FitSmallBusiness

Complete Ranking of Best and Worst States to Start a Business 2019 – Complete Data

Startup Costs & Funding – 10%

STATE
Cost of Incorporation Filing Fee
Ranking (1 = worst)
Total Business Loans
Ranking (1=worst)
Avg Total
Startup Costs & Funding - 10%
Texas
$310
2
$6,800,000,000
46
24
2.4
Colorado
$50
33
$1,900,000,000
35
34
3.4
Washington
$200
7
$1,800,000,000
34
20.5
2.05
Missouri
$58
30
$1,200,000,000
30
30
3
Florida
$78.75
24
$5,600,000,000
44
34
3.4
Michigan
$60
29
$2,100,000,000
37
33
3.3
Tennessee
$125
16
$1,100,000,000
29
22.5
2.25
New Hampshire
$100
20
$378,000,000
10
15
1.5
Virginia
$79
23
$2,000,000,000
36
29.5
2.95
Utah
$72
26
$960,500,000
24
25
2.5
South Dakota
$150
12
$263,200,000
8
10
1
Massachusetts
$295
3
$1,900,000,000
35
19
1.9
Georgia
$100
20
$2,300,000,000
38
29
2.9
Ohio
$125
16
$2,400,000,000
39
27.5
2.75
Oklahoma
$52
32
$778,800,000
23
27.5
2.75
Montana
$70
27
$422,500,000
13
20
2
Alabama
$165
9
$981,800,000
27
18
1.8
New York
$145
13
$5,700,000,000
45
29
2.9
North Carolina
$125
16
$2,500,000,000
40
28
2.8
Pennsylvania
$125
16
$3,300,000,000
43
29.5
2.95
Wyoming
$103
18
$188,000,000
2
10
1
Delaware
$140
14
$261,700,000
7
10.5
1.05
South Carolina
$135
15
$980,300,000
26
20.5
2.05
North Dakota
$100
20
$232,700,000
5
12.5
1.25
Minnesota
$160
10
$1,400,000,000
31
20.5
2.05
Wisconsin
$100
20
$1,000,000,000
28
24
2.4
Illinois
$175
8
$2,800,000,000
41
24.5
2.45
Oregon
$100
20
$1,100,000,000
29
24.5
2.45
Maryland
$155
11
$1,500,000,000
32
21.5
2.15
Kansas
$90
21
$487,300,000
16
18.5
1.85
Mississippi
$50
33
$524,600,000

18

25.5
2.55
California
$105
17
$13,500,000,000
47
32
3.2
Nevada
$75
25
$744,300,000
22
23.5
2.35
Arizona
$60
29
$1,700,000,000
33
31
3.1
New Jersey
$125
16
$3,200,000,000
42
29
2.9
Alaska
$250
4
$228,900,000
4
4
0.4
Indiana
$90
21
$1,200,000,000
30
25.5
2.55
Nebraska
$65
28
$481,700,000
15
21.5
2.15
Arkansas
$50
33
$647,600,000
20
26.5
2.65
Iowa
$50
33
$631,100,000
19
26
2.6
Connecticut
$455
1
$1,100,000,000
29
15
1.5
Louisiana
$100
20
$971,000,000
25
22.5
2.25
Kentucky
$55
31
$740,000,000
21
26
2.6
Hawaii
$50
33
$455,200,000
14
23.5
2.35
Idaho
$101
19
$522,700,000
17
18
1.8
Maine
$145
13
$405,800,000
12
12.5
1.25
New Mexico
$100
20
$380,900,000
11
15.5
1.55
Rhode Island
$230
5
$255,100,000
6
5.5
0.55
Vermont
$125
16
$167,400,000
 
8.5
0.85
West Virginia
$82
22
$263,700,000
9
15.5
1.55

Tax Climate – 20%

STATE
Income Tax (max %)
Corporate Tax (max %)
Sales Tax (%)
Total Taxes
Ranking (1=worst)
Tax Climate - 20%
 
