New York’s start-up scene is growing at a staggering rate and tech is leading the way. As more big names in the industry set up in NYC, the city has become the fastest growing tech start-up scene in the USA. There has been a huge growth in demand for flexible offices as entrepreneurs look to The Big Apple to launch their businesses. Instant has seen a 61% growth in enquires from April 2014 – April 2015.
Growing at an annual rate of 13.3% over the past 10 years, New York has the fastest rising tech start-up scene in the US, beating even Silicon Valley which showed an annual growth of 6.4%. Because of this rapid growth, it is now the second largest start-up ecosystem in the USA behind Silicon Valley, and fifth largest in the world according to the 2015 Start-Up Genome.
The two most prominent sectors in the start-up community are the internet and computer software industries, with NYC’s $125 billion tech ecosystem creating 45,000 jobs as of 2015. The last 10 years have witnessed a large number of successful start-ups, including big names in the field such as Shutterstock, Tumblr and Etsy. The city is also building on its reputation for finance with technology-driven money solutions such as Kickstarter and On Deck Capital.
As a long standing hub for business and innovation, NYC’s start-up model is unique to that of Silicon Valley. Instead of pushing new technologies, its tech sector has been used in collaboration with existing platforms such as advertising, finance and fashion. This has helped to digitise traditional markets and allowed the start-up tech sector to grow and flourish in just two decades.
Co-working space in New York has become extremely popular among growing businesses as they collaborate with each other and between industries. The price of these spaces are around $250 – 500 per person per month. Businesses are also choosing serviced offices for a more flexible solution. This allows them to grow at a fast rate without the commitment of a long term lease. The average price of these suites in New York can range anywhere between $600 – 5000 per person per month.
Start-ups in New York have also seen a significant increase in venture and angel funding, with funding for tech companies growing 240% overall in the last 10 years.
New York’s growing start-up community has regular meetups and events where entrepreneurs share ideas, as well as an abundance of shared and co-working spaces to support up-and-coming businesses.