There lies a golden opportunity for the small business owners in the Los Angeles area.
Biz2Credit.com has identified Los Angeles and the neighboring Anaheim and Long Beach areas as #4 among its top 25 national listings of the best small business cities in America.
Biz2Credit.com’s report determined the top small business cities based on the weighted average that included annual revenue, credit score, age of business (in months), cash flow, debt-to-income ratio, incorporation (C-Corp or LLC vs. sole proprietorship) and business owners’ personal credit scores. The analysis by Biz2Credit defined small business as a company that has fewer than 250 employees or less than $10 million in annual revenues.
Beauty, fashion and fitness are well desired by the Californians who strive to look good while they enjoy the sunny outdoor environment they are treated to. So small businesses — beauty salons, fitness centers, apparel shops and health care providers — are popping up all over to meet these demands. LA has a thriving technology industry and an influx of immigrants, who tend to be entrepreneurial.
What also has boosted the rise of the small business world in this glamour region, are the major colleges that are housed here. Local merchants can focus and attract the students into their eateries, bars, clothing and book shops from colleges such as USC, UCLA and Long Beach State.
California is also the home of #1 small business city: San Jose-Sunnyvale-Santa Clara from the technological-fertile Silicon Valley. San Jose knocked off last year’s top city, Houston, which dropped to #15.
Here are the Top 10 small business cities for 2014, according to Biz2Credit:
1. San Jose-Sunnyvale-Santa Clara, CA
2. Detroit-Dearborn, MI
3. Denver, CO
4. Los Angeles-Long Beach-Anaheim, CA
5. San Francisco Oakland, CA
6. La Vegas, NV
7. New York metro area
8. Atlanta, GA
9. Washington, DC metro area
10. Miami-Fort Lauderdale-West Palm Beach, FL
For the complete Top 25 cities ranking, visit: https://www.biz2credit.com/research-reports/2014-best-small-business-cities-in-america