Texas
0
0
6.25
6.25
48
9.6
Colorado
4.63
4.63
2.9
12.16
41
8.2
Washington
0
0
6.5
6.50
47
9.4
Missouri
6
6.25
4.225
16.48
30
6.0
Florida
0
5.5
6
11.50
42
8.4
Michigan
4.25
6
6
16.25
31
6.2
Tennessee
0
6.5
7
13.50
39
7.8
New Hampshire
0
8.5
0
8.50
45
9.0
Virginia
5.75
6
4.3
16.05
32
6.4
Utah
5
5
4.7
14.70
37
7.4
South Dakota
0
0
4.5
4.50
49
9.8
Massachusetts
5.1
8
6.25
19.35
18
3.6
Georgia
6
6
4
16.00
33
6.6
Ohio
4.997
0
5.75
10.75
43
8.6
Oklahoma
5.25
6
4.5
15.75
34
6.8
Montana
6.9
6.75
0
13.65
38
7.6
Alabama
5
6.5
4
15.50
35
7.0
New York
8.82
7.1
4
19.92
16
3.2
North Carolina
5.75
6.9
4.75
17.40
27
5.4
Pennsylvania
3.07
9.99
6
19.06
19
3.8
Wyoming
0
0
4
4.00
50
10.0
Delaware
6.6
8.7
0
15.30
36
7.2
South Carolina
7
5
6
18.00
24
4.8
 
North Dakota
2.9
5.2
5
13.10
40
8.0
Minnesota
9.85
9.8
6.875
26.53
3
0.6
Wisconsin
7.65
7.9
5
20.55
11
2.2
 
Illinois
4.95
9.5
6.25
20.70
10
2.0
Oregon
9.9
7.6
0
17.50
26
5.2
Maryland
5.75
8.25
6
20.00
14
2.8
Kansas
4.6
7
6.5
18.10
23
4.6
Mississippi
5
7
7
17.00
29
5.8
California
13.3
5
7.25
29.39
1
0.2
Nevada
0
8.84
6.85
6.85
46
9.2
Arizona
4.54
0
5.6
17.11
28
5.6
New Jersey
8.97
6.97
6.625
24.60
5
1.0
Alaska
0
9
0
9.40
44
8.8
Indiana
3.3
8.5
7
18.80
20
4.0
Nebraska
6.84
7.81
5.5
20.15
13
2.6
Arkansas
6.9
6.5
6.5
19.90
17
3.4
Iowa
8.98
12
6
26.98
2
0.4
Connecticut
6.99
9
6.35
22.34
7
1.4
Louisiana
6
8
4.45
18.45
22
4.4
Kentucky
6
6
6
18.00
24
4.8
Hawaii
8.25
6.4
4
18.65
21
4.2
Idaho
7.4
7.6
6
21.00
9
1.8
Maine
7.15
8.93
5.5
21.58
8
1.6
New Mexico
4.9
7.6
5.125
17.63
25
5.0
Rhode Island
5.99
7
7
19.99
15
3.0
Vermont
8.95
8.5
6
23.45
6
1.2
West Virginia
6.5
7.75
6
20.25
12
2.4

Cost of Living – 10%

STATE
Cost of Living Index
Ranking (1=worst)
Avg. Real Income (Per Capita)
Ranking (1=worst)
Avg. Total
Cost of Living - 10%
Texas
91.4
40
$57,493
28
34.0
3.40
Colorado
107.3
15
$61,927
39
27.0
2.70
Washington
109.3
13
$61,192
37
25.0
2.50
Missouri
88.6
47
$56,258
24
35.5
3.55
Florida
99.1
23
$49,674
5
14.0
1.40
 
Michigan
90.2
41
$54,635
20
30.5
3.05
Tennessee
89.4
45
$52,586
14
29.5
2.95
New Hampshire
106.6
16
$66,955
49
32.5
3.25
Virginia
101.1
20
$64,646
43
31.5
3.15
 
 
Utah
100
21
$64,858
44
32.5
3.25
South Dakota
98
25
$60,110
33
29.0
2.90
Massachusetts
129.2
8
$66,069
48
28.0
2.80
Georgia
91.6
37
$55,339
21
29.0
2.90
Ohio
93
35
$57,259
27
31.0
3.10
 
Oklahoma
87.1
49
$54,024
18
33.5
3.35
Montana
105.9
17
$52,225
10
13.5
1.35
 
Alabama
89.6
44
$51,573
8
26.0
2.60
 
New York
134
3
$52,775
15
9.0
0.90
North Carolina
94.5
32
$52,445
12
22.0
2.20
Pennsylvania
98.4
24
$56,897
26
25.0
2.50
Wyoming
89.1
46
$62,593
40
43.0
4.30
 
Delaware
104.7
18
$61,011
36
27.0
2.70
South Carolina
97.8
27
$52,312
11
19.0
1.90
North Dakota
99.6
22
$65,609
46
34.0
3.40
Minnesota
103.2
19
$65,183
45
32.0
3.20
Wisconsin
96.8
28
$59,762
31
29.5
2.95
 
