The Importance of Small Business

November 23, 2018

Oftentimes,we hear about how small businesses are the backbone of any succesful civilization. Still, few of us actually understand the importance of small business and how it impacts us and our lives. In the spirit of #shopsmall and #buyinglocal, we’ve decided we would give you some of the best reasons why you should support small businessesthis holiday season.

Small Businesses Support Their Local Communities

Small business owners are typically known as “wealth creators” in our communities. They create jobs, provide goods or services, and support local charities. According to the IRS, small businesses donate two times to local charities when compared to bigger businesses or big box stores. However, it is important to note that many independently ran businessescan provide something a little more personal to your local community.

In the cases where a small business has a brick and mortar location, let’s say a coffee shop for example. May provide a community hub for the individuals to fellowship. Some host events like talent shows, Christmas tree lightings, cookoffs, and lectures. It is important to measure just how much a small business may bringto your community just by opening up there.

How a Small Business Impacts the Economy

According to the SBA (Small Business Association), a small business is categorized as a business with 1-250 employees. Even more sosmall businesses account for amost 65% of all net-new private sector jobs. This makes up a staggering 77 Million Americans accross the nation! Comparatively, Amazon employs about 650,000 employees nationwide. compared to the total amount of jobs small businesses account for equals less than 1%, Now that's amazing!

These private sector employees work for funds which are then used to purchase goods and services from other businesses. The cycle continues and gives the public a chance at employment and even a higher quality of life. This is the basics of the money cycle. Oh yeah, did we also mention that money spent in 210, often stay local? We’ll touch more on this later, but just understand that more money for your local community is a good thing.

A Chance for More Offerings

Many small businesses offer unique products, services, and innovative business models. Think about your local Walmart. What is unique or different about that Walmart from another that you may have visited before?A a simple guess would suggest not much. Not to go into too much detail, a national chain like Walmart has spent millions of dollars on market research to determine the most “optimal” store layout. Walmart is the largest big box retailers in our country. Its size and familiar layout are not actually made for your convenience. It's actually designed with the intention to entice you to spend more of your money. Haven’t you ever wondered why the lines are so long at a traditional big box store? It’s a calculated tactic. An ingenious one, but honestly, it’s laughable.

When was the last time you checked out a locally owned business? The design and layout can be creativethings of beauty. Sure, some cannot afford the decor of the large chains, but the layout is more original and for some, more intriguing. Small businesses have the ability to customize their stores to fit their needs and personal design language. It is more diverse can could be a way to find interesting products that you’ve never considered.

This Small Business Weekend, make it a point to check out a locally owned store you’ve never visited. The layout, offerings, and personality, just might amaze you.

Local Taxes Local Benefits

In many cases, small business taxes stay local. We won't say all the taxes stay local. But keep in mind that national chains often have headquarters, quarterly earnings goals, international expansions, shareholders, etc. that all need the profits to trickle up. In many cases, these national chains may not have a presence in your local community, even less your state.

If you account for all the individuals who spend their money in your local community, you just might start to see an improvement in your local library’s media offerings, an increase in budgetary spending on education, new equipment for local sports teams, or maybe that community project isn’t so crazy after all. If we’re being completely forthright, small business helps to keep your community growing.

The Direct Corellation

Did you know, there is a direct correlation between successful business and home value This could mean a direct impact on something so vital like the status of your home. According to Independent We Stand, a movement for recognizing the importance of small business; Residential neighborhoods served by a successful independent business district gained on average 50% more in home values than citywide markets. This means that by having a successful business presence in your local community everyone wins!

How about a more individual impact? Many smaller businesses are unique in not only their location but even as far as the products and services they offer. Some products are one of a kind, handcrafted, and locally made. The small businesses that retail these types of products continue to support artists and creators of all kinds. Some small businesses like your local Malone Home Center serve as a hub for information as well. We can recommend other small businesses that offer the exact service you’re looking for. Need a great idea for a gift for a loved one? Why not check at a small business? They just might have something there that you haven’t considered.

Bring back a passion for shopping. Bring back the professionals. #Shopsmall #Shoplocal

To learn even more about small businesses and Small Business Saturday check out the two resources below:

Independent We Stand

American Express Shop Small

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