Texas Ranks as One of the Best States to Start a Small Biz

In the United States, small businesses are the foundation of our economy. Sure, we’re a capitalist nation that supports growth. It’s just that small businesses bear the burden of helping to grow our economy and in Texas, there’s staunch support of the business community -- in a good way.

Let’s back up. Over the last few years, small businesses have really taken off. Maybe it’s because of the gig-economy, maybe it’s because Millennials are money-hungry and partake in side hustles, or maybe it’s because there is greater diversity in the workforce. Regardless, small businesses now do not necessarily represent small businesses of the past in that we tend to think of them like the Mom & Pop Shop on the corner of an intersection in your hometown. The little pharmacy where your grandmother shopped for flowers and picked up her medication is a great representation of small businesses, but now, Etsy and other online providers help small businesses be released from the original mold of brick and mortar stores.

Truthfully, small businesses are the bread and butter of our economy and the heart of our communities. The support of the community is crucial for the success of small businesses -- whether that community is digital or in person is irrelevant -- and Texas is known for having one of the best business climates in the country which is to say the communities of the great state know the importance of small businesses and how they help shape a community by providing local jobs and impacting the town economy.

In 2018, small businesses created 80,792 jobs in Texas. There were only two other states where small businesses created more than 80,000 jobs. California and Florida, respectively creating 135,472 and 88,109 jobs, That makes Texas one of the best places to stroke the fire of the entrepreneurial spirit -- with a lower cost of living, less of an overall tax burden, and the availability of the workforce, Texas is a great place to start a small business in 2020.

In comparison to other nations, the economy of Texas -- as a state -- is the 10th largest in the world. That speaks to the business climate of the state without question. Additionally, experts say Texas has one of the lowest tax burdens in the country. When matched with a low cost of living and affordable housing, food, and education, it’s easier for people to open and maintain a small business in this state.

Plan to start a small business next year? Use this resource as a guide.