The Lawrence area is among the nation's most fertile ground for starting and growing companies, according to a recent national ranking.
The December issue of Inc. magazine ranked Topeka-Lawrence as No. 28 among the nation's small metropolitan areas by a pair of measures intended to show which cities are successful at starting and sustaining companies.
First on the list of 50 Best Small Metro Areas was Las Vegas. Fargo, N.D.-Moorhead, Minn., ranked second and Sioux Falls, S.D., was third.
Wichita ranked No. 30 on the list.
The rankings, which appear in the December issue of Inc., are based on economic research by Cognetics Inc., a Waltham, Mass.,-based firm. They are based on a weighted average of two measures:
Significant starts Local businesses started in the past 10 years that employ at least five people today, as a percentage of all companies.
Young growers The percentage of local businesses that were 10 years old or less four years ago and that had a growth index of at least three over the past four years. The growth index is a measure of percentage growth and absolute growth.
According to the magazine, to reach a high index number, a place must have a large number of significant start-ups and be able to support the growth of a high proportion of them.
The top three large metro areas were Phoenix, Ariz.; Salt Lake City-Provo, Utah; and Atlanta. Kansas City, Mo., and Kansas City, Kan. ranked 19th among the large areas.