The Most Entrepreneurial Cities of 2025 Prove Size Doesn't Matter
Rhea-AI Summary
GoDaddy (NYSE: GDDY) has unveiled its Most Entrepreneurial Cities of 2025 rankings, based on data from its Small Business Research Lab. San Francisco leads with 173,054 new businesses (+122% YoY), followed by Los Angeles with 153,681 (+50%) and Denver with 63,010 (+56%). The rankings reveal unexpected trends, with smaller suburban cities like Frankfort, IL and Katy, TX competing alongside major urban centers. California dominates with four cities in the top 10, while two different Wilmington cities (DE and NC) made the list. The data challenges traditional assumptions about where entrepreneurship thrives, showing significant growth in both large tech hubs and smaller suburban markets.
Positive
- Strong entrepreneurial growth across multiple cities, with San Francisco showing 122% year-over-year increase
- Emergence of smaller suburban markets as viable business hubs
- California shows strong business formation despite high costs, with 4 cities in top 10
- Significant growth in traditional tech hubs like San Francisco and Los Angeles
Negative
- None.
News Market Reaction
On the day this news was published, GDDY declined 0.17%, reflecting a mild negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
New GoDaddy data reveals unexpected hotspots fueling the Unites States' entrepreneurial spirit
Top 10 Most Entrepreneurial Cities in the
Using data from the GoDaddy Small Business Research Lab (formerly Venture Forward), a seven-year-old initiative that studies small business activity across the country, the 2025 ranking was determined following an analysis of cities with the highest number of new ventures created during the previous calendar year.
City | Number of new | Growth year |
173,054 | 122 % | |
153,681 | 50 % | |
63,010 | 56 % | |
11,180 | 21 % | |
10,370 | 16 % | |
9,789 | 100 % | |
8,811 | 14 % | |
6,734 | 36 % | |
6,660 | 12 % | |
6,300 | 83 % |
So, what does this mean?
- The Bay is back. Known as an innovation powerhouse,
San Francisco leads the ranking with over 173,000 small businesses added, fueled by its deep-rooted tech culture, access to venture capital and highly skilled workforce. While neitherSan Francisco norAlameda would have made the top 10 in 2024, both cities catapulted the Bay Area to this year's leaderboard.
- Suburban markets are booming. Several smaller, suburban cities clinched a spot in the top 10, despite competing with well-known, large urban cities across the country.
Frankfort ,Ontario ,Katy , andAlameda all emerged as new hotspots and challenge the idea of where entrepreneurship thrives.
Wilmington is trending. There are 88 cities in theU.S. namedWashington , and yet it's two cities namedWilmington that made the top 10.Wilmington appears to be becoming a name synonymous with small business.
- Is
California the new epicenter for small businesses? Despite its reputation for high costs, GoDaddy data shows multipleCalifornia cities are seeing significant entrepreneurial growth. With four cities on the list,California edges out other states with its increase in small business starts.
"Small businesses are vital in fueling growth across the country, but they don't always get recognized for how much they punch above their weight," said Gourav Pani, president, Independents at GoDaddy. "These rankings show new businesses emerging from every corner of the country, and entrepreneurs are proving they can succeed anywhere."
You can find additional data on the 2025 Most Entrepreneurial Cities and read more about those ranked in the top 10 on GoDaddy's website.
About the GoDaddy Small Business Research Lab
The GoDaddy Small Business Research Lab (formerly known as Venture Forward) analyzes more than 20 million online businesses with a digital presence, defined by a unique domain and active website. Most of these businesses employ fewer than ten people, classifying them as microbusinesses. Since 2018, the program has surveyed more than 50,000 entrepreneurs, making it a leading source of data and insights on microbusiness trends. To learn more, visit www.godaddy.com/ventureforward.
About GoDaddy
GoDaddy helps millions of entrepreneurs globally start and scale their businesses. People come to GoDaddy to name their idea, build a website and logo, sell their products and services, and accept payments. GoDaddy Airo™, the company's AI-powered experience, makes growing a small business faster and easier by helping them to get their idea online in minutes, drive traffic and boost sales. GoDaddy's expert guides are available 24/7 to provide assistance. To learn more about the company, visit www.GoDaddy.com.
Source: GoDaddy Inc.
View original content to download multimedia:https://www.prnewswire.com/news-releases/the-most-entrepreneurial-cities-of-2025-prove-size-doesnt-matter-302458563.html
SOURCE GoDaddy Inc.
FAQ
What is the most entrepreneurial city in the US for 2025 according to GoDaddy?
How many new businesses were created in Los Angeles in GoDaddy's 2025 ranking?
Which smaller cities made GoDaddy's top 10 entrepreneurial cities list?
How many California cities are in GoDaddy's 2025 most entrepreneurial cities list?
What was the year-over-year growth for San Francisco in GoDaddy's 2025 entrepreneurial cities ranking?
