Virginia ranks No. 6 in the nation in least burdensome regulatory environments for small business, according to a study.
Many factors influence small business growth in each state, including geography, historical growth patterns, tax policies and state regulatory policies. The Pacific Research Institute released a study ranking states on how burdened they are by state regulations. Virginia ranks No. 6.
The 50-State Small Business Regulation Index ranks the nation based on the impact from each state’s regulatory environment on small biz. The Index’s purpose is to compare environments that are associated with slower business growth versus more robust small business growth, the report says.
Virginia leads the nation in many small business regulatory factors that the report analyzed. It falls in the top-10 in workers’ compensation rates (at $1.17 per $100 of payroll), unemployment insurance rates (at 0.46 percent of total wages) and minimum wage regulations (at the federal $7.25 per hour). In addition, Virginia doesn’t require short-term disability insurance, it abides by the Family and Medical Leave Act and is a right-to-work state.
On the other hand, Virginia is an alcohol control state, it has moderate startup and annual filing costs and it ranks No. 32 in the nation for state energy regulations.
Read the report here: http://www.pacificresearch.org/fileadmin/images/Studies_2015/SmBusinessIndex_UpdatedVersion2_web.pdf
