Strip Clubs Can Now Receive Emergency Small Business Loans

Strip clubs were among the earliest and hardest hit businesses

lucky devil lounge
Before PPP, strip clubs like Lucky Devil Lounge got creative with virtual and drive-through shows. (Lucky Devil Lounge)
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Initially excluded from the Small Business Association’s Paycheck Protection Program, strip clubs are now eligible to receive the emergency federal loans meant to help small businesses struggling amid the coronavirus lockdowns.

On Monday, US District Judge Matthew Leitman in Michigan ruled in favor of strip clubs receiving the support, the New York Post reported. Leitman issued an injunction preventing the Small Business Association from excluding businesses that sell products or produce performances of a “prudent sexual nature” from the Paycheck Protection Program.

Leitman also ruled that other businesses including banks and private clubs cannot be excluded from the support program either.

“Simply put, Congress did not pick winners and losers in the PPP,” Leitman wrote.

“It would ordinarily be absurd to conclude that Congress meant to provide financial assistance to, among others, certain sexually oriented businesses and private clubs that discriminate,” he added. “But these are no ordinary times, and the PPP is no ordinary legislation.”

According to the New York Post, however, Leitman’s decision could be appealed.

The decision comes after struggling clubs around the country brought lawsuits alleging the PPP exclusion was an infringement of constitutional free speech rights.

Meanwhile, other strip clubs have been forced to get creative in order to stay afloat and keep dancers employed. Lucky Devil Lounge in Portland, Oregon first made headlines back in March after launching a topless food delivery program in which dancers clad in pasties delivered takeout to customers’ doors. Recently, the club also started hosting drive-through strip shows where go-go dancers perform for customers picking up takeout. Other strip clubs around the country have also started hosting virtual shows and lap dances.

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