Atlanta, GA - In case you missed it, a survey of site selection experts recently published by Site Selection Magazine named Georgia the No. 1 state for Best Business Climate. This survey is distinct from Site Selection Magazine's annual state rankings, which take into account a range of factors beyond responses from site development decisionmakers. The Peach State consistently lands toward the very top of that annual ranking, and this latest survey result from those who actually choose where to create jobs and invest capital directly underscores Georgia's position as the premier destination for business. 

“Georgia’s recognition as the No. 1 state for Best Business Climate by Site Selection is a testament to our partnership approach to job creation and economic growth,” said Governor Brian Kemp. “Our world-class workforce, strategic investments in infrastructure, and business-friendly policies continue to attract companies from around the world and create opportunities for hardworking Georgians in every community.”

Georgia beat out top competitors from across the country in Site Selection's survey. Much like Area Development Magazine, which has named Georgia the No. 1 state for business 11 years in a row, site selectors ranked states based on factors like workforce availability and training programs, cost of living, and other criteria related to maintaining a business-friendly environment. Atlanta was also named the No. 3 best city for corporate headquarters.

One site selector noted that the state stands out for its collaborative partnerships that “lessen some of the challenges of site selection, creating an environment of problem-solving and support rather than obstacles.”

“What is unique about earning the No. 1 state for Best Business Climate is that the recognition comes from the experts who are working directly with companies throughout the site selection process,” said Georgia Department of Economic Development Commissioner Pat Wilson. “Their votes directly reflect the work of our Georgia General Assembly and economic developers in every corner of the state to maintain a collaborative approach to economic development that benefits companies and communities alike.”

Read more about the survey results here. A copy of Site Selection's article on the survey is below. 

Site Selectors Survey: Why Site Selectors Love the South

Ron Starner, Site Selection

 “Georgia On My Mind” may be the official state song of the Peach State, but it might as well be the anthem of site selection consultants.

In our annual Site Selectors Survey, the Peach State wracked up the most votes to dethrone last year’s winner, Texas, for Best Business Climate in the nation. North Carolina finished just behind Georgia in the runner-up spot, followed by South Carolina in third and then Tennessee and Texas in a tie for fourth.

If you want to know what influences the thinking of site selectors and why they tend to favor Southern states, it pays to know the location factors that they value the most. We asked site selectors this question: “In your opinion, what are the three most important elements of a state business climate?” They responded that workforce, state and local tax policy, and cost of living are paramount. Ranking just behind these factors are incentives, quality of life and worker training programs.

When asked, “If you were running a company and needed to find a new home for the corporate headquarters, list three cities you would place on your short list,” Dallas received the most support, followed by Charlotte, Atlanta, Nashville and Raleigh. Austin, Chicago, Richmond, Memphis, Phoenix and San Diego were next.

 “The South has a logistics and infrastructure advantage that has always made them attractive for projects like those that GLS work. Coupled with a relatively low-cost environment and relatively favorable business policies, they continue to be top of mind for many of our clients. From my perspective, key differentiators include economic development infrastructure and inventory availability. States like Tennessee and Georgia stand out for their state, utility and regional economic development organizations, which foster a collaborative partnership with location advisory firms. This collaboration can lessen some of the challenges of site selection, creating an environment of problem-solving and support rather than obstacles.”

- Tess Fay, Principal and Vice President of Location Intelligence, Global Location Strategies, Greenville, South Carolina

 “The findings of our fellow site selectors are very much in sync with our firm’s positive view of the business climate of these five southern states,” [John Boyd Jr., principal of The Boyd Company Inc.] wrote in an email. “I did a survey of our files, both within Boyd Co. and our BizCosts.com unit, to see where our firm has been most active over the past three years. The five states cited in this year’s annual Site Selectors Survey accounted for roughly 60% of all our state-specific client inquiries and related location research.”

Boyd said the South wins the business climate race because of things like the demographic shift to the South, investments into site readiness, workforce training programs, the availability of incentives, lower costs and lower taxes, sound tax and fiscal policies, and positive labor-management relations. He added one other: “Having seasoned economic development professionals at the state and local levels and at major utility companies doing a superior job servicing consultant inquiries and promoting these states.”

Jay Garner, president of Garner Economics LLC in Atlanta, said, “The legislative branches in those states have worked tirelessly for years to be business friendly. Many rank favorably in the Tax Foundation’s annual tax competitiveness index.”

Read more here.