Small businesses have proven to be a valuable asset to the local community. The Small Business Administration (SBA) explains that small businesses offer more than just employment to millions of people throughout the country.
Here are some of the ways small businesses benefit local communities:
1. Contribute to the Identity of a Community
Just about every community has 1 or 2 characters and charms in the form of a business that people identify with. It can be either the dog grooming and local CPA, the yoga studio and antique parlour, the coffee shop, among others. It is also a great way to keep updated on community news, such as finding out the Morrisons Fleet opening times, or events that are happening throughout the year.
Tourism boards and municipalities also use the vibrant community character created by such businesses to their benefit. It is why they work hard to ensure that business owners have the platform and tools needed to succeed.
2. Involvement in Community Events and Affairs
Small business owners also play a major role in the community affairs and events. They know and understand how their decisions are likely to affect their neighbours and the community at large.
Many of the small business owners actually participate directly in the local events such as by donating to homeless shelters, sponsoring local teams, making contributions to local non-profit organisations, and participating in commerce events.
Many small business owners and successful entrepreneurs also give guest lectures to local community colleges, technical institutes, as well as small business centres. All these are for the betterment of the community.
3. Environmental Benefits
Small businesses clustered either close to or within residential areas reduce the need to drive long distances to get supplies thus easing automobile use and traffic congestion. This, in turn not only ensures convenience but also reduces the community’s carbon footprint. The people around are this able to enjoy clean, fresh air.
4. Creating Local Jobs
Small businesses create jobs locally thus allowing residents to work closer to home. If the locals support businesses in their communities, they also improve the chance of having a vibrant commercial hub within them, which translates to more business opportunities, clients, and even jobs.
The added benefit is that employees from these businesses will also shop there, which includes grabbing snacks, lunch, or even drinks at the local bars, which ends up creating a tight-knit community vibe where money circulates locally.
5. Encourages Entrepreneurship
Small businesses typically thrive due to the owner’s spirit of entrepreneurship. It means that the owner can take charge of their future and perhaps become a source of motivation for other people that want to do the same. The spirit of entrepreneurship is also what drives innovation and prosperity in the country. It also allows people in the community to come out of low-income jobs.
6. Drives Innovation and Competition
Having multiple small businesses in the community helps increase competition, which is a factor that drives business owners to becomes more innovative in how they do business. The fact that everybody will try being unique and attracting customers of different types or simply the same customer helps in creating a healthy relationship among businesses. It also means that customers get to enjoy superior products and services from these businesses.
7. Reduced Need for Maintenance and Infrastructure
Starting a small business is considerably less demanding on the city planning department than erecting a new department store, for instance. While a local owner might require an occupancy permit along with a business licence, the chances of their application sailing through are much higher than if one was looking to build a mall in the same community. Local businesses also require fewer business services and less infrastructure, as well.