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I have a crazy vision and I need your help to make it happen...

December 14, 2016
Sterling Jackson

Call it a revolution or revival of the middle class.

Most local small businesses are struggling.

The Walmarts of the world have decimated local businesses while simultaneously hurting local economies by funneling revenue out of local economies. Their legacy has been a net loss of jobs, weakened local economies and fewer small businesses.

Unfortunately, they're pretty damn hard to compete with in a world where deep pockets and big marketing teams rule every major advertising platform.

We want to put an end to that.

We want to give local businesses a competitive edge against big, chain stores and a way to quickly, easily and affordably get customers.

Instead of buying an executive another yacht you might be helping to send somebody's daughter to ballet school or keep the doors open of a business that's been in the family for decades. We believe that every small business has a story and that their stories are a lot more interesting and meaningful than some huge corporation's story to shareholders is.

That's why #shoplocal matters to us.

Here's what we're doing and how you can help.

One of our big goals is to give local businesses a lot more visibility.

Alongside Kahuti's neighborhood and community features, we've built a marketplace that makes it easy for you to discover products, services and deals from local businesses but we need your help to support them.

There's strength in numbers. By ourselves we can't change very much but if we come together to form a critical mass then our influence will become enormous.

Supporting local businesses strengthens our communities.

The effect that local small businesses have on local economies versus chain stores like Walmart is dramatic. Local businesses tend to have a strong positive influence on jobs, wages, lifestyle and local economies.

  • Local businesses recirculate 2-3x more of their revenue in the local economy.
  • They employ more people per million dollars of sales.
  • They correlate to higher income growth and lower poverty levels.
  • More local businesses correlates to higher social capital and civic engagement.
  • Local businesses produce more tax revenue.
  • Large retailers tend to depress local economic growth.

A study in San Francisco concluded that redirecting 10 percent of spending from chains to local businesses would produce an additional $190 million in economic activity and 1,300 new jobs.

A similar study in Grand Rapids and Kent County concluded that redirecting 10 percent of spending from chains to local businesses would produce an additional $140 million in economic activity and 1,600 new jobs.

Again, a study in New Orleans found that only 16 percent of money spent at Super Target stays in the local economy versus 32 percent for local retailers. They also found that local businesses using a comparable amount of land (179,000 sqft) as a Super Target produced double the revenue ($105 million vs $50 million) and retained four times as much ($34 million vs $8 million) in the local economy.

Want to help? Here are 3 ways you can help.

#1: Join Kahuti
To win this revolution, we need your help making Kahuti a driving force for change that improves our neighborhoods and commuinities by interacting with each other and local businesses.

#2: Spend $20 at local shops.
With nearly 125 million households in America, spending $20 at local businesses will circulate $2.5 billion dollars into our local economies and far more of that money stays local than when you spend at big chain stores.

#3: Share this post.
We've all heard 'you should shop local' but if you are like me you had no idea that local businesses are so connected to the wellbeing of our communities. Doing research for this article really opened my eyes. I hope reading it opened yours too. I think most of us will shop local if we know why it is important and understand it is in our own best interest. That’s why you need to share this article with your friends and people you know.

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