Illinois
95.7
29
$59,767
32
30.5
3.05
Oregon
129.4
6
$54,585
19
12.5
1.25
 
Maryland
129.3
7
$69,203
50
28.5
2.85
Kansas
89.9
43
$59,631
30
36.5
3.65
Mississippi
86.4
50
$47,092
1
25.5
2.55
 
California
137.2
2
$56,878
25
13.5
1.35
 
Nevada
108.8
14
$53,501
16
15.0
1.50
Arizona
97.9
26
$53,526
17
21.5
2.15
New Jersey
122.3
9
$63,688
41
25.0
2.50
Alaska
130.5
5
$69,465
51
28.0
2.80
 
Indiana
90
42
$55,713
22
32.0
3.20
Nebraska
94.8
31
$60,702
35
33.0
3.30
Arkansas
88.5
48
$48,049
3
25.5
2.55
Iowa
91.5
39
$60,616
34
36.5
3.65
Connecticut
133
4
$65,636
47
25.5
2.55
Louisiana
93.1
34
$50,471
6
20.0
2.00
Kentucky
95
30
$51,033
7
18.5
1.85
Hawaii
188.9
1
$61,857
38
19.5
1.95
Idaho
94
33
$51,686
9
21.0
2.10
Maine
115.9
12
$52,545
13
12.5
1.25
New Mexico
91.5
38
$48,074
4
21.0
2.10
 
Rhode Island
120.8
10
$58,838
29
19.5
1.95
Vermont
117.2
11
$56,093
23
17.0
1.70
 
West Virginia
92.5
36
$47,265
2
19.0
1.90
 

Quality of Life – 10%

STATE
Natural Environment
Social Environment
Avg Ranking (Natural & Social) - Lower is better
Ranking (1=worst)
Safety Ranking
Avg. Total
Quality of Life - 10%
Texas
38
46
46
5
47
26.0
2.60
Colorado
8
20
10
41
24
32.5
3.25
Washington
7
24
21
30
10
20.0
2.00
Missouri
14
18
15
36
43
39.5
3.95
Florida
1
45
33
18
46
32.0
3.20
Michigan
35
23
29
22
34
28.0
2.80
Tennessee
24
32
28
23
39
31.0
3.10
New Hampshire
13
7
4
47
5
26.0
2.60
Virginia
39
44
41
10
19
14.5
1.45
Utah
41
6
22
29
4
16.5
1.65
South Dakota
6
14
5
46
38
42.0
4.20
Massachusetts
3
42
25
26
9
17.5
1.75
Georgia
15
38
32
19
37
28.0
2.80
Ohio
48
29
40
11
30
20.5
2.05
Oklahoma
28
9
17
34
48
41.0
4.10
Montana
33
2
13
38
40
39.0
3.90
Alabama
43
27
35
16
44
30.0
3.00
New York
10
48
37
14
23
18.5
1.85
North Carolina
37
25
34
17
17
17.0
1.70
Pennsylvania
45
41
44
7
28
17.5
1.75
Wyoming
11
19
11
40
21
30.5
3.05
Delaware
23
40
24
27
15
21.0
2.10
South Carolina
22
33
30
21
41
31.0
3.10
North Dakota
2
3
1
50
20
35.0
3.50
Minnesota
12
4
2
49
3
26.0
2.60
Wisconsin
20
5
3
48
12
30.0
3.00
Illinois
50
35
47
4
35
19.5
1.95
Oregon
19
15
18
33
13
23.0
2.30
Maryland
29
26
31
20
16
18.0
1.80
Kansas
16
16
16
35
36
35.5
3.55
Mississippi
9
17
6
45
50
47.5
4.75
California
44
47
50
1
32
16.5
1.65
Nevada
30
50
43
8
29
18.5
1.85
Arizona
40
34
39
12
22
17.0
1.70
New Jersey
32
49
49
2
18
10.0
1.00
Alaska
42
1
19
32
42
37.0
3.70
Indiana
46
43
48
3
14
8.5
0.85
Nebraska
21
13
14
37
26
31.5
3.15
Arkansas
5
21
7
44
45
44.5
4.45
Iowa
18
10
9
42
11
26.5
2.65
Connecticut
36
39
38
13
6
9.5
0.95
Louisiana
49
31
42
9
49
29.0
2.90
Kentucky
34
22
27
24
31
27.5
2.75
Hawaii
31
37
36
15
8
11.5
1.15
Idaho
26
1
20
31
27
29.0
2.90
Maine
25
8
12
39
2
20.5
2.05
New Mexico
17
11
8
43
33
38.0
3.80
Rhode Island
4
36
23
28
7
17.5
1.75
Vermont
27
28
26
25
1
13.0
1.30
West Virginia
47
40
45
6
26
16.0
1.60

