- Local Economic Boost: Money spent at small businesses recirculates within the community, creating a multiplying effect benefiting everyone.
- Job Creation: Small businesses are primary job creators, strengthening the economic backbone of their towns and cities.
- Character and Charm: Small businesses offer a distinctness and personality that chain stores can never replicate.
- Customer Service: Often, small business owners go above and beyond to provide personalized service and build relationships with their customers.
- Stagnation vs. Growth: A community without small businesses giving back risks becoming stagnant. New blood, fresh ideas, and the entrepreneurial spirit found within small businesses are vital catalysts for economic growth.
- Preservation and Progress: Without growth, there are shrinking tax bases and decreased funding to preserve the things that make a community special. This can include the historical integrity of areas like Downtowns, often held up by a District Authority (DDA). In efforts to protect history, communities may inadvertently stifle progress by keeping new, innovative businesses out.
- Community Investment: Small businesses often take pride in their towns and want to see them succeed. Giving back – whether through charitable donations, sponsorships, or volunteer work – demonstrates a commitment to building a better future for everyone.
- Shopping there intentionally: Choose the local store when possible, even if it means a slight price difference.
- Advocating for small businesses: Encourage local policies that support them such as your local Chamber of Commerce and other Economic Growth organizations.
- Holding businesses accountable: Express appreciation for small businesses that give back and respectfully suggest that others could do more.
- Small businesses employ nearly half (46%) of the American private sector workforce and are credited with creating 63% of new jobs from 1995 to 2021.
- Small businesses often stimulate job creation in other sectors through demand for their goods and services, fostering a multiplier effect.
- There are 33.2 million small businesses in the US, accounting for 43.5% of the gross domestic product (GDP).
- Thriving small businesses contribute to higher local tax revenue, which communities can use for various initiatives, including infrastructure development, education, and community programs.
- A study by the Kauffman Foundation found that communities with higher rates of new business creation had higher levels of civic engagement and stronger social cohesion.
- Small businesses contribute to the unique character and personality of a community, offering diverse products and services not readily available in chain stores.
- Despite challenges, the number of small businesses in the U.S. has actually doubled since 1982.
- Since the pandemic began, there has been a surge in new business applications, with over 16 million filed since 2021, resulting in 2.8 million new businesses established.
- Interestingly, the average small business is actually operated by a single founder, highlighting the strong individual drive for entrepreneurship in the US.
- While financial gain is a factor, a surprising 60% of individuals start businesses to be their own boss and have greater control over their work.
- Despite the high number of new businesses, the reality is that 50% of small businesses fail within the first five years.
- While many small businesses contribute significantly to their communities, there's still room for improvement. Only 65% of small businesses are reported to be profitable, indicating the need for continued support and resources to help them thrive.