Small businesses are far more than just corner stores, family-run diners, or boutique shops. They are the backbone of our economy, fueling innovation, generating employment, and contributing significantly to the national GDP. While large corporations often dominate the headlines, it’s the millions of small businesses around the country that carry the weight of economic stability and growth.
Why Small Businesses Matter
Small businesses account for an impressive portion of economic activity. They are the lifeblood of local economies, providing opportunities and services tailored to specific community needs. But their influence doesn’t stop there. Their adaptability, innovative practices, and close ties to their communities make small businesses indispensable forces in driving economic progress.
They Create Jobs
Small businesses are major employers in the economy. According to the SBA, small businesses currently employ 46.4% of the private workforce in the United States. Small businesses also create a ripple effect that extends to other businesses. For example, a local bakery might source ingredients from nearby farms, directly benefiting agricultural workers while sustaining its own employees.
They Drive Innovation
Due to their smaller size and relative flexibility, small businesses are often at the forefront of innovation. While large corporations can sometimes be slow to pivot, small businesses have the agility to adapt quickly and experiment with fresh ideas. About 16% of U.S. small businesses develop breakthrough innovations, according to the National Small Business Association.
They Promote Economic Circulation Within Communities
One of the most fascinating aspects of small businesses is their ability to keep money circulating within their communities. Studies have found that 68% of every dollar spent at a local business stays within the local economy, compared to only 43% at non-local businesses. This localized economic activity strengthens communities and fosters resilience against broader economic shocks.
They Shape Local Identity And Culture
Ever notice how the charm of a neighborhood often comes from its small businesses? Think of the cozy cafes, unique boutique stores, or the family-run pizzerias that bring character to a community. These businesses offer a sense of belonging and pride for their patrons, setting neighborhoods apart and turning cities into destinations. Communities built around thriving small businesses tend to be vibrant, not only economically but also socially.
How We Can Support Small Businesses
Individuals, policymakers, and corporations all play a role in supporting small businesses. Whether it’s groceries, gifts, or services, choosing a small business over a national chain can make a meaningful difference.
Recommend your favorite local businesses to friends and family, or leave positive online reviews.
Looking Forward
Small businesses are not just economic instruments; they represent the aspirations, creativity, and persistence of millions of entrepreneurs and workers. They provide a foundation upon which strong, dynamic communities can thrive.
Join The Movement
Supporting small businesses is a win-win for everyone involved. Whether through your patronage, policy influence, or collaboration, every action counts. Take the first step by exploring and engaging with the small businesses in your community today.
Since 2005, Quikstone Capital Solutions has been a trusted advisor to thousands of merchants. Quikstone provides these merchants with easy, fast, and flexible working capital for all their business needs. If you need cash for your business, contact us today. We have only one goal: to help your business succeed.
