More people than ever before are starting new businesses. In fact, startup activity is at an all-time high in the United States. And while there are many factors to consider when choosing where to launch a new business, one important consideration is the city you call home.
So, which city is the best for startups? Data from StockApps.com reveals that San Francisco, US is the best city for startups, with an overall score of 550.
What makes San Francisco so startup-friendly? For one, the city has a long history of tech innovation. And today, the city is home to more than 8,000 tech startups. The second-ranked city, New York, earned an overall score of 217.
Commenting on the report, StockApps’ Edith Reads said. “San Francisco and New York remain top spots as the best places for a startup to flourish. Because of its overall score, San Francisco is the “supernova” of startup ecosystems. New York City should be commended for continuing to have the world’s second-best startup ecosystem, as it was last year.”
London, UK, which ranked third with an overall score of 125, also remains a top destination for startups. The city has a strong startup culture and is home to some of the world’s most innovative companies, including Deliveroo and TransferWise.
Why San Fransisco Stands Out
San Fransisco’s proximity to Silicon Valley contributes to the presence of many skilled people inside its borders. There is a culture of innovation, talented engineers, high-quality institutions, venture investors, and entrepreneurs. New technology companies heavily influence the culture of doing business in San Francisco. The people who work in this industry collaborate on moving it ahead by exchanging ideas. Because of this, it is the perfect place to call home if you fancy new technologies.
Many Venture Capital firms have made San Francisco their home due to the region’s prominence as a hub for technology innovation. A large number of people have set up tents in the SoMa district. Silicon Valley is home to many bright young brains with game-changing ideas who are on the lookout for investors. As a result, most investors find a home in San Fransisco.
Regarding growth and innovation, the software and data industries stand out as the frontrunners. The social and leisure technology sector is the most dynamic, following the software sector. Conversely, the e-commerce and retail technology sector has fewer startups.
Technology in the financial and medical fields are two more dynamic sectors with enormous growth potential. Financial technology (FinTech) has already begun to change how we interact with our finances. In the medical sector, mobile health (mHealth) startups are working to make it easier for us to track and improve our health.