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Country Kitchen: Help local business first

Raney and Jan Israelson say their business has suffered with the poor economy of the past three years like many other area businesses. They wish the Luverne Economic Development Authority did more to encourage business retention rather than looking for new businesses. They are asking for a $15,000 loan.By Sara StrongCountry Kitchen owners Raney and Jan Israelson hope the city of Luverne will help keep their business afloat.Raney said, "The last three years have been worse than any of the past 20."At a recent "visioning" session, the Luverne Economic Development Authority set a goal of retaining current businesses. Raney said the LEDA should follow through with that, and not concentrate solely on getting new businesses while current ones could drop.Raney said that with the upcoming summer travel season, a $15,000 loan from the city would get them through the slow time of the year."I just don’t think the city should only bring in people from out of town, and hope they make it," he said. "There’s all these new tax breaks and incentives for new businesses, but not for ones that have been here 20 years." The corporation of Country Kitchen is trying to help by decreasing the franchise fee. Last year the Israelsons spent $50,000 in franchise fees and national advertising from the corporation.Raney said, "I’ve got 30 employees and a payroll of $400,000 a year. I don’t want all those people out there finding other jobs."He hopes the past few years of poor business are a mere passing trend."I’m sure our sales will improve after this economic crisis gets better," Raney said. "But all we hear about is border town tax breaks for everyone. What about the people who’ve been here for the long haul?"The LEDA met Tuesday morning to discuss a loan to Country Kitchen, but wants more information — such as a five-year business trend report and a long-term plan.The LEDA suggested the analysis might show that employees could be cut. Or, it said, a home equity loan might get as much money as a loan from the LEDA.Jan said, "The food is good here and we’ve got great people working for us; it’s just been a bad couple of years. I’m sure we’re not the only business struggling with the slow economy."

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