Commentary

"STRAIGHT TALK" A Community Is More Than a Market

Posted
(SBA) - I've been thinking about this for quite a while, and the more I think about it, the more convinced I become that there is a difference between doing business in a community and actually being part of a community. On the surface, those two things sound the same, but they really aren't. A business can build a store, hire employees, pay its taxes, collect its profits, and technically become part of the local economy. But that doesn't necessarily make it part of the community. Being part of a community means investing in more than your own bottom line. It means recognizing that the people walking through your front doors aren't just customers. They're your neighbors and friends.

I've worked in this area long enough to watch Sergeant Bluff grow from a much smaller community into a city with over 5,000 people. During that time, I've seen businesses come and go, and I've seen the ones that have stood the test of time. Most of those businesses have one thing in common. Their owners live here or live nearby. Their children went to school here. They coach youth sports, volunteer for community organizations, sponsor local events, donate to fundraisers, and quietly write checks when someone asks for help. They don't do it because anyone requires them to. They do it because they understand that if the community succeeds, they succeed too.

I've also watched something else happen over the years. More and more large corporations have found their way into communities like Sergeant Bluff. From a business standpoint, it makes perfect sense. We have a growing population, we're located along I-29, we have strong schools, good city services, and people who work hard and spend money locally. Smaller cities like ours have become attractive places to do business.

In fact, I believe the folks here in Sergeant Bluff welcome businesses that want to locate or build here. Every new employer broadens our tax base, creates jobs, gives residents more choices, and helps our community continue to grow. I don't think anyone would argue otherwise. Growth is healthy. New investment is healthy. Competition is healthy. None of us wants to see empty buildings or businesses bypass our community.

But somewhere along the way, I think we've lowered our expectations of what it means to truly become part of a community.

For many large corporations, a small town is simply another dot on a map. It's store number 900, another facility, another location generating revenue. At the end of the day, much of that money doesn't stay in Sergeant Bluff. It doesn't stay in Woodbury County. It doesn't even stay in Iowa. It is transferred to corporate headquarters in another state, where it becomes part of a much larger balance sheet. Quarter after quarter, year after year, profits earned from our community help finance expansion somewhere else.

Meanwhile, the businesses that have been rooted here for decades continue carrying much of the responsibility for supporting the community itself.

Take a look around Sergeant Bluff.

Look at the names on the scoreboards at our athletic fields. Look at the businesses sponsoring youth tournaments. Look at the companies helping pay for or donating time and materials for projects like the new light tunnel at the Parks and Recreation Complex. Look at the businesses donating to school fundraisers, purchasing and donating auction items for local charities, sponsoring community celebrations, or helping organizations that make Sergeant Bluff a better place to live.

What you’ll see is that many of those names belong to businesses that are locally owned. Businesses that don't have hundreds of locations helping carry the load. Businesses that survive or fail based almost entirely on the people who live right here.

Those businesses understand something that I think has been forgotten by many larger corporations. That money has value beyond the original transaction.

When a locally owned business earns a dollar, there's a good chance that dollar gets spent somewhere else in town. Maybe they hire a local electrician, purchase office supplies from another local business, or use a local accountant, insurance agent, contractor, printer, or graphic designer. Maybe they sponsor another youth team, donate to a community fundraiser, or support a local nonprofit. That same dollar continues circulating through the community before it eventually leaves. That's how strong local economies are built. It's also why I make a conscious effort to spend my money with businesses in Sergeant Bluff and support organizations that serve Sergeant Bluff. It matters to me because this is my community. Unless I simply can't find what I need here, I'd much rather reinvest in the town I love than send my dollars somewhere else.

Economists often call this the "local multiplier effect." Every time money changes hands within the community before leaving it, that dollar creates additional economic activity. It supports jobs, creates opportunities, and strengthens other businesses that, in turn, continue the cycle. While no community can keep every dollar within its borders forever, communities that keep more of their money circulating locally generally build stronger, more resilient local economies.

