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Let's Do Business

The best places in Texas to start a business are right here: Five Houston-area cities in Top 10

Jennifer Chininis
Jul 26, 2015 | 6:00 am

It’s good to be an entrepreneur in Texas. But which cities are best to start a business? NerdWallet did a study to find out and discovered that the greater Houston area boasts five of the Top 10 cities on the list: Webster (No. 2), Stafford (No. 3), Katy (No. 4), Texas City (No. 7) and Deer Park (No. 10).

To determine the rankings, researchers analyzed 200 places with populations of at least 10,000 to determine their business climates and economic health. Criteria included average revenue of businesses, percentage of businesses with paid employees, median annual income and housing costs and unemployment rate, among others.

Deer Park has the highest median annual income among the Top 10 — nearly $52,000.

Webster is praised for having the highest percentage of businesses with paid employees in the Top 10, at 53 percent, plus a low median monthly housing cost of $973. Proximity to the NASA Johnson Space Center and growth in the medical field — some call the city Texas’ “medical center of the south," according to the study, also account for the high ranking.

Stafford has the third-highest number of businesses per 100 people (15.26) in the Top 10 list, with more than 2,700 businesses are located here, including the headquarters of Seamar Divers, a subsea construction and inspection company, and General Technologies Inc., an equipment manufacturer.

Texas City has one one of the nation’s largest ports, making it a shipping hotspot, and some of the state’s largest petrochemical manufacturing centers and refineries, such those operated by Marathon Petroleum Corp. and Valero. Of the Top 10 communities, median housing costs here are the third-most affordable at $818 a month.

Katy has the most businesses in the Top 10— a whopping 6,907 and the highest number of businesses per 100 people (over 46). Located close to the Energy Corridor, Katy is tied with Temple for second place among the top 10 for the lowest unemployment rate at 3.7 percent.

Katy has the most businesses in the Top 10— a whopping 6,907.

Located near the Houston Ship Channel, Deer Park has the highest median annual income among the Top 10 — nearly $52,000. Shell has a manufacturing site that employs over 1,600 people and chemical companies Lubrizol and Dow also have large facilities.

The greater Houston area boasts two of the top 10: Addison (No. 1) and Farmers Branch (No. 5). The Austin area didn’t show up in the top 10 at all, possibly due to the rising cost of living or the fact that the energy industry lacks a strong presence when compared to Houston and Dallas, according to NerdWallet.

Dallas proper ranks No. 115, Houston proper came in at No. 82 and Austin falls at No. 96. See the complete list on NerdWallet.

Webster ranks No. 2 on the list of Texas cities that are good places to start a business.

Webster City Hall
Wikipedia
Webster ranks No. 2 on the list of Texas cities that are good places to start a business.
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2026 jobs forecast

Houston's health care sector will drive job growth in 2026, report predicts

John Egan, InnovationMap
Dec 24, 2025 | 9:30 am
Texas Medical Center aerial view
Photo by simonkr/Getty Images
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Buoyed by the growing health care sector, the Houston metro area will add 30,900 jobs in 2026, according to a new forecast from the Greater Houston Partnership.

The report predicts the Houston area’s health care sector will tack on 14,000 jobs next year, which would make it the No. 1 industry for local job growth. The 14,000 health care jobs would represent 45 percent of the projected 30,900 new jobs. In the job-creation column, the health care industry is followed by:

  • Construction: addition of 6,100 jobs in 2026
  • Public education: Addition of 5,800 jobs
  • Public administration: Addition of 5,000 jobs

At the opposite end of the regional workforce, the administrative support services sector is expected to lose 7,500 jobs in 2026, preceded by:

  • Manufacturing: Loss of 3,400 jobs
  • Oil-and-gas extraction: Loss of 3,200 jobs
  • Retail: Loss of 1,800 jobs

“While current employment growth has moderated, the outlook remains robust and Houston’s broader economic foundation remains strong,” GHP president and CEO Steve Kean said in the report.

“Global companies are choosing to invest in Houston — Eli Lilly, Foxconn, Inventec, and others — because they believe in our workforce and our long-term trajectory,” Kean added. “These commitments reinforce that Houston is a place where companies can scale and where our economy continues to demonstrate its resilience as a major engine for growth and opportunity. These commitments and current prospects we are working on give us confidence in the future growth of our economy.”

The Greater Houston Partnership says that while the 30,900-job forecast falls short of the region’s recent average of roughly 50,000 new jobs per year, it’s “broadly in line with the muted national outlook” for employment gains anticipated in 2026.

“Even so, Houston’s young, skilled workforce and strong pipeline of major new projects should help offset energy sector pressures and keep regional growth on pace with the nation,” the report adds.

The report says that even though the health care sector faces rising insurance costs, which might cause some people to delay or skip medical appointments, and federal changes in Medicare and Medicaid, strong demographic trends in the region will ensure health care remains “a key pillar of Houston’s economy.”

As for the local oil-and-gas extraction industry, the report says fluctuations and uncertainty in the global oil-and-gas market will weigh on the Houston sector in 2026. Furthermore, oil-and-gas layoffs partly “reflect a longer-term trend as companies in the sector move toward greater efficiency using fewer workers to produce similar volumes,” according to the report.

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This story originally was published on our sister site, InnovationMap.

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