Best Cities for Launching

an Online Business in the USa

How much savings you need to start a web-based venture in the USA (and around the world)

  • Calculating how many months you need to save if you want to quit your job
  • Detailing if unemployment benefits are sufficient to start a business if you get laid off
  • Revealing the locations with the best online business infrastructure

At Sellics, our mission is to help entrepreneurs optimize their success on the Amazon Marketplace. As we work with sellers from all over the globe, we thought it would be interesting to find out which cities around the world are the best for launching an online business. With the evolution of modern e-commerce solutions such as dropshipping, companies no longer require inventory to get their business off the ground, and millions are now taking the opportunity to make a living online.

Whether an individual is looking to quit their job and want to know how many months they should save for, or if they’ve just been laid off and want to know if it’s possible to start a new venture solely on unemployment benefits, this study highlights that the feasibility of launching a web business depends mostly on the affordability of the location.

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  •  Access to financing
  •  Ease of import/export
  •  Online purchasing popularity
  •  Internet Speed
  •  Time to register new venture
  •  Cost of venture & living expenses (% of annual wages)
  •  Total venture setup costs
  •  Average monthly living costs
  •  12 Month unemployment benefits
  •  Cost of venture & living expenses
  •  Required savings if receiving unemployment benefits
  •  Registration
  •  Online business setup fee
  •  Computer
  •  Capital
  •  Rent
  •  Cost of Living
  •  Internet Cost
  •  Healthcare
  •  Average monthly wage
  •  Unemployment benefits granted (# of months)
  •  Unemployment benefits (as % of average wage)

Best U.S. Cities to Start an Online Business

The following table is sorted by the fifth column named “Monthly salary to save for the start of the online business WITHOUT unemployment benefits” which accounts for the number of monthly salaries a person needs to save in each city without unemployment benefits.

