Top 5 Most Popular USA States to Establish a Business

The popularity of states to establish a business can vary depending on various factors such as tax policies, regulatory environment, access to talent, industry clusters, and more.

Based on the USNews article they issued this year, the following states have characteristics that classify them as corporate-friendly. They were chosen based on these five metrics: business creation in the private sector, tax burden, the presence of top company headquarters, venture capital investment and patent creation.

  1. Massachusetts 
  • Business creation rate: 3.94%
  • Top company headquarters: 4.73 per million residents
  • Patent creation rate: 1,248.2 per million residents
  • Tax burden: 9.27%
  • Venture capital: $23.89 per $1,000 GDP
  1. California
  • Business creation rate: 3.74%
  • Top company headquarters: 3.36 per million residents
  • Patent creation rate: 1,248.7 per million residents
  • Tax burden: 9.91%
  • Venture capital: $25.27 per $1,000 GDP
  1. Delaware
  • Business creation rate: 4.29%
  • Top company headquarters: 8.84 per million residents
  • Patent creation rate: 327.1 per million residents
  • Tax burden: 10.4%
  • Venture capital: $20.09 per $1,000 GDP
  1. Washington
  • Business creation rate: 3.78%
  • Top company headquarters: 2.18 per million residents
  • Patent creation rate: 1,146.3 per million residents
  • Tax burden: 9.01%
  • Venture capital: $8.76 per $1,000 GDP
  1. Colorado
  • Business creation rate: 4.3%
  • Top company headquarters: 3.60 per million residents
  • Patent creation rate: 634.5 per million residents
  • Tax burden: 8.67%
  • Venture capital: $8.66 per $1,000 GDP

Please note that the business landscape can change over time, and economic conditions, policies, and regional advantages can shift. It’s crucial to conduct up-to-date research and consider your specific industry and business needs when choosing a state to establish your business.

Therefore, it’s wise to consult with experts or local business development organizations for the most current information and guidance.

Contact us at FD Global Connections to plan and implement your US entry, and open the door to new horizons.