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Maryland Business Climate

The ForbesBest States For Business” list ranked Maryland 32nd among the 50 states. One of the variables that dragged down its ranking is the high labor cost. However, employers are willing to overlook that because the state has one of the most educated labor forces in the country.

The cost of living is another indicator that affected its rank. But the state makes up for it in terms of the economy, quality of life, technology and innovation, education, and access to capital. Buying a business in Maryland most definitely has it’s advantages. 

One of the state’s advantages is its investment on transportation infrastructure. The Baltimore port, for instance, consistently ranks high in terms of automotive handling, as well as productivity of Roll On/Roll Off sector and container berth output. It also has a very efficient network of public and private transportation which carry both commuters and cargo at a minimal cost.

Its location is also very strategy, which is why logistics companies are also moving to the area. About 1/3 of the states in the country are just within a day’s drive from Maryland.

While startups are often associated with Silicon Valley, Baltimore actually is a rising destination among tech companies because of its large pool of talent. In 2015, for example, 19 deals generated $137 million in investments in Baltimore. The city also has the Emerging Technology Centers, an incubation center that is helping tech startups grow their businesses.

Another reason why Maryland’s has a lot of room for growth is due to the very high educational footprint of the state. Maryland, after all, has the highest concentration of universities in the country.

Manufacturing remains one of the top industries in Maryland, owing to its early history on the shipyard and steel. While the shipping industry has deteriorated over the years, manufacturing in the fields of food, chemical, printing and publishing, fabrication, and machine parts are thriving. Of course, Baltimore remains the top choice, with 1 in 3 manufacturers setting up headquarters in the city.

Another surprising industry in the state is the field of cyber security. There are over 60 federal and military facilities in Maryland that are focused on cyber security. The National Security Agency and the Communication and Electronics Command of the Army are actually located here, employing more than 200,000 workers and specialists.

The other big industries in Maryland are aerospace and defense (the industryis worth $35 billion), as well as aquaculture and fishing due to its access to the Atlantic Coast. 

Whether your looking to have a business valuation in Maryland, selling a business in Maryland or buying a business in Maryland, Neumann & Associates has you covered. Reach out and let us help you with all of your M&A needs.

 

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