The best states to start a business are Delaware, Wyoming, and Nevada. These states stand out, especially for small businesses, because they have low tax requirements, business-friendly laws, and savvy court systems.
Why Wyoming Stands Out
Wyoming is the best state to start a business for a variety of reasons. For starters, Wyoming’s business tax climate is conducive to starting a business. The state doesn’t have a corporate income tax, individual income tax or gross receipts tax, according to the Tax Foundation.
There are benefits to forming a limited liability company in Wyoming. There is no state income tax on limited liability companies. There is asset protection and limited liability. Personal liabilities are not safe from the assets of a limited liability company.
Wyoming is home to many small cities, but the cost of living in them is often well below the national average. Meanwhile, Wyoming has some of the lowest taxes in the country – it recently came in as the fourth best state to live in for tax day.
All states allow you to incorporate a business regardless of where you live. However, some states don’t offer benefits that make it worthy to ditch your home state. Most of the tax and cost-saving benefits that make it attractive are meant for entrepreneurs who choose to live in the state.
Oftentimes the best state to register a small business is in your home state. The likes of Delaware, Wyoming and Nevada are appealing for many reasons. However, your home state stands to offer unique benefits that may cancel out the need to look for a state with lower taxes or a better court system.
One of the primary reasons to start a business in Wyoming is the overall tax climate of the state. The 2021 state business tax climate index by tax foundation has ranked Wyoming as #1 – right at the top!
The best city to start a business in Wyoming depends on the type of business you’re starting and your target market, but Laramie, Cheyenne, and Casper are popular cities.
Starting Your Wyoming Business: A Step-by-Step Guide
If you’re looking to start a business in Wyoming, you need to be armed with the right knowledge. This step-by-step guide will walk you through the business development and launch process and put you on the road to entrepreneurial success in the Cowboy State!
Due to its small size and pro-business stance, Wyoming has the distinction of being one of the best states to start a business in. With great asset protection laws, favorable tax laws, and low costs of labor, the Equality State provides a great platform for those who want to start a new business there and save on capital.
The benefits of starting a business in Wyoming have attracted entrepreneurs because there is no state income tax for individuals or corporations and filing fees to register a business in Wyoming are quite affordable. If you’ve been thinking about forming a business in Wyoming, then you’ve come to the right place.
The following information will further detail why Wyoming is a great state in which to incorporate.
Incorporating in Wyoming is a smart move for business owners. Not only does the “Equality State” lack personal income, inventory, corporate, and franchise tax, but the western state also lacks burdensome regulations. These benefits make Wyoming one of the country’s most popular pro-business states, alongside Delaware and Nevada.
Why Entrepreneurs Choose Wyoming
There are several reasons why entrepreneurs choose to start a business in Wyoming. Outstanding transportation infrastructure, a well-funded public education system, and a favorable tax climate with a low tax burden are a few of the factors driving their decision. The cost to incorporate in Wyoming is also lower than several states like the District of Columbia, Illinois, and New York. One of the major reasons to incorporate in Wyoming is the strong economy and opportunities and benefits for small businesses. According to the 2020 small business profile created by the office of advocacy, US small business administration (SBA), there are 68,641 small businesses in the state as the Wyoming economy grew at an annual rate of 1.8%.