The backbone of the economy.
The foundation of society.
The core of the community.
If you read the above and immediately thought of a small business, you probably already know exactly why small businesses are so important to the economy.
Small businesses tend to have a stigma of being ‘underdogs’ and can be seen as a pint-sized player in the grand scheme of the economy. However, that is the total opposite of the impact and influence they really have in society.
Aside from the fact small businesses battle against the odds of much larger companies every, single day, their existence contributes to a whole heap of benefits to the community from a local to a national scale.
Creating meaningful jobs
Small businesses and SME’s offer a wide range of employment opportunities for the local communities. At the start of 2021, small businesses accounted for 47.7% of all employment contribution in the UK.
“SMEs account for three fifths of the employment and around half of turnover in the UK private sector” – gov.co.uk
Not only do small business provide a significant number of jobs, they also contribute to high levels of job satisfaction. Smaller businesses can get to know their staff individually and understand their needs to create engagement activities, initiatives, and flexible working schemes to ultimately lead to happier and more productive employees.
Diversify the marketplace
To stand out from the competition, small businesses have to be unique, innovative and ultimately niche. Standing out amongst the crowd is a necessity to ensure the big boys don’t drown you out. So it is no wonder why most successful business owners tend to be the ones which put their creative and innovative ideas at the forefront.
This encourages a more diverse marketplace– no-one wants to be in direct competition with other businesses in the local area. With that in mind, the appeal for unique businesses demand entrepreneurs to create something exclusive to set them apart from the rest and in turn create community personality. All of which can lead to more exposure, tourism, revenue and even investment in the local area.
Local Economy
Speaking of local revenue, when you choose to support a local business, much of the money you spend will end up circling back into the community. For example, small businesses prefer to outsource with other local businesses in the community rather than reaching out to larger companies.
The more they grow, the more the community grows, the more the economy grows.
Think of your local businesses as your extended family, each member contributing, improving and growing together - it’s all relative!
Community Identity
Have you ever walked down a street filled with cosy cafes, interesting fashion boutiques and quirky home stores and thought – wow, what a gorgeous town? That’s their local identity charming you. The personality that a community portrays is largely influenced by local entrepreneurs and their unique businesses which attracts tourists and makes members of the area proud of where they live.
As a small business, you represent your community whether your business is on the high street or online and essentially create your local identity.
We salute you
To conclude on why small business are important, the simple fact is; small business are the heart and soul of our communities. By contributing to local society and economy in more ways that you’ve probably imagined, small businesses deserve a HUGE shoutout for all they do.
Small businesses are at the core of FigFlex Offices and we’re celebrating them all week across all our centres. We’re honoured to play a part in our clients business journey’s and love to see them grow and reach their greatest potential with the support of FigFlex.
Keep up to date with Small Business Week and see our highlights on all our socials!
Category: Business Focus