Friday, 22 November 2013

9 good reasons to shop at locally owned businesses

When you spend a dollar locally, it multiplies

Locally owned businesses tend to do business with other locally owned businesses and aren’t constrained to buy only from a national distributor. They bank with local banks, advertise in local newspapers and purchase local services such as accounting and printing. Each time a dollar is re-spent in the local economy, it’s like new income – creating a “multiplier effect” - rather than this money “leaking out” through remote corporate headquarters and centralized purchasing departments.

Community ownership

Local business owners live and invest in their community. This makes them less likely to leave and more likely to be invested in how their business decisions affect the community.

A more stable economy

An economy composed of many small, locally owned businesses is more stable and often more prosperous over the long-term than one dependent on a handful of absentee-owned companies. Local ownership ensures that businesses are firmly rooted in the community. They are unlikely to move and will do their best to weather economic hard times. Because there are so many of them, the failure of any one will have only a minor impact on the local economy.

Job creation

Small, locally-owned businesses provide the largest share of net new jobs generated each year and also provide the most stable employment opportunities in a community.

Local owners are local contributors

Research has shown that small local businesses make indispensable contributions to communities and neighborhoods. A study of charitable giving in Oregon showed that when in-kind contributions were included, small firms gave an average of $789 per employee, medium sized firms $172, and large firms $334. (NFIB Small Business Policy Guide) Additionally, large firms contribute primarily to the area where the corporation is headquartered, not necessarily where they do business.

Maintain uniqueness

Our one-of-a-kind businesses are an integral part of our distinctive regional character. The unique character of our valley is what brought us here and will keep us here and keep visitors coming back. A local economy of diverse, unique businesses also attracts today's skilled workers and investors who can choose to settle and grow businesses anywhere.

Customer service is better

Local businesses often hire people with more specific product expertise for better customer service.

Competition and diversity leads to more choices

A marketplace of tens of thousands of small businesses is the best way to ensure innovation and low prices over the long-term. A multitude of small businesses, each selecting products based not on a national sales plan but on their own interests and the needs of their local customers, guarantees a much broader range of product choices.

Reduced environmental impact

Locally owned businesses can make more local purchases requiring less transportation and generally set up shop in town or city centers as opposed to developing on the fringe. This means contributing less to sprawl, congestion, habitat loss and pollution.


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