While over 33 million small businesses across the U.S., only 34.6% of small businesses survived to the 10-year mark. Your local small businesses need access to funding and investors, so they must do it alone. By focusing on local investments, you’ll not only be giving these businesses a chance to prove themselves, but you’ll also be growing your community.
Investing locally means you’ll be able to direct your funds into a product or service that will benefit you and the people around you. You’ll also achieve transparency with your investments that aren’t present in other forms of investing.
Keep reading to find out more about the benefits of local investments.
Grow Your Community
While investing is usually just a way to generate passive income, you can actively work to grow your community by investing locally. While big franchises are convenient, the level of service and pride that comes with local businesses must be maintained.
By focusing on bettering your community, you’ll give back while benefiting from your investment. By choosing businesses that are near and dear to your heart, you can help them succeed.
The Next Big Thing
When investing, getting your foot in the door early on is always a good thing. While you can expect popular investment opportunities to turn a profit, by investing in small businesses, you can help them achieve their full potential.
If you pay attention and spot an opportunity early on, you can even invest in the next big thing. By getting an early start with your investment, you’ll be able to reap the rewards later on.
Forces You to Think Long-Term
If you want to get serious about your investments, you need to be able to think long-term. When investing locally, you need to see where the business can go in the future. It might not be a success, but if you can see how to turn it around, you can grow your money.
Local businesses have to adapt quickly if they want to compete with more extensive franchises. If you work with companies to make changes, you’ll learn the best ways to implement changes and work on your long-term thinking.
Consider the Benefits of Local Investments Today
When it comes to local investments, you’ll be adding to your portfolio and investing in your local community. Local businesses will benefit more from your investment than big, international companies. You might not see as big of a return initially, but investing locally will always be a benefit.