States Where Startups Thrive

As much as we love California, it often breaks our heart to hear people compare themselves and their local startup scene to that of Silicon Valley.  While California is still a giant in the startup world, we now have the numbers and charts to prove that California is just one place where entrepreneurs are alive and thriving.

Thanks to our friends at Technically Philly, who pointed us to these maps of startup fundraising, put together by FormDs.  They show fundraising events for the last year (in the form of Form Ds), broken out by state.  Form Ds are filed by startups and growing companies when they raise money. Since nearly all startups file Form Ds, the idea is that you can use Form Ds to track startups as they are created and grow.

So, this first chart shows that California startups do indeed get the lion's share of the money.  California startups raised $11.5 billion in the past year, more than four times more than the $2.8 billion raised by Massachusetts (its closest "competitor").  Startups in Texas and New York are getting more money than average, and all the other states are plugging along at under $2 billion in funds raised by their entrepreneurs.

Dollars in New Fundraisings, by State

But, California is a big state and Massachusetts a small one.  What happens if you adjust the amounts raised by state population?  This next chart shows that on a per capita basis, Massachusetts entrepreneurs outraised their counterparts in California,  $418 per person to $312.  Note also that we start to see some differentiation among the other states, with Colorado, Utah, Washington, Delaware, and Connecticut coming in between $120 to $240.

New Fundraising Dollars per Person, by State

FormDs has some other charts showing the total number of fundraising events, and the population-adjusted state rankings are also instructive.  Massachusetts and Colorado lead the pack here, with California running third. Other states with a healthy number of funding events are Nevada, Washington, Utah, Connecticut, Vermont, New Hampshire, Pennsylvania, Delaware, Maryland, Kentucky, Florida, Texas, Arizona, Minnesota, North Dakota, Montana, and Oregon.

New Fundraisings per Million People, by State

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