New York State is the 38th best state to start a business, according to WalletHub, a personal finance company that analyzes economic data trends.
The study showed New York State to be near the bottom in a few categories that go into ranking states including average growth in the number of small businesses (47th), office space affordability (47th), and labor costs (37th).
New York's best ranking among states was fifth in the availability of human capital.
The company compared the 50 states in a total of 25 indicators of startup success.
"Outside of the currently difficult economic conditions, there are plenty of other reasons that startups fail, with a “bad location” being among the most common," the report states.