Promoting forestry and regional economy, it is important not only to adapt new demand of energy use and material use with high additional value by supplying fuel or material wood, but also to improve the problems of regional economic systems. LM3 is a simple method to measure effects of new business and to suggest the problem by flow-out amount to outside of the region. In this study, we tried to measure the effect on regional economy by using LM3, for small scale wooden biomass heat supply plants under the condition of different fuel supply types, and for LVL enterprise’s sales and purchase of material wood. As result, it is suggested that the more enterprises or persons have related with distributing and processing system, the more ripple effects will appear in the regional economy.