Corporate profits often work differently. Once expenses are paid, much of the remaining money simply leaves town. It benefits shareholders who may never have heard of Sergeant Bluff. It helps build the next location in another state. It boosts earnings reports that have very little connection to the community where those profits were actually earned.

Now before someone accuses me of saying corporations are bad, let me be clear. That isn't what I'm saying.

Large businesses create jobs. They pay taxes. They provide products and services people want. Many of their local employees become active members of the community themselves. Those are meaningful contributions, and they deserve to be recognized.

What I question is whether simply doing the minimum should be enough. If a company earns hundreds of thousands—or even millions—of dollars from a community over the years, shouldn't it strive to become one of that community's partners instead of simply one of its businesses?

I'm not suggesting every company needs to write six-figure donation checks, sponsor every fundraiser, or say yes to every request that comes through the door. But too often, the response is, "I'll have to check with corporate," which, in many cases, is simply a polite way of saying no. If a company is empowered to earn money in a community, it should also be empowered to support that community in meaningful ways.

It starts with making a genuine effort to invest where you earn your money.
Support local organizations.
Buy from local vendors whenever possible.
Sponsor community projects.
Invest in youth activities.
Support community events.
Become visible for reasons beyond opening your doors every morning.

Those investments don't just help the community. They help the business itself by creating a stronger place where people actually want to live, work, raise families, and spend their money.

As the publisher of a small community newspaper, I probably see this a little differently than most people.

Every week I see locally owned businesses continuing to support the Advocate because they understand something many people don't. They aren't simply buying advertising. They're investing in one of the institutions that helps hold a community together. Their advertising and public notices help make it possible for someone to read city council or school board meeting minutes. It connects residents to community events happening around us. It informs readers of youth activities in town and local celebrations taking place. It helps preserve the history of Sergeant Bluff one edition at a time.

I don’t see the Advocate as just another business. It's part of our community's memory where this week’s news becomes tomorrow's historical archive.

The same businesses supporting the Advocate are often the same businesses supporting dozens of other community projects throughout the year. They don't have unlimited marketing budgets. They don't answer to corporate headquarters. They simply believe supporting the community is part of doing business here. And as a small business owner I am so grateful.

I've often wondered what Sergeant Bluff could accomplish if every corporation that earned substantial profits here adopted that same philosophy. Imagine if each one intentionally found ways to reinvest even a small percentage of those profits back into the community where they were earned. Imagine more scholarships, more park improvements, more youth programs, more support for community events, more investment in organizations that strengthen the town itself.

The impact would be enormous.

Communities don't become great because corporations decide they're good markets.

Communities become great because businesses—large and small—decide they're worth investing in.

There is a difference.
One sees a town as a place to make money.
The other sees it as a place worth helping.

I know which kind of business has earned my respect over the years.

I don't expect every business to sponsor every fundraiser. I don't expect every corporation to write two-figure donation checks. That's not realistic.

What I do expect is that if a company chooses to profit from a community year after year, it should also choose to become part of that community. Support the organizations that make Sergeant Bluff stronger. Buy local whenever you can. Invest where you earn your money. Leave the community a little better than you found it.

Communities remember those things. They remember the businesses that helped build the scoreboards, sponsored youth teams, invested in local events, supported community organizations, and quietly stepped up when no one was keeping score. Those acts of generosity don't go unnoticed.

Communities also remember the businesses that simply came here to do business. The ones that happily take your money, hand you a receipt, and say See you next time—but never seem to find a reason to give anything meaningful back to the community that is helping make some of their success possible.

There is an old saying that people vote with their wallets. I believe businesses do, too. Every dollar a company chooses to spend—and every community it chooses to invest in—says something about what, and who, it truly values.

If you want to be known as a business that calls Sergeant Bluff home, don't just put your name on the building.

Put your heart into the community. Buy local!