Start up at a low cost
San Antonio named one of the nation's most affordable cities for startups
San Antonio is known for its great quality of life and low cost of living, and a new study finds that when it comes to startups, the greater San Antonio area even more to offer.
Clever, a real estate tool and blog, identifies San Antonio as the eighth best metro in the United States for affordability for startups. The study looks into startup density, startup growth, investment, the education level of the local population, cost of living, and more within the top 50 most populated cities in the U.S.
The resulting ranking places all four of Texas' major metros in the top 10. Ahead of San Antonio-New Braunfels, Austin ranks No. 1 overall, followed by Dallas-Fort Worth at No. 3 and Houston-The Woodlands-Sugar Land at No. 6.
San Antonio does rank higher than its Texas counterparts for investment, tying with Houston at No. 6. The ranking is an "indication of ability of capital (venture capital and private equity) for starting a business," the report says. San Antonio also has the 10th highest startup growth rate at nearly 5 percent, along with No. 13 rankings for cost of living and startup density, a measurement of new and forthcoming businesses (3 years old and younger).
The report also notes that Texas' business climate and the region's Spanish speakers are some of San Antonio's biggest selling points.
"Texas has the second-highest number and growth of new business applications compared to other states on our list and was ranked as the No. 1 state to do business in a recent CNBC study, partially due to the low cost of doing business (ranked No. 18 in the U.S.). Additionally, this Hill Country metro offers the potential to reach a wider customer base, as a large (32.1) percentage of the population are native Spanish speakers," reads the report.
The report also finds that more than one-fifth of San Antonio-area residents have a bachelor's degree, 5.1 percent of workers are employed at a startup, and 2.6 percent of workers are self-employed.
One emerging San Antonio-based startup is QuantumERA, which creates content for businesses and consumers with a focus on historical guidance and preservation, brand engagement, adventure play, or licensing opportunities. The products use fact-based content to provide the user with more layers of interactive, complex historical engagement, effectively turning history into (virtual) reality.
A version of this story originally appeared on InnovationMap.com. Additional reporting by Johnathan Silver.