The economic impact of supporting local businesses

Across our province, small local businesses play a central role in our lives. They keep jobs within our communities, provide our essential services, and a welcoming face while running errands. During the COVID-19 pandemic, many of these businesses have faced unprecedented challenges. Now, more than ever, is the time to show our support by choosing to buy local and help support our local economies.

Small Business is Big Business in BC

In 2018, there were a total of 517,100 businesses operating in British Columbia. Small businesses comprise 98 per cent of this number, accounting for 1.1 million jobs (2019 Small Business Profile). They’re also spread throughout the province, with the North Coast and Nechako regions registering a 31.9 per cent growth in the number of small businesses between 2014 and 2018.

LOCO BC Study on the Economic Impact of Small Business in BC

LOCO BC is a small business advocacy group that researches and demonstrates the beneficial practices and impacts of independent businesses. In late 2019, they produced their Economic Impact of Local Businesses report that highlighted the far-reaching impacts small businesses have on our lives. Their evidence highlights how a small 10 per cent shift in BC consumer spending towards independent businesses would create 14,150 jobs, while keeping $4.3 billion within the BC economy each year. Here are some of the other highlights:

• Independent businesses recirculate up to 4.6 times more revenue in the local economy than multinationals
• Independent businesses recirculate up to $63 of every $100 in revenue in the local economy, compared to $14 for multinationals
• Independent businesses produce up to 8.4 times more jobs and up to 8.1 times more revenue than multinationals
• Independent businesses spend up to 31.4% of their revenue on BC products and services
• Independent businesses donate up to 24 times more per dollar of revenue to local charities than multinationals

Get Involved

Support local small businesses across our province and browse the many awesome businesses listed on Marketplace BC. If you’re a small business owner, list your business today and reach more customers online.

Nominations Open for the 2021 SBBC Awards

Celebrate the successes and resiliency of small businesses in the 2021 Small Business BC Awards. Nominate your business, or a business you love, across six diverse categories. Nominations run until March 8^th. Good Luck!