While major cities obviously still play a key part in business, such as New York and Chicago, there are plenty of other cities around the United States which are now up and coming business locations. While it may not be unusual for business giants to flock to a particular location in a country or city, it’s nice to see that huge corporations are finally branching out to explore new places to build offices. As businesses will obviously want to be located somewhere that has low business tax rates and financial programmes, as well as perhaps a low cost of living, a lot of research needs to be carried out to find the most ideal business location for their needs. While one location may be more suitable for one type of business than another, generally businesses will be drawn to similar offers and benefits.
How to choose which location?
Obviously a telling factor and good indication of whether you should set up offices in a particular location is whether some of the most famous names in business, such as Apple and Facebook have set up offices there. Quite surprisingly, they seem to have spread out around the United States, rather than all flocking to one particular area. For example, Coca Cola have their offices based in Atlanta, which is becoming one of the hottest cities in the south, and is now the base for innovative companies such as Nuracode and We&Co. While Google and IBM have decided that Boulder is the location for them, as it has the highest concentration of software engineers per capita in the U.S. according to a study in 2012 by the American Electronics Association.
While some smaller businesses may be more motivated to move somewhere where huge corporations such as Google and Coca Cola have relocated to, other companies spend a lot of time carrying out their own research into what that particular area may offer. For example, Provo has decided to show its support for small businesses with a dedicated entrepreneurial hub called the Startup Building which provides a communal workspace with desks for rent. The city also boasts a cost of living that is 5.5% lower than the national average, and between 2014-15 the number of non-farm jobs grew by 6.9% – the highest rate in the country.
Which cities offer what?
While Provo offers a great system for start-up businesses, other cities offer different benefits. Austin in Texas is home to some of the well-known tech giants around the world, such as Facebook and Apple, and it’s not surprising to discover why, as Texas is one of the seven states in which individuals and corporations don’t pay income tax. In addition to this, it was ranked as the healthiest small business climate in the south by On Numbers in 2010, 2011 and 2012, as it is increasingly attracting young professionals to the area. Then there’s Minneapolis, the second-largest economic center in the Midwest, which boasts a range of financing programs to help local businesses and has the 15th lowest business-tax rate; while locations such as Salt Lake City can offer access to many resources from the University of Utah, one of the country’s leading biomedical and chemical research institutions, as well as favorable corporate and property tax incentives.
Even though already-established cities will continue to boom in business, the benefits on offer from smaller, lesser-known cities are becoming more attractive to corporations. The fact that tech giants such as Facebook and Apple have already begun to embrace these benefits from smaller cities just goes to show how valuable they can really be. If you’re thinking of relocating your offices, or indeed your home to move closer to a new booming business location, take a look at our list of cities below to find out which one would be best suited to you.
About the author: Jessie Avery is an insurance agent and representative of Colonial Life. They regularly provide advice and opportunities for small business owners.
