New Business Growth Fuels The Economy

Though small businesses don’t necessarily generate the type of revenue that larger corporations can, they are a crucial part of helping to build local economies. For every small business that is established, there are a plethora of benefits that the local community can take advantage of. This includes new funding for the community, new employment opportunities, and more. Let’s take a closer look at just how necessary small businesses are.

Employment Opportunities

One way small businesses help the economy is through employment opportunities. According to reports from the Washington Post, the U.S. Small Business Administration states that small businesses account for approximately 99.7 percent of all employment opportunities. For the last 20 years, small businesses have accounted for more than half of all new jobs and paid more than 40 percent of the US private payroll.

Tax Contributions

Another way in which small businesses contribute to the local economy is through tax contributions. When consumers support local small businesses, this increases the company’s overall revenue. The more money a company makes, the more they have to contribute to both local and federal taxes. This money is then used to fund schools, compensate for local government employee salaries, and aid with other programs within the community.

Starting Your Own Business

As you can see, small businesses are constantly improving the local economy. The more successful small businesses that are developed, the better it is for the community. If you were thinking of starting a small business to help support the local economy (or simply to ditch your day job), there are a few things you’ll need to secure. Relying on proven online referral companies like www.xrefer.com can greatly simplify the processes below.

Legalities

Before you can legally call yourself a business, there are a few things you’ll need to do. This includes registering the business name, obtaining any necessary licenses or permits to run the business, and securing an employer identification number.

Technology/Equipment

Now you need to invest in certain technology and business tools. In this ever changing digital age it will be important for you to have the necessary technology to accommodate the needs of your target consumers. Certain technology to invest in might include:

  • Computers, laptops, mobile devices
  • Software for accounting, marketing, customer service, etc.
  • Internet services
  • Telephone system

As you’re investing in technology for your small business, don’t forget to protect your company data. Virus protection software, for instance, would ensure that your company information is safe from potential hackers.

Location

Whether you intend to open a pizzeria or an office building, you’ll need to pick the prime location. If you don’t have very much capital to work with, you may want to start out working in your home or renting a property for a low monthly rate.

Website

No business is fully established these days without a well-designed website. Though most of your consumer base is local, digital marketing is presumably the way you’ll go about spreading the word. Website creation is a lot easier than you may have thought. There are plenty of web hosting companies that offer user friendly templates and guides to walk you through the process.

Marketing Strategy

Now your business is pretty much established. All that’s left to do is get the word out about your business and start generating revenue. This is going to require a great deal of marketing. The good news is that since digital marketing is the newest trend for reaching the masses, you won’t have to invest much money right away. You can start by utilizing social media platforms and so forth to reach your target audience. Since you’re a local business, however, you’ll also want to consider traditional forms of marketing, including handing out flyers and advertising within the community.

Being a small business owner is a rewarding experience. Not only does it give you the freedom to do what you love on the daily basis, but it is a surefire way to give back to the community. If you’re thinking about starting a small business in the near future, remember the above mentioned tips and lists of things you’ll need to have to get started.

 

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