The Rise of Microbusinesses in Rural America

Local farmers selling homemade products on farm, meeting friends.

In the heart of rural America, small businesses, which have served as the backbone of these communities, are evolving. Among them, microbusinesses – typically defined as those with less than 10 employees – are gaining ground and reshaping local economies, specifically in towns historically reliant on industries such as agriculture, manufacturing and mining.

The JPMorganChase Institute’s research, “The Rural Divide: Small Business Revenue Milestones in the U.S.,” reveals that the vast majority of businesses in rural counties are microbusinesses.

While rural areas are known for historically employing more in industries such as Agriculture, fishing and hunting, Manufacturing, and Mining, regional specialization in those industries has less of an influence on microbusinesses. These enterprises are most prevalent in industries where there are less challenges to starting a business and fewer employees are needed.

The path to success isn’t without hurdles and challenges. The JPMorganChase Institute’s research also found that these rural businesses often face slower revenue growth during the first five years, compared to their urban counterparts. To bridge this gap, rural communities need tailored solutions that empower small businesses to scale and succeed.

Here are some top considerations for microbusinesses in Nebraska:

  1. Set up a sales funnel: Turn potential customers into loyal buyers by forming a trusted relationship with them. Start with engaging social media posts – guiding them to informative content, capture contact information for special offers and invite them to online demos.
  • Enhance customer service: Conduct an audit of your customer service processes. Implement tools like customer relationship management software or a loyalty program to keep your business top-of-mind and boost sales.
  • Form strategic partnerships: Collaborate with complementary businesses to package deals that potentially reach new demographics. Align with partners that share your values and seek professional advice before formalizing partnerships.
  • Identify customer pain points: Use focus groups and direct, honest feedback from loyal customers to uncover hidden issues or give inspiration for products and services to offer.
  • Expand your network: Build a support system of advisors, consultants and experts. Attend trade shows, expos, informational sessions, and networking events to connect with potential customers and suppliers.

As small businesses grow, they invigorate local economies, sparking innovation and creating jobs. Their growth story is one of resilience and opportunity, proving that even the smallest enterprises can have a big impact.

For more insights on growing your small business, visit chase.com/business


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