Based on a survey by MarketBeat, a financial media company, 3,024 aspiring entrepreneurs shared their thoughts on which city they would choose to launch their startup, solely considering local government support. The result is a definitive list of America’s most startup-friendly cities, powered by local initiatives:
#1 Dallas, Texas
Dallas is known for its corporate strength and robust startup ecosystem. Tech Wildcatters and the DEC network provide local government grants, innovation programs, and industry partnerships, fostering a vibrant base for entrepreneurs. With connections to Fortune 500 companies and resources for mentorship and investors, Dallas remains one of the best cities to scale a business. DFW Startup Week 2025 will be held at the SMU Cox School of Business, offering more opportunities for startup growth.
#2 Austin, Texas
Known as “Silicon Hills,” Austin is a hotbed for tech ventures. The city’s no-income-tax climate, supported by the Texas Enterprise Fund, attracts startups from across the country. With organizations like Capital Factory, Techstars Austin, and the Austin Technology Incubator, Austin offers mentorship, funding, and a deep talent pool for tech entrepreneurs. The Austin Tech Week 2025 in October will further solidify the city’s status as a premier launchpad for tech ventures.
#3 Houston, Texas
Houston excels in sectors like energy, aerospace, and health tech, and has been ranked #1 in North America for early-stage funding. With initiatives like The Ion, MassChallenge Texas, and Greentown Labs, Houston offers accelerators and incubators designed to help entrepreneurs succeed. Local and industry support provides entrepreneurs with access to capital, R&D, and specialized expertise to grow innovative startups.
#4 Orlando, Florida
Orlando has expanded beyond its tourism roots to become a thriving tech hub. The University of Central Florida’s Business Incubation Program and the Creative Village innovation district offer entrepreneurs mentorship, office space, and access to skilled talent. Orlando’s specialized institutes in aerospace and gaming provide unique resources for startup growth in these fields.
#5 Tampa, Florida
Tampa Bay has been gaining traction as a startup city with Embarc Collective and Tampa Bay Wave, offering mentorship, funding, and investor ties. The city excels in sectors like cybersecurity, healthcare, and logistics, and benefits from Florida’s tax advantages. Local business leaders and accelerators provide invaluable resources to help entrepreneurs thrive in Tampa’s growing tech ecosystem.
New Jersey’s Rising Stars: Newark, Princeton, and Camden
New Jersey may not always top the national rankings, but its cities are emerging as powerful players in the startup ecosystem. Newark, Princeton, and Camden were recognized as some of the best cities in America for startups.
“When we set out to find a headquarters for HAX, we were looking for an ecosystem that could be the birthplace of the re-industrialization of the U.S. In 2024, we opened the doors to our 35,000 sq. ft facility and lab space in Newark, NJ, which was made possible by a $25 million investment from the NJ Economic Development Authority. Since then, Newark has emerged as a global hub for startups, laying the foundation for long-term economic growth,” said Duncan Turner, General Partner at SOSV and Managing Director at HAX.
“To date, we’ve invested in 50 startups that have relocated to Newark from the UK, EU, Canada, Boston, California, and beyond. With our world-class lab space, proximity to customers in NYC, and a thriving industrial heritage, Newark has everything our founders need to build and scale.”
#51 Newark, New Jersey
Newark is becoming a prominent tech hub, home to the Newark Venture Partners’ $45M fund and NJIT’s VentureLink, an incubator hosting nearly 90 startups. With support from the New Jersey Economic Development Authority (NJEDA), Newark provides access to coworking spaces, labs, mentorship, and investor connections—making it an ideal location for entrepreneurs.
#70 Princeton, New Jersey
Princeton’s innovation ecosystem is fueled by Tigerlabs, which supports over 40 startups, and the Princeton Innovation Center, which features 31,000 sq. ft. of space for tech and healthcare ventures. Princeton’s access to mentors, investors, and university resources helps entrepreneurs bring their ideas to life and scale them successfully.
#78 Camden, New Jersey
Camden is becoming a key player in the life sciences sector, with the Strategic Innovation Center and Coriell Institute offering advanced labs and mentorship. State investment and incentives provide Camden with the infrastructure needed to compete with nearby Philadelphia and launch biotech and tech startups.
