Milwaukee Latino businesses challenged by rising costs

Latino business owners struggling

FOX6 visited a hair salon on Milwaukee's south side to learn more about the recent struggles Latino-owned businesses are facing.

MILWAUKEE - With rising costs, Milwaukee Latino businesses are finding it especially challenging to stay afloat. 

"We used to receive an average of 600 customers per week. Now, we're lucky if we even get 100," said Raul Varela, owner of a salon on the city's south side. 

Raul Varela

Varela said high rent, the rising cost for products and a lack of clients has caused a ripple effect for his 20-year-old business. 

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"You get a reality check at the end of each month that you start feeling helpless," Varela said. 

Varela's business experienced a 65% decrease in service -- forcing him to cut back from 12 employees to five. He told FOX6 News if things do not improve, he may have to permanently shut down.

Geisha Melendez from the Latino Chamber of Commerce of Southeastern Wisconsin told FOX6 News it is tough in his community due in part to a lack of education, resources and language barriers. 

Geisha Melendez

"With the inflation, either they go with the flow and let their business drown with the economy or they are just trying to survive," Melendez said. 

INFORMATION: 7th Latino Economic Unsummit in Racine

The Latino Chamber of Commerce will be hosting its 7th annual summit in Racine on Friday, March 22 from 8 a.m. until 1 p.m. It is set to be held at Delta Hotels by Marriott, 7111 Washington Avenue in Racine.