  Reference Costs
  Savings Required to Start an Online Business Online Venture Infrastructure (Scores) Costs & Benefits One-Off Costs Monthly Costs Income & Benefits
Rank City Country Best City to Start an Online Business Months required Without benefits Months required With benefits
Access To Financing
Ease of import/export
Online purchasing popularity
Internet Speed
Time to register new venture
Cost of Venture & Living Expenses, % of Annual Wages (%)
%
Total venture setup costs
$
Average monthly living costs
$
12 Month unemployment benefits
$
Cost of venture & living expenses
$
Required savings if receiving unemployment benefits
$
Registration
$
Online business setup fee
$
Computer
$
Capital
$
Rent
$
Cost of Living
$
Internet Cost
$
Healthcare
$
Average Wage, Per Month
$
Unemployment Benefits Granted, Months
Unemployment Benefits as % of Average Wage (%)
%
1 Detroit United States 7.60 7.2 5.0 10.0 7.3 4.6 9.3 8.8 59.6 2,056 2,417 9,444 31,060 21616 675 82 1,299 0 1,077 837 59 444 4342 5 43.5
2 Cleveland United States 7.55 7.3 4.8 10.0 7.3 4.6 9.3 8.8 61.1 2,056 2,319 10,641 29,884 19243 675 82 1,299 0 909 882 51 477 4077 6 43.5
3 Cincinnati United States 7.52 7.5 4.9 10.0 7.3 4.6 9.3 8.8 62 2,056 2,355 10,633 30,316 19683 675 82 1,299 0 985 830 56 484 4074 6 43.5
4 San Antonio United States 7.48 7.6 5.0 10.0 7.3 4.6 9.3 8.8 63.3 2,056 2,267 10,049 29,260 19211 675 82 1,299 0 927 763 59 518 3850 6 43.5
5 Tucson United States 7.47 7.6 5.1 10.0 7.3 4.6 9.3 8.8 63.6 2,056 2,274 10,035 29,344 19309 675 82 1,299 0 682 841 68 683 3845 6 43.5
6 Fort Worth United States 7.46 7.7 5.1 10.0 7.3 4.6 9.3 8.9 63.9 2,056 2,557 11,147 32,740 21593 675 82 1,299 0 1,121 841 60 535 4271 6 43.5
7 Louisville United States 7.44 7.7 5.2 10.0 7.3 4.6 9.3 8.8 64.5 2,056 2,252 9,808 29,080 19272 675 82 1,299 0 814 799 57 582 3758 6 43.5
8 Houston United States 7.44 7.8 5.2 10.0 7.3 4.6 9.3 8.8 64.6 2,056 2,725 11,706 34,756 23050 675 82 1,299 0 1,325 804 58 538 4485 6 43.5
9 Madison United States 7.44 7.8 5.2 10.0 7.3 4.6 9.3 8.8 64.5 2,056 2,634 11,351 33,664 22313 675 82 1,299 0 1,154 786 55 639 4349 6 43.5
10 Las Vegas United States 7.36 8.0 5.5 10.0 7.3 4.6 9.3 8.8 67 2,056 2,309 9,667 29,764 20097 675 82 1,299 0 898 818 64 529 3704 6 43.5
11 Buffalo United States 7.73 8.0 5.5 10.0 7.3 4.6 9.3 8.8 66.8 2,056 2,509 10,479 32,164 21685 675 82 1,299 0 937 875 64 633 4015 6 43.5
12 Tulsa United States 7.35 8.1 5.5 10.0 7.3 4.6 9.3 8.9 67.5 2,056 2,375 9,845 30,556 20711 675 82 1,299 0 760 808 72 735 3772 6 43.5
13 Milwaukee United States 7.36 8.1 5.5 10.0 7.3 4.6 9.3 8.8 67.2 2,056 2,631 10 33,628 22736 675 82 1,299 0 1,067 865 57 642 4173 6 43.5
14 Oklahoma city United States 7.32 8.2 5.7 10.0 7.3 4.6 9.3 8.8 68.5 2,056 2,459 10,020 31,564 21544 675 82 1,299 0 853 800 69 737 3839 6 43.5
15 Sacramento/Roseville United States 7.32 8.2 5.6 10.0 7.3 4.6 9.3 8.8 68.3 2,056 2,959 11,964 37,564 25600 675 82 1,299 0 1,431 987 66 475 4584 6 43.5
16 Dallas United States 7.31 8.3 5.7 10.0 7.3 4.6 9.3 8.8 68.7 2,056 2,762 11,147 35,200 24053 675 82 1,299 0 1,318 848 61 535 4271 6 43.5
17 Portland United States 7.26 8.4 5.9 10.0 7.3 4.6 9.3 8.8 70.1 2,056 3,062 12,035 38,800 26765 675 82 1,299 0 1,537 963 63 499 4611 6 43.5
18 Indianapolis United States 7.26 8.4 5.9 10.0 7.3 4.6 9.3 8.8 70.2 2,056 2,638 10,448 33,712 23264 675 82 1,299 0 1,170 879 62 527 4003 6 43.5
19 Jacksonville United States 7.28 8.4 7.1 10.0 7.3 4.6 9.3 8.8 69.7 2,056 2,487 4,976 31,900 26924 675 82 1,299 0 1,000 880 73 534 3813 3 43.5
20 Salt Lake City United States 7.24 8.5 5.9 10.0 7.3 4.6 9.3 8.8 70.8 2,056 2,754 10,790 35,104 24314 675 82 1,299 0 1,195 802 60 697 4134 6 43.5
21 Phoenix United States 7.24 8.5 5.9 10.0 7.3 4.6 9.3 8.8 70.8 2,056 2,748 10,766 35,032 24266 675 82 1,299 0 1,156 826 69 697 4125 6 43.5
22 Denver United States 7.25 8.5 5.9 10.0 7.3 4.6 9.3 8.8 70.7 2,056 3,208 12,484 40,552 28068 675 82 1,299 0 1,641 889 63 615 4783 6 43.5
23 Boston United States 7.21 8.6 5.6 10.0 7.3 4.6 9.3 8.8 71.9 2,056 3,973 17,551 49,732 32181 675 82 1,299 0 2,405 1,052 65 451 5764 7 43.5
24 Seattle United States 7.23 8.6 6.0 10.0 7.3 4.6 9.3 8.8 71.2 2,056 3,573 13,729 44,932 31203 675 82 1,299 0 1,965 1,072 66 470 5260 6 43.5
25 San Diego United States 7.14 8.9 6.3 10.0 7.3 4.6 9.3 8.8 74.1 2,056 3,310 12,270 41,776 29506 675 82 1,299 0 1,861 904 67 478 4701 6 43.5
26 Albany United States 7.14 8.9 6.3 10 7.3 4.6 9.3 8.8 74 2,056 2,568 9,662 32,872 23210 675 82 1,299 0 925 949 61 633 3702 6 43.5
27 Columbus United States 7.10 9 6.5 10.0 7.3 4.6 9.3 8.8 75.2 2,056 2,546 9,435 32,608 23173 675 82 1,299 0 1,166 840 58 482 3615 6 43.5
28 Austin United States 7.08 9.1 6.5 10.0 7.3 4.6 9.3 8.8 75.9 2,056 3,108 11,275 39,352 28077 675 82 1,299 0 1,625 889 60 534 4320 6 43.5
29 Tampa United States 7.06 9.2 7.9 10.0 7.3 4.6 9.3 8.8 76.5 2,056 2,766 5,011 35,248 30237 675 82 1,299 0 1,302 869 61 534 3840 3 43.5
30 Atlanta United States 7.04 9.3 7.6 10.0 7.3 4.6 9.3 8.8 77.3 2,056 3,139 7,452 39,724 32272 675 82 1,299 0 1,507 927 63 642 4283 4 43.5
31 Orlando United States 7.01 9.4 8.1 10.0 7.3 4.6 9.3 8.8 78 2,056 2,716 4,830 34,648 29818 675 82 1,299 0 1,261 863 60 532 3701 3 43.5
32 Chicago United States 6.99 9.5 6.9 10.0 7.3 4.6 9.3 8.8 78.7 2,056 3,381 11,779 42,628 30849 675 82 1,299 0 1,750 975 62 594 4513 6 43.5
33 Los Angeles United States 6.88 9.9 7.3 10.0 7.3 4.6 9.3 8.8 82.1 2,056 3,660 12,186 45,976 33790 675 82 1,299 0 2,130 997 58 475 4669 6 43.5
34 San Francisco United States 6.60 10.9 8.3 10.0 7.3 4.6 9.3 8.8 90.9 2,056 5,108 15,159 63,352 48193 675 82 1,299 0 3,382 1,177 63 486 5808 6 43.5
35 Miami United States 6.62 10.9 9.6 10.0 7.3 4.6 9.3 8.8 90.4 2,056 3,360 5,096 42,376 37280 675 82 1,299 0 1,774 991 61 534 3905 3 43.5
36 New York United States 6.26 12.2 9.6 10.0 7.3 4.6 9.3 8.8 101.6 2,056 5,151 13,674 63,868 50194 675 82 1,299 0 3,199 1,256 61 635 5239 6 43.5

Best International Cities to Start an Online Business

The following table is sorted by the fifth column named “Monthly salary to save for the start of the online business WITHOUT unemployment benefits” which accounts for the number of monthly salaries a person needs to save in each city without unemployment benefits.

