Petoskey, Michigan, USA - October 23, 2021: The historic business district on Mitchell Street

8 Towns in Michigan With Thriving Local Businesses

While metropolitan Detroit is highly significant to Michigan's economy, smaller towns across the mitten-shaped state boast thriving local business scenes. Beyond the automobile industry, independent entrepreneurs serve as pillars anchoring prosperity in backcountry communities throughout Michigan. Several small towns in Michigan host a charming collection of modest ventures fueling local cultures. Visiting and exploring such towns reveals much about each community and what defines local culture and history.

Staples like hardware stores, bakeries, and boutiques impart a true sense of place while preserving regional traditions. The next time you travel, substitute the imposing skyscrapers and thronging streets of large metro areas for the quaint boutiques and modest craft stores of small-town Michigan for an authentic experience of the Great Lake State.

Saugatuck

Shops and galleries lining Butler Street in Saugatuck, Michigan. This vibrant area is a major draw for thousands of visitors every year.

Butler Street in Saugatuck, Michigan. Editorial credit: Kenneth Sponsler / Shutterstock.com

From pristine beaches and picturesque waterways to bustling art centers, this lakeshore community of Saugatuck in Allegan County draws visitors from around the state. This influx of tourists, especially in the warmer months, creates delightful opportunities for local entrepreneurs, leading to a thriving community of independent merchants. Saugatuck Trades and The Beach House represent just a fraction of the numerous apparel stores in the town, providing tourists with pleasant shopping experiences. Meanwhile, the Butler Pantry specializes in homeware products, selling a variety of products from kitchen gadgets and glassware to barbecue supplies.

Art enthusiasts will love to browse the unique pieces by various African artists exhibited inside Amazwi Contemporary Gallery, with an opportunity to discover a unique piece. Additionally, the local culinary scene is highly impressive, with multiple restaurants, such as BARge, serving delicious meals and refreshing drinks to tourists.

Petoskey

Aerial view of Petoskey, Northern Michigan, during an autumn evening.

Aerial view of Petoskey, Northern Michigan, during an autumn evening.

This sought-after gem on Michigan's Lower Peninsula becomes lively during spring and summer when visitors from within and without descend upon the town to revel in its beaches. A prominent art scene encourages local creatives and crafters to showcase and sell their works at venues like Somebody's Gallery and Sturgeon River Pottery. Several craft wineries in Petoskey are proof of its thriving wine industry, and visitors can stop by Mackinaw Trail Winery & Brewery to sample locally-produced wine varieties.

Thanks to the many outlets throughout its downtown, Petoskey offers numerous shopping opportunities for visitors looking for clothing, accessories, and fashion items. Choices range from Country Casuals to Harbor Wear and Expressions.

Lexington

View of city businesses in Lexington, Michigan.

View of city businesses in Lexington, Michigan. Editorial credit: Fsendek / Shutterstock.com

With less than 1,000 people living in Lexington, it's hard to imagine it as an ideal shopping destination. However, the town exceeds expectations, and it hosts a cluster of venues where guests can spend their money on something meaningful. For starters, the city has several restaurants to feed the large number of tourists passing through. Sweetwater Gourmet Deli & Bar ranks among the top outlets in the area, favored for its delicious eateries and family-friendly atmosphere. Lexington is also home to exciting craft breweries producing tasty beer, which newcomers can sample through a tour of 3 North Lexington.

If you intend to buy a gift to take back to a loved one or a unique item as a souvenir, consider pursuing the offerings in The Lexington General Store or Gatherings Antiques. Finally, Jeff's Marketplace is the perfect place to buy groceries in Lexington, offering fresh ingredients from the local community.

Holland

Street scene with canal at Nelis' Dutch Village in Holland, Michigan, USA.
Holland, Michigan, USA. Editorial credit: ehrlif / Shutterstock.com

Holland did not get its name by coincidence; it was inspired by the town's deeply rooted Dutch heritage, celebrated annually during May's Tulip Time Festival. Walking around its delightful town center offers a hint of European flair through unique windmills and architecture. Holland also has several bustling businesses centered around Dutch culture, including Deboer Bakkerij. This lovely bakery prepares sumptuous pastries and bread using traditional Dutch recipes. The lively Holland Farmers Market encourages guests to mingle with the friendly locals and buy their assorted fresh-from-the-farm produce.

When not sampling Holland's immersive cultural scene, tourists can shop from a wide array of shopping malls and clothing outlets. Those on the hunt for fashion accessories can head to Jean Marie's or Michigan Gal Boutique for the latest trends in the fashion industry.

