A new report created by a Florida-based business software company analyzed the best states to do business, and Indiana lands in the top third. Harrington Group International analyzed federal data to determine where businesses, entrepreneurs and employees are best off across all 50 states and Washington, D.C.
It finds Indiana is the No. 17 best state for entrepreneurs.
The rankings were determined by analyzing a variety of factors such as taxes, jobs, the startup survival rate, consumer spending, the net migration of educated workers.
Harrington says Indiana offers several positive things to startups, such as being a pro-business state and a AAA credit rating. However, it also shows the state is suffering from a migration of educated workers. Based on data from the U.S. Census Bureau, Indiana had a net loss of 1,700 educated workers between 2020 and 2022.
“Entrepreneurs are grappling with an unprecedented shift in how – and where – Americans work, live, and spend, driven by high demand for workers, remote work flexibilities and inflation which has pinched Americans’ wallets,” said Harrington.
HGI says startups are more likely to stay in business, with a five-year survival rate of 50.3%.
Overall, Florida, Texas and Tennessee are the best states for business, with above average growth rates for jobs and gross domestic product, influxes of educated workers and low levels of corporate and personal income taxes. The three worst states are Connecticut, Illinois, and New York.
Click here to learn more about the report and HGI’s methodology.