Which State Is Best for Small Business? (Infographic) Thinking of starting up? Find out which states are the best (and worst) for small business.

Some states are better launch pads for startups than others -- a lot better. They make licensing a snap, keep taxes low and go out of their way to help entrepreneurs succeed with training and guidance. A survey earlier this year from Thumbtack.com and the Ewing Marion Kauffman Foundation revealed the best -- and, ugh, most challenging -- states and cities for entrepreneurs. Below, find out which states earned an A- or better grade -- and the laggards with D+ grades or worse.

Within the average-to-mediocre states for small businesses, the survey also uncovered several entrepreneurial oases -- in other words, cities where startups can thrive.

  • Colorado Springs, Colo.
  • Indianapolis
  • Las Vegas
  • Minneapolis
  • Nashville, Tenn.
  • Raleigh, N.C.

Which State Is Best for Small Business

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Business Ideas

70 Small Business Ideas to Start in 2025

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2025.

Business News

AI Could Cause 99% of All Workers to Be Unemployed in the Next Five Years, Says Computer Science Professor

Professor Roman Yampolskiy predicted that artificial general intelligence would be developed and used by 2030, leading to mass automation.

Business News

Mark Zuckerberg 'Insisted' Executives Join Him For a MMA Training Session, According to Meta's Ex-President of Global Affairs

Nick Clegg, Meta's former president of global affairs, says in a new book that he once had to get on the mat with a coworker.

Buying / Investing in Business

From a $120M Acquisition to a $1.3T Market

Co-ownership is creating big opportunities for entrepreneurs.

Business News

United Airlines Says It Is Adding Extra Flights in Case Spirit 'Suddenly Goes Out of Business'

Rival airlines, including United and Frontier, are adding new routes as Spirit cuts 12 cities from its schedule.