Arizona’s business scene is considered successful, as it is the land of opportunities and growth. A lot of things attract and preserve new and existing businesses to flourish and grow into money-making giants within this State.
There has been a shift in recent times where many businesses seeking to enlarge their companies or conquer new territories are moving to Arizona. Live Ramp and HelloFresh are some companies that have established themselves in Arizona and are performing pretty well.
These two businesses serve as proof that Arizona is the State people need to be at. Hence, the question begs, why are businesses moving to Arizona? What are the pros of shifting to Arizona for your business? In the list below, we shed light on the reasons why.
Right-To-Work State
Workers residing in a right-to-work State are protected by a law concerning freedoms about imbursement and becoming members of a worker’s union. The law forbids businesses from forcing prospective employees to join a labor union to get a job.
Arizona is one of the right-to-work States, thus pulling many skilled people to the place. Because of this, businesses have an amazing chance of choosing from the many talented people, making certain that they employ suitable candidates for the task.
The thinking behind the law is to ensure that the business environment is healthier and lends the masses more opportunities. However, note that a right-to-work environment demands support from other principles, including a more lenient work program and two-way communication between the bosses and the workforce.
The right-to-work movement is drawing in more states, which could be detrimental to labor unions. If fewer employees are willing to part with the union fee, the associations might lack sufficient resources to represent the employees if a need arises.
Taxes
In matters concerning business, there are a few words entrepreneurs want to hear, and the terms are low and moderate taxes. Compared to other states, it is pretty clear that tax rates within Arizona are encouraging to businesses.
As we speak, Arizona’s existing corporate tax rate stands at 4.9 percent compared to New York’s 6.5 percent and Los Angeles’ 6.65 percent. Startups and small and medium businesses reap heavily from these low rates and give them a greater chance to enlarge.
The overall tax obligation is tremendously reduced because they vary from one town to another. Also, tax credits are inducements pushing people to invest more within Arizona.
So, what is a tax credit? A tax credit refers to a discount that deducts the credit an organization has accumulated from the whole amount the business is indebted to the State.
Hence, the tax credits and other deductions make Arizona the place you wish to carry out business. Requesting for taxes and other necessary permits is easy and does not need a tax consultant.
The incentives make the burden lighter for startups, motivate employees, and provide good wages that eventually profit the State.
Affordable Housing
Affordable homes for sale in Arizona is another reason businesses flock to. The lower taxes have made it possible for people to invest in superior housing.
The masses seek quality homes, which demand less time to maintain, so architects and engineers are working in tandem to develop homes that are simple to clean and maintain and more environmentally friendly.
Simultaneously, they enjoy Arizona’s beautiful sunshine. Apart from housing, Arizona’s living cost is much lower compared to the country’s mean. With little proceeds going into housing, you can use more on other things. As a matter of fact, Arizona’s living cost is below the country’s mean by roughly $11,000.
Tax Incentives
Arizona gives tax incentives. The state provides a 10.4 percent corporate tax rate on eligible new businesses. Nonetheless, this is a radical decrease from the 35 percent in other states. There are specific exclusions for manufacturers, vendors, and companies offering services.
New businesses in Arizona are also entitled to a range of broad exemptions. There are many business-friendly programs available, for example, Arizona’s Quality Jobs Program. The state drives the program to help keep and appeal to new businesses.
Compared to New York, and other great cities within the US, Arizona has the highest percentage of extra prospective clients to give companies. However, this is particularly true in Tucson and Phoenix areas that are still appealing to organizations that desire access to a vast customer base.
Nevertheless, this means there is more room for your business expansion.
The State is Well-Connected
Arizona is a vast state, but there are many highways to assist you in cruising all over the State. Within the United States, Arizona’s interstate transportation system is one of the greatest.
Three significant interstates are crisscrossing through Arizona: Interstates 8, 10, and 15. California can be reached by Interstate 8, which runs up Arizona’s eastern side. While Highway 10 runs through the State from north to south and is a central transportation hub.
With interstate 15, you can travel north to south along the western side of Arizona, hitting Las Vegas along the way. The main interstates within Arizona were made when the State was part of the ancient Route 66.
When 1-10 was completed, it was part of the National Historic Trail called Route 66. Nonetheless, this is crucial since businesses relocated here from other places for more accessible transportation and proximity to other countries.
Vast Talent Pool
The State has a vast talent pool with a considerable population, simplifying finding suitable employees. Many young individuals are new to Arizona and are keen to put their skills and knowledge to work.
For enterprises, the availability of many talents means they do not have to go through a massive hiring process with many candidates for every position. For instance, businesses in other places have higher wages for eligible applicants since many individuals are in line before them.
The competition for employees is vicious. Workers within those states do not wish to relocate because to the high cost of living and expensive housing. These parameters influence maintenance rates and bring a challenge to companies.
Economic Growth
Arizona’s dependable growth curve is doing a great job ensuring steady growth, although minute. Economic growth is linked to the moderate ease of launching an organization and the absence of sophisticated laws. When adequately carried out, you sustain minimal legal fees than in other jurisdictions.
Fantastic Weather Conditions
The State of Arizona enjoys sunshine for the better part of the year. The State hardly receives any rainfall, and snowfall is insignificant. Phoenix, Arizona’s capital, has an average temperature of roughly 70 F. Tucson, Arizona’s second-largest city, has an average temperature of 80 F.
Thanks to the weather, entrepreneurs and business heads do not worry about harsh and volatile weather parameters influencing business operation in other places.
Hot and cold temperatures negatively impact most businesses. Additionally, these businesses must consider additional spending to run business operations.
Conclusion
The State of Arizona provides many business opportunities in many varying sectors. Companies in the State have access to an extensive talent pool, making it easy to get people with the skills you desire.
Additionally, a huge transportation system makes it simple for entrepreneurs and organizational heads to move around efficiently and deliver services and goods. Also, businesses are flocking to Arizona due to its accessible transportation system and high quality of life.
