Duluth Entertainment Convention Center Shares Cash Flow Update

Duluth Entertainment Convention Center officials are sharing a strong financial update with the City after taking a large loan months ago.

This past fall, DECC officials were struggling with cash flow issues that required them to ask for a $1 million loan from the Duluth City Council. According to a Northern News Now report, the facility was seeing plenty of visitors but the interior of the venue was failing, and required over $600,000 to renovate on top of general rising inflation. It left the organization strapped for cash and in financial trouble.

According to a Bring Me The News report, officials said the financial concerns were part of a long term trend that was an issue even before the Covid-19 pandemic. The pandemic and resulting inflation concerns further exacerbated the financial issues the convention center was facing.

The City Council approved the $1 million loan, which allowed the convention center a little more cushion to rethink its long term model to reach a sustainable profit. When they received the loan, DECC officials said their goal was to not touch a penny of it unless it was absolutely necessary to maintain operations at the facility.

Months later, those officials say they still have not needed to use any of the $1 million loan. The organization has seen a revenue increase of 8% in 2024, giving it an extra $400,000 to work with.

Officials now say they probably won’t need to use a single dollar of the loan at all, and will be able to repay it to the City of Duluth when its term comes due in October. The returned money will likely be placed back into the City’s general fund.