Utah might not be the first state that springs to mind when you think of U.S. states that have the biggest economic impact. However, Utah is considered by many well-respected business and economic media outlets as having one of the nation’s strongest and most stable economies.
Despite not being the most popular or largest state in the U.S., Utah certainly holds its own when it comes to having a thriving business environment. This is supported by the abundance of incentives, grant programs, access to loans, and State Tax Incentives to small and medium-sized businesses.
If you register a new company in Utah, you can benefit from several programs that are offered, which include Utah SCORE, Utah SBA, Utah Small Business Development Centers, and the many grants available to small businesses. Links to these resources can be found at the bottom of the page.
Many successful entrepreneurs have started out in Utah, and the state is continuing to produce many more. This has all been made possible with the combination of the booming tech industry and a fantastic college-education system, and this development has shown no signs of slowing down.
Utah businesses enjoy an extremely low corporate income tax rate, with the addition of a low personal income tax rate, which both highlight how business-friendly the state is.
It is clear to see why Utah has such a large number of small businesses registered within the state, with an incredibly high number of small businesses compared with the population. Many other states rely on much larger businesses with 500 or more employees to make up a large chunk of their employees, which demonstrates why Utah is an incredibly pro-small business state.
Additional Economic Facts about Utah
- Utah’s GDP is over $194 billion, which is the 29th highest in the U.S.
- The states’ GDP growth rate between 2014-2019 was 3.9%.
- Utah’s GDP per capita is around $51,000.
- Utah has a fixed and comparatively low income tax rate of 4.95%.
- The sales tax rate in Utah is 4.7%, however, different locations within the state may have their own sales tax rate which is added to this base rate.
- According to the US News & World Report, Utah has the 5th best infrastructure in the United States.
- Utah’s overall economic ranking is 1st among a multitude of media outlets.
- The minimum wage in Utah is $7.25 per hour.
- Utah is considered to be the 2nd best U.S. state for job opportunities (US News & World Report).
- Utah has a fantastic education system, with 44.4% of the state’s population college-educated.
- $17,935 is the average debt after graduation for Utah students, the national average is $28,996!
- The state’s job growth is at 2.5%, with the national average being 1.4%.
- Utah’s cost of living is lower than the national average, and the average household income ($75,780) is significantly higher than the U.S. average ($65,712).
- The average house price in Utah is $417,724.
- Utah has a fixed corporate income tax rate of 4.95%.
- There are 25 different airports in Utah.
- There are more than 115 companies based in Utah that made the Inc. 5000 list.
- Utah’s population growth between 2014-2019 was 1.8%.
Utah is the home of many large international companies and franchises, which in return contribute vastly to the state’s impressive economic strength.
Who is the biggest employer in Utah?
There are several large employers in Utah and they include the following:
- Intermountain Healthcare
- Nu Skin Enterprises
- Smith’s Food and Drug
- Zions Bancorporation
- Management and Training
- C.R. England
- Sorenson Communications
There seems to be a continuous stream of people deciding to call Utah their new home, and subsequent place of work and business for many reasons, with contributing factors including business opportunity, and affordability.
The classic facts about Utah include skiing the snowy mountains, the Great Salt Lake, literacy rates, beautiful scenery, and much more. All of these facts, and more, justify in great detail why so many people choose this fantastic state to live in.
What is the Economic System in Utah?
Utah has a unique and highly diversified state economy, which is probably why it is so highly regarded. Key industries within the state are in abundance, and all contribute massively to the ever-growing economic and business climate. As mentioned before, there are some incredibly large businesses in operation within the state.
Agriculture and mining are still huge presences within the state’s economic scope and have been supplemented by light and heavy manufacturing. Other notable industries include finance, transportation, and tourism. Salt Lake City is a financial hub, and is a regional center for trade and finance, with many enterprises within the sector having offices in the states’ capital city.
Business Facts About Utah
With the plethora of brilliant opportunities presented to aspiring entrepreneurs, business owners, and employees, Utah has been regarded as the best place for business in the U.S. by many, which supported by the state’s pro-business approach, and economic strength.
Despite already having one of the more stable U.S. economies, Utah’s economy continues to grow at a rapid rate, small businesses drive this growth. Small businesses in Utah account for almost 1% of all U.S. small businesses. This may not sound like a lot, but when you consider that there are over 31.5 million small businesses within the state it puts things into perspective!
These small businesses (and large businesses) thrive within the state due to access to business resources, capital investments, free advisories, the state’s access to large consumer markets, business-friendly taxes, booming industries, and a fantastic education system that produces highly skilled workers.
Does Utah Have a Strong Economy?
This may sound like a rather silly question, however, it gets posed a lot. Many believe Utah to not have the strongest economy perhaps because of the small population size, or the lack of publicity the state receives. This could not be more from the truth, in fact, Utah, according to many news outlets has the strongest economy in the U.S., and it is clear to see why!
Whilst not generating the same GDP as a state the size of Texas or California, Utah has extreme economic power and impact on the rest of the nation, which is evident in the GDP growth rate, exceeding the national average each year. Not only this, but Utah is a major hub for the technology industry. Tech is currently booming, with the U.S. tech industry being worth over $1.6 trillion!
As tech continues to grow, so does Utah’s economy, with Salt Lake City being a hotbed for young tech startups and also experienced and established companies. The financial industry is also extremely prevalent within the states’ capital city, and with the education system constantly improving and already being one of the best in the nation, more and more skilled employees will be produced.
Here Are Some Business Facts About Utah
- Utah is home to over 301,265 small businesses!
- Small businesses make up over 99.3% of Utah businesses.
- Utah is home to 590,417 million small business employees.
- More than 46% of Utah employees work for small businesses.
- The Utah-based automotive safety supplier Autoliv has over 67,000 employees!
- The top three small business industries in Utah that have hired the most employees are; Professional, Scientific, and Technical Services, Construction, and Health Care and Social Assistance.
- The agricultural and mining sectors have always been hugely successful industries in Utah and have helped the state’s economy reach the heights of today.
- Salt Lake City is a regional center of finance and trade.
- Utah’s business growth rate between 2014-2019 was 3.5%.
Resources on Utah’s economy and support you can get
Business and economic support programs: