Arizona is tenth in the list of the states most interested in starting a business, according to new study.
New research has revealed the states most interested in starting a business, with Wyoming taking the top spot.
Business valuation experts at Eton Venture Services analyzed data from the United States Census Bureau on the number of business applications per state, excluding applications from corporations; the figures were weighed against the population to determine the final ranking.
Wyoming tops the list as the state most interested in starting a business, with a staggering 879.08 business applications per 100,000 residents. One of the many benefits of starting a business in Wyoming is that residents are not required to pay corporate income tax or franchise tax.
In second place is Delaware, with 423.25 business applications per 100,000 citizens. While Delaware entrepreneurs must pay a franchise tax to register a business, there are no sales or investment income taxes in this state.
Third place goes to Florida, with 229.44 business applications per 100,000 residents. The Sunshine State is particularly suitable for LLCs and S corporations as they are exempt from state income tax.
Montana takes the fourth spot, with 191.10 business applications per 100,000 people. The LLC filing fee is extremely low in Montana at just $35, with a small extra cost of $20 annually.
Georgia ranks fifth, with 185.75 business applications per 100,000 citizens. Earnings through return on investment (ROI) in The Peach State are not subject to self-employment tax as long as employees or stockholders receive compensation for labor.
In sixth place is Colorado, with 169.68 business applications per 100,000 residents. Like Montana, Colorado also has a low LLC filing fee of $50 as well as $10 every following year.
Utah is in seventh place, with 168.79 business applications per 100,000 people. The Beehive State has a low corporate income tax rate of 4.65%, one of the lowest in the country compared to other states that require this.
Next is Nevada in eighth place, with 158.12 business applications per 100,000 citizens. Nevada offers business owners no state income tax, inventory tax, or inheritance tax.
Following closely behind in ninth place is South Carolina, with 139.61 business applications per 100,000 residents. Citizens who register a new business as a corporation in The Palmetto State are not required to pay wholesale or unitary tax.
Last on the list is Arizona in tenth place, with 137.97 business applications per 100,000 people. Arizona offers several incentive programs to businesses, including the Quality Jobs Tax Credit, which offers up to $9,000 of credit for each new job created.
|
Rank |
State |
Business Applications per 100,000 people |
|
1 |
Wyoming |
879.08 |
|
2 |
Delaware |
423.25 |
|
3 |
Florida |
229.44 |
|
4 |
Montana |
191.10 |
|
5 |
Georgia |
185.75 |
|
6 |
Colorado |
169.68 |
|
7 |
Utah |
168.79 |
|
8 |
Nevada |
158.12 |
|
9 |
South Carolina |
139.61 |
|
10 |
Arizona |
137.97 |
“Many states offer various incentives for citizens who wish to start a business, so it’s fantastic to see that the top ten states are taking advantage of these, from low LLC filings fees to no income tax,” says Chris Walton, President and CEO of Eton Venture Services. “If you are considering starting your own business, regardless of whether your state has made the ranking, it’s crucial to research the incentives that each one has to offer – in some cases, relocation may even be more suitable so that you can reap the benefits.”
