Local businesses play an integral role in building a stronger community and building relations between the populace as they are customer-oriented. They are also crucial to creating a strong local economy, as they serve as a mechanism to keep money cycling within the community, as well provide employment opportunities.
Thriving local businesses will also generate high revenue, which means that the business will pay higher local taxes that contribute towards municipal services for the community.
Although local businesses play a vital role in the stimulation of local economy and serving the community, they also face many challenges daily.
Alexandra Chan, owner of ITZA Bakeshop, describes the various obstacles she faced as she started the journey to become an independent business owner. One of the difficulties she faces every day is gaining credibility as a baker, and making sure she is able to do as she is commissioned.
One of the things she highlighted was the unpredictability of the job. “I do not have a magic eight ball to tell me the future, I could have not predicated the flood in 2013 (where all the roads/bridges were closed to my location), and the minus 40 weather week I did not do any business. The snow fall that made all the trees scary to walk under, and construction around you, it is on-going and it deters a lot of people away.”
Local owners face many hardships throughout their careers, but none more than in the initial phases. When searching for loans in the food industry, where the failure rate is high, banks and other organizations permit only one to one ratio equity, “You put up a dollar, they will lend you a dollar.”
Supporting local businesses around your community is a sure-fire way to encourage a strong local economy, while ensuring you receive the best products available.