Sacramento, Calif., December 12, 2019 — Inc. today announced its second annual Surge Cities list, a guide to the best 50 cities in America for starting a business. Coming in with an overall rank of #26 on the list is Sacramento, CA, which has climbed two spots on the list since last year. In the category of Job Growth, Sacramento ranked #10.

Inc.’s Surge Cities partner, innovation policy firm Startup Genome, used public data as well as insights from the Inc. 5000 list of the fastest-growing private companies in America to compile the city rankings. Startup Genome developed its scoring system based on three traits that determine a surge city: growth, opportunity, and innovation.

“Inc. has long believed in the alchemy of entrepreneurial innovation and community,” Inc. acting editor-in-chief Jon Fine said in a statement. “We’re excited to see, for the second year in a row, how well some smaller cities are competing with—indeed, even besting—the likes of San Francisco, New York, and Boston.”

Sacramento is shedding its staid image–thanks in part to massive development projects like the 244-acre Railyards district, which will feature 10,000 housing units, shops, parks, and offices as well, as a stadium for the city’s new pro soccer team. Easy access to the Bay Area–just 90 miles away–adds to the area’s appeal. While salaries are smaller than those found in and around Silicon Valley, residents of California’s capital and its suburbs can afford a higher standard of living for less money. The local talent pool is drawn from STEM-friendly UC Davis, where several programs serve as incubators and a new technology campus, dubbed Aggie Square, is slated to break ground in the next few years. Growing jobs, easier commutes, a hot culinary scene, and a collegial business environment are attracting new residents. Strong support from the city and the influence derived from being the state’s seat of government don’t hurt. “I think it’s fantastic that we’re a government town,” says Louis Stewart, the city’s chief innovation officer. “It’s actually part of our pitch to businesses.” The 50 Best U.S. Cities for Starting a Business in 2020, Inc. Magazine, 12/12/2019

“The Surge Cities list shows that the proliferation of new businesses is not limited to the largest cities in the U.S.,” said Arnobio Morelix, chief innovation officer at Startup Genome. “For startup founders, local connectedness—the quality and number of relationships you have with other founders, investors, and experts—is what really jumpstarts a young business’s revenue growth. Matter of fact, highly connected founders grow their revenue twice as fast as those with few connections.”

To see the complete list go to: inc.com/surge-cities

Introduced in 2018, the Surge Cities list quickly established itself as one of Inc.’s most anticipated franchises for early-stage business owners. This year’s package includes examples of thriving young companies in cities of all sizes across the U.S. in addition to the backstories of several founders’ journeys to success.

ABOUT INC.
Inc. is the world’s leading multimedia brand dedicated to the most dynamic players in business: entrepreneurs. Inc.’s award-winning work reaches more than 50 million people across a variety of channels, including print, digital, video, podcasts, newsletters, and social media. Its proprietary Inc. 5000 list, which Inc. has produced every year since 1982, analyzes company data to recognize the fastest-growing privately held businesses in the United States. The global recognition that comes with inclusion on this prestigious list gives the founders of top businesses the opportunity to engage with an exclusive community of their peers, and credibility that helps them drive sales and recruit talent. The associated Inc. 5000 Conference is part of a highly acclaimed portfolio of bespoke events produced by Inc. For more information, visit www.inc.com.

ABOUT STARTUP GENOME
With more than 100 clients across five continents in 38 countries to date, Startup Genome is the top research and policy advisory organization for governments committed to accelerating the success of their startup ecosystem. Read more at startupgenome.com.