Do small businesses need a website?
Imagine receiving a flier from a business with a product to sell. The product sparks your interest and you see a company name and an address clearly marked on the flier. What is the first thing you do before purchasing anything from this company? Check to make sure the company is established an legit, by going to your favorite search engine and searching for the company. If the company doesn't have a site chances are your not gonna buy anything from them. If the company's website looks like some high school kid made it in his parents basement, doesn't look legit, your not going to buy from that place. No matter what type of business you own people will be using the internet to help verify your business is one that they want to do business with.
While having an clean professional looking site is very important having a working easy to use site is also important. Now that I've gotten to your site I click on a link labeled products and I see a very long information filled page but I can't find information on the product that sparked my interest. I finally get to the bottom of the page and find the link to my product but the link is broken, I've given up an you've lost a potential sale.
Even though your plan to sell your products or service may on be local to begin with having a website will help open you up to a large audience that you can build as your company begins to branch out into different areas.
In conclusion a website is a very important marketing tool for your business. Not only does it validate you as a company but it helps you sell your products and services to a wider market. So to answer the question purposed in the title of this post, yes, every business needs a website.