Montana Ranks 12th Best State to Launch a Business

Starting a business just got easier in Big Sky Country.

Montana claimed the 12th spot nationwide in a new WalletHub study measuring startup success across all 50 states. The rankings evaluated 25 factors including business environment, resource access, and operating costs.

The state shined brightest in affordability, ranking sixth for business costs. Entrepreneurs can find some of the cheapest office space in America here, making it easier to get ventures off the ground without breaking the bank.

Montana outperformed several neighboring states in the Northern Plains and Mountain West. North Dakota placed 25th, South Dakota came in 26th, and Wyoming landed at 28th. Even Minnesota, with its larger population and economy, ranked lower at 37th.

Gov. Greg Gianforte credited the ranking to deliberate policy changes. His administration has removed regulations, cut taxes, strengthened workforce programs, and increased affordable housing supply to support new businesses.

Florida, Utah, and Texas claimed the top three spots nationally. Oklahoma and Idaho rounded out the top five.

The Bright Side

The timing matters more than ever. About half of all new businesses fail within five years, and one-fifth don't survive their first year. Choosing the right location can make the difference between success and closure.

WalletHub analyst Chip Lupo emphasized that the best states combine low corporate tax rates with strong economies, reliable workers, accessible financing, and affordable real estate. Montana checks most of those boxes.

The state does face challenges. It ranked 45th in access to resources, and its relatively small population can limit workforce availability and capital access. But leaders say the low costs and growing economy continue attracting entrepreneurs looking for opportunities.

Montana's placement outside the top 10 still positions it as a competitive option for founders weighing where to launch their dreams. The state's ongoing policy improvements aim to keep climbing those rankings in the years ahead.