The Best Small Cities for Startups Credit: Abstract city image via Shutterstock

An address in New York or Silicon Valley isn't what it once was, especially for small businesses. In fact, small and medium-size businesses are now being lured either to stay or start in a number of cities ranging from Des Moines, Iowa, to Miami. 

"The recovery that we have had has been distributed very unevenly geographically so there are lots of cities that see their futures as not returning to the past so they are looking for new sources of growth, new sources of job creation and new sources of innovation," said Thom Ruhe, vice president of entrepreneurship for the Ewing Marion Kauffman Foundation. "They recognize that things aren’t going to go back to the way they once were."

Laurie Kulikowski, a reporter for The Street, says smaller cities are growing as entrepreneurial and business hotbeds for a number of reasons. First, many cities that were once not supportive of small businesses are now changing their ways. Not only are many cities now supporting small business and entrepreneurial growth, but they also offer businesses a low cost to start up and an abundant source of talent with readily available low-cost housing

Some of the fastest growing cities for startups and entrepreneurs according to a list composed by Kulikowski include: 

  • San Antonio, Texas
  • Des Moines, Iowa
  • Miami
  • Kansas City metro area
  • Atlanta
  • Omaha, Neb.

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