Bidness

You shouldn't have to point out the obvious, but often it's necessary. Star Tribune business columnist Lee Schafer, step up to the mike:

The shouts and huzzahs from the governor’s office when the business news channel CNBC recently named Minnesota as the best state for business likely made it difficult to hear the heavy sighs of the business owners who have a completely different lived experience.

There is no good reason to just dismiss the overall conclusion of the CNBC study, as the facts CNBC lined up to put Minnesota just ahead of No. 2 Texas seem convincing. It’s also easy to find people here who will happily admit they love running a business in a region with a great quality of life and a highly educated workforce.

But to conclude that everything is just fine here for “business” means accepting the comical idea that every business owner’s situation is the same.

If you work for an established business with infrastructure, it's not too bad here. But if you're a startup, the taxes and regulations are significant hindrances:

The CNBC study ranked Minnesota 35th in the cost of doing business, and the personal income tax rate here causes business owners heartburn, too.

Big companies can just pay executives a little more, but for a mom-and-pop taxed as a Subchapter S or other pass-through company, the business money and the personal money are the same. The personal income tax rate here tops out at 9.85 percent, among the highest in the nation.

That's a pretty tough load, especially if you want to expand your business and bring on more workers. I recommend you read the whole article.