Looking to start a new business? Your location plays a huge role in your future success. Discover the five best-ranked cities to startup in 2023!
Starting a business in today’s competitive marketplace can be quite tricky. You need money to invest, and you need to practice leading strategies to get the most out of your money.
So, you need to pay attention to various aspects, the first of which is financing. You’ll also need to track the startup failure and demographic statistics. Some cities are more favorable in this regard and will therefore facilitate your journey. Fast forward, location plays a key role!
Here’s a list of the top 5 cities in the world in 2023 to start your business to boost your chances of success. And fortunately, if things go the wrong way, you can always explore the best startup business loans to give you extra support and get you back onto your feet.
The ranking follows the StartupBlink statistics and is done by adding points from three different categories. The first is quantity, meaning the number of startups in the city. The second category is the quality of the businesses. The points from the third category are given depending on multiple business and economic indicators.
Let’s get right into it!
In the lead is San Francisco, with a total score of around 550.
The ranking for this city is so high because of the plenty of investors prepared to put money into new startup businesses. Also, a big role plays the number of other founders in the Bay Area and Silicon Valley and the startup ecosystem. If the term is yet unfamiliar, a startup ecosystem is a system formed by many startups working together to create new companies in the same location.
Currently, more than 4,000 startups are based in San Francisco. Many of them are very successful and known worldwide.
The second place is reserved for New York, having a total score of 217. It’s no surprise that New York is in the top 5, considering its diverse population and vibrant economy. They both provide a wide range of opportunities for investors.
However, this city has a negative side, keeping in mind that New York is quite expensive, and planning a business trip can be tricky. Not to mention fully moving there. It would help if you thought about the financial aspect.
Despite the cost, New York is home to over 10,000 startups currently. The number of startups has been growing because of the many well-developed fields, such as fintech, ecommerce, delivery services, real estate, financial services, and fashion. Still, these are just some options for loads of young entrepreneurs willing to invest. The list of opportunities is in reality, much longer.
London is the only city in the top 5 that is not a part of the United States. The city has a total score of about 126 and the most points in the business and economic indicators category.
London is known for having the best ecosystem in Europe. Because of this, London is considered one of the main locations for startups attracting many entrepreneurs every year.
In London are based many of the biggest startups, including the three leading banks in the United Kingdom: HSBC, Barclays, and Lloyds Banking Group.
In fourth place is Los Angeles, with a total score of 114. Even though Los Angeles had a downgrade throughout the pandemic, and the global funding was lowered by 69%, Los Angeles is still in the top 5.
The success of the startups in Los Angeles is a product of great government support regarding taxes and, of course, highly skilled talent.
Right behind Los Angeles, with a score of 108, is Boston. This city is in the top 5 because of its leadership teams of the best CEOs, vice presidents, and financial officers.
We must also mention the revenue potential in Boston, as well as the competitive landscape. And finally, the product traction, meaning there is evidence that the product or service is being sold and used. People investing in your business want physical proof that your financial ideas aren’t just dreams.
Considering that representation matters, private events such as business meetings should be held up to a higher standard. Boston is the right place to do that if you are interested in starting a business.
Deciding to start a business takes work. You must pay attention to a lot of different aspects. It takes loads of work and dedication, but it will be worth it in the end if you do it right.
Choosing a location is one of many steps, but if you choose correctly, you are headed in the right direction. Your first launch and profits are just the beginning of a hopefully successful business journey.
Never let the fear of failure stop you but convert it into motivation to keep working.
