What are the top 10 'Startup Friendly' States in the U.S.A?


Which state(s) would you relocate to if you were thinking of starting a startup?.
Why do you think those states are 'Startup Friendly'?


asked Oct 13 '09 at 12:11
547 points

2 Answers


So, there are a few things to consider:

  1. Taxation. Ugh, my home state, California, comes in dead last here. So while I agree this is a great place to live, and yes, Silicon Valley is a hotbed for startups... taxes!
  2. Talent. Oh, wait, so maybe there's a reason California is such an incubator, in spite of its heavy taxation. That's right: one of the best University systems in the country, combined with a critical mass of other ventures and the resources that support them, resulting in an unstoppable chain reaction of innovation.
  3. Lifestyle. Let's face it: you have to want to live there. You will be spending a certain amount of time doing something other than working (I hope).

Besides the article in Money, I could swear there was one recently in either Inc. or Entrepreneur, so you may want to check there as well.


answered Oct 14 '09 at 03:03
784 points


Correct me if I'm wrong, but I believe the Bay Area of CA is the startup capital of the nation. It's probably the best place to be in the company of serial entrepreneurs, VCs, and tech startups.

Boston, MA is a great city for social media and there are lots of startups there as well.

Houston, TX has a low cost of living and a budding community of startups. The Houston Technology center is an incubator in the downtown area with affordable rent and all-inclusive services.

Austin is a good choice as well, as there are a lot of tech companies there. Texas has no personal income tax and I believe there are many other benefits relating to personal and business taxes.

I'm sure I'm forgetting other important cities. Seattle or NYC maybe?

answered Oct 13 '09 at 12:50
1,057 points

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