If you are looking to start a retail business, there are a few things to keep in mind when choosing a suitable retail space. Texas has a lot of benefits for entrepreneurs looking to start a retail business there when it comes to the actual physical location. Some of the benefits are asset protection rules and tax benefits that companies can avail themselves of from the state of Texas. Apart from these benefits, Texas offers significant support to businesses and has the second largest population in the US, which translates to a large number of potential customers. Some benefits of starting a retail business in Texas are:
1) Property in Texas is relatively cheap compared to other US states
Property in Texas is relatively cheap in comparison to US states. That translates to lower costs when it comes to leasing retail property. Renting office space in San Antonio is more economical than renting in other states in the US.
2) Simple state regulations
Texas has simple regulations that make it easier for businesses to operate there. Some other states have much stricter rules making it difficult for businesses to flourish. However, Texas is pro-business and has rules that are simple for business owners to navigate through. As a result, it is easier for small business owners to comply with state regulations in Texas in comparison to other states.
3) Asset protection
Texas protects the owners as well as the assets of a business. For example, if somebody lodges a lawsuit against a business in Texas, they can’t touch the owners, members of the personal assets of the business. The creditor, though, can file relevant charges against the business in the lawsuit. As a result, business owners can feel a bit relaxed when it comes to the chance of facing such an extreme circumstance.
4) Business owners can access abundant talent in Texas
When it comes to starting a retail business, it’s essential to form a strong team of employees. Texas offers a vast abundance of talent for business owners. According to a study by Guidant Financial, Texas is among the top two states in the US for millennial and boomer entrepreneurs to start a business. One of the main reasons is that Texas has a large and diverse population, with educated residents coming from local universities.
5) Businesses can get significant tax benefits in Texas
Delaware and Nevada were known as the two states in the US where many entrepreneurs started businesses because of business-friendly taxation laws. However, Texas does not have a corporate income tax or individual income tax, according to a 2019 report by the Tax Foundation. As a result, entrepreneurs can get significant tax benefits if they set up a business in Texas.
6) Cost of living is low in Texas
The cost of living in Texas is lower than what it is in other US states. For example, real estate costs are 40% lower in Texas. As a result, it is easier for young people to jump on the property ladder at an earlier stage in life. If you are looking to set up a retail operation in Texas, buying or renting costs will be much lower than what you’d face in other American states. The cost of utilities, rent, and purchasing health insurance are also lower. All of this translates into lower outgoings for your business.
In Summary
Texas should be on top of your list if you are looking to set up a retail business. As a business, you get access to low licensing fees, a simplified regulatory environment, access to skilled employees, and low costs of operation.