Small Business feels pain of shutdown - Tucson News Now

Small Business feels pain of shutdown

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TUCSON, AZ (Tucson News Now) -

The Small Business Administration website, SBA.gov, says applications will not be processed and it will not be able to respond to inquiries.

Add to that, the e-verify website has been shut down, and the business community is feeling the effects of the government shutdown.

And if it goes on for a while, it will get worse.

The SBA being closed "is just another kick to small business," says Ken Goodman, the head of the county's small business commission. "80 to 90% of small businesses will tell you we are still in the Great Recession."

That's especially acute to the Tucson Chamber of Commerce, which represents both small and big business.

"Any time you retard growth, you retard the economic vitality of a community," says Mike Varney, CEO of the chamber.

Tucson has been looking for a way to create jobs for about two years. The economic recovery has sputtered and it's felt jobs is the way out.

But Varney says anytime you create delays for business to expand, get off the ground or make needed purchase, you hurt companies "which could be hiring workers tomorrow."

Urban Fresh downtown is a prime example of why any delay in the SBA process will cause damage.

It's thriving in it's downtown environment but never would have without securing a loan to open its doors.

"Most people can't unless they have unlimited funds," says Kathy Iannacone, part owner of the vegan store.

Just how many businesses in the Tucson are may have their applications for money sitting on a desk awaiting approval, nobody is sure yet.

But one business owner says "we"ll know when the pain starts."

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