Dallas, Texas, December 27, 2025

Dallas, Texas has been recognized as the third-best large U.S. city for startups, according to CommercialCafe’s latest report. The ranking highlights the city’s vibrant entrepreneurial ecosystem, marked by a strong startup density and a favorable survival rate of 65% over five years. The area has seen significant growth in new business establishments and an expanding freelance workforce, making it an attractive destination for entrepreneurs and professionals alike.

Dallas Ranks Third for Startups in the U.S.

CommercialCafe’s Report Highlights Dallas as a Startup Hub

Dallas, Texas, has recently been recognized as the third-best large U.S. city for startups, according to the “Best Cities for Startups” report published by CommercialCafe on December 10. This significant acknowledgment places Dallas behind only Phoenix, Arizona, which ranks first, and San Antonio, Texas, which takes the second spot. Fort Worth, Texas, closely follows Dallas in fourth place, demonstrating the robust entrepreneur-friendly environment present across the Texas metroplex.

The report evaluated large U.S. cities based on a variety of factors, including office or coworking costs, Kickstarter funding success, startup density, and survival rates. These metrics reflect the entrepreneurial spirit thriving in Dallas and the surrounding areas, making it a compelling destination for new businesses.

The Entrepreneurial Climate in Dallas

One of the critical features of the Dallas-Fort Worth metro area is its substantial concentration of startup activity. Approximately 11% of all businesses in this region are startups that are less than a year old, indicating a vibrant and dynamic entrepreneurial ecosystem. Moreover, the survival rate for startups in Dallas hovers around 65% over five years, showcasing the city’s ability to foster enduring businesses.

In recent years, the rate of new business establishments in the area has surged by 19.7%. This growth can be attributed to a supportive atmosphere that encourages entrepreneurial ventures, providing new businesses the opportunity to thrive in a competitive market.

Freelance Workforce Growth

Adding depth to the startup landscape, the freelance workforce in Dallas has expanded significantly, with an approximate 14% growth rate observed from 2019 to 2023. As of 2023, there are 115,990 independent professionals working across North Texas, reflecting the evolving nature of work and the increase in opportunities for skilled professionals in the area.

The Competitive Edge of Dallas

While the CommercialCafe report primarily highlighted Dallas’s impressive ranking for startups, a separate study by WalletHub positioned Dallas at 16th among the best large cities to start a business. This assessment considered factors like business survival rates, labor costs, and the affordability of office space. Such rankings reaffirm Dallas’s competitive standing in terms of attracting new businesses and providing an environment conducive to growth.

Economic Climate and Community Support

The favorable economic climate in Dallas, coupled with its growing startup ecosystem, continues to attract entrepreneurs seeking opportunities in a supportive and dynamic environment. The combination of wealth of resources, networking opportunities, and access to funding makes the region an ideal location for budding entrepreneurs and established businesses alike.

Local government efforts to streamline regulations and reduce red tape are vital in encouraging more individuals to take the entrepreneurial leap. By maintaining a business-friendly atmosphere, Dallas can enhance its reputation as a leading hub for innovation and economic development.

Conclusion

In summary, Dallas’s recognition as a top destination for startups reflects the hard work and dedication of its entrepreneurial community. With strong growth rates, decreasing barriers to entry, and a favorable economic environment, Dallas continues to emerge as an attractive locale for both new and established businesses. As local initiatives evolve to support economic growth, the call to action is clear: support San Antonio TX small businesses and remain engaged in fostering the Bexar County economy.

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Author: STAFF HERE SAN ANTONIO WRITER

The SAN ANTONIO STAFF WRITER represents the experienced team at HERESanAntonio.com, your go-to source for actionable local news and information in San Antonio, Bexar 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 Fiesta San Antonio, San Antonio Stock Show & Rodeo, and Dia de los Muertos. Our coverage extends to key organizations like the Greater San Antonio Chamber of Commerce and United Way of San Antonio and Bexar County, plus leading businesses in retail, insurance, and energy that power the local economy such as H-E-B, USAA, and Valero Energy. As part of the broader HERE network, including HEREAustinTX.com, HERECollegeStation.com, HEREDallas.com, and HEREHouston.com, we provide comprehensive, credible insights into Texas's dynamic landscape.