  Reference Costs
  Savings Required to Start an Online Business Online Venture Infrastructure (Scores) Costs & Benefits One-Off Costs Monthly Costs Income & Benefits
Rank City Country Best City to Start an Online Business Months required Without benefits Months required With benefits
Access To Financing
Ease of import/export
Online purchasing popularity
Internet Speed
Time to register new venture
Cost of Venture & Living Expenses, % of Annual Wages (%)
%
Total venture setup costs
$
Average monthly living costs
$
12 Month unemployment benefits
$
Cost of venture & living expenses
$
Required savings if receiving unemployment benefits
$
Registration
$
Online business setup fee
$
Computer
$
Capital
$
Rent
$
Cost of Living
$
Internet Cost
$
Healthcare
$
Average Wage, Per Month
$
Unemployment Benefits Granted, Months
Unemployment Benefits as % of Average Wage (%)
%
1 Quebec Canada 7.70 4.6 0.0 8.0 6.0 3.5 6.5 10.0 37.9 1,550 1,460 20,356 19,070 0 155 82 1,313 0 530 798 45 87 4192 8 60.7
2 Winnipeg Canada 7.57 5.1 0.0 8.0 6.0 3.5 6.5 10.0 42.1 1,550 1,634 22,901 21,158 0 155 82 1,313 0 722 770 55 87 4192 9 60.7
3 Sheffield United Kingdom 9.01 5.2 4.5 6.0 7.9 10.0 2.9 9.2 43.7 1,720 1,554 3,173 20,368 17195 16 82 1,622 0 760 726 32 36 3888 6 13.6
4 Montreal Canada 7.51 5.3 0.0 8.0 6.0 3.5 6.5 10.0 43.9 1,550 1,713 22,901 22,106 0 155 82 1,313 0 805 771 50 87 4192 9 60.7
5 Nottingham United Kingdom 8.98 5.4 4.6 6.0 7.9 10.0 2.9 9.2 44.9 1,720 1,601 3,173 20,932 17759 16 82 1,622 0 753 780 32 36 3888 6 13.6
6 Leicester United Kingdom 8.97 5.4 4.6 6.0 7.9 10.0 2.9 9.2 45 1,720 1,605 3,173 20,980 17807 16 82 1,622 0 735 802 32 36 3888 6 13.6
7 Adelaide Australia 7.42 5.5 2.8 9.0 0.0 6.9 0.0 9.7 45.5 1,771 2,072 13,357 26,635 13278 342 82 1,347 0 1,010 847 57 158 4882 12 22.8
8 Glasgow United Kingdom 8.95 5.5 4.8 6.0 7.9 10.0 2.9 9.2 45.8 1,720 1,639 3,173 21,388 18215 16 82 1,622 0 802 763 38 36 3888 6 13.6
9 Liverpool United Kingdom 8.94 5.5 4.8 6.0 7.9 10.0 2.9 9.2 46.1 1,720 1,650 3,173 21,520 18347 16 82 1,622 0 841 740 33 36 3888 6 13.6
10 Marseille France 8.36 5.60 0.0 1.0 10.0 6.90 7.80 9.40 46.5 2,102 1,543 30,082 20,618 0 283 82 1,736 1 668 768 35 72 3692 12 67.9
11 Perth Australia 7.37 5.7 3.0 9.0 0.0 6.9 0.0 9.7 47.2 1,771 2,159 13,357 27,679 14322 342 82 1,347 0 1,066 880 55 158 4882 12 22.8
12 Leeds United Kingdom 8.88 5.8 5.0 6.0 7.9 10.0 2.9 9.2 47.9 1,720 1,719 3,173 22,348 19157 16 82 1,622 0 847 793 43 36 3888 6 13.6
13 Lille France 8.30 5.8 0.0 1.0 10.0 6.9 7.8 9.4 48.6 2,102 1,618 30,082 21,518 0 283 82 1,736 1 719 797 30 72 3692 12 67.9
14 Cardiff United Kingdom 8.88 5.8 5.0 6.0 7.9 10.0 2.9 9.2 48 1,720 1,724 3,173 22,408 19235 16 82 1,622 0 909 742 37 36 3888 6 13.6
15 Ottawa-Gatineau Canada 7.36 5.9 1.0 8.0 6.0 3.5 6.5 10.0 48.7 1,550 1,913 20,356 24,506 4150 155 82 1,313 0 968 804 54 87 4192 8 60.7
16 Calgary Canada 7.35 5.9 0.0 8.0 6.0 3.5 6.5 10.0 49 1,550 1,927 25,445 24,674 0 155 82 1,313 0 924 858 58 87 4192 10 60.7
17 Toulouse France 8.27 5.9 0.0 1.0 10.0 6.9 7.8 9.4 49.5 2,102 1,652 30,082 21,926 0 283 82 1,736 1 669 881 30 72 3692 12 67.9
18 Bordeaux France 8.24 6.0 0.0 1.0 10.0 6.9 7.8 9.4 50.3 2,102 1,683 30,082 22,298 0 283 82 1,736 1 677 900 34 72 3692 12 67.9
19 Birmingham (UK) United Kingdom 8.82 6.0 5.2 6.0 7.9 10.0 2.9 9.2 49.8 1,720 1,791 3,173 23,212 20039 16 82 1,622 0 964 751 40 36 3888 6 13.6
20 Brisbane Australia 7.27 6.1 3.4 9.0 0.0 6.9 0.0 9.7 50.4 1,771 2,314 13,357 29,539 16182 342 82 1,347 0 1,269 832 55 158 4882 12 22.8
21 The Hague Netherlands 8.78 6.1 2.4 0.0 10.0 9.4 7.2 9.4 50.5 3,937 1,990 16,999 27,817 10818 2120 82 1,735 0 963 921 43 63 4588 5 74.1
