Why Startup Genome Has It Wrong: Betting on Boston

Startup Genome recently published a list of the top cities for young entrepreneurs. One of the cities that made the list is Boston. But does it deserve to be there? Let’s take a closer look at why the city of Boston was chosen and what makes it special compared to other cities on the list.

A Hub For Tech, Startups, And Investing

First off, Boston is a hub for the tech community. Not only does it have a thriving ecosystem of investors and partners, but it also hosts several prominent tech companies (Instagram, GitHub, and more).

In addition, the city’s entrepreneurial spirit is contagious. As we’ve established, Boston is very entrepreneurial-friendly. The ecosystem supports and promotes startups and small businesses. The city’s Economic Development Corporation (EDC) has a Startup Program designed to provide financial support, mentoring, and connections to entrepreneurs. This is in addition to the numerous business incubators that are available there.

Considering the above, it’s not surprising that Boston is one of the top cities for young entrepreneurs. But, not all is sunshine and rainbows. The city is highly dependent on financial services and industry, which can make the ecosystem more vulnerable to economic changes. Also, being ranked as one of the most expensive cities in the country makes it harder for budding entrepreneurs to get inspired to start their own businesses.

An Ideal Location For Business And Leisure

Located in the beautiful scenic New England region, Boston is an ideal location for business and leisure. The beauty of the area and the mild climate are making the city more popular every year. In fact, Boston is ranked as the fifth most visited U.S. city (after New York, San Francisco, Los Angeles, and San Diego). In 2020 alone, there were 7.9 million tourists that visited the city, which is more than what Frankfurt, Hamburg, Milan, and Amsterdam had in total. (Statista)

Tourism is one of the industry’s that could benefit from the pandemic. The attractions that the city has to offer are more prominent than ever before. If you’re looking for a trip that’s both educational and entertaining, consider investing in Boston and taking part in one of its many festivals, such as the Boston Festival of Beer or the Boston Common Pops Summer Concert Series.

Attracting The Best And The Brightest

The best and the brightest from around the world are drawn to Boston. The city has a special mystique that draws international students. In fact, over 60% of the city’s population is ethnically diverse. The draw of the city is not limited to academics, either. Many successful entrepreneurs and business leaders were born and raised there. So if you’re looking to establish a business there, you’ll have the advantage of hiring the best.

In addition, the standard of living in Boston is high. Not only do you have the opportunity to live in one of the most beautiful cities in the world, but you can raise your family in a comfortable and safe environment. Despite the above, there’s still a perception that Boston is exclusive and not accessible to all. If you want to attract top talent and investors to your business, you’ll need to change that perception.

A City Of Culture, Commerce, And Government

Aside from having one of the most vibrant and entrepreneurial student populations, Boston also has a vibrant arts and culture scene, as well as a strong history of politics and activism. The city is home to several iconic historical buildings, including the Massachusetts State House and the Boston Common. In 2020, the city became the center of a heated debate when a series of videos depicting the city’s Black population being harassed by police went viral. The videos sparked national as well as international attention and protests.

But it’s not all gloom and doom. There are positive stories, too. The local business community is coming together to support and promote startups. Several businesses, such as Stripe and Blue Apron, have opened offices there. In 2020, the city was also one of the first to introduce a payroll tax to pay for the services that the Covid-19 pandemic has rendered unavailable. This helped to keep businesses afloat, as well as provided additional revenue for the city’s public coffers.

A City Of Ethnic Diversity

Another positive aspect of Boston’s culture is its ethnic diversity. The city is a melting pot of individuals from around the world. According to the U.S. Census, over 31% of the city’s population is made up of different ethnicities. That’s more than any other city on the planet. In 2021, the population of Boston is projected to be 375,000. The vast majority of which (84%) will be people of color. So if your goal is to establish a business in a city with a vibrant demographic, you’ve found the right place.