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December 2011

10 Great Cities for Starting a Business

San Francisco

Metro population: 4,335,391

Number of small businesses: 86,115

Self-employed cost-of-living score: 162.6

Invested venture capital: $1,474,970,000

Patents per 10,000 residents: 14.6

Standout start-ups: Zynga, Yelp, Pandora Media

The Mecca for tech start-ups, San Francisco attracts entrepreneurs for two reasons: unrivaled access to venture capital and a legion of creative, like-minded people. The city boasts dozens of start-up incubators, which provide office space, mentoring and seed capital to everyone from Internet tycoons to fashion designers to aspiring food-truck owners. Living costs can prove prohibitive, of course. But those who crave the city’s renowned start-up culture can keep costs down by staking out a co-work space in a neighborhood like SoMa, the cheaper, south-of-the-tracks district where Twitter operates.



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