirmed that loans are essential.

“These loans are the first step to our economy recovering in the aftermath of coronavirus,” Pratt said in the joint press release.

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