Wisconsin Adult Boutique Owner Concerned About SBA 'Prurient' Clause

Wisconsin Adult Boutique Owner Concerned About SBA 'Prurient' Clause

MADISON, Wis. — The co-owner of a Madison, Wisconsin adult boutique, A Woman’s Touch, spoke to the local community radio about the “prurient” clause in the Small Business Administration (SBA) loan application that appears to discriminate against sex-oriented businesses.

According to Ellen Barnard, who co-owns A Woman’s Touch, her 24-year-old, sex-positive business provides “education and products promoting sexual health and pleasure for everyone.”

Barnard told Madison’s WORT radio that her store “is facing closure because they’re not eligible for the federal money.”

“We’re doing everything we can to get enough business so that we can pay our fixed expenses,” Barnard explained. “It makes me angry because they won’t make an exception for sexual health. It makes me angry that they won’t make an exception for something that is clearly both health-related and professionally run. But, you know, am I surprised? No.”

Barnard added that since she and her partner “have sunk considerable personal financial stakes into the success of their business,” the discrimination written into the loan application could mean total ruin for them.

“If we can’t make our expenses, we’ll lose our house. And our savings. And that’s the reality of  it,” Barnard said. “That’s part of what it means to be a small business owner for many of us. I mean, I think the hardest part of it for us is the fear and the stress. And the ‘Oh gosh, how are we going to manage this?’ part of it.”

Adult industry lawyers have argued that the “prurient” clause, invoking an ancient and confusing word that has exclusively negative connotations, does not apply to business owners who argue that their interest in sex is “healthy.”

Two midwestern strip clubs have filed lawsuits challenging the SBA’s “prurient” clause. But, as WORT points out, they may be making a legal moot point since the SBA announced last Wednesday that it had run out of funding for the program.

To listen to the radio interview with A Woman's Touch co-owner Ellen Barnard, click here.

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