When entrepreneurs begin to think about where they should establish their companies, they must consider a number of questions. These questions range from business-specific considerations, like whether the city has the right target demographics for the product or service, to broader concerns, like the cost of living.
Last year, Forbes published a list of the best cities for startups. This list took a number of factors into account, such as the concentration of small businesses, number of small businesses in high-growth industries, and the success of these startups. In addition, the authors of the list took into account the fact that entrepreneurs look for cities with access to resources and community engagement more so than those with high income levels. The Forbes list included San Diego, Denver, Austin, Seattle, Portland, and Dallas, as well as Chicago, San Francisco, and New York.
While establishing a company in one of these cities may sound like a great idea, entrepreneurs also need to think about their support networks. When they move to create a company, their friends and extended families will not likely follow them. Often, these individuals offer the most important support during stressful times. Sometimes, home is the best place to start a business precisely because of the built-in support network that already exists there.