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Running a Small Business in a Small Town


Small town life is undoubtedly among the happiest life one can live. People are friendly, life is simple, scenery is unbeatable, and friends are lifelong. In the entrepreneurial world, starting -- or running -- a business in a small town can be very difficult. If you are running a business in a small town, you probably know what we’re talking about.


There are 5 main difficulties for small town business owners:

  • High cost of gas

  • Competition: if there’s more than one type of the same kind of establishment, owners will fighting for the same customers

  • Less potential for disposable income

  • Higher importing costs for bringing products into the town. For example, products sold to New Zealand, comparatively, had to be priced much higher than those sold to Australia or the U.S., due to the cost required to get the product into New Zealand)

  • Less skilled workers in the hiring pool: sometimes you have to go with what you have, and train the people that are available

How to succeed in business in a small town:

  • be friendly, and get to know the town: its people and its culture. Much like international business, you can make huge mistakes without even knowing it by not knowing who the Mayor is, not attending important events in town, etc.

  • utilize technology! Be up to speed with the times, but not afraid to appeal to the people who haven’t caught on yet. If you don’t utilize technology and you operate in a tourist town, you could miss out on thousands of dollars in revenue because your main population doesn’t carry cash.

  • play to customer service strengths: offer fast, friendly service.

  • utilize word of mouth: If it’s not a tourist town, call people by name when they walk in the door.

  • sponsor or host a town event (or co-host if you’re just starting out)

  • if there isn’t recreation readily available and you have the connections to make it happen, create something that will become a draw to tourists, and then market to the outside community

Small town business owners have so much that larger corporations don’t have:

  • ingenuity

  • creativity

  • sincerity

  • less red tape/restrictions

  • more fun

  • family oriented environment


Whether you’re in a small town or a large city, running a small business can be hard. Hire a professional at GBS to get your business headed in the right direction and run the decisions yourself today! Schedule a FREE CONSULTATION!

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