Starting a business may not be the easiest feat but with wise planning and location, the probability of a business being successful may be easier than you think. It is important to consider the choice of US state when planning your business as some have a higher success rate than others. The state of Wyoming, for example, may not be the most active state like California or New York but the overall conditions of Wyoming make it the best state to start a business. Here’s why:
Let’s start with Wyoming’s economy. According to geographical analysis Gregory McNamee, the state’s economy “is heavily tied to mining and agriculture, primarily the marketing of beef cattle and sheep.” Because Wyoming is self sufficient in finding minerals, it is an economic surplus and not reliant on donating money to other states. Other ways in which Wyoming’s economy thrives include scenic tourist attracts like Yellowstone National Park and Teton Range which rakes in millions of dollars annually. Manufacturing only plays a small factor to the economy, which may be one more reason to start a business in Wyoming.
Now, let’s discuss Wyoming’s tax climate. Unlike other states, Wyoming has no corporate income tax meaning your business won’t have to pay as much money in taxes as in other states like New York. There is also no individual income tax or gross receipts tax, according to the Tax Foundation. Also, according to reporter Andrew DePietro,”Wyoming’s sales tax is favorable, ranking in the top 25% of states for best sales tax”. Eliminating the need to pay taxes combined with Wyoming’s already strong economy means that you can safe more money by simply working in Wyoming.
But the reasons don’t start there. Wyoming also has a high opportunity share due to the state having the fourth highest rate of new entrepreneurs. The rise of interest in starting a business has, in turn, led to a strong startup activity score. The high opportunity share has also led to a great record of business survival. According to DePietro, “the ratio of business being created in Wyoming to those closing down is 1.61”.
Thanks to its economy, tax climate, and opportunity share, Wyoming is the best state to start a business. Even the least knowledgeable of entrepreneurs have a strong chance due to the state’s flexibility, decent land mass, and generous opportunity. While starting a business may sound daunting, studying the state’s ecosystem has massive benefits and there is just as much scenery as there is opportunity in the state of Wyoming.