You've read that shopping small is the right thing to do — and maybe you've seen stats about how supporting a local business helps keep dollars local. Sixty-seven cents of every dollar you spend locally stays in your community.
But the benefits of supporting locally owned businesses in your community are much, much bigger. We pulled together six reasons that may surprise you (and get you out shopping, right away).
But before we start, a quick reminder: Many small businesses are shops and boutiques, of course, but they’re also everything from restaurants, wine bars, and coffee shops to fitness and beauty studios to professional services like cleaners, accountants, and mechanics that keep life running smoothly.
It's the local tutoring company, like On Your Side, supporting your child through that tricky stretch of writing or L’Amourette Chocolatier helping you through the same stretch. It's Zachary's, where your family celebrates every milestone, and the kava or tea house where you meet your friends.
It's Sterling Certified Public Accountants who knows your family business, literally, and the coworking space like Temescal Works where you grow your idea. Or it’s trusting the nail artist and stylists at Tranquility Day Spa who give you the perfect head-to-toe-glow up before your next date night.
It’s ArtConcepts or Bay Area Redwood helping bring soul to your home, or a space like Chabot Theater — when you want everyone out of your house for a party. It’s the engagement ring and future family heirloom made at Hellers and childcare lovingly provided by Fremont Parents Nursery School.
We could go on and on.
So, think beyond just buying gifts from a local shop this holiday, and you're really sharing what a gift small businesses are year-round!
#1 You get better service
Running a small business requires staff who understand the products and services offered and are invested in the business's success. These employees get to know and understand their patrons.
Think of the clerk who remembers you love a particular brand of candle and points out a new scent when you come in. Or the barista who makes your morning (or afternoon) latte just the way you like it. The boutique manager who understands your work/life and helps you find clothes that flatter — and fit the flow of your days.
Local businesses take pride in delivering exceptional service, not just because it reflects their values, but because putting you first is key to their success. Your support — whether it’s making a purchase, sharing your experience with friends, or leaving a review online — helps the business thrive and continues serving the community.
#2 You get unique options
A small business rooted in its community will curate and stock what it trusts people in the community will like — and what large chains or big box stores might never carry.
Small businesses skip the mass-produced, cookie-cutter options (unless it's that small-batch cookie maker!) to ensure a range of products. Ultimately, this creates even more variety in the marketplace via handcrafted items and one-of-a-kind pieces of higher quality.
The character and culture of your community are reflected in and stocked on their shelves, then incorporated by local interior designers into your new kitchen or bath, the up-and-coming designer you wear, and the seasonal menu of a bistro.
#3 You get a more charming downtown
Small businesses are a vital engine of the U.S. economy. They're also the heart and soul of many towns and cities, providing character you can't get from a big corporation.
These kinds of places can't be found elsewhere and also often better reflect the community around them, becoming beloved institutions.
A walkable, desirable shopping district that is a wonderful place to gather, full of independent, bespoke businesses, is a district full of ambiance and energy. It's great for locals and makes your community more attractive to visitors, too.
#4 You boost local giving
Good jobs and local ownership are hallmarks of small businesses — but there are other benefits for nonprofit, civic, and charitable organizations in the area.
Research shows that almost all small businesses, a whopping 91%, believe in giving back. Most of those include community support as part of their defined mission. That could be ongoing support of the arts or stepping up during a government shutdown.
Brand boosting and a giving mindset also mean small business owners are eager to show up as sponsors for local youth sports teams, get involved in civic activities, and contribute in kind through silent auctions. All these individual efforts add up!
#5 You foster innovation
Really! Building relationships with small businesses is investing in the entrepreneurs in your community. Opening a small business is a big leap of faith, and small businesses can pivot to meet local needs or respond to regional trends. They also invest back into other local innovators by stocking their goods, partnering on events like pop-ups, and hiring for services their own small businesses need.
By supporting small businesses, you’re not just fueling their dreams — you’re creating a ripple effect of growth, collaboration, and innovation that strengthens the entire community.
#6 It's more sustainable
Communities with local businesses see shoppers rack up fewer miles in their cars — 26% fewer. Local companies tend to buy locally, too. That's less transportation on their end. When local businesses source from nearby suppliers — like family-owned farms — it reduces carbon emissions from shipping.
Rather than giant warehouses that add sprawl and cause habitat loss, a small biz can opt into a community's existing business district and infrastructure.
Inspired to hit a shopping area near you?
Check out these Instagram accounts of nearby business districts and area downtowns to see what locally owned businesses are featured, stay up to date on community events, and find your new favorite shops, restaurants, and more.
