What's our definition of a local, independently-owned business?

At Potlukk, we work primarily with local, independently-owned businesses. But what does that mean?

Local businesses

This part is pretty simple. A local business is a business that provides goods or services to a local population.

Examples of local businesses include things like...

  • Restaurants
  • Grocery stores
  • Bakeries
  • Lawyers
  • Accountants
  • Dentists
  • Doctors
  • Day cares
  • Retirement homes
  • Photographers
  • Web designers
  • Event spaces
  • Boutique shops
  • Gyms
  • Salons
  • Laundromats

Really, the sky's the limit when it comes to local businesses because ultimately, every area has some sort of local business community in some way, shape or form.

Independently-owned businesses

This is slightly trickier. Technically speaking, independently-owned businesses are businesses that are free from outside control. This means it's a privately owned (rather than publicly owned) business.

In our definition, it also means that it's not part of a franchise or a corporate branch of a larger entity. Franchisees typically have a national or global ad budget to spend, making it harder for local businesses to compete on the same level, marketing-wise. The franchiser offers benefits of scale.

Small businesses

Most businesses in the United States are categorized by their number of employees and/or their revenue. There are specifics by industry, legally speaking.

In the United States, a small business is typically a business that has fewer than 250 employees. And micro business is one with fewer than 6 employees. Generally, the revenue threshold is if the business makes under $7.5 million annually.

(For comparison, in Europe, a small business is one with fewer than 50 employees and a micro business is one with fewer than 10 employees.)

Small businesses are also considered to not be dominant in its field on a national basis. For Potlukkand our definition, a small business is one with no more than 10 locations.

These definitions matter because for us, our priority is making sure local, independently-owned, small businesses get as much bang for their buck as possible. Larger businesses (with their larger advertising budgets) can make this a challenge.