Frankenmuth

The Bavarian Inn in Frankenmuth, Michigan. This iconic restaurant and attraction has been drawing throngs of visitors to sample German culture for decades.

The Bavarian Inn in Frankenmuth, Michigan. Editorial credit: Kenneth Sponsler / Shutterstock.com

Many travelers rank Frankenmuth among the most exciting towns in Michigan for vacations. While this is primarily due to its unique Dutch heritage and culturally inspired attractions, the many charming family-owned businesses are also proof to be a significant draw for first-timers. Among the first stops for tourists on culinary adventures is Frankenmuth Cheese Haus. This landmark venue has been a mainstay in Frankenmuth for over half a century and offers more than 200 cheese varieties. Additionally, Zehnder's of Frankenmuth is a permanent fixture in the town, delighting guests with its traditional chicken-style dinners for over 150 years.

Meanwhile, Frankenmuth Farmers Market offers the perfect setting for visitors to mingle with welcoming locals. The atmosphere is consistently family-friendly, and vendors display their assorted farm produce for visitors to explore. Finally, Frankenmuth Woolen Mill has operated since the 19th century, supplying the community with cozy, high-quality bedding accessories.

Rochester

Downtown Rochester Sidewalk Sales along S Main Street in Rochester, Michigan, United States.

Main Street in Rochester, Michigan, United States. Editorial credit: Brooke Turner / Shutterstock.com

This northern Detroit suburb, founded in 1818, is considered Oakland County's maiden European settlement. Given its rich historical heritage, it is no surprise that tourists will want to explore the various souvenir outlets in town, such as Fine Jewelry by Pamela, where they can shop for unique treasures. In addition to this, Bizzy Buzz Artisan Market is an excellent stop for sampling local culture and art. The venue sells a fine assortment of locally made crafts and other pleasant items that will make the perfect gift for a loved one.

In addition, Downtown Rochester houses a combination of boutiques, apparel stores, and clothing outlets catering to classic and contemporary fashion trends. For your retail therapy sessions, you can visit Be Scene Boutique and Mantra Vie, among multiple others.

Marshall

Brooks Fountain in downtown Marshall, Michigan, USA. Unveiled in 1930, it is a Greek Revival-style replica of Marie Antoinette's Temple of Love in Versailles.

Brooks Fountain in downtown Marshall, Michigan, USA. Editorial credit: ehrlif / Shutterstock.com

Marshall charms visitors with its fine display of 19th and 20th-century architecture and host of popular festivals throughout the year, highlighted by the Marshall Blues Festival. Wandering the quaint downtown, visitors will notice the wide array of independently owned businesses propelling the local economy. For instance, Marshall boasts a lively craft brewery scene featuring a mix of local artisans well-represented by Dark Horse Brewing Co. Touring the establishment is a direct ticket to tasting some of its most famous brews.

The arts community within Marshall cannot be overlooked. Several art galleries, including Eastend Studio & Gallery, support visual artists from the region. If you are keen on fashion and apparel, Urban Reflections offers some of the best trends in the industry. Lastly, Family Fare Supermarket supplies the community with fresh produce and locally sourced ingredients.

Big Rapids

Historic downtown area on Michigan Avenue in Big Rapids, Michigan, USA.

Michigan Avenue in Big Rapids, Michigan, USA. Editorial credit: Roberto Galan / Shutterstock.com

Home to the Ferris State University Campus, Big Rapids maintains an upbeat atmosphere for most of the year, thanks to its vibrant student population. Given the various independent merchants with ventures across the downtown area, there is always an opportunity to buy something from the local community. Those interested in savoring the town's array of eateries can pop into Schuberg's Bar & Grill Gypsy Nickel Lounge for savory flavors.

Souvenir hunters can also find unique treasures at the Big Rapids store to add to their collection. The town has multiple gift shops with a family-friendly atmosphere, ranging from Artworks to Old Pioneer Store & Emporium.

Celebrating Michigan's Small Towns

Whether nestled along Lake Michigan's coast or tucked within Michigan's interior landscape, each town exhibits a lively local business culture fueled by independent community spirits. From boutiques and bookstores to breweries and bakeries, resident-run enterprises impart unique character and preserve traditions from this unique part of the United States. Their picturesque downtown scenes reveal how entrepreneurial determination has anchored prosperity for generations. Overall, exploring these towns in Michigan offers authentic experiences of independent, pioneering spirit still driving smaller communities.

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