Yes, San Francisco is still the best place for U.S. startups. But South Florida isn't too far behind.
Miami came in No. 8 in a ranking of top cities for startups, according to an analysis from Coworking Mag. The Magic City's robust support network for early stage businesses helped it rank above locations like Denver and Boston.
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The online magazine looked at four metrics to determine favorable locations for startups: Support systems, funding availability, operational set up costs and availability of talent. The support system category, which received a higher score in the overall index, includes the number of startups, accelerators and incubators in the area. Operational set up costs considers factors such as office lease prices and coworking prices.
Miami has the country's fourth-strongest support system, according to the analysis, helping it secure eighth place. It has the fifth-highest number of accelerators, programs that offer mentorship, funding advice and other services for startups.
Coworking options are also extremely accessible. According to the analysis, Miami has 68 coworking spaces, the second-highest density among the 108 U.S. cities studied.
San Francisco, the No. 1 city, also took the top spot for support systems and funding availability.
"With a whopping 361 startups created in 2023 — the highest number among all cities analyzed — San Francisco seems to make up the ideal environment for budding entrepreneurs," the analysis said.
In comparison, 38 startups were created in Miami in 2023.
San Francisco is home to larger professional talent base, with more than 70% of the population holding a bachelor's degree. The city's median income is $83,471.
About 42% of the population has a bachelor's degree in Miami, where the median income is $39,263.
New York, Los Angeles, Seattle, Chicago, Atlanta and Austin were also among the top urban hubs for startups.
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