Supporting locally owned businesses has a greater impact on the local economy than some may think. With an increasing number of chain restaurants cropping up, it has become harder for independently owned mom-and-pop shops to stay in business. If you're planning on eating out with friends or family, consider having a local dining experience, where the money you spend has a positive impact on your community.
Frequenting Local Dining Establishments Generate More Revenue For Your Community
Some people may assume that it doesn't matter which restaurant they choose to go to, because the money they spend will circulate and end up in the same place eventually. Unfortunately, this is far from the truth. For every dollar that is spent at a national chain restaurant, roughly 13% will stay in your area. The remaining amount generally goes to pay for supplies, services and corporate profits - all of which are most likely not being purchased in, or benefiting, your community.
On the other hand, if you choose to visit a local dining establishment, the amount of revenue that is kept within your community is significantly higher. With nearly 80% of every dollar spent staying in the area, this is proof that you can make a more positive impact on your community by spending your money where it counts the most - with an additional 67% of your money going back into your community, instead of being spread over a vast amount of area where the tiny percentages of every dollar don't have much of an impact at all.
Following the Money Trail - Small Businesses Dollars Become Large Investments
Small business owners often contribute to the communities that are home to their business in many ways. Small businesses hire employees from the area, bringing unemployment rates down. These employees, in turn, will spend their paychecks within the area, giving more small businesses the opportunity to expand and hire even more employees. Besides employee wages being paid to residents of the area, small businesses also pay local taxes, purchase supplies and commission services from other businesses within the area, thus creating more revenue for the community.
Local dining establishments are also known to give back to their communities through contributions. By sponsoring sports teams, they help to create an environment where children can thrive with discipline and friendly competition while building healthy self-esteem. Many independent restaurants also contribute to the community with food drives and donations, which benefit residents who may need a helping hand.
Small businesses are the backbone of the local economy, and now is the time to give back. Next time you plan on eating out, make your money count by supporting small businesses. When you support one small business, you are in fact supporting many small businesses, where the money flows through the community to create a more financially stable society that isn't merely surviving, but thriving.