How Small Businesses Run the Economy
- December 12, 2019
- By Sarah Solomon
Small businesses are so important.Â They connect friends and family, provide communities with local stores, and stimulate our economy.Â Most importantly, they employ millions of people. You may be thinking; does my small business impact the economy? If so, how? Is it better to have a small business as opposed to a larger one?Â Does it matter? REILâ€™s here to answer all your questions encourage you to keep growing your business!
Small Business Nation Â
A small business is a corporation, limited liability company, or proprietorship with 500 employees or less. According to the SBA (Small Business Administration), small businesses represent 99.9 percent of all U.S. businesses.Â Each year millions of jobs are created by the smallest firms through the addition of new employees.Â Overall, the SBA estimates there are over 30.2 million small businesses today with that number currently on the rise.
Employing Local Workers
As mentioned above, small businesses encompass a majority of the U. Sâ€™s businesses.Â This effects our economy nationwide, but especially locally.Â Small businesses drive growth and innovation in our own communities. Â Specifically, they provide employment opportunities for those who canâ€™t or havenâ€™t been employed by larger corporations.Â Those people then earn their money, spend it, allowing our economy to grow and prosper just like its businesses.Â All in all, small businesses are so important because large corporations typically depend on small businesses for outsourcing functions too.
Adapt to Changing Conditions
Small Businesses fluctuate with the economy.Â Ultimately, they are customer-oriented.Â They want their consumers in their communities to have the best prices and products.Â Therefore, they adjust their prices to the inflation or economic conditions their customers are facing.Â This is why many local customers remain loyal to their favorite small businesses regardless of economic hardships.Â Loyalty from the business to the consumers and vice versa strengthens our economy and local economies by keeping businesses afloat.
Chance to Grow
While we love small businesses, itâ€™s not bad to be a big corporation.Â The great thing about small businesses is many start off as storefronts, such as Ben and Jerryâ€™s.Â Would you look at them now?Â Ben and Jerryâ€™s is a huge corporation both nationally and internationally.Â Small businesses provide motivation, determination, and opportunities to succeed.Â Whether your small business remains successful or you chose to grow, either way, the business is innovating while simultaneously benefiting our economy.
REIL loves small businesses.Â As a small business ourselves, we would love to help other players in our community and nation.Â If you need funds to grow your business, purchase equipment or create a great cash flow, speak with one of our representatives now! From one small business to another, letâ€™s grow together!