The top 25 cities in the U.S. for owning a business were chosen based on several key factors: the health of small business in each metro area, the rate of small business creation, and the economic ecosystem for entrepreneurs, including cost of doing business, tax climate and local talent pool.
Topping the list was the Riverside-San Bernardino metro area, which is located about 60 miles east of Los Angeles. This area is hub for IT, advanced manufacturing, food processing, health as well as professional services – it’s a magnet for both younger people and immigrants. The average revenue for Riverside-San Bernardino was $1.4 million, ahead of New York and San Francisco.
Taking the No. 2 spot is Chicago, which has an abundant technology talent pool that helps drive the growth of entrepreneurship. Another big draw for small business is Chicago’s low overhead, which is considerably lower than both New York and San Francisco. Chicago’s 2014 occupancy costs ranged from $27 to $50, compared to $83 to $121 for New York and $68 to $108 for San Francisco.
View the full list of the top 25 hot spots for owning a small business.
“A new survey ranks the Riverside-San Bernardino metro area in California as the No. 1 place to start a business, outpacing Silicon Valley.”