The top US cities to launch a startup in 2014

By Bizclik Editor

With economic recovery and growth comes the ability and inclination to launch startups. The number of US adults reporting starting or running a new business last year grew by 12 percent and SMEs are bolstering economic growth in the US more than ever before.

With this in mind, Forbes unveiled its list of the top 12 places to launch a US startup in 2014.

The study, conducted by Tom Post, analyzed more than 27 million US businesses and came to the conclusion that startup success is down to community engagement and access to resources rather than growing job rates and income levels.


  1. More startups:The more startups that are already thriving in a city the better. Cities that have a high percentage of small businesses, tend to offer more resources that benefit them directly, thus giving them a greater chance of survival and growth.
  2. Modern POS systems:Research indicates that businesses are more likely to flourish if they stay abreast of modern payment technology. Small businesses that don’t accept credit card payments for example, are thought to lose out on thousands of sales each year. Starting your business in a switched-on city is important for success.
  3. Industry growth:National economies with the highest median family incomes correlate closely with the nation’s fastest growing industries. Industry growth can predict housing, income, and population booms, and where cities grow, their businesses reap the benefits - a benefit even to startups in businesses outside the key industries. Where there is more money, there is increased spending.
  4. Active online and social presence: Being Internet savvy is not an option in modern business, it’s a prerequisite and research shows that socially active startups receive more positive feedback from customers. The higher the percentage of small businesses with active Facebook pages and websites, the higher the changes of success as a startup. “Web presence indicates adaptability and likelihood to innovate—creating a network effect for communities dedicated to growth and positive change,” writes Post.
  5. Positive online reviews:A recent study from Pew Research Center identified small businesses as the most trusted group in the country. A large volume of positive online reviews indicates that the local community embraces and supports small businesses.


Taking the above factors into consideration, the top cities to launch a startup in 2014 are:

  1. San Diego, CA
  2. Denver, CO
  3. Austin, TX
  4. Seattle, WA
  5. Portland, OR
  6. San Francisco, CA
  7. Dallas, TX
  8. Boston, MA
  9. New York City, NY
  10. Chicago, IL
  11. Las Vegas, NV
  12. San Jose, CA

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