There are an almost overwhelming number of considerations to focus on when it comes to business formation, but determining the location of a company is one of the most important. Location will impact a business in many ways, such as contributing to their brand image, determining the potential pool of local employees and affecting the financial aspects of doing business (taxes, costs, government incentives and more). For example, if someone wants to launch a company in Fort Lauderdale, they should review the laws in Florida and evaluate the local community.
Although many start-ups have flocked to suburban areas in the past, more start-up activity has been taking place in urban locales in recent years. There are a number of reasons behind the trend, including a wider talent pool and better access to amenities.
While this trend can be seen throughout the country, the shift is also visible in South Florida, as an increasing number of start-ups have decided to launch their business in Miami. In fact, the city saw $300 million worth of venture investment in 2013.
Although business formation can seem stressful, the rewards of launching a successful start-up company can be impressive. When every aspect of starting a company is thoroughly assessed (regulatory compliance, investors, estate purchases and so on), companies will be in a much better position to prepare for what the future holds. However, a number of legal issues could arise and it is always smart to focus on laws that pertain to starting a business. As a result, talking to a legal professional could be beneficial.
Source: The Atlantic Cities, "The Urban Shift in the U.S. Start-Up Economy, in One Chart," Richard Florida, March 31, 2014