Best Cities for Small Business in Montana

Montana ranks #11 out of 50 for small business owners and entrepreneurs, offering a favorable climate for new ventures. The state's fiscal health score of 60/100 is adequate, though fiscal conditions aren't a standout advantage.

Tax policy directly impacts the bottom line. Montana's overall tax burden is 7.87% of income, with a 5.9% income tax rate that applies to both personal and pass-through business income. The absence of a sales tax simplifies retail operations. The economic environment (score: 46/100) with 3.7% unemployment shows healthy labor availability.

Population growth of 1.4% is a tailwind — a growing customer base and expanding labor pool benefit most small businesses. The education system (score: 61/100) produces a reasonably well-prepared workforce. Housing at $523,000 median is expensive enough that employee compensation expectations may be higher.