“In 2021, the number of small businesses in the US reached 32.5 million, making up nearly all (99.9 percent) US businesses.” Now you may be wondering what defines a small business. Well, “according to the US Small Business Administration, small businesses are defined as firms with fewer than 500 employees.” You statistically are bound to personally know individuals who own and operate or work for a small business. Small businesses are a vital part of our economy and there are many benefits to supporting them.
Buying from a small business supports the local economy and community. “For every $100 you spend at a local small business establishment, $43 goes directly back into the community. When you give your business to a national chain, only $13 returns to your community.” This difference adds up.
Small businesses also create jobs. Unemployment can put a burden on not only the individual but also the community. Without income, people can’t maintain their properties and pay taxes, and this can have a negative impact on the neighborhood. “The White House says small businesses create two-thirds of net new jobs and are responsible for employing nearly half of America’s workers.”
Communities also rely on small businesses. Small business owners often give back to their community. As a nonprofit, our organization partners with small businesses to fulfill our mission. Other organizations also rely on small businesses because small business owners have an actual stake in their community. “Sustainable Connections points out that ‘small businesses donate almost 2.5x more per employee to local charitable causes than large, national competitors,’ contributing 250% more than the big guys to charities.”
Shopping locally also has a positive impact on the environment. When you choose to shop locally this cuts down on transportation, packaging, and other means of getting an item to you. This in turn also decreases the consumption of fossil fuels and helps ease pollution. Some small businesses also offer more eco-friendly wares as well and may even specialize in it.
These are just some of the many benefits of supporting a small business. You most likely have a favorite small business you love to frequent. Choosing to shop local has a big impact on our community. These are just some of the reasons why part of our mission is to promote business growth as part of a local community development. Learn more about our programs for small businesses here.