This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Starting a Business? Move to One of These 6 Cities

Stocks in this article: RAX GOOG

1. San Antonio

As the seventh largest city in the U.S. and with the biggest chunk of its population between 25 and 34, San Antonio is a perfect place to add to the rising cities list.

The city is pouring money into revitalizing its downtown area to encourage young professionals to make San Antonio their permanent homes as well as developing its angel investor and venture capital networks to help address the needs of smaller startups.

"San Antonio has always had a very strong small business presence," says Rene Dominguez, director economic development for the City of San Antonio.

"We have some industries that really lend themselves to small-business formation and growth like the tourism industry. There are a lot of small-business opportunities within that industry from restaurants to retail," he says. "More recently there are emerging industries that are very conducive to small business such as IT and cyber. We have a very strong small-business cyber-community here."

One of the more recent sparks for small business is the support by Rackspace (RAX) founder Graham Weston.


"Rackspace has a desire to make San Antonio an IT, tech-driven community and it matches up with the city's goals as well," Dominguez says.

>>>Rackspace Not on 'Cloud 9' Anymore

From establishing Geekdom, a collaboration space that is a point of concentration for tech and entrepreneurialism in San Antonio, and a major supporter behind TechStars Cloud, a San Antonio-based accelerator launched in January 2012 that funds companies focused on cloud computing and cloud infrastructure.

"San Antonio has a lot to offer tech startups," says Jason Seats, managing director of TechStars Cloud. "The community is small, but concentrated and because of initiatives like Geekdom it's very easy for newcomers to get acclimated and meet everyone. Local investors are just getting the angel-investing bug and there is healthy support to see San Antonio-based companies succeed."

Startups are also launching within the biotech and medical device industry, particularly with unique assets to the city like University of Texas' Health Science Center and several biotech incubators, such as T3DC, that all lend themselves to fostering small business creations, Dominguez says.

Among its myriad of city-supported programs and initiatives, the San Antonio Economic Development Corporation (SAEDC) was created in 2010 by the city council to help spur the development of innovative companies and bring high-paying jobs to the city. It has the authority to make equity investments in companies, mainly within bioscience and health care. The investment funds are provided through grants approved by City Council to the SAEDC.

"We're not necessarily venture capitals because we're not looking for risky ventures," Dominguez says. "We're looking for projects that are focused on economic development."

Most recently though, the city announced plans to launch Café Commerce, a clearinghouse aimed at becoming a one-stop-shop incubator for small companies.

Similar to Geekdom, which focuses on the tech industry, Café Commerce will give business owners access to resources, market data and other assistance needed to launch businesses as well as a physical location for collaboration. Mayor Julian Castro introduced the initiative in his State of the City speech last month.

Alex Lopez, the assistant director of the city's small business office, says San Antonio was lacking an easy way to find all the resources available to entrepreneurs and small-business. The program's physical location will likely be in the city's Central Library. The city also plans to use US SourceLink and the Ice House Entrepreneurship Program, both developed with support from Kauffman Foundation, to centralize the business resource information.

Another major component of the initiative is the creation of curriculum to learn more about entrepreneurism - not just the logistical aspects of starting a business, but to "develop that kind of thinking," especially among the city's youth, Lopez says.

2 of 7

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 18,053.71 +23.50 0.13%
S&P 500 2,088.77 +6.89 0.33%
NASDAQ 4,806.8590 +33.3870 0.70%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs