How Can Small Businesses and Local Communities Help One Another?

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Try walking around your neighborhood and count all the shops and food stalls you will see. Next, imagine how the place would be like if those businesses weren’t around. The entire place would be so much different than it is today, wouldn’t it?

The thing is, the changes you’d see if these businesses were gone are just the tip of the iceberg. Small businesses bring character and lots of other benefits to a community, and the local community tries to do the same as well. This article will help you understand that better.

The Connection Between Businesses and Communities

If people are the building blocks of a community, then small businesses are the backbone. In fact, around 68% of local expenditures return to the community. That’s why it’s that these two entities help one another. Below are some ways they benefit from each other.

Community Identity

Local communities provide restaurants with fresh foods, and in turn, these small businesses give the community a unique identity by having the best quality dishes. Small businesses are also independent, which means they don’t work for a giant company. Because of this, plenty of these businesses can only be found in a certain town. This uniqueness attracts more tourists, which is always beneficial to a community.

Online Business Information/Selling

Communities can also help small businesses by getting their products or services out there. Because of how much this industry affects their tourism, local communities would thrive if more people knew about these businesses. By setting up an online hosting program like a fully managed WordPress, potential customers can reach the community website and learn more about the products and services that can only be found in their area. They can also book appointments or buy products through this online program.


There are lots of benefits to hosting events for local communities. By setting up a single goal, people can get together and build a stronger relationship with one another. In addition to this, communities can also give back to the people or the environment by coming up with events that further these causes. What makes this even better is that 50% of all small businesses donate to charity, and this number jumps to 90% of these events are for the local community.

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Economic Health

Another important benefit of having local businesses is how they improvise economic health. While there may be competition, it’s no secret that businesses help each other in other areas. For example, a restaurant may need cleaning services from time to time, and that means businesses that focus on cleaning establishments would generate more money to their funds. Furthermore, local businesses would prefer the service of another local business, not only because of familiarity but also because of helping the community thrive.


Communities can also help businesses with protection. For example, if a local business needs certain documents for legal purposes, community members who practice law can help the business get them. In addition to this, communities who care about the businesses around their area make it a point to conduct surveillance over the public roads. Setting up CCTV cameras can help alert the authorities if a burglar is trying to break into a local business.

Local Jobs

Arguably one of the most important benefits of having small businesses in a local community is the number of jobs they provide. Throughout the United States, small businesses could garner 64% of all the new jobs created last 2019. That means providing about 1.5 million people with career opportunities. Thus, people’s power when it comes to spending becomes higher, which means stronger economic health for any community.

Environmental Friendliness

Businesses benefit from communities by purchasing old buildings or establishments owned by the local government at a lower price. In turn, businesses renovate and remodel these facilities to fit their business’s purpose. Because of this, local communities would have little problems spending money on renovating these buildings to reduce the risk of accidents. Ultimately, the town becomes a bit more modernized, attracting more tourists to visit the place.


Lastly, businesses also need to pay taxes. When a community has more businesses, that means more tax is generated to the local government. This means that the government would have more funds to provide the community with better roads, schools, green spaces, and other public services.

There are only a few things in this world where we can guarantee a win-win situation, and of those is the relationship between small businesses and local communities. By helping each other out, a business grows more successful while the community thrives.

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