Top Reasons to Start or Expand a Business in Indianapolis
Why Indianapolis is a Prime Destination for Entrepreneurs and Growing Companies
If you’re an entrepreneur looking to launch a new venture or a business leader considering expansion, Indianapolis should be at the top of your list. With affordable costs, a talented workforce, a thriving economy, and strong business support, Indy offers the perfect environment for businesses to succeed.
Whether you're a tech startup, a small business, or a major corporation, here’s why starting or expanding in Indianapolis is a smart move.
1. Affordable Cost of Doing Business
Compared to larger cities like Chicago, Nashville, New York, or San Francisco, Indianapolis offers significantly lower business costs.
✔ No local income tax on businesses
✔ Lower commercial real estate prices than most major metros
✔ Cost of living is 10-15% below the national average, making it easier to attract and retain talent
✔ Competitive tax structure, including one of the lowest corporate tax rates in the U.S.
For startups and growing businesses, Indy allows you to keep overhead costs low while maximizing growth potential.
2. A Thriving & Supportive Business Ecosystem
Indianapolis has a strong network of entrepreneurs, investors, and business resources that provide support at every stage of growth.
Tech & innovation hub: Indy is home to major tech companies like Salesforce, Zylo, and High Alpha, along with incubators like 16 Tech and CoHatch.
Small business support: Organizations like Indy Chamber’s Business Ownership Initiative and Elevate Ventures offer funding, mentorship, and workshops.
Corporate partnerships: Businesses can collaborate with Fortune 500 companies and industry leaders in healthcare, advanced manufacturing, and logistics.
The city fosters an environment where businesses of all sizes can thrive with access to capital, mentorship, and key industry connections.
3. Strategic Location & Logistics Advantage
One of Indy’s biggest advantages is its central location and world-class infrastructure.
✔ Day’s drive to over 75% of the U.S. population
✔ Top-ranked international airport with global cargo connections
✔ Interstate access (I-65, I-70, I-69, I-74) makes logistics & distribution easy
✔ Home to major logistics hubs, including FedEx’s second-largest global hub
If your business depends on shipping, logistics, or supply chain efficiency, Indianapolis provides unmatched access to regional and national markets.
4. Strong & Growing Talent Pipeline
Hiring the right people is crucial for any business, and Indianapolis offers a deep and diverse talent pool.
✔ 1.5 million workers in the metro area
✔ Pipeline of talent from major universities, including Purdue, Indiana University, Butler, IU Indianapolis, and UIndy
✔ Growing tech sector, with initiatives like TechPoint attracting and training tech talent
✔ Manufacturing, healthcare, and logistics industries provide skilled labor
Whether you need highly skilled engineers, IT professionals, healthcare experts, or manufacturing workers, Indy provides access to a cost-effective and skilled workforce.
5. Quality of Life that Attracts & Retains Talent
A city’s business climate is only part of the equation—employees want a great quality of life, and Indianapolis delivers.
✔ Affordable housing options in vibrant neighborhoods
✔ Top-ranked sports, arts, and cultural amenities
✔ A booming food and entertainment scene
✔ Outdoor recreation, including the Monon Trail, White River State Park, and over 200 parks
Indy combines big-city amenities with a small-business-friendly feel, making it easy for companies to attract top talent.
6. Incentives & Support for Growing Businesses
Indianapolis offers a range of financial incentives and resources for businesses looking to expand.
Available Incentives Include:
💰 Tax credits for job creation and capital investment
🏢 Property tax abatements for businesses investing in real estate or equipment
🚀 Small business grants & funding programs
📈 Workforce training grants to support employee development
The Indy Economic Development team can help businesses navigate incentives and find the best fit for their growth strategy.
Why Now is the Best Time to Start or Expand in Indy
With a thriving economy, low costs, a strong talent pipeline, and world-class infrastructure, Indianapolis is one of the best places to start or grow a business.
If you’re an entrepreneur or business leader looking for a city that supports innovation, growth, and success, Indianapolis is ready to help you succeed.