Top Three States for Staffing Company Owners

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Staffing agency owners know better than anybody that succeeding in the industry is no easy task. The ever-changing economy, legal red tape and tax regulations all make administering a staffing company a tricky venture.

But did you know that it is a tougher venture in some states than in others?

It is true—there are certain states where running a staffing firm is easier, both economically and legally. Check out this list of the top three states to own a staffing agency.

1. California

California is the number one state in America for staffing companies: “According to ASA US staffing statistics, the total estimated annual sales revenue for staffing in California is $41.4 Billion. This makes California the number one destination for generating recruitment revenue in the US. However, this could be contributed to it being the state with the highest concentration of temporary workers employed weekly and annually” (PGC Group).

2. Texas

As they say, everything is bigger in Texas—including the benefits of owning a staffing agency. Firstly, due to the sheer size and robustness of the Texan economy, the staffing agency has a huge presence in the workforce. According to the PGC Group, “the total estimated annual sales revenue for staffing in Texas is $16.6 billion. Similar to California, the sheer size of Texas as a state and the number of workers contribute to this higher revenue.” Texas has a very influential Staffing Association that lobbies in the interests of staffing firms very efficiently, assuring that legal impediments do not hinder staffing companies from expanding.

3. New York

In third place is New York. This state generated $11.8 billion in 2022. 

California, Texas and New York, for both their economies and their laws, make up our list of the top three states for staffing company owners. Are you looking for the top method of alternative finance in order to help your staffing company up its cash flow and expand? If so, talk to us—we serve tons of different types of staffing firms and can help your agency fix its financial situation.