LAS VEGAS (KTNV) — Braud's Funnel Cake Cafe, a Las Vegas staple for two decades, closed its Town Square shopping center location this past week.
They're latest small business in the valley to fall victim to rising wholesale costs and a drop in foot traffic.
Owner Denette Braud said the decision was driven by an economic environment that made it impossible to keep the doors open.
WATCH | Small businesses close and cut costs as tourism dips and wholesale prices climb
"With this economic environment, we couldn't sustain it," Braud said.
Braud opened the business with her family in 2006, starting small before growing into a brick-and-mortar location.
"It started with a 10X10 tent and we, actually, it was one of the festivals that they were doing here, and that's when we kind of started our business then found out it went great," Braud said.
"So we did that for a few years even still working full-time jobs," Braud said.
"We bought the food truck and then, the concession trailer really, and then in 2017 is when we opened in Town Square. First brick and mortar," Braud said.
The cafe became known for gourmet funnel cakes with unconventional toppings, including chicken fingers and bacon.
"Turned out people really wanted it and it did really well," Braud said.
But Braud said things took a turn about a year and a half ago, when wholesale costs skyrocketed and foot traffic declined sharply.
"Chicken fingers went up probably $2 - $3 in a couple months," Braud said.
"Well, whipped cream we used to pay $1.49, now we pay $3.49," Braud said.
The business still exists outside of the storefront, but Braud said attempts to raise prices were not enough to offset the losses.
"Our business is down a good 40%," Braud said.
Other valley business owners have described similar pressures tied to a decline in tourism and the impact of tariffs throughout the past year-and-a-half.
"They say we're going up in prices then I have to go up too," one business owner said.
"There's been a price increase in materials and it's been sort of nebulous for the last 18 months or so," shared Janie Sandberg, the franchise owner of Floor Coverings International in Henderson.
"I'm going to try to maintain my prices as long as I can but I'm always looking at my bottom line," said John Simmons, owner of Firefly
While tourism numbers have dipped in recent years, the Las Vegas Convention and Visitors Authority said visitor volume is up 2.7%, with nearly 100,000 more visitors this July compared to last year. Many business owners hope a tourism rebound could be ahead.
Braud's Funnel Cake Cafe says it will continue to find ways to serve the community despite closing its storefront.
This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.
