Competitive Business Costs

Leaders at all levels of Tennessee government understand the necessity to generate profits and have established tax structures and incentives that enable competitive operations in a global economy.

As a result, Tennessee boasts a pro-business regulatory climate, as well as a top Aaa rating from Moody’s on its general obligation debt. Forbes 2018

Tennessee, which ranks second for its overall cost of doing business, and is rated highly for its competitive labor environment, generous business incentives, positive tax picture, favorable regulatory environment, reasonable utility rates, easily accessed project funding, exceptional workforce development concepts, and outstanding shovel-ready sites — ranking first in this last category. Hit on all of the cylinders in this manner, and you’re bound to reduce the cost of doing business. Area Development 2018 Top States for doing Business

Taxes

  • No state personal income tax
  • No state property tax
  • Competitive corporate taxes

Competitive Costs

  • Building costs 19% below the national average
  • Electricity provided by the Tennessee Valley Authority
    • Industrial electricity rates:   13% below the national average
    • Commercial electrical rates:  4% below the national average
    • Residential electrical rates:  10% below the national average

Workforce

  • Right-to-work state
  • One of 10 lowest unionized states in the U.S. with a rate of 5.2%. (vs. 10.7% national rate)
  • Over 1/3 of union members are in the public sector
    (Source: JobsEQ, 2017 current population survey, unionstats.com)
  • Competitive wages
  • Successful overhaul of tort and workers compensation laws. (TN ECD)
  • Customized workforce training
  • Extremely strong work ethics
  • State funded tuition to two-year colleges for high school graduates

#5
Infrastructure
CNBC 2018
#4
Business Friendliness
CNBC 2017
#15
Cost of Doing Business
CNBC 2018
#6
Regulatory Climate
Forbes 2018