Is Utah a good state for planting and growing a business? - First Utah Bank | Personal Banking | Business Banking | Treasury Management | Loans
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Is Utah a good state for planting and growing a business?

Utah continues to earn praise as one of the best states for entrepreneurs. But why is that? What makes Utah so special and is it really a great state for starting a business? There are a variety of reasons and we are going to cover those today. Let’s start with the easiest of them all and the one that gets almost everyone’s immediate interest.

1. Low Tax Rate

When it comes to economic competitiveness, taxes count. People and companies often seek to locate in areas where their tax burdens are the lowest. In many cases, they will look across state lines to Utah. According to the Tax Foundation’s 2022 data, Utah is ranked in the top tenth percentile. Utah’s favorable tax climate derives from all major tax types. From corporate to income, sales and property taxes – Utah earns its place as a tax-friendly state.

2. Excellent Infrastructure

To grow and prosper, a state must invest in itself. Plans must be put into place to meet future needs, no matter what those may be. This is especially true when it comes to infrastructure spending. For a state to compete, they need to prove they have an excellent public transportation system, modern electrical grid, fast broadband infrastructure, and a reliable and clean water supply. Utah has made this commitment in several ways. One such project, the I-15 corridor, and the UTA FrontLines commuter rail demonstrate Utah’s commitment in this area.

3. Good Governance

Not every state manages itself well, but Utah does a pretty darn good job at it. Utah remains a national leader in fiscal management. The Beehive State has routinely ranked as a top state for responsible governance and little to no corruption. According to the Pew Research Foundation’s State of the States 2022 study, Utah continually ranks in the top percentile for responsible governance and appropriate use of state funds and tax revenues. It’s well known that Utah manages itself with savvy business acumen. Financial decisions are made with the good of the state in mind and with an eye on long-term return on investment.

4. Effective Regulatory Structure

Utah offers a streamlined regulatory system that gives businesses the confidence they need to hire, invest, and innovate. The Utah legislature passes regulatory reforms that benefit businesses while preserving the natural beauty of our state. Utah does its best to introduce regulatory reforms that don’t hamper jobs or economic growth. State regulators also work with the governor’s office and regulatory bodies to ensure every bill outlines the cost and benefits of any proposed legislation, regardless of origin or intent.

5. Happiness Index

While the World Happiness Index ranks world cities, we would not be surprised if Utah ranked pretty high on a list of state happiness indices. Utah boasts a wealth of different types of scenery, from what some consider to be the “best snow on Earth” in Park City to Canyonlands National Park, Lake Powell and so much more. Utah offers a plethora of outdoor activities to choose from, from camping to hiking, mountain biking, fishing and recreational vehicle fun. There simply is something for everyone who loves the great outdoors here in Utah.

6. Excellent Networking Opportunities

When you have a big cluster of different industries and companies in one place, there are tons of networking and collaboration opportunities. Utah boasts the new Silicon Valley – what we like to call the “Silicon Slopes.” Utah also has a thriving medical device and healthcare industry. Plus the construction, engineering and manufacturing sectors are all booming. With so many highly educated individuals working in one place, big thinking turns into big products and services that change the world.

7. Diverse and Educated Population

While Utah may have a reputation as one of the least diverse states in the nation, that statistic is rapidly changing. Not only do we have people of all stripes moving to our state to take advantage of what it has to offer, but many of them are highly educated. They come to Utah because they can count on a low cost of doing business, a diverse and growing economy and a supportive regulatory environment. And they bring with them all the skills and talents that Utah needs to remain competitive. Utah is also quite proficient in turning out highly educated career professionals. Utah universities consistently rank in the top 100 and in some cases, the top 50th percentiles when it comes to the quality of education students receive at Utah institutions of higher education.

8. The Best Community Bank

We would remiss if we did not include ourselves on this list. First Utah Bank is proud to position itself as Utah’s premier community bank. We offer a wide array of business banking services, from loans to checking accounts and more. Whether you’ve already started a business in Utah or are planning to consider First Utah Bank as your partner in banking. Let us help you ensure your business succeeds in one of the best states to do business in!