Have you ever been to a town or city and felt a strong community vibe or charm? The reason could be that the people of that community support and invest in their local businesses.
We all want to live in thriving communities with a resilient local economy. However, we often prioritize price when buying products, which leads us to support businesses who get their products from suppliers located in other countries. Meaning our dollars aren’t being invested in our local economy.
Reasons to Support Local Businesses
With the effects of climate change felt by many, the need to reduce our carbon footprint is essential. One way to achieve this is by supporting locally produced goods and services and educating on sustainability within our communities.
Supports Community Development
Small businesses benefit from a strong and thriving community that is actively engaged. In return, small business owners play an important role in supporting and developing local nonprofit organizations, fundraisers and charities through sponsorships and donations.
In addition, it creates a genuine camaraderie among the citizens. When you buy your fruits and veggies from your local producer, you’re likely supporting your friend or neighbour. Knowing how your dollar impacts your community makes us feel connected and appreciative of the work required to produce products or services we use.
STRENGTHENS LOCAL ECONOMY
Small businesses utilize other local service providers such as banks, insurance agencies and restaurants, keeping more money within the community. In fact, shopping locally keeps 68% of every dollar spent in the community.
Not only that, the local multiplier effect is the amount of economic activity generated by the purchase of a locally produced product. This means the more times a dollar circulates within the local economy, the more value, wealth and benefit it brings to the community. In addition, increasing economic activity creates more jobs within the community.
Small businesses are more agile and able to adjust their business models more quickly than large corporations, making them more resilient.
SUPPORTING LOCAL BUSINESSES is BETTER FOR THE ENVIRONMENT
By now, most are familiar with the need to reduce greenhouse gas emissions. Another reason to support local businesses is to reduce the distance our products travel. Thus, reduces carbon emissions.
Reducing greenhouse gas emissions from product transportation and the proximity of small businesses within the neighbourhood increases the walkability, reducing the need for increased travel to get products. Important because big box stores are often located further away because they require a large footprint. Increasing the distance travelled to get to them.
BETTER YOUR HEALTH AND FINANCES
Unlike big department stores, small businesses typically aren’t a “one-stop” shop where you can buy eggs and a food processor. Customers need to think about what they need before heading out to the store. Becoming intentional about your shopping will reduce the added “needed” items we pick up when shopping. It may seem convenient to do all your shopping in one place, but it may lead to buying more than you need.
Further, the ease and accessibility of online shopping promotes mindless consumerism, spending beyond our means and increases financial stress. E-commerce sites are often based in other countries, which results in our money not staying within the local community. Even worse, it’s likely supporting unethical practices.
When you invest in bettering your financial situation, the extra money that accumulates can be used to support your local community, such as farmer’s markets and local restaurants. Taking on the extra cost of organic ingredients and whole foods won’t feel like a burden and will improve your overall health.
INVEST IN YOUR COMMUNITY
There are so many reasons to support local businesses. Creating thriving communities is beneficial and more rewarding for the people who make up the community and the planet’s health. Let us know how you support your local economy and community in the comments below.