Labor Market – 20%

STATE
Unemployment Rate
Ranking (1=worst)
Percent of residents with a bachelor's degree
Ranking (1=worst)
Avg. Total
Labor Market - 20%
Texas
3.8
15
30.70%
29
22
4.40
Colorado
3.7
16
39.40%
46
31
6.20
Washington
4.5
8
34.50%
37
23
4.50
Missouri
3.2
20
28.20%
19
20
3.90
Florida
3.5
17
28.50%
21
19
3.80
Michigan
4
13
28.10%
18
16
3.10
Tennessee
3.2
20
26.10%
10
15
3.00
New Hampshire
2.4
26
36.00%
40
33
6.60
Virginia
2.9
23
37.60%
42
33
6.50
Utah
3
22
32.50%
33
28
5.50
South Dakota
2.9
23
27.80%
17
20
4.00
Massachusetts
3
22
42.10%
47
35
6.90
Georgia
3.9
14
29.90%
25
20
3.90
Ohio
4.6
7
27.20%
15
11
2.20
Oklahoma
3.3
19
24.80%
8
14
2.70
Montana
3.8
15
28.70%
22
19
3.70
Alabama
3.7
16
24.50%
7
12
2.30
New York
3.9
14
35.30%
39
27
5.30
North Carolina
3.9
14
29.90%
25
20
3.90
Pennsylvania
4
13
30.10%
26
20
3.90
Wyoming
3.9
14
26.70%
11
13
2.50
Delaware
3.4
18
31.00%
30
24
4.80
South Carolina
3.2
20
27.00%
14
17
3.40
North Dakota
2.4
26
28.90%
23
25
4.90
Minnesota
3.1
21
34.80%
38
30
5.90
Wisconsin
2.9
23
29.00%
24
24
4.70
Illinois
4.3
10
33.40%
36
23
4.60
Oregon
4.4
9
32.30%
32
21
4.10
Maryland
3.7
16
39.00%
45
31
6.10
Kansas
3.4
18
32.30%
32
25
5.00
Mississippi
4.8
6
21.30%
2
4
0.80
California
4.2
11
32.60%
34
23
4.50
Nevada
4.3
10
23.70%
6
8
1.60
Arizona
5.1
4
28.40%
20
12
2.40
New Jersey
4
13
38.10%
43
28
5.60
Alaska
6.5
1
29.00%
24
13
2.50
Indiana
3.5
17
25.30%
9
13
2.60
Nebraska
2.8
24
30.60%
28
26
5.20
Arkansas
3.8
15
22.00%
3
9
1.80
Iowa
2.4
26
27.70%
16
21
4.20
Connecticut
3.8
15
38.40%
44
30
5.90
Louisiana
4.9
5
23.40%
5
5
1.00
Kentucky
4.1
12
23.20%
4
8
1.60
Hawaii
2.7
25
32.00%
31
28
5.60
Idaho
2.9
23
26.80%
12
18
3.50
Maine
3.4
18
30.30%
27
23
4.50
New Mexico
5.1
4
26.90%
13
9
1.70
Rhode Island
3.9
14
33.00%
35
25
4.90
Vermont
2.4
26
36.80%
41
34
6.70
West Virginia
5.2
3
19.90%
1
2
0.40

