Entrepreneurship has become a buzzword among millennials these days as everyone looks for the next big idea. However, there are a lot of factors that play into the success of a new venture, one of the most important being the location of your business.
The cities listed here are friendly toward young entrepreneurs, as they provide a sense of community that business owners can really thrive in. If you are an aspiring entrepreneur, these are the top cities that you should consider relocating to.
Denver's appearance on the list will come as no surprise for many, as the city has become a major hub for millennials. According to Metro Denver, 891,500 millennials call the city home, representing 24 percent of the region's population.
One of the major reasons why Denver is so popular among young entrepreneurs is because of the entertainment options it offers for startup founders to enjoy in their free time. From hiking to microbreweries, this city has it all. In addition to this, Denver is also a tech hub and has an abundant supply of talented workers.
Austin, Texas is a vibrant city that's a big draw for young entrepreneurs for many reasons. For, one the University of Texas, Austin is located here and gives business owners access to some of the most talented graduates in the country.
Research shows that startups are growing at a rate of 81.2 percent each year here. Other major drivers that make this city an entrepreneurial haven is the low taxes and low cost of living. There are no state income taxes in Texas either.
The largest city in Oregon, a millennial hotspot, is also known for its entrepreneurial spirit. There are many reasons for this. Portland consistently ranks as being one of the top cities in the nation for employment, giving new businesses access to a large talent pool.
Given the relatively low cost of living in the city, many tech entrepreneurs have moved here from states like California. This has given venture capital funding in the state a huge boost. In addition to this, Portland is one of the greenest cities in America, giving young entrepreneurs the chance to connect with nature when they are not working.
Los Angeles, California
Los Angeles is a huge city and is also home to many young entrepreneurs. Given the culture and vibrancy of this city, many millennials choose to start businesses in this thriving ecosystem.
Almost every major company has an office in Los Angeles and colleges like USC and UCLA give businesses access to large talent pools. It is also known as a city of dreamers where many young and progressive entrepreneurs come to chase their destinies. Companies like Hulu and Snapchat are headquartered here, which has encouraged many other tech startups to call this place home.
Raleigh, North Carolina
When you think of the best cities for young entrepreneurs, Raleigh, North Carolina might not be the first place that comes to mind. However, this city is actually known for being one of the top startup hubs in the country. Many new tech companies are setting up shop in Raleigh.
The city has numerous schools, like UNC-Chapel Hill and Duke, that give companies access to incredible talent. In addition to this, Raleigh is also a hub for tech companies like IBM who opened an office in the city several years ago. The government is also labor-union friendly. The total number of businesses per 100 residents here is 10.5.
The city of Houston, Texas is known for many things like its sports teams and delicious Tex-Mex food. In addition to this, the city is a major hub for business, housing many Fortune 500 companies. Houston is also incredibly friendly toward first-time entrepreneurs who can benefit from various state laws.
For one, there are no state income taxes which is a big perk for small business owners. It is also one of the only cities in the U.S with no zoning laws. This can be an advantage for business owners who want to open brick-and-mortar stores and eventually expand. The number of businesses per 100 residents in Houston is 9.9.
Seattle is another major city in the U.S. that is young entrepreneur-friendly. There are a variety of reasons why this city is a major pull for young go-getters. One of the major reasons is the network of entrepreneurs that reside in the area.
Conversations with the right people can open up doors and lead to amazing opportunities. In addition to this, Seattle is also known for its coffee shop culture that adds to the vibrancy of this city.
Tampa, Florida is home to many large businesses but is equally welcoming to small startups as well. The city provides access to a wide talent pool, making the human capital aspect of starting a new business simple.
Some of the biggest industries in the city include finance, insurance, retail, and technology that allow new entrepreneurs to expand their capabilities through partnerships. Tech companies such as Nielsen, Vology, and KnowBe4 are headquartered here.
Another major city that's big among young millennials is Minneapolis, where there are a large number of startups. One reason for this is because this city is known for being one of the most cosmopolitan cities in the U.S.
Another factor that contributes to the entrepreneurial culture of Minneapolis is the large number of young adults that range from 25-34 years old. In addition to this, a large percentage of the population has advanced degrees. This is coupled with low housing costs and low unemployment rates.
San Jose, California
The city of San Jose in California is known for its tech entrepreneurs, given its close proximity to Silicon Valley. A big reason why San Jose is so popular among young entrepreneurs is because of the low cost of living compared to the neighboring cities.