22 Eindhoven Netherlands 8.76 6.2 2.5 0.0 10.0 9.4 7.2 9.4 51.3 3,937 2,024 16,999 28,225 11226 2120 82 1,735 0 1,062 860 39 63 4588 5 74.1
23 Manchester United Kingdom 8.77 6.2 5.4 6.0 7.9 10.0 2.9 9.2 51.4 1,720 1,856 3,173 23,992 20819 16 82 1,622 0 945 840 35 36 3888 6 13.6
24 Melbourne Australia 7.22 6.2 3.5 9.0 0.0 6.9 0.0 9.7 51.7 1,771 2,374 13,357 30,259 16902 342 82 1,347 0 1,297 868 51 158 4882 12 22.8
25 Edinburgh United Kingdom 8.73 6.3 5.5 6.0 7.9 10.0 2.9 9.2 52.5 1,720 1,898 3,173 24,496 21323 16 82 1,622 0 992 830 40 36 3888 6 13.6
26 Lyon France 8.10 6.6 0.0 1.0 10.0 6.9 7.8 9.4 54.8 2,102 1,849 30,082 24,290 0 283 82 1,736 1 797 945 35 72 3692 12 67.9
27 Rotterdam Netherlands 8.65 6.6 2.9 0.0 10.0 9.4 7.2 9.4 54.6 3,937 2,178 16,999 30,073 13074 2120 82 1,735 0 1,180 886 49 63 4588 5 74.1
28 Bristol United Kingdom 8.66 6.6 5.8 6.0 7.9 10.0 2.9 9.2 54.8 1,720 1,988 3,173 25,576 22403 16 82 1,622 0 1,072 841 39 36 3888 6 13.6
29 Newcastle United Kingdom 8.64 6.7 6.0 6.0 7.9 10.0 2.9 9.2 55.6 1,720 2,019 3,173 25,948 22775 16 82 1,622 0 1,099 830 54 36 3888 6 13.6
30 Nice France 8.04 6.8 0.0 1.0 10.0 6.9 7.8 9.4 56.6 2,102 1,916 30,082 25,094 0 283 82 1,736 1 890 925 29 72 3692 12 67.9
31 Utrecht Netherlands 8.59 6.8 3.2 0.0 10.0 9.4 7.2 9.4 56.7 3,937 2,275 16,999 31,237 14238 2120 82 1,735 0 1,231 942 39 63 4588 5 74.1
32 Osaka Japan 6.50 7.0 3.8 2.0 5.4 3.2 7.1 7.0 58.4 1,493 1,730 10,198 22,253 12055 128 82 1,283 0 688 936 41 65 3177 6 53.5
33 Naples Italy 5.82 7.1 0.0 0.0 10.0 0.0 1.2 8.6 59 3,093 1,434 22,122 20,301 0 1209 82 1,801 1 587 758 32 57 2867 12 64.3
34 Detroit United States 7.60 7.2 5.0 10.0 7.3 4.6 9.3 8.8 59.6 2,056 2,417 9,444 31,060 21616 675 82 1,299 0 1,077 837 59 444 4342 5 43.5
35 Oslo Norway 8.3 7.2 0.0 2.0 9.0 9.0 6.8 9.3 60.1 6,241 2,824 43,541 40,129 0 684 82 1,793 3,682 1,450 1,248 53 73 5565 12 65.2
36 Malmö Sweden 8.61 7.2 1.9 2.0 9.3 9.8 7.8 8.5 59.5 7,708 1,667 20,559 27,712 7153 217 82 1,710 5,699 781 791 34 61 3879 10 53.0
37 Copenhagen Denmark 8.71 7.3 0.4 5.0 10.0 9.6 6.5 9.4 61.1 9,868 2,664 39,707 41,836 2129 106 82 1,785 7,895 1,514 1,049 38 63 5705 12 58.0
38 Cleveland United States 7.55 7.3 4.8 10.0 7.3 4.6 9.3 8.8 61.1 2,056 2,319 10,641 29,884 19243 675 82 1,299 0 909 882 51 477 4077 6 43.5
39 Graz Austria 7.10 7.4 3.6 2.0 10.0 5.9 0.8 4.5 61.4 10,099 1,740 16,189 30,979 14790 2393 82 1,736 5,888 650 978 32 80 4205 7 55.0
40 Vancouver Canada 6.95 7.4 2.6 8.0 6.0 3.5 6.5 10.0 61.5 1,550 2,450 20,356 30,950 10594 155 82 1,313 0 1,460 845 58 87 4192 8 60.7
41 Cincinnati United States 7.52 7.5 4.9 10.0 7.3 4.6 9.3 8.8 62 2,056 2,355 10,633 30,316 19683 675 82 1,299 0 985 830 56 484 4074 6 43.5
42 Toronto Canada 6.93 7.5 2.7 8.0 6.0 3.5 6.5 10.0 62.3 1,550 2,482 20,356 31,334 10978 155 82 1,313 0 1,414 931 50 87 4192 8 60.7
43 Turin Italy 5.71 7.5 0.0 0.0 10.0 0.0 1.2 8.6 62.5 3,093 1,533 22,122 21,489 0 1209 82 1,801 1 628 816 32 57 2867 12 64.3
44 Linz Austria 7.03 7.6 3.8 2.0 10.0 5.9 0.8 4.5 63.6 10,099 1,832 16,189 32,083 15894 2393 82 1,736 5,888 741 984 27 80 4205 7 55.0
45 San Antonio United States 7.48 7.6 5.0 10.0 7.3 4.6 9.3 8.8 63.3 2,056 2,267 10,049 29,260 19211 675 82 1,299 0 927 763 59 518 3850 6 43.5
46 Tucson United States 7.47 7.6 5.1 10.0 7.3 4.6 9.3 8.8 63.6 2,056 2,274 10,035 29,344 19309 675 82 1,299 0 682 841 68 683 3845 6 43.5
47 Fort Worth United States 7.46 7.7 5.1 10.0 7.3 4.6 9.3 8.9 63.9 2,056 2,557 11,147 32,740 21593 675 82 1,299 0 1,121 841 60 535 4271 6 43.5
48 Helsinki Finland 7.47 7.7 0.0 4.0 7.4 7.8 1.9 6.5 64.3 5,209 2,186 31,713 31,441 0 389 82 1,794 2,944 1,083 983 28 92 4072 12 64.9
49 Louisville United States 7.44 7.7 5.2 10.0 7.3 4.6 9.3 8.8 64.5 2,056 2,252 9,808 29,080 19272 675 82 1,299 0 814 799 57 582 3758 6 43.5
