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Bryan E. Kuhn
Counselor at Law, P.C.
Business & Employment Law Attorney

New high-tech startups popular in Colorado

Starting a new business can be an exciting venture for a business owner. There are all sorts of possibilities and hopefully, a business will grow and thrive into a successful and beneficial entity. Depending on many factors, however, business owners will want to be very deliberate in a number of their decisions when it comes to business formation.

There are many challenges that may come up during the beginning of a new business venture. From venture capital to employment policies, there are several issues and transactions that often must be addressed by business owners. One of the first things that a business owner often considers is where to setup a new business. According to recent reports, the state of Colorado has become a hub of activity for starting up a new high-tech business.

When it comes to high-tech businesses, it is estimated that for every job that is created, more than four other jobs are also created in response. This so-called multiplier may be at least one reason why high-tech companies are starting up in such high numbers. In fact, Colorado has become quite a hot spot when it comes to high-tech startups, surprising many people who assumed that such businesses only grew and thrived in coastal cities. Some sources indicate that 70 of these businesses were started in Fort Collins just in 2010. These companies are also proving to be quite successful in terms of growth, with growth levels exceeding 60 percent in most cases.

Even though growth may not be a high priority for many new and startup businesses, it is important to understand the environment in which a business is formed. Nationwide, there is a focus on job creation, retention and staying innovative in a global landscape. These are legitimate issues that business owners may want to consider when launching a company. But it is also important to make sure the fundamental business plans and practices are lawfully documented and executed to ensure that a business can start on the best path to succeed.

Source: The Wall Street Journal, “Weekend Read: Debunking the Myth of the Startup Hub,” Ian Hathaway, Feb. 3, 2013

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