The National Federation of Independent Businesses released its monthly report on entrepreneurs’ sentiment of the American small business climate yesterday. While entrepreneurs were generally optimistic, nearly half of them reported difficulty finding quality hires in July.
Despite that difficulty, Michigan still has several advantages for entrepreneurs looking to start a business.
The workforce
“Michigan has an awesome workforce,” says Ryan Rosett, founder of small business lender Credibly. Rosett pointed to the high level of education in Michigan’s labor pool as a reason businesses should set up shop here. Around 40 percent of Michiganders aged 25 to 64 have a college degree, in line with the national average.
The real estate
Average rents in Michigan are around 400 percent less than the San Francisco area, according to a report by Automation Alley, a Michigan technology business association. Rosett pointed to low real estate costs as a boon to his decision to start Credibly in Michigan.
Compensation structure
Rosett pointed to fair laws regarding pay as a strong reason to build a business in Michigan. Compensation structures give employees a fair shake and reward entrepreneurs for building successful businesses, he said.
