Big corporations and small businesses thrive depending on each other. In-fact, they have a symbiotic relationship and work in close collaboration. One of the most effective ways to bring job growth in small business sector is to support job growth in big business sector too.
Small and big businesses are deeply embedded in the US economy. They also maintain extensive connections with each other. US based large companies are always there for the smaller domestic counterparts so as to buy goods and services from them. Also, the multinational corporations roughly make purchases of $3.27 billion worth goods and services from over 6,000 small businesses operating in America.
Every year, the country’s largest firms spend $1.52 trillion on small US firms. The big and small companies also work together to increase their sales, generate customers, share information and lift performance standards. The Big-Small alliances have always been beneficial for small business organizations as they could tap on large supply networks and mentoring programs of big corporations.
A new initiative of multinationals is that they have started to build in an internal investment arm that is instrumental in offering loans to small business entrepreneurs and employers. This grant of capital is an alternative and has nothing to do with traditional bank loans and venture capital investments.
The supply-chain partnership has helped US exporters to find support from other small businesses in the supply chain that are not directly into exports. Small business owners also can gain knowledge and expertise once they start working with big counterparts.
This article was submitted by Raj Tulshan, Director of Business Development of Biz2Credit. Biz2Credit is a small business marketplace that connects entrepreneurs with financing options and advice to grow their business. Send all questions to email@example.com