What Boca Raton’s Growth Means for Small Business Owners

Boca Raton is an affluent city. Based on the most recent release from the Census Bureau the median income is roughly $76,000 while the population has grown to just over 99,000 inhabitants. At the current rate, the city’s population should hit 100,000 in the coming weeks.

Granted the increased traffic and congestion on Federal Highway has led to longer commutes. The expanding population does mean that there are more customers for local businesses, and this can lead to more local businesses, and unfortunately, more traffic.

While members of the City Council did not respond to questions about the growing population, Tom Wood, Boca Raton’s Fire Chief has spoken publicly on the subject noting the increased call volume and the lower response rate for the fire department. Another challenge for city administrators is how to continue to provide the level of service which makes Boca Raton such an appealing home without raising taxes.

One way around this challenge is Boca Raton’s enviable base of commercial property taxpayers. While many of these taxes are paid directly by employers, the growth of businesses large and small has helped to draw more people to the city.

All of this points to a potential Goldilocks period for business owners as city administrators seek to maintain the current tax rates for now. This is largely due to the appreciation in property values, which help to increase city revenues without raising taxes.

The fact that tax rates have not increased in recent years means that business owners have a level of certainty when looking at the cost of doing business in this South Florida City. In fact, a quick search of businesses registered in the city indicated that more than 20,000 businesses operating in the city today.

This points to the level of competition for consumers and shows that it’s not just picking the right location but also naming your business so that customers will remember you.  

Just think of popular small businesses such as Treasurescapes, the Tilted Kilt Pub, or even Blinc, Inc. One thing all of these locally owned businesses have in common is a catchy name that helps them stand out from their respective competition.

What else does Boca Raton’s growth mean for small businesses? In talking to business owners in the community one common challenge is the competition for talent. This is clearly evident in the service and retail industries where the appreciation in land values has made it difficult, if not impossible, for many low-wage employees to find affordable housing.

Even though the expansion of public transportation including the Tri-Rail service, Palm Tram, and the Broward County Transit system has helped commuters, it has also created scheduling challenges for many small businesses in the city.

This is largely due to the times at which these various systems run – especially as some businesses cater to either early-morning or late-night customers. In fact, many business owners in the Old Floresta Historic District have had to find ways to overcome staffing challenges.

Adding to the competition for talent is the growth of Florida Atlantic University. The highlight of which is a $24 million facelift of the Boca Campus’ student center. 

While the university has multiple campuses in the South Florida area, the Boca Raton location is undoubtedly the heart of FAU and with total enrollment eclipsing 30,000 students the opportunities to cater to commuting and residential students is something which many local businesses are looking to cash in on.

Another area of opportunity for local businesses is the Boca Raton Airport. While this airport is often overshadowed by larger commercial airports in Fort Lauderdale and Miami, the growth in private and corporate jet travel as well as air cargo has forced the Boca Raton Airport Authority to undertake several improvement projects over the past few years. These include runway safety improvements and an upgraded air traffic control tower.

This growth has created opportunities for companies which not only service the airport but also the plane owners taking off and landing there. This includes aircraft maintenance, limousines, and other concierge services catering to the needs of travelers using the airport.

Boca Raton is expanding faster than ever before. While the expansion will stretch existing infrastructure, the growing tax base has helped the city to address many of the needs – at least for now. When it comes to small businesses, the growth means more customers who appreciate the convenience of the city’s ever-expanding shopping and dining options.