Although the location of your startup’s headquarters cannot predetermine whether it will be successful or fold up within the first three months, it still has an enormous influence on its future. So, if you are thinking of starting a new business, it is a very good idea to think long and deep on where you are going to do it. Here are top five locations that will be the best to start out in 2015.
1. Silicon Valley, California
Silicon Valley is widely believed to be the place to get your startup going, and this opinion is not far from truth. Local funding potential (startups here raise on average 32% more capital than in other locations), support network, incredible atmosphere and sheer concentration of the best IT-oriented minds in the world make it a wonderful place to start out, and start out big. Of course, getting your startup from the ground in Silicon Valley is still a question of very long odds, but in the recent years the way it works changed: Silicon Valley turned into a veritable startup producing machine, a Darwinian environment where only the fittest can survive, but those that survive invariably prosper.
2. Austin, Texas
One of the best places to launch a startup in the United States outside of Silicon Valley. For decades Austin boasted of technological mindset, being the headquarters of such companies as IBM, Texas Instruments and a plethora of smaller hardware firms – and presently this tendency is stronger than ever. Low cost of living, well-educated population (latest studies show that about 40% of local residents have Bachelor’s degree or higher), low unemployment rates and the fact the Texas is one of the states with no individual or corporate income tax makes it one of the most attractive options for any USA-based startup.
3. Seattle, Washington
Located very close to Silicon Valley, Seattle is far from being overshadowed by it; on the contrary, it thrives due to this proximity, for people from Silicon Valley easily change their place of work for Seattle and vice versa, which creates constant exchange of creative thought and networking possibilities. One may think that in a place so thoroughly dominated by two IT giants, Microsoft and Apple, Seattle is no place for a startup – but according to Startup Genome’s study, it has the third best startup ecosystem globally, not just in the United States – a thing to consider, at the very least.
4. New York City, New York
Although New York is far from being the cheapest place to start out, there is always a lot of money to be had there if your enterprise is a worthy one. East Coast investors tend to concentrate their attention on local startups and, if your business is consumer-oriented, here you are dealing with one of the greatest consumer markets in the world. So, it is a good place if you have big plans and hope to attract big money – otherwise local costs may turn out to be a little too steep.
5. São Paulo, Brazil
And finally a little suggestion for an overseas nature. Prior to the Eurozone crisis of 2010 Brazilian economy enjoyed a steady growth for some years, and even during its course it slowed down less than, let’s say, China and Japan. Most startup-oriented sources agree that it will continue to grow in future, and will show a better share of Internet and mobile-aimed startups than now, thusbecoming an excellent goal for nearshore outsourcing for American and Canadian firms. Brazil has all that is necessary to become one of the startup capitals in the near future.
Choosing a correct location for your startup is just a part of a successful launch of business; but a very important part nonetheless. Make the right choices with Techwench!