Forbes recently ranked Colorado No. 5 on its eighth-annual list of the Best States for Business, naming it one of the “pockets of the U.S. primed for growth thanks to pro-business regulatory environments, educated workforces and reasonable business costs.”
The Forbes study looked at six factors critical for businesses: costs, labor supply, regulatory environment, current economic climate, growth prospects and quality of life. Virginia, ranked No. 1, is the only state to rank in the top five in four areas, missing only on costs and growth prospects.
The Best States ranking looked at 35 data points across six main areas, weighing business costs, which include labor, energy and taxes, most heavily. It relied on 10 data sources, though it used research firm Moody’s Analystics the most.
With a gross state product of $274 billion and an expected five-year annual GSP of 1 percent, Colorado owes its ranking to “an educated labor supply and migrating population attracted to its robust economy and outdoor recreational opportunities,” according to Forbes. Colorado is expected to have the third-fastest growth for both jobs and household incomes over the next five years.
The U.S. economy continues to sputter along with a cloudy outlook, Forbes reports. The Federal Reserve indicated as much recently when it decided to maintain its monthly $85 billion bond-buying program to prop up economic growth.
“Conditions in the job market today are still far from what all of us would like to see,” says Fed Chairman Ben Bernanke as he announced the continuation of the easy-money plan.
Virginia rose in the ranks from No. 2 in 2012 and returns to the top for the first time since 2009, thanks to its strong incentive offerings and business friendly government policies, according to Forbes. It has a gross state product of $446 billion and an expected five-year annual GSP growth of 1 percent.
“Virginia has a widely diverse economy that includes local and federal government, military, farming and manufacturing,” according to Forbes.
Here’s a look at Forbes’ top 10 Best States for Business:
Visit http://www.forbes.com/best-states-for-business/ for a complete list and report on Forbes’ Best States for Business.
Owner and Founder
RE/MAX of Boulder