Top 20 Locations to Start a Small Business in Pennsylvania

By Kristen Adams | Daily Marketing Advice

Selecting an ideal location to start a business is one of the most significant challenges that entrepreneurs face.
Pennsylvania is one of the best places to open a business, with its thriving economy and an abundance of resources. In this study, we conducted extensive research on different towns in Pennsylvania and identified the top 20 most suitable locations to start a business. Today we'll present an overview of our findings, including the economic, demographic, and business environment of each town, as well as the factors that make them an excellent place for entrepreneurship.
Pennsylvania is renowned for its vibrant economy and supportive business environment, which has led many aspiring entrepreneurs to consider it as an ideal location to start their business. However, the decision to start a business in Pennsylvania is just one step in a series of critical choices that must be made by business owners. Another vital decision these entrepreneurs must make is selecting the best location to establish their business. Selecting the ideal location can directly impact the company's success, and entrepreneurs must consider various factors to determine where to start their business.
This article aims to provide entrepreneurs with valuable insights into the top 20 towns in Pennsylvania to start a business. We conducted extensive research to identify the towns that offer the most optimal environment for business success, including their economic, demographic, and business environment factors.
Research Methodology
To identify the top 20 towns to start a business in Pennsylvania, we followed a rigorous research methodology.
First, we conducted a comprehensive literature review on economic and business data in Pennsylvania. We also reviewed local data, including population growth, employment opportunities, median income, and industry development plans in various towns.
We then used a ranking system to consider multiple factors, including population density, tax incentives, access to transportation, local infrastructure, cost of living, availability of skilled labor, and industry diversity. Using these criteria, we created a list of towns that met our criteria for the best locations for starting a business in Pennsylvania.
Results and Discussion

1. West Chester

West Chester is a town rich in culture, with a stable economy, affordable cost of living, and a skilled workforce. The town is an excellent location for businesses that require skilled labor, such as technology companies, as the town's education center produces a large pool of talent each year. West Chester also has a vibrant, diverse economy and favorable tax incentives, making it a top selection for businesses.

2. Lancaster

Lancaster boasts a strong economy that's home to several large corporations and small businesses. The town has a low unemployment rate, making it an ideal location for businesses who seek skilled labor, while its accessible transport links make it easier to move goods and services. Lancaster's affordable cost of living also makes it convenient for entrepreneurs to launch their business with limited capital.

3. Doylestown

Doylestown is a town with a strong cultural and historical background. In addition to its rich cultural heritage, Doylestown offers entrepreneurs an excellent business environment – with a well-educated pool of skilled labor, reasonably priced real estate, and low taxes, the town provides a dynamic and supportive environment for startups in nearly any field.

4. State College

State College is home to numerous technology companies and research facilities. A high percentage of the population is university-educated, which makes the town attractive to businesses requiring skilled labor. The town also has a reasonable cost of living, moderate taxes and excellent access to transportation, making it an excellent location for any emerging enterprise.

5. Media

Media is a thriving town with a vibrant business community that caters to the larger Philadelphia area. The town offers excellent access to transportation and ample facilities for entrepreneurs to establish their business. Media has excellent infrastructure, including utilities, telecommunications, and local amenities that raise it above competing locations.

6. Phoenixville

Phoenixville has a unique historic character that offers entrepreneurs a genuinely welcoming and diverse environment. The town offers a mix of affordable real estate and a skilled labor force with excellent access to transportation. These unique factors make Phoenixville a compelling location for businesses in several industries.

7. Carlisle

Carlisle has a growing economy and offers businesses a beneficial business environment, low taxes, and a moderate cost of living. Carlisle is near major metropolitan areas, including Harrisburg, Baltimore, and Washington D.C., making it convenient for businesses catering to these locations.

8. East Stroudsburg

East Stroudsburg has a low cost of living, a diverse workforce and convenient transport links with major metropolitan areas. The town offers affordable office space and tax incentives, making it a favorable location for small to medium businesses to establish themselves.

9. Bethlehem

Bethlehem offers vibrant economic opportunities, with an excellent transport network, a skilled and experienced labor pool and multiple comprehensive business support programs. The town is close to several leading markets, including New York City and Philadelphia, making it a sought-after business location.


10. Chambersburg

Chambersburg has a growing economy, with a diverse business community that offers significant potential for small to mid-sized enterprises. The town has ample opportunities for retail, manufacturing, and service industries, with a well-educated and skilled workforce.

11. Harrisburg

Harrisburg is located centrally within Pennsylvania, making it accessible to major metropolitan areas on the east coast. Harrisburg offers a highly supportive business environment, convenient transport links, and amenities suitable for businesses of any size.

12. Reading

Reading has a growing economy with a highly skilled labor pool, advantageous business conditions and affordable cost of living, offering potential opportunities for companies across different industry types.

13. Gettysburg

Gettysburg offers plenty of opportunities for businesses catering to education or tourism. The town has a unique, historically significant character with a flourishing economy and excellent transport links with neighboring cities and townships.

14. Altoona

Altoona's favorable business climate features low taxes and a broad mix of available buildings, land and offices ideal for startups. The town offers a low cost of living, affordable office space, and ample resources for entrepreneurs launching their companies.

15. York

York offers several economic opportunities in areas such as manufacturing, logistics and transportation. The town provides a highly skilled pool of workers and affordable office spaces, making it an ideal location for businesses in these sectors.

16. Allentown

Allentown is one of Pennsylvania's largest towns, with a thriving business community across a range of industries. Allentown offers a highly educated, trained workforce, making the town an excellent location for technology-driven businesses.


17. Pittsburgh

Pittsburgh is an economic powerhouse, with a robust business environment for young and established companies. The town has a diverse business community, comprising of numerous industry sectors.

18. Scranton

Scranton offers an affordable cost of living, low taxes, and ample resources for business owners. The town's close proximity to major roadways, regional airports, and expert labor make it an ideal spot for any company requiring easy transport links and skilled labor.

19. Bloomsburg

Bloomsburg is a small town with a vibrant business community, reasonable taxes, and reasonable real estate costs. The town has various tax incentives and grants, making it a popular location for entrepreneurs starting new businesses.

20. Elizabethtown

Elizabethtown has a burgeoning economy with a skilled and well-educated pool of talent, with an affordable cost of living to suit small businesses and entrepreneurs. The town has low taxes, making it an attractive location for companies across different sectors.
Pennsylvania offers entrepreneurs outstanding opportunities for growing a business, with a supportive business environment and a diverse economy.
The above 20 mentioned towns are the best options in Pennsylvania, considering various factors such as cost of living, availability of infrastructure, transport links, availability of useful business resources, and skilled labor. This research shows that Pennsylvania continues to create an excellent entrepreneurial culture, and these towns have emerged as shining examples for entrepreneurs seeking to establish a lucrative enterprise.


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