With the burning of its Dollar General Store and its Wachovia Bank slated to close, Cottonwood is expecting to lose about $55,000 dollars in tax revenue this year.
Katrina Tidwell moved to Cottonwood three years ago from the Sarasota, Florida area. She says in that time, about five businesses have opened in Cottonwood.
This past weekend, she held a grand opening for a restaurant of her own. "We needed a lot of growth in Cottonwood because it is such a small town,” she says. “It's awful that our bank's closing and the Dollar General store burned. But we have new businesses opening all the time."
In fact, the city also welcomed two other businesses this weekend.
A & M Plumbing and City Barber Shop have opened within a block of each other downtown and while the other business closings are concerning, those who have moved in are hopeful for the city's future.
City Barber Shop Owner Colleen Arnold says, "So far, I've had a real good turnout. I've been here--I've had it for 8 months and I've been extremely busy and it's doing real well."
Mayor Lomax Smith/21:46: "We'll be back and everything will be back in business, we'll have another bank in town and the Dollar General will be back in business and we look forward to that point in time."
The city is also looking forward to residential development. Land is being cleared for two new subdivisions both with 50 or more homes to be built and purchased soon.
Mayor Smith believes the growth can be attributed to Cottonwood's location and low cost of living.
He says once more families move to the area, more businesses will naturally come.
The Dollar General Store is planning to re-open as soon as its insurance claim is processed.