Midwest cities overwhelmingly dominated the list of best cities for small business in America.
It's official: The White House says May 1-7 is National Small Business Week, so this week must be a celebration of small businesses in the United States.
According to the White House press release: “Responsible for creating nearly two-thirds of net new jobs in the United States each year and employing more than half of all Americans, small businesses have always been a vital part of our country's economy. As outlets for creativity and ingenuity, small businesses do more than create jobs and foster growth -- they represent the spirit that has always driven our Nation forward. Throughout National Small Business Week, we celebrate the irreplaceable role these enterprises play in our national life by pledging to support them and equip them with the tools and resources they need to succeed.”
In honor of National Small Business Week, the personal finance website WalletHub has determined the Best Cities to Start a Business. It examined the 150 most populated U.S. cites, not including surrounding suburbs, and ranked them accordingly.
The validity of the report comes from the 16 metrics WalletHub used to determine its list order. The metrics fell into three categories: Business Environment (including length of average work week, average growth of small businesses, and number of startups per 100,000 residents), Access to Resources (including financing availability, venture investment per capita, and human capital availability) and Costs (including office space affordability, labor costs and cost of living).
The data used to create the rankings came from sources such as the U.S. Census Bureau, the Bureau of Labor Statistics, the National Venture Capital Association and others.
With all of that information, WalletHub determined the Best City to start a business is Sioux Falls, S.D., which finished in the top 10 in Business Environment and 12th in Cost.
The quickly growing community of Grand Rapids, Mich., finished second with top 20 rankings in Business Environment (16) and Cost (13).
The Midwest did very well in the list, with the top five finishers, including No. 3 Oklahoma City, No. 4 Lincoln, Neb., and No. 5 St. Louis. Salt Lake City was the first western city at No. 6, Charlotte represented the Southeast at No. 7 and the first Northeastern city was Boston at No. 14.
Although it finished 83rd overall, Huntington Beach, Calif., had the top ranking for Business Environment. Boston ranked No. 1 in Access to Resources, and Springfield, Mo., the state’s capital, ranked first for Cost.
The entire list and all corresponding data can be read here.
Kent McDill is a staff writer for Millionaire Corner. McDill spent 30 years as a sports writer, working for United Press International and the Daily Herald of Arlington Heights, Ill. From 1988-1999, he covered the Chicago Bulls for the Daily Herald, traveling with them every day through the nine-month season. He also covered the Bulls for UPI from 1985-88, and currently covers the team for www.nba.com. He has written two books on the Bulls, including the new title “100 Things Bulls Fans Should Know And Do Before They Die’, published by Triumph Books. In August 2013, his new book “100 Things Bears Fans Should Know And Do Before They Die” gets published.
In 2008, he resigned from the Herald and became a freelance writer. The Herald hired him to write business features and speeches for the Daily Herald Business Conferences and Awards presentations.
McDill also writes a monthly parenting column for the Herald’s Suburban Parent magazine.
McDill is the father of four children, and an active fan of soccer, Jimmy Buffett and all things Disney.