Texas claimed three of the top 10 spots for best metros to start a business in the U.S. according to a new study from 42 Floors.
Austin was the highest-ranked city at No. 3, followed by Dallas at No. 8 and Houston at No. 9. San Antonio was also included in the list, coming in at No. 19.
According to the study, Dallas had the fifth-largest share of startups, with 40.5 percent of companies established less than five years ago. Also, Dallas office space is $1,300 cheaper than the equivalent space in Houston, coming in at $28,400 per year.
Las Vegas took home the top spot, with the report highlighting the business ecosystem and networking opportunities.
Dallas is a Great Place For Start-Ups
John Briggs, commercial real estate director with RHA Commercial, said Dallas and Texas as a whole have so many advantages. Some of these include that it is a right-to-work state with no state income tax.
He also noted the availability and affordable land and that the state’s legislation supports business development and growth.
Briggs said Dallas and Texas have a plethora of options for employees, with many of the Big 12 school’s graduates moving to Houston, Dallas, and Austin, providing new businesses a strong workforce.
“It’s just going to keep on growing and people are going to keep on coming,” Briggs said.
Briggs said cities in the Rust Belt, such as Detroit and Cleveland, are failing and Dallas is capitalizing, especially in the warehouse and distribution industries. He noted Texas’ geographic location and proximity to major markets, and this sector really took off during the COVID-19 pandemic with the spike in online ordering and shipping.
Briggs, who has been in the industry for 30 years, said forecasts call for Dallas to keep growing and called the city “recession-proof,’ as there are numerous businesses and employees moving to the city from California and New York.
“There’s nothing that’s going to stop us,” he said, “people want to move to Texas.”
