Starting a new business can be tough. There are many different aspects and factors you need to take into account. Seeing how many companies fail to survive even their first year of existence, you should try to do as much as possible to prevent that from happening to you. Finding the perfect location where your business will have a chance to bloom should be one of the first things to think about. Luckily, we’ve come up with the 6 best states for starting a new business in America that should assist you with making the right decision.
The best states for starting a new business in America
Let’s dive into the states that can make starting a business in America worth your while.
If you’re looking to start a new business in America, Wyoming is probably the best state to do so. There’s a variety of reasons for this. To begin with, its business tax climate is very convenient. The state of Wyoming doesn’t have any kind of corporate income tax. In addition, you don’t have to worry about income or gross receipts taxes either. When it comes to the sale tax rate, it’s pretty favorable (it’s ranked in the top 25% of states). This means that you won’t have to think about saving money while moving to Wyoming since you’ll get the best tax deals. Of course, these aren’t the only reasons why Wyoming is so great for starting a new business in America. When it comes to new and young entrepreneurs’ rates, the state is one of the highest-rated in the US. There are many opportunities to start your own business or get a job at an already existing company. Wyoming has a truly great record when it comes to business survival, especially in the earlier stages. 1.61 of businesses survive in relation to those that close down. There’s no question whether this state deserves to be first on this list.
Florida takes a close second place on the list of the best states for starting a new business in America. Lately, many entrepreneurs have been flocking to this state wishing to start small new businesses. If you’re looking to pick one of the popular cities to relocate to and start fresh, Florida is a great choice. It has experienced massive growth over the past few decades. For entrepreneurs wishing to start a business, Florida has a plethora of venture capitalists and angel investors. This ease of access to finance makes the process of starting a company in the state much easier.
Of course, just as our previously mentioned candidate, it has a very favorable and low tax burden. Furthermore, firms starting up in Florida are only required to pay 5.5 percent on their corporate income tax returns.
Although it probably doesn’t come to mind right away, Utah is a fine competitor among the states that make starting a business in America easy. Utah’s seen massive growth over the past few years in many fields. Its working-age population has grown about 9%, which is a true testament to new businesses’ successes. Another area where Utah has been thriving is the large amount of venture capital that comes in very handy for new enterprises. In 2019, 101 businesses received about $11.5 million in funding, which is quite impressive. Utah is giving its all to make the market as favorable to new businesses as possible when it comes to office space costs and taxes. This is especially true for all smaller companies that need the extra help while starting up.
Starting a new business in Montana is an excellent decision on many levels. Aside from the fact that new entrepreneurs’ opportunity share is substantial, the rate of new entrepreneurs may even be better (right now, it’s the first in the US). Once you combine these two factors, it’s easy to see why people are eager to open their start-ups here. Another factor that makes Montana stand out as one of the most favorable states in America is the excellent business survival score. It also has a zero income tax that many entrepreneurs are after. The real labor compensation is one of the lowest America has ever seen, with a $31.56 average.
Life in Montana
Something else that makes Montana an excellent destination for new business owners is the great living costs. Everything from the quality of life that is enviable due to high income to the affordable living spaces makes relocation to Montana a dream come true.
If you’re thinking of relocating to your favorite place and starting fresh, you’ll want to hire a reputable moving company. Luckily, bigmansmoving.com is great at organizing long-distance moves, so you won’t have to worry.
Virginia has found its way onto this list for many reasons. However, one of the biggest things that set this state apart is its residents’ quality. It has great potential if you’re an entrepreneur looking for qualified and well-educated employees. Virginia has a high percentage of residents with very high education levels.
Nevertheless, this isn’t the only thing that Virginia has going for it. Some would argue that the most impressive quality this state has to offer is its survival rate. According to the latest statistics, it has the highest ratio of business survivals to business failures in America. This makes the state very promising for those who plan to move here long-term and plan their retirement.
When it comes to the arrival of new and ambitious entrepreneurs, California is in the lead. About 45% of the whole population is starting a business in some form or another. In addition, it has one of the best rates of small business survival.
The golden state has quite a bit going for it, both when it comes to starting a new business in America and simply spending your free time there. The data shows mind-boggling statistics when it comes to the venture capital available to companies. Around 2,869 businesses are receiving $9.7 million each, which is almost unheard of.