Also, business costs in the Silicon Valley area can really add up quickly but are significantly lower just a few miles away in San Jose. Start-ups here also have access to a large talent pool from schools like Stanford and UC Berkeley.
Oklahoma City, Oklahoma
One of the hardest parts of starting a new business is all the costs that come with it. So if you are a new entrepreneur looking to keep costs low, a great place to start your business is Oklahoma City, Oklahoma.
This city is known for its low-cost communities and has many different programs that have helped create an entrepreneurial culture. Many universities and colleges in the area also offer courses on this subject.
Salt Lake City, Utah
Salt Lake City in Utah is known for its booming tech industry and is now known as the Silicon Slopes. For this reason, the city is a major attraction for many young entrepreneurs who want to start their own tech companies.
A major reason for this is because the city and the state work toward creating an entrepreneurial culture with benefits and programs to help young CEOs. This can be seen in the demographics of the city: the median age is 34, and 67 percent of the population is under the age of 44.
Not only is Miami a great city for entertainment but it is also an ideal place to start a business. It is the city with the most number of new entrepreneurs in the country, with BizJournal reporting 560 entrepreneurs for every 100,000 people.
Two big reasons why Miami is an attractive place to start a business are the low levels of pollution in the city and the modern infrastructure. Venture capital is also big in Miami, with a total of $1.3 billion in investments in 2018.
The coastal city of Crestview in Florida is known for its stunning homes but is also one of the best places in the country to start your business. In addition to being a fairly metropolitan city, Crestview also ranks high in affluence and young adult education.
All these factors provide a great environment for businesses to thrive. From another standpoint, the state and local taxes in Crestview are relatively low when compared to other major cities. The city also offers numerous programs and benefits for entrepreneurs to improve their businesses.
Tulsa, Oklahoma is a metropolitan city that is home to many big companies however, the city is equally welcoming to new entrepreneurs as well. One of the major reasons that Tulsa is so popular for new businesses is the high availability of C&I loans that are available to start-ups.
In addition to this, the city has a low cost of living compared to other major cities which can be a lifesaver for new business owners. This is coupled with the low unemployment rates in the city that make Tulsa an ideal place for new business ventures.
Madison is the second-largest city in Wisconsin after Milwaukee and offers a community environment while remaining nature-friendly. The city is also a great place to start a business for a variety of reasons. Madison offers the perks of a big city while providing the low cost of living associated with a small town.
Many people in Madison also value local products so startups in this city are sure to have a lot of support from local residents. Finally, Madison is also a college town, giving new businesses access to a wide talent pool.
Midland, Texas may not be the first place that people think of when starting a business but it is slowly becoming a major business hub. The city has one of the highest population growth rates in the country at 4.32 percent. In addition to this, the earnings of millennials in Midland is 10 percent better than the national average.
Texas is also known for its low tax rates making this city an ideal place to start a business. The only challenge faced by entrepreneurs in this city is that they would need to hire employees from neighboring cities and states.
The city of Boston is not only a great place to live but it is also a great place to start a business. This place consistently ranks as one of the biggest startup hubs in the country. There are many reasons why Boston is ideal for young entrepreneurs
For one, the city offers a high quality of life with numerous activities for residents to enjoy all year round. Given a large number of universities in this city, there are also various opportunities for new business owners to network with local entrepreneurs. There are also many forms of funding available for startups, such as the Boston Loan Development Corporation.
Omaha, Nebraska, Warren Buffet's home, is one of the best places in the U.S. to start a business. One major reason for this is the incredibly low cost of living that the city offers. Many businesses have realized the potential of Omaha as a startup hub and the city is now home to more than 12,000 businesses.
According to Small Business CEO, there are 138 business owners for every 10,000 people and there are a total of 866,454 people in the city. There is also a relatively low unemployment rate in the city at 3.6 percent. A lot of companies in the financial sector are located in Omaha.
Nashville is a major metropolitan city in the south and an ideal place for new business owners. The Entrepreneur Center located in this city helps startups in various industries, such as technology, digital media, and entertainment.
Like Omaha, one of the biggest perks of starting a business in Nashville is the low cost of living. Business costs are equally low, with research showing that the business costs in this city are 5 percent lower than the national average. For every 10,000 people in Nashvillle, there are 123 business owners.