How Large Business Closings Affect Small Towns

Angel Sharum
One major car dealership closing down can impact the following aspects of a small town:

· The employees of the dealership itself will feel the burden first with loss of employment.

· The dealership was most likely a contributor to charities, school fundraisers, local events, and other community activities. All of these places will be forced to make cutbacks and look for other means of funding when the business closes.

· Local restaurants the employees frequented on lunch breaks will lose customers and sales.

· Local banks that hold loans for the employees of the car dealership may suffer when people can no longer make payments on time.

· People who can no longer pay their rent will move, therefore cutting into the profits of apartment and housing communities.

· Employees will move to other states for jobs, which will mean local gas stations lose customers and money because not as many people live in the town.

· The unemployment rate will sky rocket, making it harder for everyone in the town to find jobs.

· The unemployed will still need medical attention. People will have to go to free clinics and the health department. This will put a strain on the resources of those establishments.

· Families forced to move out of the community will cause problems for local schools and stores. Some schools get funds for having a certain number of children enrolled. The more children, the more funds the school gets to run things. Local stores will feel the crunch when those same children are not buying school clothes and supplies, and their parents aren't shopping for groceries and other items.

As you can see, a major closing of a business in a small town has significant implications for the community. Unfortunately, it seems closing are inevitable right now. We can only hope a major business closing in a small town doesn't cause a ripple effect putting smaller companies out of business also.

On the brighter side, inhabitants of small towns do help each other. Whatever can be done to lessen the burden of struggling families, will be. People in small towns band together and support one another in times of trouble. Often, this is the only thing that gets them through.

Published by Angel Sharum

Angel Sharum is a freelance writer of both fiction and non-fiction. She writes articles on a number of topics ranging from self-help to hiking and has numerous works of fiction published in print anthologies...  View profile

  • Local restaurants the employees frequented on lunch breaks will lose customers and sales.
  • Employees will move to other states for jobs
  • Families forced to move out of the community will cause problems for local schools and stores.

13 Comments

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  • Angel Sharum1/14/2009

    It is sad, and unfortunately, I believe it's going to be happening more and more in the coming days.

  • Randy Inman12/29/2008

    I lost one job of 7 years when a furniture plant closed down. The next job was also 7 years and my job got outsourced to another company. I know what it is like to be laid off. Nice work on the article.

  • Cyndee Kromminga12/28/2008

    Great write up, Angel. My husband works for a car dealership. Keep your fingers crossed and pray.

  • Angel Sharum12/26/2008

    I saw something on the new about it, Bethany. One car dealership closed and the whole town was feeling it. Everyone there was very worried.

  • Bethany Marsh12/26/2008

    Wow, that puts many things into perspective. I never considered a lot of those things! Great article. I feel this firsthand. Although I don't work for a big corporation that's shutting down, I do work for a small bank that has decided to merge with a bigger bank. Kind of sad because of the economy. This small bank has been around and independent for almost 130 years with so much history! Oh well -- not much I can do. : /

  • Tina Molly Lang12/26/2008

    I always try to give business to mom and pop stores, even if it means paying a few dollars more.

  • Charlotte Raynor Piggush12/26/2008

    Great information! :-)

  • Derek Odom12/24/2008

    I want all larges businsess to fail - monopolies are horrible, and I like mom and pop places! ;)

  • Angel Sharum12/24/2008

    Thanks, y'all. It is happening some around here too.

  • 3lilangels12/24/2008

    So true, great write up!

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