The Best US States to Expand a Business To

The US is going through its second longest economic expansion, and businesses across the country are seeing major benefits. The national unemployment rate is less than 4%, and many sectors are seeing booms in employment.

Some US states, however, are more attractive to international business expansion than others, so if you’re expanding your business, here’s which states to consider.

Florida

Florida is known for being a good place to do business, with few regulations, a good college system and low cost of living, with no income taxes. It ranks in the top 10 for venture capital, and ranks quite highly for entrepreneurship and taxes. 

There are 206 patents created per million people. And it’s sunny – which always helps with employee morale.

North Carolina

North Carolina has many business-friendly regulations, making it a top spot for innovation and a good workforce. It has a built a friendly business climate over the last few decades, with low business costs and a young, educated workforce. However, it does also lack anti-discrimination laws and state laws that may deter younger workers.

Washington

Washington has 906 patents created per million people, the third highest ranking in the country, so it’s safe to say the state is entrepreneur-friendly. It’s home to giants including Amazon, Costco, Expedia and Microsoft, and has a strong workforce that thrives on innovation. 




The state has no income tax, but it has a business and occupations tax that can affect some businesses more than others.

Massachusetts

The state of Massachusetts ranks second for patent creation, with 1,005 patents per million people. The state has had a huge influx of business capital in recent years, and always scores highly for education and innovation, as well as quality of life. 

This is partly thanks to its dynamic Boston economy, which is particularly strong in industries including education, healthcare and technology. On the other hand, it also ranks badly for cost of living and business costs.

Texas

Texas scores highly for infrastructure in most polls relating to the best US states for international business. It has strong employment rates and is home to 100 of the 1,000 largest public and private companies in the US, including Dell and ExxonMobil. 

It has no corporate or personal state tax, and has a highly skilled workface thanks to a number of top colleges across the state.

Utah

Proctor & Gamble, Boeing and Home Dept have all recently announced expansions to Utah, where population growth is one of the fastest in the country.

Energy costs in Utah are around 31% below the US national average, while business costs are 10% below national average and employment growth has averaged 0.6% over the last five years. 

It also has a 5% tax rate, which is below nearby states such as Arizona, Idaho and New Mexico. It also ranks well for having a low tax burden on businesses across different industries.

If you’re a global business looking to expand, get in touch with international expansion experts Galvin International for advice and support. 

4 Common Money Mistakes That New Businesses Make

So you've started a new business venture and you're no doubt feeling on top of the world. After all, nothing is more exciting that quitting your nine to five and becoming your own boss. However, it means that you now have responsibility for handling your own money matters, and although there's plenty of advice available from professionals, the ultimate decisions are up to you. Here are a few common mistakes that new business owners make in the early years, and how you can avoid them.

1. Being too optimistic

You may be keen to turn a profit in just a few months, and you may have the projections to back up your plans, but projections are just an estimate. There's no guarantee that they will come to fruition, so you can't base all your financial decisions on these goals. 
When writing projections, you need to take into account:

• How your expenses will grow as the business does 
• That some clients may not pay on time 
• There may be a lull in activities 
• Other products could make yours obsolete 
• Some staff and resource problems are beyond your control 

It's not all doom and gloom, but it's important to think about the kind of issues that might come up, and to build a safety net into your projections to soften the blow. 

2. Growing too fast

When the orders start pouring in, it's no doubt tempting to hire extra staff, upgrade your machines, or even open a second branch. However, it's important that you think through major decisions, and don't be swept up in the momentum of your success.
If you feel that it's time to grow, make sure you get solid financial and business development advice before you proceed. This can help you sort out the business finance you need, as well as helping you draw up a strategy for the short and long term success of your company. 

3. Hiring permanent staff straight away

Staff loyalty is important, but hiring people on permanent contracts is expensive, and it can be restrictive for new firms. It's also very hard to get rid of people if they aren't performing well, and you may discover you don't need them a few months down the line.
Whether it's industry specialists, or people to answer the phones, consider options such as using a temp agency or outsourcing work in the early days. This may seem pricier, but it can save you money as you don't need to shell out for holiday or sick pay. The best idea is to draw up a comparison of the two costs, or to get specialist HR advice. 

4. Spending too much

It may seem like an obvious one, but it's amazing how much small businesses owners can pour into their idea in the early days. Many businesses can be setup with minimal expenditure, and you often don't need top of the line tools and equipment, second hand will sometimes suffice until you have money coming in. Some business owners choose to buy a business lock and stock from someone who is moving or retiring, and this can be a great way to get everything you need for one price.
Making mistakes is all part of the process of building a business. However, it's wise to take advice from those who have come across obstacles in the past, as they will be able to tell you they overcame them. This will allow you to avoid those common mistakes, and take risks with more confidence, knowing that you've had the best advice around.