Although many new entrepreneurs look to major cities as the most suitable locations for their startups, research shows that smaller cities may provide benefits that make them much more desirable. Many states offer incentives to lure business owners to establish companies in their environs, and these areas also have large pools of skilled labor in the form of dynamic colleges and universities.
Here are some reasons why a small city may be the best place to start up your new business.
Develop With the Area
When you locate your startup in a smaller city, you often have the opportunity to share in the area’s commercial development. Getting in on the beginning stages of a city’s growth allows you the chance to influence the direction it takes, a situation you don’t often find in overdeveloped larger cities.
Smaller cities attempting to attract startups offer incentives to locate your business in their areas. These perks may include tax breaks, assistance in recruiting and promotion, and other practical support.
Retain Your Employees
Big cities are full of talented people from which to recruit employees, but they are also rife with competitive companies that want to poach your top personnel. On the other hand, statistics show that skilled individuals in smaller cities are more likely to retain their current jobs, as there are fewer alternatives available to them.
Cut Commuting Time
The work-life balance of management and employees is an important consideration for any entrepreneur. Part of starting up in large cities is the inevitable stress of long commutes, while in smaller cities, personnel are more likely to find suitable housing opportunities closer to the workplace. The shorter daily travel distance allows them to have more quality family time, which in turn makes them much more productive on the job.
For more advice on locating startups in smaller cities, get in touch with BizCap Commercial Finance.