Young entrepreneurs hoping to strike startup gold have a lot to take into consideration, and which U.S. city will provide the friendliest environment and the best shot at success for their new venture should absolutely be on the list.
To determine the best cities for young entrepreneurs, personal finance site NerdWallet looked at cities across the country and measured factors including access to funding, opportunities for networking and mentorship, the local economy, and cost of living.
To assess how easy it is to get your startup funded, NerdWallet reviewed the dollar value of small business loans–commercial and industrial loans under $250,000–in each city, loaned per capita by banks with less than $10 billion in total assets, during 2013.
Networking and mentorship opportunities were gauged by determining the number of businesses per 100 residents in a city and its surrounding metro area, the percentage of residents age 25 to 34, and the percentage of the population over age 25 with a bachelor’s degree or greater certification.
Local economies were evaluated based on a city’s per capita income and unemployment rate, and cost of living was used as a measure of a city’s affordability.
When young would-be entrepreneurs are taking the many factors associated with launching a business into consideration, geography should absolutely be among them.
One thing that people don’t necessarily think about too much, at least compared to the business idea itself and getting it running, is where to get the business running. Ultimately, that’s a factor that could affect the success of a small business, so that’s what we’re really trying to get at here. Some of these cities you don’t necessarily think about when you think ‘small business’ or ‘entrepreneurship,’ and it’s important to look at where small local economies are that are conducive to entrepreneurship.
- No. 12 Raleigh, North Carolina
- No. 18 Durham, North Carolina