Small Business In Focus: Does Location Define Business Success?

Are you currently settled in a state that is small business-friendly?  Or are you thinking of transferring your business to a state that is more supportive of amateur entrepreneurs?  Do you seriously believe that location can really stop your business from growing?

Know the best place to start your business.  Conduct a survey of your target destination.  Location is one of the key ingredients for success, albeit it is not the only one.

Factors to Consider During Location Hunting

Level of taxes on corporate income, personal income and capital gains is one factor to consider in looking for a good business location.  Lowest-leveled states are said to be better soils for start-up entrepreneurs.  The number of bureaucrats (both for state and local), the crime rates, the minimum wage costs, right-to-work status are necessary considerations, not to mention the roles recreation opportunities, business environment and tourism play.  Of course, the population growth factor should be a major consideration when deciding on a location for your business.

Best Spots for Small Enterprising

It is no guarantee that big cities are surefire great picks for small businesses.  South Dakota, Alabama, Wyoming, New Hampshire, Texas, Mississippi, and Tennessee are some of the states small businessmen may consider.

Population-wise, Miami holds the largest market in national standings.  There may be a concentration of small businesses in the area yet this didn’t hinder its growth.  Tourism-wise, Las Vegas and Orlando top the list.  As a matter of fact, Las Vegas holds the crown for the fastest growing places based on total numbers of small businesses.  Statistics show that in three years, it has grown by around 15.7%.  Orlando came next.  Actually, all of Florida is a hit – be it Miami, Orlando or Jacksonville.

Slow-growing areas like Minneapolis-St Paul, Providence and Seattle do have cold climates yet they are still good prospective locations for small businesses.  Credit should be given to their well-educated work forces.  However, do you know which state was hailed by both Money Magazine and Forbes Magazine as the best spot?  It’s Bellevue, Washington.  Housing may be expensive here but it is a city in transition and is thus full of small business opportunities.

At the other end of the spectrum, Memphis got a less than favorable feedback.  By all indications, it seems to possess all the negative characteristics for business.  Established small businesses in the area account for only one-third of the number of small businesses in Miami.  Furthermore, the growth rate of small businesses is quite opposite that of Las Vegas.  It has also been reported that its local employment has been flat since the 90s.

Money Magazine has a list of its top 100 best cities for starting small businesses.  Forbes Magazine has its own list as well.  If you think about it, every place has its pluses and minuses.  Choosing the place where you will reside and start a business is still you decision.  Location, after all, is just one of the ingredients for business success.  You can always make a place the best business spot for you.  You only need the will to make it happen!

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