New Orleans is tops again, on an undesirable list.
According to a study commissioned by Visa Inc. The Crescent City is losing more small businesses than any other metro area nationwide.
The research conducted by the Economist Intelligence Unit, ranks metro areas based on the number of business establishments lost since 2006.
New Orleans fared the worst, losing 5% of its smallest businesses – those with less than five employees.
The study shows results may reflect the exodus following Hurricane Katrina in 2005.
Cleveland was close behind with a 4% drop.
The city reports a resurgence of entrepreneurial small business activity due to tax breaks and other incentives.
After more than one year running a Mexican food bar called the Riverside Grill, Vladimir Irula is throwing in the towel, “Business was definitely good in the beginning. And then after the oil we started seeing a drop in sales. We started cutting down on employees and pretty much reducing menu items.”
But the Riverside Grill, you could say, is going out of business and going into business at the same time.
“You never know. Nothing beats a failure but a try,” says the new Riverside Grill owner Leah Mann.
Mann is taking over the business, keeping the name and changing the menu, “It's more of a need for soul food,” says Mann.
Mann says she'll rise above the Visa Inc. study which shows New Orleans tops nationwide losing small businesses, “It doesn't bother me because I’m a native from New Orleans. I feel with the business plan I have in place, things are going to be good.”
Meantime Irula is already trying again, starting up a "pizza in a cone” business.
He says it's a new concept out of Italy.