News Summary
South Carolina has been ranked second in Area Development’s 2025 Top States for Business survey, showcasing its competitive advantage in attracting businesses and promoting economic development. The state excelled in business incentives, cost of doing business, and site readiness programs, though it faced challenges in areas like climate risk and water availability. This ranking underscores South Carolina’s ongoing commitment to enhancing its business landscape while competing against Georgia, which has held the top spot for over a decade.
South Carolina has achieved a significant milestone by being ranked second in Area Development’s 2025 Top States for Business survey, reasserting its appeal as a prime location for corporate site selection and economic development. The state follows Georgia, which has maintained the top position for twelve consecutive years.
This latest ranking highlights South Carolina’s competitive edge, particularly as it aims to attract new businesses and bolster economic opportunities in the region. The state is recognized for its robust business incentives and favorable cost of doing business, performing notably well across several evaluation categories.
In this year’s survey, South Carolina outperformed its rivals in key areas such as business incentives programs, overall cost of doing business, and site readiness programs, achieving first place in all three. Additionally, it secured second place rankings for availability of sites, cooperative efforts from local and state governments, and a favorable regulatory framework.
Besides leading in numerous categories, the state ranked significantly lower in areas that are becoming increasingly vital to businesses. Notably, South Carolina did not place in the top ten for climate risk and resilience or for water availability, indicating areas that may require future improvements.
Completing the top five in the Area Development survey are Texas, North Carolina, and Ohio. South Carolina’s standing this year is a marked improvement from its lowest ranking of fifth place in 2018.
The methodology for these rankings has evolved, reflecting a shift towards factors such as speed, workforce alignment, and energy infrastructure as essential components in determining a state’s desirability for business investment. Notably, the evaluation has separated energy infrastructure into two distinct categories: energy availability and energy cost. Furthermore, there is an increased focus on water access, permitting speed, and overall site readiness that significantly contribute to capital investment decisions.
Despite being recognized as a strong contender for business development, South Carolina faces stiff competition from Georgia, which has dominated the rankings for over a decade and appears to be a benchmark for success. CNBC’s rankings echo this sentiment, positioning South Carolina in 18th place for its best states for business ratings. The state has continually performed well in these ratings; it has finished in the top four 18 times and has been runner-up on eight occasions without ever reaching the top spot.
In reviewing numerous categories, the recent rankings have assessed factors that are critical to businesses, such as access to qualified labor, corporate tax structure, energy availability, energy cost, favorable property tax, logistics and infrastructure, and workforce training programs. This comprehensive approach to evaluation considers both quantitative metrics and qualitative assessments to provide a clear picture of the business landscape in South Carolina.
As South Carolina looks to improve its economic environment, the recent ranking reinforces the state’s ongoing commitment to creating an attractive landscape for business investments, indicating a focused strategy on enhancing various infrastructural and regulatory factors in the future.
Deeper Dive: News & Info About This Topic
- The Center Square: Texas Business Report
- Wikipedia: South Carolina
- Columbia Business Report: USC Program Ranking
- Google Search: South Carolina Business Ranking
- Washington Examiner: SC Business Report
- Encyclopedia Britannica: Business
- CNBC: North Carolina Top State for Business
- Google News: 2025 Top States for Business
- Charleston Business: SC Companies 2025
Author: STAFF HERE FLORENCE WRITER
FLORENCE STAFF WRITER The FLORENCE STAFF WRITER represents the experienced team at HEREFlorence.com, your go-to source for actionable local news and information in Florence, Florence 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 the Florence Festival of Lights, Pee Dee Pride, and agricultural expos at the Florence Center. Our coverage extends to key organizations like the Florence Regional Chamber of Commerce and the Pee Dee Area Council of Governments, plus leading businesses in healthcare and retail that power the local economy such as McLeod Health and Pee Dee Electric Cooperative. As part of the broader HERE network, including HERECharleston.com, HEREColumbia.com, HEREGreenville.com, and HEREHiltonHead.com, we provide comprehensive, credible insights into South Carolina's dynamic landscape.
