How Local Businesses Strengthen Our Economy, Create Community, and Offer the Best Gifts Around
Holiday gift lists are growing, calendars are filling up, and the season of “add to cart” is in full swing. Whether you’re hunting for the perfect holiday present, a birthday surprise, an anniversary gift, or something fun for yourself, supporting local shops keeps Austin uniquely Austin and keeps our community strong from the inside out.
Here’s why local dollars make a big impact.
Small Businesses Power Austin’s Economy
According to Austin’s Economic Development Department, small businesses support close to 45% of the region’s workforce. That means when you pick up a latte at your neighborhood coffee shop or buy a gift from a local maker, you’re supporting nearly half of Austin’s working families.
And we’re not slowing down: Austin recorded over 7,000 new business formations in 2024 with a business entry rate of 13.5%, proving that entrepreneurship continues to thrive here.
On a national level, small businesses have generated 66% of all new jobs over the last 25 years and contribute 44% of the country’s GDP. In 2023 alone, 5.5 million new business applications were filed.
Shopping small isn’t just a feel-good gesture, it plays a direct role in economic growth.
More of Your Money Stays Local
One of the biggest advantages to shopping small is also the simplest:
For every $100 spent at a locally owned business, about $68 stays in the local economy.
Spend that same amount at a national chain, and only about $43 stays local.
Those dollars help fund jobs, services, and reinvestment strengthening the community we call home.
Austin Economic Development’s Carlos Soto reminds us that even a $4 or $5 purchase can have a ripple effect when the entire community participates.
You Support Real People: Our Friends, Neighbors, and Fellow Austinites
Small businesses are the heartbeat of Austin’s culture. They give our neighborhoods charm, personality, and connection. And they rely on community support to thrive.
When you shop small, you help:
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Keep local jobs in Austin
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Support families and entrepreneurs
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Fuel businesses that donate back into the community
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Foster creativity and innovation: small businesses produce 16 times more patents per employee than larger companies
These aren’t just transactions, they’re investments in people who make Austin feel like home.
Unique Gifts You Won’t Find Anywhere Else
Local boutiques, makers’ markets, and creative shops offer curated items you simply can’t find through big-box stores or online giants, including:
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Handmade jewelry
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Small-batch ceramics
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Austin-made specialty foods
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Home goods crafted with intention
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Art from local creators
Shopping small leads to gifts that feel personal, meaningful, and thoughtful which are perfect for holidays, birthdays, housewarmings, anniversaries, and client closing gifts.
It’s Good for the Environment
Shopping locally reduces:
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Shipping emissions
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Excessive packaging
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Long-distance transportation
Many small makers source materials sustainably or manufacture in small batches, reducing waste and carbon impact.
And when you can walk, bike, or make a quick drive to a nearby shop, your environmental footprint shrinks even more.
Shopping Local Is Just More Fun
In Austin, shopping small isn’t just a task, it's an experience.
Holiday markets, neighborhood strolls, themed shopping nights, pop-ups, and giveaways create festive energy that online shopping simply can’t match.
Many communities celebrate Small Business Saturday with:
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Live entertainment
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Santa visits
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Gift-wrapping stations
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Local “passport” programs
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Special discounts and surprises
It’s a joyful way to discover new spots and revisit old favorites.
Resources for Austin Entrepreneurs
For those dreaming of opening a business of their own, Austin’s Small Business Division offers free or low-cost:
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Coaching
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Marketing and accounting classes
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Finance training
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AI and technology workshops
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Networking and community support
Learn more at SmallBizAustin.org.
A Personal Note from the Author- Why This Matters to Me
I love shopping locally because it supports small businesses and creates a more meaningful gifting experience. Choosing something that truly reflects a person or relationship makes the exchange genuinely heartfelt.
I also enjoy channeling my creativity through gifts. Browsing resale and antique shops to transform pieces into unique, personal gifts fills my cup, makes each gift one-of-a-kind, and is more sustainable. It’s the same rush I feel when I find a home that perfectly fits a client, seeing their eyes light up and hearts flutter.
Increasingly, I lean toward experiences like tickets to a show, ice skating at the Long Center, or an art or cooking class. These moments often create memories far more lasting than anything wrapped in a box.
Whether it’s a handcrafted gift, a transformed treasure, or a shared experience, gifting is one of my love languages—not for the item itself, but for the joy and memories it inspires.
SOME OF MY FAVORITE SMALL BIZ FOR GIFTING
https://www.uncommonobjects.com/
https://www.takeheartshop.com/
https://www.hillcountrygalleria.com/event/32366-bee-cave-holiday-market
https://bluegenieartbazaar.shop/
EXPERIENCES
ART - https://figmentcreativelabs.com/ladies-art-nights/
COOKING - https://www.thai-fresh.com/cookingclass
ICE SKATING - https://thelongcenter.org/ice-skating-at-the-long-center/
The Takeaway
Shopping small is a simple choice that creates a big impact.
It:
-Strengthens our local economy
-Supports neighbors and families
-Helps build a sustainable future
-Keeps Austin’s culture alive and growing
Whether you're exploring a holiday market, visiting your favorite local shop, or discovering a new gem in your neighborhood, your dollars go further — and do more good — when spent close to home.
Here’s to keeping Austin merry, bright, and beautifully local.
