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Utah is first on&nbsp;<a href="https://www.richstatespoorstates.org/publication/rich-states-poor-states-17th-edition/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=utah-an-in-depth-look-at-why-its-the-best-state-for-franchise-growth-2727653" target="_blank" rel="nofollow">ALEC-Laffer’s 2024 Economic Outlook report</a>, maintaining its spot as best in the nation for the&nbsp;<a href="https://www.richstatespoorstates.org/all-states/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=utah-an-in-depth-look-at-why-its-the-best-state-for-franchise-growth-2727653" target="_blank" rel="nofollow">17th consecutive year</a>. Each year, a team evaluates 15 policy variables proven to impact movement in and out of a state to determine which states are best positioned for economic growth. All 50 states are then ranked based on their economic competitiveness.&nbsp;While some states have seen notable movement from year to year, and even larger swings over the past 17 years, Utah has not been dethroned in nearly two decades.Utah’s recent economic performance puts it at third in the country with cumulative gross domestic product growth of over 91% and non-farm employment growth of 33.4% between 2012 and 2022. Between 2013 and 2022, 142,503 people migrated to Utah.&nbsp;The state has proven to be a good place to conduct business, and both workers and entrepreneurs are taking note. The favorable environment is driven largely by affordability of doing business in the state and a relatively seamless, well-organized tax system.ALEC-Laffer notes 15 key variables that impact the business environment in a state, providing both the value for a given state and how that tracks against the country as a whole. Here’s where Utah falls:<ul><li>Top Marginal Personal Income Tax Rate:&nbsp;4.65%, 17th in the country</li><li>Top Marginal Corporate Income Tax Rate:&nbsp;4.65%, 11th in the country</li><li>Personal Income Tax Progressivity:&nbsp;This measures the change in tax liability per $1,000 of income, studying the range between $50,000 and $150,000. In Utah, this amount is $0.39, putting it 12th in the country.</li><li>Property Tax Burden:&nbsp;This measure accounts for state and local property taxes per $1,000 of personal income. In Utah, this is $22,64, putting it 13th in the country.</li><li>Sales Tax Burden:&nbsp;This measure accounts for both general and item-specific sales taxes, accounting for the burden per $1,000 of personal income. In Utah, this amount is $28,06, putting it 38th in the country.</li><li>Remaining Tax Burden:&nbsp;Per $1,000 of personal income, the remaining tax burden is $12,27 — 7th in the country.</li><li>Estate/Inheritance Tax Levied?&nbsp;Utah does not have a state-level inheritance tax, which can be a favorable circumstance for business owners and investors.</li><li>Recently Legislated Tax Changes:&nbsp;The 2022 and 2023 legislative sessions produced tax-related changes that will likely decrease the tax burden per $1,000 of personal income by $4.56. This is the 7th best decrease in the country.</li><li>Debt Service as a Share of Tax Revenue:&nbsp;State and local debt interest only accounts for 3.81% of Utah’s overall state and local tax revenue. This puts it at 7th in the nation for this category.</li><li>Public Employees Per 10,000 of Population:&nbsp;There is the equivalent of 492.8 full-time employees per 10,000 in Utah. This puts the state at number 17 for this category.</li><li>State Liability System Survey:&nbsp;Utah’s tort litigation treatment and judicial impartiality were ranked 70.7, putting it at 19th in the country. This factor is especially important to protect business owners from potential financial losses and maintain their ability to continue operations.</li><li>State Minimum Wage:&nbsp;Utah’s minimum wage is $7.25 per hour. This makes it quite affordable for business owners to maintain teams, and the favorable circumstances land Utah in first place for this category.</li><li>Average Workers’ Compensation Costs:&nbsp;In Utah, workers’ compensation costs are generally $0.86 per $100 of payroll. This places it 6th in the nation, indicating a relatively strong system for business owners who need to hire teams.</li><li>Right-to-Work State?&nbsp;Utah is a right-to-work state. Right-to-work states are generally known for having lower labor costs, making it easier for franchisees to maintain a team.</li><li>Tax Expenditure Limits:&nbsp;ALEC-Laffer ranks tax expenditure limits on a scale of zero to three. Utah received a one, indicating the efficacy of its expenditure limits is somewhat weak. It was ranked 15th in the country for this category.</li></ul>Utah’s unwavering position as the strongest state for businesses, as evidenced by its top ranking in the ALEC-Laffer’s 2024 Economic Outlook report, highlights a unique blend of favorable economic policies, impressive growth metrics and a supportive business environment. The state’s consistent performance over the last 17 years demonstrates its resilience and adaptability in attracting both entrepreneurs and a skilled workforce, priming it for the ongoing growth of franchisees and their businesses.For more on the ALEC-Laffer report, visit&nbsp;<a href="https://www.richstatespoorstates.org/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=utah-an-in-depth-look-at-why-its-the-best-state-for-franchise-growth-2727653" target="_blank" rel="nofollow">https://www.richstatespoorstates.org/</a>. Find more information on top franchise opportunities at&nbsp;<a href="https://1851franchise.com/growth-club">https://1851franchise.com/growth-club</a>.

Utah: An In-Depth Look at Why It’s the Best State for Franchise Growth

ALEC-Laffer Report: How and Why Utah Snagged No. 1 for the 17th Consecutive Year

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Utah offers an incredibly business friendly environment, encouraging new talent to relocate to the state while providing favorable costs and taxes for business owners.

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