The Real Importance of Supporting Local Small Businesses

Local small family-owned businesses are not just service providers; they are a direct investment in the communities they serve.

Small businesses make up 99.9% of American businesses, and their impact goes far beyond the work itself. When a community chooses a local family-owned company over a large national provider, more of that money stays local, supporting local jobs, local families, and the local economy.

These businesses are often more connected to the people around them, more likely to support local charities and community projects, and small businesses have historically donated significantly more to local causes than many larger organizations. Small businesses also play a major role in job creation.

According to the U.S. Small Business Administration’s Office of Advocacy, small businesses accounted for 61.1% of net new job creation since 1995, creating 20.2 million net new jobs from January 1995 to June 2023.

Hiring local also means supporting accountability, relationships, and pride of ownership. Family-owned businesses are often deeply rooted in the communities where they live and work, which means they care about their reputation, their customers, and the long-term wellbeing of the area. They are also more likely to work with other local vendors and service providers, which helps multiply the economic benefit throughout the community.

Supporting local businesses can even help reduce environmental impact by cutting down on longer-distance travel and out-of-town purchasing. In the end, choosing a local family-owned business is about more than buying a service, it is about strengthening the local economy, creating opportunity, and helping the community thrive.

Sources

• U.S. Small Business Administration, Office of Advocacy — Frequently Asked Questions About Small Business 

• Forbes Finance Council — 7 Reasons To Shop Local And Support Small Businesses