The Business Journals, you know the local tabloid sized weekly business newspapers, have selected Austin Texas as the best city for small business for the third year in a row. Raleigh NC, Oklahoma City OK, Houston Texas and Salt Lake City UT followed behind Austin this year.
Sure Austin is home to two mega festivals every year with South By Southwest (SXSW) and Austin City Limits, but it’s their year round support for local small businesses that has earned Austin this title, yet again. The actual scoring factors by the Business Journals were; growth in population, private sector jobs, per capita concentration of small businesses and the number of small businesses. The Business Journals declared a small business having 100 employees or less.
Austin’s strong number of startups of course contributed to this winning. Website austinstartuplist.com has found over 1400 companies that are in their startup stages and call Austin TX home.
Every year hundreds of startups flock to Austin’s SXSW Interactive festival hoping to get the buzz that Twitter, and Foursquare once garnered. Startups like Zaarly (2011), Highlight and Glancee have pulled traction out of the Austin festival but not the way Foursquare and Twitter have.
Austin is also a hot bed of acquihires the most notable being Facebook’s purchase and relocation of Gowalla from Austin to Paolo Alto.
We’ve spoken with several Austin based startups who sometimes feel like Austin’s startup scene is hot only in March. They’ve got some great companies, startups and events, all that we’ll be covering here at Nibletz as the voice for startups everywhere else. As for not being hot year round, Business Journals obviously thinks they are.