50 Antwerp Belgium 7.20 7.8 0.0 0.0 10.0 5.5 4.0 9.3 64.5 11,382 1,827 34,433 33,306 0 2256 82 1,743 7,301 802 867 48 110 4302 12 66.7
51 Houston United States 7.44 7.8 5.2 10.0 7.3 4.6 9.3 8.8 64.6 2,056 2,725 11,706 34,756 23050 675 82 1,299 0 1,325 804 58 538 4485 6 43.5
52 Madison United States 7.44 7.8 5.2 10.0 7.3 4.6 9.3 8.8 64.5 2,056 2,634 11,351 33,664 22313 675 82 1,299 0 1,154 786 55 639 4349 6 43.5
53 Genova Italy 5.64 7.8 0.1 0.0 10.0 0.0 1.2 8.6 64.8 3,093 1,600 22,122 22,293 171 1209 82 1,801 1 603 909 31 57 2867 12 64.3
54 Gothenburg Sweden 8.44 7.8 2.5 2.0 9.3 9.8 7.8 8.5 65 7,708 1,878 20,559 30,244 9685 217 82 1,710 5,699 943 842 32 61 3879 10 53.0
55 Ghent Belgium 7.17 7.9 0.0 0.0 10.0 5.5 4.0 9.3 65.4 11,382 1,866 34,433 33,774 0 2256 82 1,743 7,301 830 877 49 110 4302 12 66.7
56 Sydney Australia 6.77 7.9 5.2 9.0 0.0 6.9 0.0 9.7 66.5 1,771 3,073 13,357 38,647 25290 342 82 1,347 0 1,918 947 50 158 4882 12 22.8
57 Dublin Ireland 6.58 7.9 5.0 5.0 5.7 4.2 3.0 9.0 66 2,076 2,879 13,897 36,624 22727 200 82 1,794 0 1,764 965 59 91 4623 9 33.4
58 Las Vegas United States 7.36 8.0 5.5 10.0 7.3 4.6 9.3 8.8 67 2,056 2,309 9,667 29,764 20097 675 82 1,299 0 898 818 64 529 3704 6 43.5
59 Buffalo United States 7.73 8.0 5.5 10.0 7.3 4.6 9.3 8.8 66.8 2,056 2,509 10,479 32,164 21685 675 82 1,299 0 937 875 64 633 4015 6 43.5
60 Vienna Austria 6.94 8.0 4.2 2.0 10.0 5.9 0.8 4.5 66.3 10,099 1,947 16,189 33,463 17274 2393 82 1,736 5,888 951 882 34 80 4205 7 55.0
61 Tulsa United States 7.35 8.1 5.5 10.0 7.3 4.6 9.3 8.9 67.5 2,056 2,375 9,845 30,556 20711 675 82 1,299 0 760 808 72 735 3772 6 43.5
62 Bologna Italy 5.55 8.1 0.5 0.0 10.0 0.0 1.2 8.6 67.7 3,093 1,682 22,122 23,277 1155 1209 82 1,801 1 739 855 31 57 2867 12 64.3
63 Milwaukee United States 7.36 8.1 5.5 10.0 7.3 4.6 9.3 8.8 67.2 2,056 2,631 10 33,628 22736 675 82 1,299 0 1,067 865 57 642 4173 6 43.5
64 Oklahoma city United States 7.32 8.2 5.7 10.0 7.3 4.6 9.3 8.8 68.5 2,056 2,459 10,020 31,564 21544 675 82 1,299 0 853 800 69 737 3839 6 43.5
65 Sacramento/Roseville United States 7.32 8.2 5.6 10.0 7.3 4.6 9.3 8.8 68.3 2,056 2,959 11,964 37,564 25600 675 82 1,299 0 1,431 987 66 475 4584 6 43.5
66 Brussels Belgium 7.06 8.3 0.3 0.0 10.0 5.5 4.0 9.3 68.9 11,382 2,017 34,433 35,586 1153 2256 82 1,743 7,301 943 914 50 110 4302 12 66.7
67 Dallas United States 7.31 8.3 5.7 10.0 7.3 4.6 9.3 8.8 68.7 2,056 2,762 11,147 35,200 24053 675 82 1,299 0 1,318 848 61 535 4271 6 43.5
68 Portland United States 7.26 8.4 5.9 10.0 7.3 4.6 9.3 8.8 70.1 2,056 3,062 12,035 38,800 26765 675 82 1,299 0 1,537 963 63 499 4611 6 43.5
69 Indianapolis United States 7.26 8.4 5.9 10.0 7.3 4.6 9.3 8.8 70.2 2,056 2,638 10,448 33,712 23264 675 82 1,299 0 1,170 879 62 527 4003 6 43.5
70 Las Palmas Spain 6.77 8.4 1.9 3.0 10.0 3.6 8.1 6.8 70.3 6,718 1,377 18,209 23,242 5033 1360 82 1,743 3,533 662 619 40 56 2754 12 55.1
71 Amsterdam Netherlands 8.17 8.4 4.7 0.0 10.0 9.4 7.2 9.4 69.8 3,937 2,876 16,999 38,449 21450 2120 82 1,735 0 1,766 1,001 46 63 4588 5 74.1
72 Jacksonville United States 7.28 8.4 7.1 10.0 7.3 4.6 9.3 8.8 69.7 2,056 2,487 4,976 31,900 26924 675 82 1,299 0 1,000 880 73 534 3813 3 43.5
73 Salt Lake City United States 7.24 8.5 5.9 10.0 7.3 4.6 9.3 8.8 70.8 2,056 2,754 10,790 35,104 24314 675 82 1,299 0 1,195 802 60 697 4134 6 43.5
74 Phoenix United States 7.24 8.5 5.9 10.0 7.3 4.6 9.3 8.8 70.8 2,056 2,748 10,766 35,032 24266 675 82 1,299 0 1,156 826 69 697 4125 6 43.5
75 Denver United States 7.25 8.5 5.9 10.0 7.3 4.6 9.3 8.8 70.7 2,056 3,208 12,484 40,552 28068 675 82 1,299 0 1,641 889 63 615 4783 6 43.5
76 Boston United States 7.21 8.6 5.6 10.0 7.3 4.6 9.3 8.8 71.9 2,056 3,973 17,551 49,732 32181 675 82 1,299 0 2,405 1,052 65 451 5764 7 43.5
