When You Support Local Businesses, You Support the Local Economy. Here’s How You Can Make a Difference
September 9, 2021
You’ve heard the statement: Buy local, eat local. But what is the impact of shopping at local, small businesses? Here is why supporting community businesses is important and worth encouraging others to do so, too.
When you shop at small, local stores, you support businesses who deliver essential goods and services to your community all year long, according to the U.S. Small Business Administration (SBA). More than half of Americans either work for or own a small business, with two of every three net new jobs reported at these companies, the SBA says.
In 2019, the SBA reported 77% of consumers said participating in Small Business Saturday®, a campaign encouraging consumers to shop local on the Saturday after Thanksgiving, motivated them to shop local throughout the year. In addition, 66% of consumers said it’s because small businesses contribute to the community that they support them.
How buying local pays off
According to the SBA, for every $100 spent at a local business, roughly $68 stays within the local economy. Small business owners live and work in their communities, hire locally, pay local taxes, and produce unique products and services. All of this contributes to a more robust, vibrant community.
Many small businesses are able to respond and adapt quickly to changing economic climates because they are customer-oriented and understand the direct needs of their communities. As a result, customers tend to remain loyal to their favorite small businesses, even during times of economic crisis. This loyalty means that small businesses are often able to stay afloat during tough times, which can further strengthen local economies.
MSUFCU’s Local Loyalty Program partners with local businesses to offer discounts to Credit Union members who use their MSUFCU Visa Debit or Credit Cards for purchases at participating small businesses. This provides even more incentive to support local businesses because when you support a local business owner, you save money. It’s a win-win situation!
Currently, MSUFCU has more than 100 Local Loyalty Partners. These include 517 Coffee Company, Lansing Car Care Center, Yoga State, and more. You can see a complete list of Local Loyalty partners by visiting msufcu.org/localloyalty.
Tags: Community, Money Management, Tips and Tricks