Business Environment – 30%

STATE
Economic Growth Rate (US avg 3.4)
Ranking (1-=worst)
Year over year percent of new businesses
Ranking (1=worst)
Business Survivability
Ranking (1=worst)
Number of Small Businesses
Ranking (1=worst)
Avg Total
Business Environment - 30%
Texas
5.00%
28
2.00%
7
79.46%
31
2,600,000
49
28.8
8.63
Colorado
3.70%
22
2.30%
10
78.12%
16
611,495
37
21.3
6.38
Washington
4.30%
26
2.60%
13
80.28%
37
590,908
36
28.0
8.40
Missouri
3.60%
21
2.00%
7
85.32%
50
523,459
32
27.5
8.25
Florida
3.00%
16
2.60%
13
78.41%
18
2,500,000
48
23.8
7.13
Michigan
3.50%
20
2.40%
11
81.47%
46
870,301
41
29.5
8.85
Tennessee
3.00%
16
2.70%
14
81.18%
44
589,546
35
27.3
8.18
New Hampshire
4.40%
27
2.20%
9
77.28%
10
133,676
11
14.3
4.28
Virginia
2.30%
9
2.50%
12
78.75%
24
723,962
39
21.0
6.30
Utah
3.90%
24
2.60%
13
78.57%
23
277,140
21
20.3
6.08
South Dakota
0.50%
1
1.50%
2
81.44%
45
85,252
6
13.5
4.05
Massachusetts
3.80%
23
2.40%
11
82.74%
48
652,661
38
30.0
9.00
Georgia
3.20%
17
2.40%
11
73.48%
1
1,000,000
45
18.5
5.55
Ohio
3.90%
24
2.20%
9
75.80%
3
944,797
43
19.8
5.93
Oklahoma
2.80%
14
1.70%
4
76.75%
6
347,165
24
12.0
3.60
Montana
2%
6
1.90%
6
80.59%
42
118,315
9
15.8
4.73
Alabama
2.70%
13
2.30%
10
80.29%
38
392,939
26
21.8
6.53
New York
4.00%
25
2.60%
13
80.01%
33
2,100,000
47
29.5
8.85
North Carolina
3.00%
16
2.20%
9
78.89%
26
890,398
42
23.3
6.98
Pennsylvania
3.20%
17
2.40%
11
80.18%
35
1,000,000
44
26.8
8.03
Wyoming
2.50%
11
1.90%
6
77.25%
9
65,462
1
6.8
2.03
Delaware
5.70%
29
2.30%
10
78.56%
22
79,417
5
16.5
4.95
South Carolina
2.90%
15
2.40%
11
80.82%
43
406,536
27
24.0
7.20
North Dakota
1.70%
4
1.60%
3
77.01%
8
72,723
3
4.5
1.35
Minnesota
2.40%
10
2.20%
9
83.93%
49
513,118
31
24.8
7.43
Wisconsin
3.20%
17
2.20%
9
79.29%
29
448,032
29
21.0
6.30
Illinois
3.50%
20
3.50%
16
78.30%
17
1,200,000
46
24.8
7.43
Oregon
3.80%
23
2.40%
11
78.44%
20
368,308
25
19.8
5.93
Maryland
2.60%
12
2.50%
12
77.50%
12
581,712
34
17.5
5.25
Kansas
2.10%
7
1.60%
3
74.20%
2
251,985
17
7.3
2.18
Mississippi
2.70%
13
1.80%
5
78.42%
19
254,598
19
14.0
4.20
California
3.40%
19
2.70%
14
82.33%
47
3,900,000
50
32.5
9.75
Nevada
3.30%
18
2.50%
12
76.89%
7
254,337
18
13.8
4.13
Arizona
2.90%
15
2.60%
13
77.85%
14
553,779
33
18.8
5.63
New Jersey
2.70%
13
2.70%
14
80.03%
34
861,373
40
25.3
7.58
Alaska
1.90%
5
1.40%
1
78.46%
21
71,841
2
7.3
2.18
Indiana
2.70%
13
2.30%
10
80.20%
36
508,924
30
22.3
6.68
Nebraska
1.90%
5
1.70%
4
77.71%
13
172,958
15
9.3
2.78
Arkansas
2.00%
6
1.80%
5
78.98%
27
247,018
16
13.5
4.05
Iowa
2.20%
8
1.70%
4
80.39%
39
267,733
20
17.8
5.33
Connecticut
3.90%
24
2.10%
8
79.67%
32
342,443
22
21.5
6.45
Louisiana
1.10%
2
2.20%
9
80.41%
40
437,437
28
19.8
5.93
Kentucky
2.20%
8
1.90%
6
79.18%
28
347,159
23
16.3
4.88
Hawaii
1.30%
3
2.70%
14
77.96%
15
128,863
10
10.5
3.15
Idaho
2.80%
14
2.20%
9
80.56%
41
158,426
14
19.5
5.85
Maine
3.20%
17
1.90%
6
88.13%
51
145,536
12
21.5
6.45
New Mexico
1.70%
4
2.30%
10
76.41%
4
154,257
13
7.8
2.33
Rhode Island
3.50%
20
2.60%
13
77.41%
11
99,821
7
12.8
3.83
Vermont
3.40%
19
2.00%
7
78.82%
25
77,683
4
13.8
4.13
West Virginia
2.90%
15
1.80%
5
79.37%
30
114,391
8
14.5
4.35