📺 Stream EntrepreneurTV for Free 📺

These 10 States Make it Easier to Start a Business Start your next venture in a business-friendly climate.

By Grace Reader

entrepreneur daily

Opinions expressed by Entrepreneur contributors are their own.

Shutterstock

If you're looking to start a small business, you have likely considered target markets, financing and growth strategies, but don't forget one of the most important factors: location.

Related: How to Find the Best Location

Thumbtack, a service that connects people with businesses and licensed professionals, rated 35 states and 78 cities on overall small-business friendliness.

The survey asked 12,000 small-business owners about government policies in their areas, rating locations on ease of starting a business, ease of hiring and other business related regulations and codes.

Related: Rating the Best -- and Worst -- States to Do Business

Cities and states that make regulatory practices easier -- especially for licensing, taxes and employment -- generally rated better. Those surveyed said that regulations are often one of the biggest obstacles to overcome when starting a business.

For more on the methodology of the survey, click here. For a look at the 10 best states to start a business, continue on to the slideshow below.

10. South Carolina

Best: A for training and networking programs

Worst: C- for ease of hiring

9. Oregon

Best: A+ for ease of starting a business

Worst: D for zoning

8. Arkansas

Best: A+ for environmental factors

Worst: C+ for ease of hiring

7. Virginia

Best: A for ease of hiring

Worst: C- for training and networking programs

6. Kansas

Best: A+ for ease of hiring

Worst: F for training and networking programs

5. Colorado

Best: A+ for training and networking programs

Worst: C- for zoning

4. Georgia

Best: A+ for overall friendliness

Worst: C- for training and networking programs

3. Tennessee

Best: A+ for overall friendliness

Worst: C- for training and networking programs

2. Utah

Best: A+ for overall friendliness

Worst: D+ for environmental factors

1. Texas

Best: A+ for overall friendliness

Worst: B for training and networking programs
Grace Reader

Contributor

Grace Reader is a former editorial intern at Entrepreneur.com and a current freelance contributor. She is a third year journalism and media communication major at Colorado State University. Grace is the PR and marketing manager at Colorado State University's Off-Campus Life, and a sports anchor at CTV Channel 11. 

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Editor's Pick

Side Hustle

Her 'Crude Prototype' and $50 Craigslist Purchase Launched a Side Hustle That Hit $1 Million in Sales — Now the Business Generates Up to $20 Million a Year

Elle Rowley experienced a "surge of creative inspiration" after she had her first baby in 2009 — and it wasn't long before she landed on a great idea.

Business Ideas

63 Small Business Ideas to Start in 2024

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2024.

Franchise

Franchising Is Not For Everyone. Explore These Lucrative Alternatives to Expand Your Business.

Not every business can be franchised, nor should it. While franchising can be the right growth vehicle for someone with an established brand and proven concept that's ripe for growth, there are other options available for business owners.

Leadership

There Are 4 Types of Managers. Take This Quiz to Find Out Which You Are, and If You're In the Right Line of Work.

Knowing your leadership style, and whether it suits the work you're doing and the team you have, is the first step in living up to your leadership potential.

Business News

Passengers Are Now Entitled to a Full Cash Refund for Canceled Flights, 'Significant' Delays

The U.S. Department of Transportation announced new rules for commercial passengers on Wednesday.