North Carolina consistently is recognized for its business-friendly environment and quality of life. Here is just a sampling of the accolades and national comparisons that show why nothing compares to the business climate here.

Business Climate

North Carolina consistently ranks among the best business climates in the U.S., having ranked as one of Forbes’ top 5 Best States for Business for 10 consecutive years. The state’s success is fueled by a competitive tax climate, low business costs, a favorable legal and regulatory environment and the availability of skilled labor.

#2

Best State for Business

Forbes

2016

#2

Business Climate Ranking

Site Selection

2015

#3

Best State for Business

Chief Executive Magazine

2016

Tax Climate

North Carolina has a proven commitment to reducing and streamlining business taxes. The state reduced its corporate income tax rate to 4 percent beginning in 2016 – with a further reduction to 3 percent once minimum revenue targets are met – and began a three-year phase-in of single sales-factor apportionment for corporate income tax.

4%

Corporate Income Tax Rate, Lowest in the Southeast

Tax Foundation

2016

#3

Lowest State and Local Business Tax Burden

Ernst & Young

2015

#5

Lowest Effective Tax Rate for Mature Corporate HQs

Tax Foundation and KPMG

2015

Low Business Costs

Business costs in North Carolina rank among the lowest in the nation. Reliable, low-cost electricity, construction costs well below the U.S. average, competitive labor costs and a low cost of living make North Carolina a profitable place for business.

#5

Lowest Business Costs

Forbes

2015

#5

Competitive Utility Rates

Area Development's Top States for Doing Business

2015

18%

Lower Construction Costs in North Carolina Metros vs. U.S. Average

RSMeans Construction Cost Index

2015

Labor Environment

As a right-to-work state with a perennially low union membership rate – an average of 3 percent during the past 10+ years – North Carolina offers low-cost labor in one of the largest and fastest growing markets in the U.S.

#4

Best Labor Climate

Area Development

2015

#1

State for Workforce Development
Atlantic Region

Site Selection

2016

#2

Lowest Unionization Rate in the U.S.

U.S. Bureau of Labor Statistics

2015

Legal & Regulatory Environment

Recent tort reform and the strengthening and streamlining of business courts in the state have earned North Carolina legal climate rankings among the best in the U.S.

#7

Legal Climate Ranking

U.S. Chamber Institute for Legal Reform

2015

#5

Overall Treatment of Tort and Contract Litigation

U.S. Chamber Institute for Legal Reform

2015

#4

Best Regulatory Environment

Forbes

2015