Paula Deen's Brother Bubba Hiers -- BUSINESS IS BOOMING!!!

Racial scandals aren't always bad for business ... just ask Paula Deen's brother who says the embattled chef's restaurants have been "slammed" with customers in the wake of the N-word drama.

Bubba Hiers -- who is also named as a defendant in the sexual and racial harassment lawsuit against Paula -- was walking around Savannah today when he was asked how the family was coping.

"We're doing fine," Bubba said ... and when asked if Deen's businesses were continuing to thrive despite all of the bad media, he insisted the companies were "slammed" ... and he meant it in a good way.

FYI -- Lisa Jackson, the woman suing Paula and Bubba, worked as the G.M. for Uncle Bubba's Seafood and Oyster House in Savannah, Georgia from 2005 - 2010. Bubba is part owner along with Paula.

Jackson claims Bubba is a racist who dropped the N-word in the workplace and also viewed porn on the kitchen computer.