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Top 7 Best US Cities to Start a Business


If you are thinking of moving and starting up a new business, there are lots of different factors to consider when it comes to choosing the best city. Thinking about your target audience for your product and service, alongside finding affordable cities to rent and live in are some of the many important factors to consider. Another thing to consider is which cities most welcome new businesses and have a good, thriving economy.

Keep reading to discover the 7 top US cities to start a new business.

What Do The Best Places To Start a Business in the US Offer?

There are many different things to look for when choosing a place to start a business in the US. For example, understanding local business and tax rules in the state you are looking to get set up in are an important consideration. You should also consider what your business needs to get started and to thrive. You may need a large warehouse to store products to sell or perhaps you need a trendy office space for staff to meet clients. No matter what you need, you should always assess a few places before deciding upon which is the best place to start your business.

You should also consider:

Digital Capabilities – Almost every business in the US and the world needs to be online and needs to make sure they are performing online. You should therefore check to see what the local digital services economy is like where you are looking to set up. Are there website developers to help you set up and run your website? Are there more than a few WordPress developers available to help you build your website quickly? These considerations and more are important when looking for somewhere to start a business in the US.

Family Life – If you have a family, it is important to know how easy and pleasant it is to raise a family in the state and the town in which you set up your business. Some of the best places to start a business, also have great opportunities for thriving family life. The more comfortable and the happier your family are, the more likely you as a business owner are to be in your work, allowing you to be more productive.

Set Up Costs – Ultimately, when you are looking for a place to start a business, you will need to know how much it will cost for your business to get set up and established wherever you choose. The costs of running your business will also of course in large part determine how good a profit margin you may be able to carve out for you and your business.


1. Austin, Texas


Austin, Texas is known for its culture, arts scene and entrepreneurial spirit. Already home to thousands of small companies, Austin is a great place to cultivate a new business. With businesses covering everything from locally sourced food to crafts, Austin can support all different ideas.

Home to just under one million residents, and known for its relatively low cost of living, Austin could be the ideal choice to start up your new business. For young families and working professionals, Austin might be the best place to consider with its low living costs and affordable properties.


2. Minneapolis, Minnesota


Minneapolis is no stranger to business, as the home to Target and Best Buy. However, it is also great for those looking to start up a small business. With plenty of specialty stores, local craft beer and independent restaurants, the city welcomes new business opportunities.

Known for being cost-effective, Minneapolis could be a good choice to get your business off the ground with the backdrop of picturesque countryside. Not only do new businesses need to consider where they’d like to live, but also what kind of pool of employees they’d like to hire. Minneapolis also has a lower employment rate than other US cities, so might be a good place to find talented yet affordable staff members.


3. San Jose, California


Smaller and less expensive than San Francisco, neighboring city San Jose is surrounded by some of the biggest names in tech including Facebook and Google. However, it is also a hub of thriving small businesses. The tech industry here has paved the way for businesses of all kinds to get off the ground.

Although the cost of living here is higher than other US cities, it provides ample opportunity for entrepreneurs with big ideas. Another great thing about San Jose is the weather and general atmosphere – if choosing to relocate to San Jose, you’ll be welcomed by friendly faces and an exciting spirit.


4. Nashville, Tennessee


Known as the world’s country music capital, Nashville has long been a home for aspiring singers and songwriters. However, less known is its popularity with those starting up small businesses. With many independent shops and restaurants, Nashville residents are typically very welcoming and friendly for those offering a new business proposal.

Another compelling factor for entrepreneurs is that the state of Tennessee has no state income tax! Nashville is especially affordable for businesses getting their feet off of the ground.


5. Boston, Massachusetts


Boston is steeped in history and home to some of the country’s top universities. A perfect blend of old and new, the city is a great place to set up a new business. With thousands of students from all over the world, young professionals and investors, there is no shortage of target customers for your new business.

With over 120,000 local businesses, Boston could just be your next location to set up your startup!


6. Seattle, Washington


Starbucks may now be an empire, but back when it was a humble startup it got its roots in Seattle. Home to more than 100,000 businesses, a thriving food scene, and a huge tech culture, Seattle could be a perfect choice to start your small business.

Seattle also provides a good quality of life, so a great place to relocate the family or to start a new chapter of your life. It’s important to not only work hard, but play too – Seattle has lots of things to do and see too in your spare time!


7. Portland, Oregon


Portland has really taken off in the last decade and is a thriving community of entrepreneurs and artesans. One of the most supportive cities for small business, Portland offers a great deal of support for entrepreneurs including a designated local small business development center. Through this, small businesses can attend free classes, receive mentorship opportunities and even have counselling.

What’s more, but there is no local sales tax which means that residents are encouraged to support local businesses. Therefore, another top contender to find inexpensive and profit-worthy cities for startups and new businesses in the US.