A recent study found that Minneapolis is one of the top cities in the nation for female entrepreneurs. According to NerdWallet, Minneapolis — where nearly one-third of all businesses are owned by women — is the fourth best city for female entrepreneurship. The City of Lakes reportedly scored big for having low unemployment rates and a wealth of women’s business organizations.
While Minneapolis might be particularly hospitable to women business owners, female entrepreneurship has been on the rise across the country for more than 15 years. The National Association of Women Business Owners reports that the amount of female-owned businesses in the nation has grown by almost 60 percent from 1997 to 2013. Just under 30 percent of all businesses in the U.S. are owned by women.
Nationwide, female entrepreneurs have the largest presence in the health care and social assistance industry, followed by educational services, administrative support and waste management services.
In order to find the best cities for women entrepreneurs, researchers studied a number of factors including: local economies; average education levels; earnings of women workers; business-friendliness; and the number of female entrepreneurs.
While Minneapolis might be an entrepreneur-friendly city, this of course does not mean that everyone who opens up shop in the Twin Cities is going to be successful. In order to set a business up for success, local entrepreneurs need to have solid ideas, people and capital as well as a strategic business plan. The business plan should include the best choice of entity for the venture. Depending on the management structure, potential size and tolerance for liability, among other factors, an entrepreneur might choose to structure a business as an LLC, S corporation or FLP, among other options.
Entrepreneurs in the Twin Cities often benefit from working with skilled business formation attorneys during the business planning and structuring process.
Source: Minneapolis St. Paul Business Journal, “Minneapolis is a top city for women entrepreneurs,” Teresa Novellino, Feb. 24, 2014