Our Economy - Small Business - You!

Last April (2009) I was on a plane heading home from the BITD race in Primm Nevada and was reading a news article about unemployment and small businesses. With the rising unemployment rate, unemployed people were being encouraged to start their own business. The article went on to talk about the increasing number of small businesses in the U.S. and how many were single owner/employee companies.

Small businesses are really the backbone of the American economy. There are an estimated number of 27.2 million small businesses in the United States according to the U.S. Small Business Administration. In addition, small businesses represent the following: 

Employ about half of the country's private sector workforce; 

Hire 40 percent of high tech workers, such as scientists, engineers and computer workers; 

Include 52 percent home-based businesses and two percent franchises; 

Represent 97.3 percent of all the exporters of goods; 

Represent 99.7 percent of all employer firms; 

And generate a majority of the innovations that come from United States companies. 

Small businesses account for employing about 80% of the people in the private-sector workforce in the United States.

Recently I was talking to my wife and kids about the benefits of dealing with businesses that know you by name, and it brought me back to my thoughts on supporting small business.

I like to deal with small businesses whenever I can. Even with larger businesses such as my bank, I like to deal with the same small branch. I like going in to businesses where people know me by name. The customer service always seems to be better when you know the people providing it. 

There is a local tire shop near Lisbon Ohio called J&J Tire. I know the owner Jimmy. I met him years ago. He runs it with his brother Brian. I like knowing where my money is going. I like knowing I'm not padding the wallet of some executive in some corporate headquarters somewhere. I like knowing my business is helping support a friend. Last fall my wife needed a new tire for her car. He could have sold me a new one for $80.00, but instead he talked me in to a used one he had. The tire was like new and was even the same brand that she had now. It had come from a customer who came in to get (4) new tires and (2) of them were still like new. I got the tire cheap and it saved me money. Those big chain tire shops won't do that for you. Even if I get a leak in my tire, I take it over and one of the guys over there will fix it right away. 

Right before Christmas the starter went out on my '96 Ranger. I didn't want to pay $100+ for a new starter on a vehicle that's seldom driven. Especially right before the holiday. I went over and saw my friend Aaron who owns Millrock Auto Salvage in Rogers Ohio. He always has Ranger parts. I picked up a used starter for $20.00. I've known Aaron for more than a few years now. I know that if I had needed the part right away, he would have given it to me and let me pay him back when I got paid.

These are just (2) simple examples. The great customer service I get comes from years of dealing with these businesses. Building relationships with small businesses can be a win-win situation. The customer service can often be better from a small business because they're locally owned and want your business. By dealing with your small local business, you're keeping your money local and helping the local economy.

The next time you need a set of tires or something from the hardware store, take a chance and check out your locally owned retailer before hitting the big name chain stores.