In a recent study by Canadian firm KPMG, the cost of setting up and doing business in Shreveport was found to be one of the most enticing in the nation. And in cities under 500,000 in population, Shreveport came in as the United States’ low-cost leader overall.
With a cost index of 92.5, Shreveport ranked 1st among the likes of Spartanburg, SC, Spokane, and Charleston, WV. The only other North American cities with populations under 1,000,000 to beat its cost index were located in Canada and Mexico. The report specifically names Baton Rouge and Shreveport as being the low-cost leaders of the nation, with Shreveport being the lowest cost US city examined in the report.
The study gathered data from 131 cities, 19 industries within those cities, 26 location-sensitive cost factors, and over 50,000 data items. Just a few of the factors were location leasing, transportation of goods, property and other taxes, depreciation, utility costs, and private health insurance.
Shreveport low-cost advantage is even more impressive when looking at certain crucial cost sectors. The area ranks first in the Southeast in digital services costs and research/development costs, beating out cities in the South like Atlanta, Memphis, Miami, and New Orleans. Shreveport is also the second-best city for low manufacturing costs. The only city with a lower manufacturing cost index than Shreveport is Montgomery, AL.
The full report can be viewed here.
Do you feel more businesses will be attracted to the area? How should our leaders leverage of this data?