Georgia and Nevada top list of best states for startups

4/6/2011

When entrepreneurs are thinking about starting a new company, location often plays a critical role. However, most small business owners may be surprised to learn that the best place to start a company isn't one of the major states in the country, such as Massachusetts, California or New York.

According to a new report, conducted by the Kauffman Foundation and CNN Money, the best places to start a new company are Nevada and Georgia. These two states have the highest rate of new startups per the adult population.

Nevada is popular because there are no personal or business income taxes, which save new companies a tremendous amount of money. The state also has a high number of unemployed laborers, another attractive factor for startups.

Meanwhile, the Georgia school system produces a number of bright entrepreneurs each year and it also supports its students as they create their own companies, which is why there are an abundance of startups in that state.

With small business lending slowly easing, many entrepreneurs are starting their own companies. These individuals may want to consider heading out to Nevada to take advantage of the perks offered to new startups.