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5 Reasons Texas is a Great Place for Entrepreneurs

Jess Young by Jess Young
September 21, 2020
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Starting a small business is a tricky thing, and often requires a lot to go right for success. That means that the more things you have in your favour, the better your chances of success. One of the biggest considerations many entrepreneurs don’t even think about is starting their business outside of where they currently live and looking for areas which might be more beneficial for small businesses. That’s where WalletHub’s rankings of the top states to start a small business comes in. Ranking all 50 states in the order of which offers the best reasons to make it the home of your new business, Texas is listed in the prime number one position as the best state for small businesses. Let’s have a quick look at why.

You Won’t Struggle for Talented Staff

The first thing that you’ll need to do when you start to grow your business is recruit some staff, and you’ll find a deep talent pool available to you in Texas. Hiring the right team to back you and enable the expansion of your business can make or break your success, so finding the right team is crucial. Thanks to a strong education system and large metropolitan populations who attend both the many great universities in the state and universities out of state, returning once they have completed their education, there is a great base to pool from. 

Texas Offers Great Tax Benefits

When you first start out on the road to business success, tax will often be one of the biggest expenses for a business. Making for the perfect environment, many people choose Texas due to the tax benefits. The state followed suit behind Delaware and Nevada and now offers a corporate tax-free environment in which to conduct business, meaning that tax is one cost that won’t weigh heavily on your ability to be successful and grow as a company. The economy in Texas benefits from these tax incentives too, so residents of the state have more spending power and in turn business can be easier in the great state of Texas.

It’s an Innovation Hub

Just like the tech startup capital of the world, Silicon Valley in California, Texas prides itself on being a state that is a hub of innovation for new and groundbreaking ideas. Texas boasts a thriving technology and media economy, driven by events like South by South West (SXSW) and a huge transport network that covers the whole state. This not only means that the state is very connected but no matter where your business is situated, you’re likely to find new faces and potential customers coming through town daily. The biggest industries in Texas right now include biotechnologies, energy, refineries, aerospace and aviation and technology – all industries that are thriving.

Texas is a Friendly State

Not only is Texas first on the WalletHub list of best business states, they also received an A grade on the US’ Small Business Friendliness Survey. They received this honor because of all the reasons in this list – ease of staff recruitment, their tax benefits, training programs and multiple others. The survey collects responses from business owners all over the country to determine the scores and if the people of Texas rate the state as a great place to do business as an entrepreneur, you can be very sure that’s the truth!

With four compelling reasons for you to make the decision to up shop in Texas as an entrepreneur, following in the footsteps of industry giants like Exxon Mobile and American Airlines should be an easy choice. After all, everything is bigger in the Lone Star state!

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