Picking the place to start a tech startup could be a huge factor in determining if the business succeeds — or makes money. There are many states that will deliver a lot of benefits to a fledgling tech startup, while others might lead the business to its downfall.
On the topic of starting a business, Storeganise sent out a study ranking the best and worst states to specifically start a tech business. This was based on factors like venture capital investment, average tech salaries, employment in tech, business survival rates and internet speed.
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Best States To Start a Tech Business
1. Massachusetts
Tech businesses flourish in places like Boston and Cambridge because of the wealth of venture capital investment opportunities. There are also lots of people with technology degrees in the state, making it easy to find qualified talent. The state ranked No. 3 in the nation when it came to average tech worker salaries, so those living in Massachusetts and working in the industry will see healthy paychecks.
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2. California
Home to the renowned Silicon Valley, California takes the No. 2 spot on the list. The state had the highest average tech worker salaries. Because of the amount of tech businesses in California, there are plenty of networking opportunities to find like minded people to work for and invest in new tech businesses.
3. Washington
Washington ranked first when it came to job openings for tech workers. The state also ranked second for average tech salary, which is promising for those looking to work in a startup. It also had the fourth highest number of people with tech degrees, as well as the fourth highest internet speed in the country.
4. Virginia
Virginia had the second highest number of tech job openings per 1,000 jobs. More good news for those looking to advance tech in the state: it was No. 2 in the nation when it came to fast internet.
5. Maryland
The state’s proximity to D.C. helps make it one of the best states to start a tech business. It ranked No. 1 for people holding tech degrees and average internet speed. It also ranked high for tech job openings.
Worst States to Start a Tech Business
1. Mississippi
A lack of technology-based events and those with tech degrees contributed to Mississippi being the worst state to start a tech business. Mississippi also ranked low when it came to venture capital investment and technology job availability.
2. Louisiana
Those looking to break into the tech market should steer clear of Louisiana. The state had the fewest tech-based establishments than any other state in the country. Not surprisingly, it also ranked low when it came to the amount of open tech jobs.
3. Arkansas
The South just isn’t a ripe area for tech. Arkansas ranked second to last for the amount of people with tech degrees. It also ranked low for tech events and the average annual salary for tech workers.
4. North Dakota
North Dakota’s low ranking is due to its lack of tech-based establishments and venture capital investment. Those looking to start a tech business in North Dakota would likely struggle to pick up speed.
5. Kentucky
Kentucky had some of the lowest scores in the country when it came to venture capital investment and tech events. Though it is in the top 10 states when it comes to business survival rate, which means a tech business might have a shot if done well.
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This article originally appeared on GOBankingRates.com: 10 Best and Worst States To Start a Tech Business
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