ARTICLE | Empowering Entrepreneurs: Celebrating Small Business Month with mrcantile
May 1st marks the first day of Small Business Month!
It's time to honor the independent owners whose companies make up an astounding 99.9% of businesses in the US. In May, we'll celebrate the entrepreneurial, resilient spirit and investments SMBs and their owners make in our local economies.
This past January, Forbes released a State of the Small Business report highlighting features of this group of leaders. There are over 32 key points in the Forbes report; for those interested in reaching this customer segment, here are our top four favorites:
ECONOMIC IMPACT
Almost all businesses in the US are small businesses (99.9%).
Although 8 out of 10 (!) of these small businesses have no employees, over the last 25 years, SMBs added millions of jobs and are expected to increase job creation by 4.7 million by 2032.
What does this mean?
Your customers are out there and VERY busy.
Independent businesses are the backbone of the US economy and should be supported and resourced as such. How can your business connect these business owners to the resources, capital, and community they need?
KNOW YOUR AUDIENCE
Millennials own just 13% of small businesses.
GenXers own 47% of small businesses.
Baby Boomers own 40% of small businesses.
Men (53%) own more small businesses than women (47%).
What does this mean?
If you're catering to small business owners, consider who you're talking to and what their concerns might be.
GenXers may be approaching empty nests or caring for aging parents. On top of running a demanding business, their personal lives may be more complex as they navigate uncharted phases of life. How can you ease their day-to-day professional burdens? How can you add value to their already-packed schedules?
When targeting Millennials, consider prioritizing your digital marketing strategy and where this cohort spends most of its time online.
Do male business owners need or expect a different service or offering than women?
What can your business offer that is different from competitors based on demographics?
BROADER TAKEAWAYS
Over 25% of small business is conducted online.
1 in 3 small businesses don't have a website.
Labor remains the #1 cost for small businesses and 70% of business spending.
SMBs only spend 9% of their revenue on marketing.
What does this mean?
Opportunities abound for larger organizations to provide support and resources to these SMBs.
Companies like Honeybook offer business management tools that help service industry business owners centralize the management of scheduling, contact forms, and invoices.
Companies like Gusto support small business owners from the moment they launch their companies by offering community programs and software solutions to remove the fear and frustration that often accompanies running their first payroll, staying compliant, and offering employee benefits.
What can you offer SMB owners to give them back time, money, or freedom?
INDUSTRY TRENDS
The fastest growing industry is healthcare and social assistance.
The highest projected job growth is in health and personal care.
Family services will add the most jobs.
The leisure and hospitality industry has the highest average number of jobs added per month.
What does this mean?
Understanding these industries and their unique challenges is essential.
If your company services business owners in one of these rapidly changing industries, tailor your messaging appropriately. Be specific about their experiences and how you can help them.
Does your company service business owners in one of these rapidly changing industries? Have you conducted user research to understand the mindset or needs of this customer segment?
If not - have you considered hiring a mediary like mrcantile to help you conduct this outreach?
According to the SBA, small business creation surged between March 2021 and March 2022, with around 1.4 million new ventures established. This increase in small businesses should signal to organizations catering to the independent CEO's needs that the time is now to capitalize on their offering and add immediate value to their customers' routines by actively listening to their problems and providing solutions that make a difference in their daily lives.
mrcantile will celebrate these entrepreneurs throughout May. Stay tuned for more unique insights from small business owners, events in local markets catering to these independent business owners, and unique stories from owners on their businesses, journeys, and learnings as they navigate entrepreneurship. Here's to turning passions into professions!
