Sacramento again falls short in small-business friendliness report

Published: Monday, Aug. 4, 2014 - 11:17 am

For a third straight year, Sacramento earned an “F” grade based on a survey measuring small-business friendliness among cities nationwide.

In a report to be released Tuesday, Sacramento ranked dead last among 82 cities, according to a survey by San Francisco-based, an online marketplace helping consumers find professionals for special projects. Sacramento also ranked last in 2012; in 2013, it was ranked one spot ahead of last-place Newark, N.J.

Thumbtack, along with the Kansas City, Mo.-based Ewing Marion Kauffman Foundation, surveyed more than 12,500 small-businesses owners nationwide, asking questions about various factors. Sacramento received failing grades in six of 10 categories, including employment, regulations and health/safety. Sacramento’s top grade was “C-plus” in the zoning/land use regulations category.

This year’s top-rated cities are Colorado Springs, Boise, Houston, Austin and Louisville, Ky. Ranked just above Sacramento among the lowest-rated cities are Providence, R.I., Buffalo; Bridgeport, Conn.; and San Diego.

Jon Lieber, chief economist of Thumbtack, said Sacramento’s small business operators believe that the city falls short of fostering “a business climate that is welcoming to small, dynamic businesses.” The company said its survey was based on interviews with 126 small business owners in Sacramento.

California likewise received an “F” grade this year, down from a “D” in 2013 and matching its “F” grade in 2012. Its highest grade this year was a “B-minus” in the ease-of-hiring-new-workers category.

Call The Bee’s Mark Glover, (916) 321-1184.

Read more articles by Mark Glover

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