77 Basel Switzerland 7.86 8.6 0.0 3.0 7.2 9.0 8.9 7.6 72 23,290 3,490 66,810 65,170 0 839 82 1,514 20,855 1,277 1,584 59 570 7544 12 73.8
78 Valencia Spain 6.72 8.6 2.0 3.0 10.0 3.6 8.1 6.8 71.7 6,718 1,416 18,209 23,710 5501 1360 82 1,743 3,533 649 662 49 56 2754 12 55.1
79 Paris France 7.56 8.6 0.5 1.0 10.0 6.9 7.8 9.4 71.7 2,102 2,471 30,082 31,754 1672 283 82 1,736 1 1,335 1,031 33 72 3662 12 67.9
80 Seattle United States 7.23 8.6 6.0 10.0 7.3 4.6 9.3 8.8 71.2 2,056 3,573 13,729 44,932 31203 675 82 1,299 0 1,965 1,072 66 470 5260 6 43.5
81 Seville Spain 6.70 8.7 2.1 3.0 10.0 3.6 8.1 6.8 72.4 6,718 1,435 18,209 23,938 5729 1360 82 1,743 3,533 666 670 43 56 2754 12 55.1
82 Ostrava Czech Republic 6.54 8.8 5.6 5.0 10.0 4.7 1.2 3.5 73.1 2,178 827 4,485 12,102 7617 290 82 1,806 0 288 503 16 20 1380 5 65.0
83 Florence Italy 5.35 8.9 1.2 0.0 10.0 0.0 1.2 8.6 74 3,093 1,863 22,122 25,449 3327 1209 82 1,801 1 865 909 32 57 2867 12 64.3
84 San Diego United States 7.14 8.9 6.3 10.0 7.3 4.6 9.3 8.8 74.1 2,056 3,310 12,270 41,776 29506 675 82 1,299 0 1,861 904 67 478 4701 6 43.5
85 Albany United States 7.14 8.9 6.3 10 7.3 4.6 9.3 8.8 74 2,056 2,568 9,662 32,872 23210 675 82 1,299 0 925 949 61 633 3702 6 43.5
86 Columbus United States 7.10 9 6.5 10.0 7.3 4.6 9.3 8.8 75.2 2,056 2,546 9,435 32,608 23173 675 82 1,299 0 1,166 840 58 482 3615 6 43.5
87 Austin United States 7.08 9.1 6.5 10.0 7.3 4.6 9.3 8.8 75.9 2,056 3,108 11,275 39,352 28077 675 82 1,299 0 1,625 889 60 534 4320 6 43.5
88 Tokyo Japan 5.95 9.1 5.9 2.0 5.4 3.2 7.1 7.0 75.6 1,493 2,276 10,198 28,805 18607 128 82 1,283 0 1,056 1,112 43 65 3177 6 53.5
89 Stockholm Sweden 8.06 9.2 4.0 2.0 9.3 9.8 7.8 8.5 77 7,708 2,339 20,559 35,776 15217 217 82 1,710 5,699 1,312 934 32 61 3879 10 53.0
90 Tampa United States 7.06 9.2 7.9 10.0 7.3 4.6 9.3 8.8 76.5 2,056 2,766 5,011 35,248 30237 675 82 1,299 0 1,302 869 61 534 3840 3 43.5
91 Seoul Incheon South Korea 7.02 9.2 6.7 4.0 7.5 5.3 10.0 9.3 76.3 1,697 1,877 6,670 24,221 17551 117 82 1,498 0 759 1,036 24 58 2647 6 42.0
92 Leipzig Germany 7.42 9.3 2.3 5.0 7.2 8.6 3.7 7.5 77.7 17,339 1,562 27,407 36,083 8676 802 82 1,736 14,719 570 858 35 99 3871 12 59.0
93 Atlanta United States 7.04 9.3 7.6 10.0 7.3 4.6 9.3 8.8 77.3 2,056 3,139 7,452 39,724 32272 675 82 1,299 0 1,507 927 63 642 4283 4 43.5
94 Orlando United States 7.01 9.4 8.1 10.0 7.3 4.6 9.3 8.8 78 2,056 2,716 4,830 34,648 29818 675 82 1,299 0 1,261 863 60 532 3701 3 43.5
95 Zurich Switzerland 7.63 9.5 0.7 3.0 7.2 9.0 8.9 7.6 79.3 23,290 4,039 66,810 71,758 4948 839 82 1,514 20,855 1,834 1,575 60 570 7544 12 73.8
96 Aachen Germany 7.37 9.5 2.5 5.0 7.2 8.6 3.7 7.5 79.3 17,339 1,626 27,407 36,851 9444 802 82 1,736 14,719 630 862 35 99 3871 12 59.0
97 Chicago United States 6.99 9.5 6.9 10.0 7.3 4.6 9.3 8.8 78.7 2,056 3,381 11,779 42,628 30849 675 82 1,299 0 1,750 975 62 594 4513 6 43.5
98 Mannheim Germany 7.39 9.5 2.4 5.0 7.2 8.6 3.7 7.5 78.5 17,339 1,592 27,407 36,443 9036 802 82 1,736 14,719 585 877 31 99 3871 12 59.0
99 Rome Italy 5.15 9.6 2.0 0.0 10.0 0.0 1.2 8.6 80.3 3,093 2,045 22,122 27,633 5511 1209 82 1,801 1 1,117 839 32 57 2867 12 64.3
100 Geneva Switzerland 7.61 9.6 0.8 3.0 7.2 9.0 8.9 7.6 79.9 23,290 4,085 66,810 72,310 5500 839 82 1,514 20,855 1,957 1,481 77 570 7544 12 73.8
101 Karlsruhe Germany 7.35 9.6 2.5 5.0 7.2 8.6 3.7 7.5 79.7 17,213 1,639 27,182 36,877 9695 795 82 1,736 14,599 641 869 30 99 3839 12 59.0
102 Dresden Germany 7.34 9.6 2.6 5.0 7.2 8.6 3.7 7.5 80.1 17,339 1,655 27,407 37,199 9792 802 82 1,736 14,719 638 887 31 99 3871 12 59.0
103 Bremen Germany 7.36 9.6 2.5 5.0 7.2 8.6 3.7 7.5 79.5 17,339 1,634 27,407 36,947 9540 802 82 1,736 14,719 618 881 36 99 3871 12 59.0
