Best States To Have A Business: Where North Carolina Ranks

NORTH CAROLINA —Many factors go into determining the prosperity of a business, but each state and the groundwork it lays for potential business owners also play a big role in making or breaking a business’s chance for success.

According to a new list released by 24/7 Wall St., North Carolina is among the best for businesses. Overall, North Carolina ranks No. 6.

When looking at which states are best for business, factors such as regional policy, tax codes and availability of skilled workers come into play.

According to the study, North Carolina has a lot going for it.

“North Carolina ranks as the best state for business in the South and the sixth best nationwide,” 24/7 Wall St., said. “Part of the reason the state ranks so highly is the relatively low cost of doing business. The average retail price of electricity per kilowatt-hour is lower than in most other states and, according to the Tax Foundation, North Carolina has a more favorable business tax climate than most states.”

24/7 Wall St. also took into account the following factors in determining North Carolina’s ranking:

• Real GDP change over one year: +2.4 percent (25th best)
• Average earnings per job: $55,086 (21st lowest)
• Adults with a bachelor’s degree: 31.9 percent (20th highest)
• 2018 venture capital deals: 1.8 per 100,000 people (18th most)

To compile this year’s list of best states for business, 24/7 Wall St. created a weighted index of 42 measures to identify the best and worst states for business. These measures fall into one of eight categories: economic conditions, business costs, state infrastructure, the availability and skill level of the workforce, quality of life, regulations, technology and innovation, and cost of living.

Data sources include the Bureau of Economic Analysis, the Bureau of Labor Statistics, and the Tax Foundation, a tax policy research organization.

Four of the top five best states for business are located west of the Mississippi River. With its well-educated workforce and a high concentration of innovative startups, Massachusetts ranks as the best state for business.

The top five best states for business are:

1. Massachusetts
2. Utah
3. Colorado
4. Washington
5. North Dakota

Read more about the methodology behind the best states for business report.