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Identifying America's Entrepreneurial Growth Engines

The Nasdaq Entrepreneurial Center has released a compelling study spotlighting the Top 20 Metropolitan Statistical Areas (MSAs) that serve as America's engines of entrepreneurial growth. Supported by JPMorganChase and Nasdaq, this research is part of the ongoing commitment to fostering an environment conducive to innovation across the United States. With insights drawn from the report titled “Advancing Regional Innovation Economies (ARIE) 2025”, the findings highlight the crucial role that these metropolitan regions play in shaping a thriving entrepreneurial landscape.

Key Findings

The analysis identifies regions leading in angel investing and SBA 504 loans, revealing a strong correlation between robust innovation ecosystems and the growth of established enterprises. Notably, factors such as the presence of educational institutions, migration patterns, and proactive legislative environments lay the groundwork for entrepreneurial success. Nicola Corzine, CEO and Executive Director of the Nasdaq Entrepreneurial Center, emphasizes, “These 20 metros demonstrate that access to angel equity and SBA-backed debt are not competing forces – they’re parallel engines driving both innovation and growth.”

The Role of Education and Migration

In examining the demographics of these successful regions, it is clear that educational institutions play a pivotal role. The Top 20 MSAs boast an average of over 15 universities—double the national average—creating a vibrant ecosystem that fosters social capital and supports entrepreneurship. Regions like Austin, Orlando, and Charlotte stand out for their significant domestic migration, while coastal cities such as San Diego, Seattle, and San Francisco continue to attract international talent.

Policy Influence on Entrepreneurship

The importance of a supportive policy environment cannot be overstated. Each of the Top 20 metros scored between 3 and 5 on the Entrepreneurial Policy Activity Index, indicating a favorable legislative focus that nurtures entrepreneurial endeavors. In contrast, non-Top 20 regions generally scored between 1 and 2, establishing a clear link between legislative activity and entrepreneurial outcomes.

A Closer Look at the Top 20 MSAs

1. Albany–Schenectady–Troy, NY
- Key Institutions: SUNY Albany, RPI

2. Austin–Round Rock, TX
- Key Institutions: UT Austin, Tesla, Oracle HQs

3. San Diego–Carlsbad, CA
- Key Institutions: UCSD, SDSU

4. San Francisco–Oakland–Hayward, CA
- Key Institutions: UC Berkeley, UCSF

5. Pittsburgh, PA
- Key Institutions: CMU, University of Pittsburgh

6. Atlanta–Sandy Springs–Roswell, GA
- Key Institutions: Georgia Tech, Emory, HBCUs

7. Charlotte–Concord–Gastonia, NC-SC
- Key Institutions: UNC Charlotte, Finance/Tech expansions

8. Columbus, OH
- Key Institutions: Ohio State, Semiconductor corridor

9. Seattle–Tacoma–Bellevue, WA
- Key Institutions: University of Washington, Veeam HQ

10. Baltimore–Columbia–Towson, MD
- Key Institutions: Johns Hopkins, UMBC

11. Virginia Beach–Norfolk–Newport News, VA–NC
- Key Institutions: Old Dominion, Norfolk State

12. Riverside–San Bernardino–Ontario, CA
- Key Institutions: UC Riverside, Logistics hub

13. Los Angeles–Long Beach–Anaheim, CA
- Key Institutions: UCLA, USC, Caltech

14. New Orleans–Metairie, LA
- Key Institutions: Tulane, UNO

15. Richmond, VA
- Key Institutions: VCU, Policy anchors

16. Minneapolis–St. Paul–Bloomington, MN–WI
- Key Institutions: UMN Twin Cities, MedTech HQs

17. Washington–Arlington–Alexandria, DC-VA-MD-WV
- Key Institutions: Georgetown, GWU, UMD

18. Orlando–Kissimmee–Sanford, FL
- Key Institutions: UCF, Hospitality/Tourism HQs

19. Portland–Vancouver–Hillsboro, OR–WA
- Key Institutions: OHSU, Semiconductor - footwear execs

20. Kansas City, MO–KS
- Key Institutions: UMKC, Logistics - sports infrastructure

Conclusion

The findings highlighted in the ARIE 2025 report reiterate the connection between educational institutions, supportive policies, and a thriving entrepreneurial environment. As the Nasdaq Entrepreneurial Center continues its mission to enhance access and resources for entrepreneurs, understanding these dynamics will be vital in empowering businesses and fostering community growth nationwide. For further insights and a complete overview of the report, visit Nasdaq Entrepreneurial Center's website.