104 Hanover Germany 7.32 9.7 2.7 5.0 7.2 8.6 3.7 7.5 80.7 17,339 1,680 27,407 37,499 10092 802 82 1,736 14,719 727 821 33 99 3871 12 59.0
105 Nuremberg Germany 7.28 9.8 2.8 5.0 7.2 8.6 3.7 7.5 81.9 17,339 1,725 27,407 38,039 10632 802 82 1,736 14,719 725 863 38 99 3871 12 59.0
106 Milan Italy 5.08 9.9 2.2 0.0 10.0 0.0 1.2 8.6 82.4 3,093 2,104 22,122 28,341 6219 1209 82 1,801 1 1,129 886 32 57 2867 12 64.3
107 Los Angeles United States 6.88 9.9 7.3 10.0 7.3 4.6 9.3 8.8 82.1 2,056 3,660 12,186 45,976 33790 675 82 1,299 0 2,130 997 58 475 4669 6 43.5
108 Düsseldorf Germany 7.22 10.1 3.1 5.0 7.2 8.6 3.7 7.5 84 17,339 1,808 27,407 39,035 11628 802 82 1,736 14,719 799 878 32 99 3871 12 59.0
109 Bonn Germany 7.21 10.1 3.1 5.0 7.2 8.6 3.7 7.5 84.3 17,339 1,819 27,407 39,167 11760 802 82 1,736 14,719 765 924 31 99 3871 12 59.0
110 Cologne Germany 7.20 10.2 3.1 5.0 7.2 8.6 3.7 7.5 84.5 17,339 1,828 27,407 39,275 11868 802 82 1,736 14,719 821 871 37 99 3871 12 59.0
111 London United Kingdom 7.66 10.4 9.6 6.0 7.9 10.0 2.9 9.2 86.4 1,720 3,216 3,173 40,312 37139 16 82 1,622 0 2,127 1,013 40 36 3888 6 13.6
112 Madrid Spain 6.22 10.5 4.0 3.0 10.0 3.6 8.1 6.8 87.7 6,718 1,856 18,209 28,990 10781 1360 82 1,743 3,533 989 761 50 56 2754 12 55.1
113 Stuttgart Germany 7.09 10.6 3.5 5.0 7.2 8.6 3.7 7.5 88.1 17,339 1,964 27,407 40,907 13500 802 82 1,736 14,719 984 849 32 99 3871 12 59.0
114 Berlin Germany 7.09 10.6 3.5 5.0 7.2 8.6 3.7 7.5 88 17,339 1,963 27,407 40,895 13488 802 82 1,736 14,719 942 886 36 99 3871 12 59.0
115 Barcelona Spain 6.14 10.8 4.3 3.0 10.0 3.6 8.1 6.8 90.2 6,718 1,924 18,209 29,806 11597 1360 82 1,743 3,533 1,037 780 51 56 2754 12 55.1
116 San Francisco United States 6.60 10.9 8.3 10.0 7.3 4.6 9.3 8.8 90.9 2,056 5,108 15,159 63,352 48193 675 82 1,299 0 3,382 1,177 63 486 5808 6 43.5
117 Hamburg Germany 7.00 10.9 3.9 5.0 7.2 8.6 3.7 7.5 91 17,339 2,079 27,407 42,287 14880 802 82 1,736 14,719 990 953 37 99 3871 12 59.0
118 Miami United States 6.62 10.9 9.6 10.0 7.3 4.6 9.3 8.8 90.4 2,056 3,360 5,096 42,376 37280 675 82 1,299 0 1,774 991 61 534 3905 3 43.5
119 Frankfurt Germany 7.01 10.9 3.8 5.0 7.2 8.6 3.7 7.5 90.4 17,217,339 2,053 27,407 41,975 14568 802 82 1,736 14,719 998 922 34 99 3871 12 59.0
120 Porto Portugal 4.97 11.4 2.4 0.0 10.0 0.4 4.9 8.6 94.9 2,135 1,408 15,048 19,031 3983 259 82 1,794 0 701 613 34 60 1672 12 75.0
121 Munich Germany 6.77 11.8 4.7 5.0 7.2 8.6 3.7 7.5 98.1 17,339 2,353 27,407 45,575 18168 802 82 1,736 14,719 1,284 934 36 99 3871 12 59.0
122 Brno Czech Republic 5.72 11.9 8.7 5.0 10.0 4.7 1.2 3.5 98.9 2,178 1,183 4,485 16,374 11889 290 82 1,806 0 571 572 20 20 1380 5 65.0
123 New York United States 6.26 12.2 9.6 10.0 7.3 4.6 9.3 8.8 101.6 2,056 5,151 13,674 63,868 50194 675 82 1,299 0 3,199 1,256 61 635 5239 6 43.5
124 Katowice Poland 4.93 12.6 10.8 6.0 10.0 2.6 2.2 0.0 104.9 3,520 925 2,090 14,620 12530 318 82 1,748 1,372 367 508 14 36 1161 6 30.5
125 Lisbon Portugal 4.48 13.2 4.3 0.0 10.0 0.4 4.9 8.6 110.3 2,135 1,666 15,048 22,127 7079 259 82 1,794 0 929 641 36 60 1672 12 75.0
126 Prague Czech Republic 5.14 14.1 10.9 5.0 10.0 4.7 1.2 3.5 117.2 2,178 1,436 4,485 19,410 14925 290 82 1,806 0 766 628 22 20 1380 5 65.0
127 Wroclaw Poland 4.32 14.9 13.1 6.0 10.0 2.6 2.2 0.0 124.1 3,520 1,148 2,090 17,296 15206 318 82 1,748 1,372 557 540 15 36 1161 6 30.0
128 Kraków Poland 4.32 14.9 13.1 6.0 10.0 2.6 2.2 0.0 124.1 3,520 1,147 2,090 17,284 15194 318 82 1,748 1,372 557 540 14 36 1161 6 30.0
129 Warsaw Poland 4.03 16 14.3 6 10.0 2.6 2.2 0.0 133.4 3,520 1,256 2,090 18,592 16502 318 82 1,748 1,372 639 566 15 36 1161 6 30.0
130 Budapest Hungary 2.51 23.4 22.1 6.0 10.0 1.3 9.2 8.5 195.3 10,983 1,118 1,418 24,399 22981 3658 82 1,783 5,460 494 581 16 27 1041 3 45.4
 

