Tag Archives: Business and Economy

Raleigh was ranked the best city in the state to start a business due to its labor market.

Entrepreneurs and business owners need look no further than the Tar Heel state to set up shop — North Carolina came out on top in a new study of the best states to start a business.

The study, conducted by Fit Small Business, cited the state’s labor market and taxes as driving an ideal environment for business owners. Fit Small Business, out of New York City, says it provides research to help small business owners make wiser decisions.

The researchers used data from the U.S. Bureau of Labor Statistics, the Kauffman Foundation and the Small Business Administration to rank states on seven categories — access to capital, startup activity, taxes, cost-of-living, labor market, quality of life and cost of starting a business.

The study took corporate, individual income, unemployment insurance, property and sales taxes into account, ranking North Carolina 11th nationally for tax rates. At 3 percent, North Carolina’s corporate tax rate is the lowest of any state levying a corporate tax, according to the Tax Foundation, and is set to be reduced to 2.5 percent beginning in 2019 after to the North Carolina General Assembly’s latest budget.

Raleigh’s educated population and its high-quality research facilities earned it the top spot among cities statewide for starting a business. More than 40 percent of Raleigh’s population over 25 held at least a four-year degree, compared to just over one-third of Americans nationally.

The state’s startup activity also ranked highly — a category that took the rate of entrepreneurs and the survivability of business into account.

But those looking for venture capital investments and small business loans may turn their attention elsewhere. The state was ranked 34th in “access to capital.”

The cost of starting a business, based on per capita income and median commercial rent per square foot per year, fared worse for North Carolina than a majority of states as well. Data from the Bureau of Economic Analysis reveals North Carolina’s 2016 per capita income of $42,002 lags behind the national average of $49,571.

In addition to North Carolina, Utah, Texas, Indiana and Montana rounded out the top five states for starting a business.

by:, triangle business journal

Triangle home prices up in May, but demand might be leveling off

Single-family home sales in the Triangle were up 3 percent in May, with the average sale price up 8 percent year-to-date – but sales in Wake County have been lagging for two months.

According to Triangle Multiple Listing Service, sales in Wake County were down 2.2 percent in May compared to the year prior and averaged nearly $332,000. Sales in April had also been down by a rate of 1.2 percent.

The reports indicate that buyers who can’t afford – or don’t want to pay – the higher home prices in Wake County neighborhoods have started looking to neighboring counties where homes are cheaper.

Home sales in Durham County, where the average home price was $250,106 in May, increased 12.4 percent to a volume of 562 units sold. Durham’s average home price is up 6.9 percent year-to-date.

Johnston County sales were up 6.4 percent to 380 units, with an average price of $211,535. The county’s average home price is up 7.8 percent year-to-date.

Orange County home sales, where the average price is nearly $389,000, was flat with 224 units sold in May, the same number as the year prior. Orange County’s average home price is down 1.7 percent year-to-date.

All of the Triangle’s core counties have been working with an anemic level of inventory of homes for sale since 2014, and in May, the inventory level dropped to 2.5 months of supply. The average days on market dropped to 42 days in May compared to a 48-day average in May the year prior.

On one company’s website, it was stated that with a continuing high demand from buyers, sellers might be tempted to list their home at a higher price with the idea that they can reduce the price later.  That’s probably not a good strategy.

The National Association of Realtors has studied this and found that a home that is overpriced will often result in decreased buyer activity. If a home is priced correctly for the market, 60 percent of potential buyers will look at it. When a home is priced 10 percent above market value, the interested buyer pool drops to 30 percent.

“Your home will receive the most interest and foot traffic within the first few days of listing. If it’s priced too high, buyers won’t come back later for a second look,” Riley says.

by: Amanda Hoyle; Triangle Business Journal

Here’s how North Carolina’s economy ranks among other states

Where does the Tar Heel State rank in terms of its economy, relative health and innovation potential?

A new report by WalletHub, the personal finance website,ranks North Carolina as the 15th best economy in the country overall.

WalletHub compared the 50 states and the District of Columbia, looking at 27 indicators of economic performance and strength. The data it examined ranged from GDP growth to startup activity, according to the report.

North Carolina, with an index score of 57.34 out of 100, also ranked 11th in terms of economic health and 12th for innovation potential. The state placed in the 24th spot in terms of economic activity. Those three categories were looked at to determine states’ overall ranking on the study.

The states with the best economies are Washington, California and Utah. Those with the worst economies are West Virginia, Louisiana and Mississippi, according to the report.

To see where other states come in, see WalletHub.

by: Jessica Seaman, Triad Business Journal