- If you want to start your own business, you may want to move to one of these cities.
- ZenBusiness compared income for entrepreneurs to earnings for other full-time employees by metro area to rank the cities where entrepreneurs are most successful.
- San Diego, Chicago, and San Antonio were among the cities on the list.
- Visit Business Insider's homepage for more stories.
If you are looking to start a new business endeavor, you may want to start your own company in one of these major cities.
ZenBusiness, a service that helps entrepreneurs grow their own businesses, created a ranking of the most successful metros for entrepreneurs based on the income premium for self-employed workers in 2018.
The income premium is the percent difference between the median income of entrepreneurs, who were defined as self-employed in the study, and all full-time employees using the Census Bureau's American Community Survey Public Use Microdata Sample.
For example, the 2018 income premium for entrepreneurs in Las Vegas was 19.0%. That is, a typical entrepreneur in that city earns about $8,000 more than the median income of $42,000 of all full-time employees in Las Vegas.
The median salary for entrepreneurs in the 53 large metros on ZenBusiness' list is about $53,000, roughly the same as the overall US median annual income in 2018 of about $52,000.
The highest income earned by entrepreneurs is in San Jose, California, where people who own their own business make a median income of $70,000.
Entrepreneurs in Salt Lake City, Utah, make the most compared to all other full-time employees in the city, making it a potentially desirable metro area for aspiring business owners. A typical entrepreneur in Salt Lake City earns about $60,000, while a typical full-time employee earns $48,200, a difference of 24.5%.
The following are the 21 US cities with a population size of over 1,000,000 residents where entrepreneurs are most successful, along with their income premium, median 2018 income, and share of entrepreneurs — the percentage of workers that identify as self-employed.
SEE ALSO: The 15 fastest-growing cities in the world
21. Phoenix, Arizona
Income premium for entrepreneurs: 6.5%
Median income for entrepreneurs: $49,100
Median income for full-time workers: $46,100
Share of self-employed workers in workforce: 9.9%
20. New Orleans, Louisiana
Income premium for entrepreneurs: 6.7%
Median income for entrepreneurs: $48,000
Median income for full-time workers: $45,000
Share of self-employed workers in workforce: 11.3%
19. Minneapolis, Minnesota
Income premium for entrepreneurs: 6.8%
Median income for entrepreneurs: $60,000
Median income for full-time workers: $56,200
Share of self-employed workers in workforce: 8.5%
18. Richmond, Virginia
Income premium for entrepreneurs: 7.0%
Median income for entrepreneurs: $53,500
Median income for full-time workers: $50,000
Share of self-employed workers in workforce: 8.1%
17. Jacksonville, Florida
Income premium for entrepreneurs: 7.8%
Median income for entrepreneurs: $48,500
Median income for full-time workers: $45,000
Share of self-employed workers in workforce: 9.5%
16. Virginia Beach, Virginia
Income premium for entrepreneurs: 7.8%
Median income for entrepreneurs: $49,600
Median income for full-time workers: $46,000
Share of self-employed workers in workforce: 6.4%
15. Milwaukee, Wisconsin
Income premium for entrepreneurs: 7.8%
Median income for entrepreneurs: $55,000
Median income for full-time workers: $51,000
Share of self-employed workers in workforce: 6.8%
14. San Diego, California
Income premium for entrepreneurs: 8.0%
Median income for entrepreneurs: $57,000
Median income for full-time workers: $52,800
Share of self-employed workers in workforce: 11.0%
13. Portland, Oregon
Income premium for entrepreneurs: 9.1%
Median income for entrepreneurs: $60,000
Median income for full-time workers: $55,000
Share of self-employed workers in workforce: 11.4%
12. Chicago, Illinois
Income premium for entrepreneurs: 9.1%
Median income for entrepreneurs: $60,000
Median income for full-time workers: $55,000
Share of self-employed workers in workforce: 8.6%
11. Cincinnati, Ohio
Income premium for entrepreneurs: 10.0%
Median income for entrepreneurs: $55,000
Median income for full-time workers: $50,000
Share of self-employed workers in workforce: 7.0%
10. Austin, Texas
Income premium for entrepreneurs: 11.1%
Median income for entrepreneurs: $60,000
Median income for full-time workers: $54,000
Share of self-employed workers in workforce: 10.7%
9. Birmingham, Alabama
Income premium for entrepreneurs: 12.0%
Median income for entrepreneurs: $56,000
Median income for full-time workers: $50,000
Share of self-employed workers in workforce: 7.9%
8. Providence, Rhode Island
Income premium for entrepreneurs: 13.2%
Median income for entrepreneurs: $60,000
Median income for full-time workers: $53,000
Share of self-employed workers in workforce: 7.6%
7. Orlando, Florida
Income premium for entrepreneurs: 13.7%
Median income for entrepreneurs: $45,500
Median income for full-time workers: $40,030
Share of self-employed workers in workforce: 9.6%
6. San Antonio, Texas
Income premium for entrepreneurs: 14.3%
Median income for entrepreneurs: $48,000
Median income for full-time workers: $42,000
Share of self-employed workers in workforce: 9.8%
5. Oklahoma City, Oklahoma
Income premium for entrepreneurs: 14.3%
Median income for entrepreneurs: $48,000
Median income for full-time workers: $42,000
Share of self-employed workers in workforce: 8.6%
4. Memphis, Tennessee
Income premium for entrepreneurs: 16.3%
Median income for entrepreneurs: $50,000
Median income for full-time workers: $43,000
Share of self-employed workers in workforce: 6.7%
3. Las Vegas, Nevada
Income premium for entrepreneurs: 19.0%
Median income for entrepreneurs: $50,000
Median income for full-time workers: $42,000
Share of self-employed workers in workforce: 9.1%
2. Denver, Colorado
Income premium for entrepreneurs: 20.0%
Median income for entrepreneurs: $66,000
Median income for full-time workers: $55,000
Share of self-employed workers in workforce: 10.2%
1. Salt Lake City, Utah
Income premium for entrepreneurs: 24.5%
Median income for entrepreneurs: $60,000
Median income for full-time workers: $48,200
Share of self-employed workers in workforce: 8.9%
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