Top US Cities For Startups

Nowadays, people want a meaningful job, not only one that helps them not to starve. So, after they try out their luck with some employer, many of them decide to start something on their own. This is especially the case with young people, full of ideas. Once they finish high school or college, they are starting to search for ways to convert their ideas into reality. And this is the reason why more and more people, every day, in the US and around the globe, are trying to have a successful startup company. That is why we have decided to help you with the list of top US cities for startups. So, if you haven't been planning to move up until now, maybe it's about time you start thinking about that as well. Success is not going to fall into your lap, you have to work for it!

What do all US cities for startups have in common?

The best US cities for startups have some similarities. So, before you start naming your startup business, learn what virtues a city has to have to be suitable for your business. This is all, of course, a part of the research you should do long before you start looking for ways to fund your idea. Why? Because learning what the location that will give your business the best chance to succeed is will help you figure out even what kind of costs await you. 

More and more people every day develop a startup business

What are the important factors?

Let's say that you are from New Jersey, and you got the offer to work in North Hampton, for example. Before you decide to call the moving company when relocating to NH for a job, you must find out what the living conditions are, of course. But when you are relocating to start your own business, there are so many additional things to consider.

When we are talking about startup friendliness of the city, there are a lot of variables. Some of them include demographic factors and financial environments. But when you think about ideas for business and what the best place to bring them to life is, here are the factors to consider:

• What is the demographic construction in terms of age? How many young adult residents are there? In this particular case, we are interested in the percentage of people from 25 to 34 years of age, because they are making the environment suitable for new ideas and startups.
• How many of those people have a higher education? We are looking at bachelor's degrees, graduate and professional degrees.
• What is the unemployment rate in the area? This is generally a good sign of how dynamic the job market is. Most top US cities for startups score 90% or higher employment rates.
• What is the cost of living in terms of housing? Because it's important to know what part of the income will be spent on the rent. That way you'll know the bottom line of your soon-to-make profit and how much room you have for everything else after you deduct the cost of living.
• How popular are startups? Some cities are just better hosts to startup business than others, and that explains their growth.

The cost of living is an important factor for starting any business

Now that you know what factors we took into consideration, it will be easier to understand why exactly these cities are on our top five list.

San Francisco, CA

This is a very well-known fact. Besides being the huge center of culture, art, and mixed cultures, SF is also the first US city for startups. Although the cost of living is pretty high, most people can handle it just fine because of the incomes that are also very high. A large number of highly educated young people is rushing to Silicon Valley to start their startup business. And that is a good thing because a lot of the great business ideas that were brought here actually became very successful large businesses.

Austin, TX

You know how everything is bigger in Texas? Well, we can use that sentence to explain the growth of startups in this beautiful city. And that is not only because some of the biggest tech firms such as Apple, Facebook, and Google are here. Nor the fact that employment rates are huge. It is also because there are so many smaller business opportunities, similar to the ones in SF. With one big difference. The cost of living is much lower, almost two times lower than in SF. So, all the young, educated adults can enjoy even better amenities the city can provide.

Austin, TX has many advantages for startups

Minneapolis, MN

This is one of the best US cities for startups with the highest startup growth of 121.3%. Why is this the case? The data is showing that Minneapolis has almost all the same parameters as Austin, TX. Especially when it comes to education and the age of the population. However, the state's very low cost of living makes a big difference. That gives people the opportunity to live a much wealthier life than somewhere else with the same paycheck. Not to mention it's easier to pay back any kind of business loans they had to take to start the company. So, it's no surprise that young adults would love for their ideas to succeed exactly here.

Seattle, WA

Looking at numbers, it's no surprise that this beautiful west coast city is also on the list of the best US cities for startups. It is full of young and highly educated people who enjoy all sorts of business and pleasure opportunities. Although the growth of startups has slowed down in the last few years and Seattle is almost as expensive as San Francisco, the growth is still pretty high. That's why many millennials choose it to start and develop their business ideas there.

Beautiful Seattle is home to many successful startups

Columbus, OH

Also full of educated, young people who are looking to succeed with their ideas. It's no wonder some people are calling Columbus the "next startup city" with high growth over the past few years. The fact that is helping this situation is that the city was granted $277 million to develop its infrastructure. Although the nightlife and culture scene aren't as rich as in the previously mentioned cities, this is still one of great US cities for startups.