LOCO’s research focuses on demonstrating the impact that independent businesses have on their communities and on the local economy.
One simple way we help businesses understand and communicate this impact is the “How Are We Local?” poster. It focuses on one aspect of a business’ economic impact – purchasing. There are four main areas of businesses’ impact, however. These four areas are what we track when we look at how much revenue a business recirculates in the local economy. We call them the 4Ps – profit, payroll, purchasing (inventory and services), and philanthropy.
Community Impact Assessment
LOCO BC developed a Community Impact Assessment (CIA) to help businesses measure and demonstrate their impact in these key areas. We have been doing the assessment manually and have worked with so many great businesses over the years, whose stories you can read here.
With a Launch Online grant from the B.C. Government, we have developed an online tool you can complete yourself.
There are a few key pieces of information to collect before you start. To create your infographic you’ll want at least three of the following:
- % of your employees who live in B.C.
- % of services you purchase from B.C. local businesses
- % of services you purchase from Canadian local businesses (outside of B.C. – don’t include the totals from 2 in here even though they are obviously Canadian too)
- % of inventory you purchase from B.C. local businesses (B.C. Made and B.C. Grown products)
- % of inventory you purchase from Canadian local businesses (Canadian Made and Canadian Grown products) outside of B.C. – don’t include the totals from 4 in here even though they are obviously Canadian too)
- % of your revenue you donate to B.C. charities (cash, in-kind product/services, and staff time)
To calculate your totals, and to contribute to our research if you choose, you’ll want to collect the following before you start (all data from the same year):
- Total revenue (optional)
- Profits paid to B.C. owners (profit, dividends, etc.)
- Total payroll (salaries and benefits)
- Total service purchasing
- Total inventory purchasing (Cost of Goods Sold)
- The services you purchase from B.C. and Canadian suppliers
- The inventory you purchase from B.C. and Canadian suppliers
- Amount of charitable giving to B.C.
Book a Coaching Session
If you’re ready to go ahead on your own, try it out now.
If you need help filling out the assessment, book an appointment and we’ll coach you through it.