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Value Proposition
Greater Phoenix has a substantial cluster of startups with a strong community that provides mentorship, peer support and funding opportunities. The Greater Phoenix ecosystem is made up of homegrown companies and startups expanding into the region.
Greater Phoenix offers a vast network of industry support, mentorship opportunities and access to capital. The Valley offers robust options for varied workspace needs such as coworking spaces, incubators and accelerators to help startups grow.
Specialized training programs are offered at universities and community colleges across the state of Arizona. Greater Phoenix offers university alignment and partnerships to create job-ready students. The number of coding schools and bootcamps continues to grow year-over-year in Phoenix.
Greater Phoenix offers a significantly lower cost of living compared to competitive markets. The valley offers an abundance of craft breweries and coffee houses throughout the region. Phoenix has more than 300 days of sunshine annually, making it the perfect location for outdoor fun and exploration.
Greater Phoenix offers startups more affordable real estate and benefit costs compared to peer markets. The state also offers several quality incentives and programs to further decrease operating costs.
Nationally Recognized Programs to Support the Startup Industry in Phoenix
Low Real Estate Costs For Startups, Relocation, or Expansion in Phoenix
Greater Phoenix’s affordable and competitive real estate rates beat out peer markets. The table below shows office and industrial lease rates in the following regions.
Tax Incentives for Startups in Phoenix
Even with the highly competitive tax environment in Greater Phoenix and Arizona, there are several tax incentives that can be utilized to mitigate operating costs. The list below includes the most relevant to the A&D industry and is not a comprehensive list of all incentives available within the state of Arizona. Additionally, it should be noted that this document is only a guide for potential incentives. Actual incentives will depend on project parameters and varying program qualifications and requirements as determined by the Arizona Commerce Authority. The Quality Jobs Tax Credit program awards $9,000 of tax credits over three years for qualifying companies. The chart below highlights the minimum qualifying capital expenditure and wage rate in an urban area, while the texts describe additional program parameters.
- $9,000 corporate income tax credit per job ($3,000/employee/year)
- Capped at 10,000 jobs per year
- Employer must offer to pay at least 65% of employee health insurance premium
A Life Worth Living
Greater Phoenix is home to an exciting and diverse music scene that includes some of the nation’s iconic events and boasts a culture all its own. The craft beer and coffee scene is creative, dynamic, and growing into one of the unique offerings that set the valley apart. Living in Greater Phoenix gives locals the opportunity to experience new and exciting things on a daily basis while also offering an extremely low cost of living compared to peer markets.
Greater Phoenix is more affordable for companies and the people that make them successful. Across all major buckets of expenses, Greater Phoenix is less expensive than almost all peer markets.
