News Summary
Texas has been awarded the title of Best Business Climate for the third consecutive year by Business Facilities. This accolade highlights the state’s favorable economic environment, with factors such as no corporate or personal income tax, a skilled workforce, and strong global market access. Over 1,300 capital investment projects were recorded, and notable companies like Chevron and 84 Lumber have relocated to Texas, drawn by its business-friendly atmosphere. The state also received recognition in workforce training, showcasing its commitment to supporting businesses.
Texas Named Best Business Climate for Third Consecutive Year
Texas has been recognized as having the Best Business Climate for the third consecutive year, according to the 2025 Annual Rankings Report released by Business Facilities on June 24, 2025. The report evaluates various states across over 60 categories relevant to corporate relocation and expansion, with Texas maintaining its leading position due to significant economic development activities.
In 2024, Texas witnessed more than 1,300 qualified capital investment projects, highlighting the state’s ongoing appeal for businesses looking to relocate or expand operations. Over 20 companies, including well-known firms such as Chevron, 84 Lumber, Thoughtful Automation, and Diversified, made announcements regarding their relocations to Texas during the past year. This influx of corporate investment further solidifies Texas’s reputation as a prime destination for businesses.
Key Factors Contributing to Texas’s Business Advantage
Governor Greg Abbott attributed Texas’s successful ranking in the Business Climate category to its unmatched business advantages. Notably, the absence of both corporate and personal income taxes positions Texas favorably for businesses looking to minimize overhead costs. Additionally, the state boasts a skilled and diverse workforce, access to global markets, robust infrastructure, and a reasonable regulatory environment. These factors combined create an attractive atmosphere for business operations and expansions.
Other States in the Rankings
While Texas leads the Best Business Climate category, other states also received recognition. Virginia, North Carolina, Florida, Tennessee, Georgia, Indiana, Utah, Arizona, and South Carolina were highlighted as notable contenders in the same ranking. Virginia achieved recognition as the top state for Customized Workforce Training, an accolade it has held for three consecutive years due to the effectiveness of its Virginia Talent Accelerator Program.
The Virginia Talent Accelerator Program, initiated in 2019, has successfully facilitated more than 17,000 jobs across the state by providing tailored workforce training to various companies, including Microporous, Micron Technology, Kongsberg Defence & Aerospace, and Super Radiator Coils. This program not only boosts employment but also enhances the state’s competitive advantage in workforce readiness, demonstrating the importance of targeted training initiatives.
Virginia’s achievements in workforce training were also acknowledged alongside the efforts of Louisiana, Alabama, Texas, and Missouri, which were recognized for their excellence in customized workforce training. This demonstrates a growing recognition of the importance of addressing local workforce needs as a way to attract and retain businesses.
Publication Details
The detailed findings and rankings are set to be published in the July/August 2025 issue of Business Facilities, which is a prominent media brand that specializes in site selection for economic development professionals and decision-makers.
With Texas reaffirming its status as a leader in business climate rankings, companies and investors will likely continue to consider the state a prime location for future opportunities, further shaping the economic landscape for years to come.
Deeper Dive: News & Info About This Topic
- My Paris Texas: Texas Named Best Business Climate in Nation for Third Year in a Row
- Business.com: Why Start a Business in Texas
- Dallas News: Texas Has the Best Business Climate in the Country
- Wikipedia: Economy of Texas
- Business Facilities: Texas Claims Top State Business Climate for 2024
- Google Search: Texas Business Climate
Author: STAFF HERE COLLEGE WRITER
The COLLEGE STATION STAFF WRITER represents the experienced team at HERECollegeStation.com, your go-to source for actionable local news and information in College Station, Brazos County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Brazos Valley Fair & Rodeo, Chilifest, and Aggie Muster. Our coverage extends to key organizations like the Bryan-College Station Chamber of Commerce and United Way of the Brazos Valley, plus leading businesses in education, biotechnology, and retail that power the local economy such as Texas A&M University, Fujifilm Diosynth Biotechnologies, and H-E-B. As part of the broader HERE network, including HEREAustinTX.com, HEREDallas.com, HEREHouston.com, and HERESanAntonio.com, we provide comprehensive, credible insights into Texas's dynamic landscape.
