Biz2Credit announced on Tuesday it named New York City the 2017 Best Small Business City in America. According to the company, this vote was based on a weighted average that includes annual revenue, credit score, age of business (in months), and a BizAnalyzer score that factors in cash flow, debt-to-income ratio, taxes and other data. In its computation, Biz2Credit examined the financials of nearly 30,000 companies that applied for small business funding in 2016.
According to Biz2Credit, New York City’s businesses led the three key categories of financial metrics in the study to be named America’s Top Small Business City in 2017: annual revenue, credit score and Biz2Credit’s proprietary BizAnalyzer score, which takes into account local economic factors, including the cost of doing business and tax rate. Biz2Credit CEO, Rohit Arora, stated:
“There is no doubt that New York is the Big Apple for small business. Companies in the New York metropolitan area had the highest average revenue ($979,674), were the longest established (76 months), and business owners had the highest personal credit scores (646). The city’s growth has been fueled by the booming real estate market and construction industry, banking and finance, and New York’s booming technology sector.”
Biz2Credit’s Top 25 Cities for Small Business in 2017 are:
- New York, NY
- Miami-Fort Lauderdale, FL
- Austin, TX
- San Jose, CA
- Los Angeles, CA
- Seattle, WA
- Phoenix, AZ
- San Francisco, CA
- Indianapolis, IN
- Riverside-San Bernardino, CA
- Houston, TX
- Baltimore, MD
- Dallas-Fort Worth, TX
- San Diego, CA
- Detroit, MI
- Washington DC
- Denver, CO
- Sacramento, CA
- Chicago, IL
- Atlanta, GA
- San Antonio, TX
- Charlotte, NC
- Las Vegas, NV
- Philadelphia, PA
- Virginia Beach, VA
Arora also noted:
“Businesses in New York significantly outpaced companies based in other cities in annual revenues. Tourism, food & hospitality, real estate and construction are quite strong. Additionally, the tech industry is booming, particularly ecommerce and fashion-focused technology. New York benefits from an educated workforce that attracts young professionals from top schools in the U.S. and immigrants from all over the globe.”
Biz2Credit also released its Top 10 metro areas by Annual Revenue:
- New York, NY ($979,674)
- Miami-Fort Lauderdale, FL ($800,024)
- Austin, TX ($750,023)
- San Jose, CA ($640,334)
- Seattle, WA ($632,114)
- Los Angeles, CA ($542,712)
- Washington, DC ($542,674)
- San Diego, CA ($527,957)
- Dallas-Fort Worth, TX ($513,533)
- San Francisco, CA ($511,991)
The Top 10 Age of Business (in months) are the following:
- Las Vegas, NV (44)
- San Antonio, TX (44)
- Virginia Beach, VA (46)
- Denver, CO (47)
- Atlanta, GA (49)
- Philadelphia, PA (50)
- Austin, TX (50)
- Riverside-San Bernardino, CA (51)
- Baltimore, MD (52)
- Sacramento, CA (52)
Biz2Credit’s Top 10 Credit Scores revealed:
- New York, NY (646)
- San Jose, CA (644)
- San Francisco, CA (640)
- Miami-Fort Lauderdale, FL (640)
- Riverside-San Bernardino, CA (627)
- Los Angeles, CA (625)
- Indianapolis, IN (622)
- Seattle, WA (622)
- Austin, TX (621)
- Houston, TX (616)
Arora added:
“Businesses in the New York metro area were more established than those throughout the country and typically higher credit scores comes with the territory. There is also a correlation between higher credit scores and businesses with better longevity. Many of the cities in the Top 10 were represented by longer operating businesses.”