Do you want to become an entrepreneur and run your own business? Find out where you should travel for your startup. These are the best cities for you.
In order to be successful as an entrepreneur there are a lot of factors you need to consider. One, of the most important – is of course the location. Thinking about where you want to open your business has a central role in the development and sustainability of your startup. This is because location can determine the amount of opportunities as well as the support you will be getting as a young entrepreneur within the business community.
There many cities across the US which are friendlier and cheaper than others to start your business. NerdWallet, personal finance website, analysed 181 metropolitan cities in America looking into data on the local business environment taken from the U.S. Small Business Administration, the U.S. Census Bureau and the U.S. Bureau of Labor Statistics. This study took into account access to funding, percentage of local population aged 25 to 34 and level of education, the local economy and cost of living.
So, if you are just starting out as an entrepreneur, these are some of the locations you should consider.
1. Austin-Round Rock, Texas
Austin-Round Rock Texas is an excellent location to start your business considering that it has the highest percent of population aged 25 – 34 (17,5%). This guarantees a young entrepreneurial community, increased level of support as well as excellent networking opportunities. It’s relatively easy to get a small-business loan in this city as it ranks fifth in the scale for small-business loan dollars received per 100,000 residents ($17,692,769).
2. San Francisco, California
Entrepreneurial activity in San Francisco is promising because the population has a high level of education. About 45,9 percent of residents have a bachelor’s degree or higher. Opening your business in San Francisco will definitely benefit your wallet considering that this city ranks second in the scale of median earnings at $61.810. It is also the home of Silicon Valley which is the home of and given birth to many world famous tech startups and giants.
3. Salt Lake City, Utah
If you are looking for funding, this is the place to go. Salt Lake City in Utah has provided up to $21,590,164 in SBA loans per 100,000 residents and ranks third overall amongst other cities. The city also has a strong network of young people aged 25-34 (16.3 percent). Unlike other areas of the US, this city offers costs of living below the national average which is great for starting entrepreneurs.
Setting up your business in Denver seems like a good option as well. This city ranks thirteenth in the scale of how easy it is to get access to funding having provided $21,590,164 in SBA loans per 100,000 per residents. In terms of the economy, the most flourishing parts of the area are in the south and the most industrialized areas in the northeast. Overall, 40.8 percent of the population holds a bachelor’s degree or higher which is also a good sign.
Minneapolis is also another excellent location as it has provided up to $15,957,600 in SBA loans per 100,000 residents. Unemployment is quite low (about 3.1 percent), and median earnings are $51, 496 which is the second highest after San Francisco. The educational level of the Minneapolis is also quite good with 40 percent of the population having a bachelor’s degree or higher.
When you are just starting out as an entrepreneur, you want to choose the best location to build your business since this is what it’s going to determine your business profits. Doing so will also ensure that your chances of success are higher than they would if you were to launch your business in any other part of the world.
So where would you go and why? Let me know in the comments section below…