An Overlooked Economic Powerhouse for Small Cities

When community leaders in Columbia, Missouri, first set out to revitalize The Loop, the prospects felt daunting. This stretch of Highway 40 serves as the entrance to Columbia but has been neglected for decades. Local small businesses were few, and struggling.

Leaders organized conversations with neighbors to understand what types of businesses were currently in the region, what the community wanted, and how this effort could contribute to broader city priorities. They soon learned that one particular type of business held an uncommonly powerful potential to support transformation.

Small-scale manufacturers like Claysville Creations and Heartland Soapworks were selling products online as well as in retail spaces, creating jobs, and — most crucially — attracting visitors who want to buy products right where they’re made. The project team realized these would be perfect businesses to be among the first to build a destination in The Loop. Because they sell online, they don’t depend on foot traffic, but still create a reason for people to visit and stay awhile.

Small-scale manufacturers produce anything from textiles to hardware to beer or coffee and more. Unlike large manufacturers, they fit into relatively small square footage and are clean, quiet neighbors. They are well-positioned to compete in the digital economy, but also fill storefronts and contribute to a thriving downtown or business district. They create jobs at a variety of skill levels, and it’s often women, immigrants, and Black, Latino or other business owners of color at their helm. Many owners operate these businesses out of their homes or garages at first, so your neighborhood might be home to small-scale manufacturers already.