This chart suggests that locally owned businesses have a bigger financial impact

I was looking at Twitter this afternoon and I saw an interesting story from a Grand Rapids organization Local First that encourages everyone to support their local businesses. My thanks to Urbanbydesign for re-tweeting this and helping bring it to my attention. I haven’t fact-checked every argument Local First makes, but most of the arguments it raises for why local businesses do more for the community seem plausible.

Local First says non-locally owned businesses spend most of their money outside the region

Local First has a list of 10 reasons we should buy locally. I’m going to reprint the first three here and let you finish on their website. (I’m sure they would prefer this)

Top 10 Reasons To Shop Local First

1. Significantly More Money Re-circulates In Greater Grand Rapids.

When you purchase at locally owned businesses rather than nationally owned, more money is kept in the community because locally-owned businesses often purchase from other local businesses, service providers and farms. Purchasing local helps grow other businesses as well as the Greater Grand Rapids tax base.

2. Non Profits Receive Greater Support.

Local business owners donate more to local charities than non-local owners.

3. Unique Businesses Create Character & Prosperity

The unique character of Grand Rapids is what brought us here and keeps us here. Our tourism businesses also benefit.

Click here to see the rest.

I’d be curious if anyone has looked deeper into this issue. I like the idea of supporting local business as long as they have things in-stock. I’m willing to pay more for something as long as it’s in stock. I’m curious what your feelings are about this.

Do you go out of your way to support local businesses?

Do you believe Local First’s claims that locally owned businesses do more for the community?

Do you shop the big box retailers because they have lots of parking?