brian-johnson
Brian Johnson
“Cities often vie for large companies by improving their infrastructure and taxation to companies. Detroit has been quite depressed for several years, so it likely has received the most “turn around” investments by the city and state to bring back technical employers to the area.  Such improvements as better access to Google Fiber and fast internet access, along with low cost of living and office space availability may be attractive to startup companies and entrepreneurs that prefer to stay closer to their area families and wish to build a company with low overhead.”

METHODOLOGY

This study determines the best cities for launching an online business, based on 22 factors relating to the online venture infrastructure, and the cost of both living and launching a business. *To choose the cities for the study, OECD nations were analyzed according to their available business infrastructure statistics in order to determine a final list of 130 cities.

Scoring


Scores are normalized such that 0=the lowest value in the final dataset and 10=the highest value in the final dataset. For columns where a low value is better, the score is inverted such that a high score is always better.

The score is inverted for the following columns:
“Time To Register New Venture”
“Cost of Venture & Living Expenses, % of Annual Wages”

Therefore, the higher the score, the better the city ranks for that factor in comparison to the other cities in the index. For example, a score of ‘9’ for “Time To Register New Venture” indicates that the city has a low number of days to register a new venture.

The equation for normalization is as follows:

score = 10 *x - min(X)max(X) - min(X); or scoreinverted = 10 -10 *x - min(X)max(X) - min(X)for inverted scores

Metropolitan Areas - Definition and Selection

The analysis was performed on metropolitan areas as defined by Eurostat/OECD. The shape and size of the metropolitan areas are determined through a data-driven process that identifies high-density urban centres and extends them to incorporate the commutable area surrounding the centre. The aim of the exercise is to create so-called “Functional Urban Areas” that represent the entire labour and commercial market of a city. In the United States, metropolitan areas are constructed through a similar process that also attempts to capture the extent of media markets.

The full methodology for the construction of “Functional Urban Areas” can be found here:
http://www.oecd.org/regional/regional-policy/Definition-of-Functional-Urban-Areas-for-the-OECD-metropolitan-database.pdf

The shapefiles for the “Functional Urban Areas” can be found here:
http://www.oecd.org/cfe/regional-policy/functionalurbanareasbycountry.htm

Savings Required to Start an Online Business
Online Venture Infrastructure (Scores)
Costs & Benefits
Reference One-Off Costs
Reference Monthly Costs
Reference Income & Benefits
Reference Aggregate Calculations
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