Many California businesses are grappling with the decision to either stay in the state or relocate due to concerns over high crime rates, taxes, and anti-business policies.
A significant percentage of business owners are considering moving their headquarters out of California, with top reasons cited including high tax rates, crime, and unfavorable business regulations.
“I have considered moving to a different state,” attorney Flavio Carvalho said. “I don’t agree with the direction California is going, and I hate the fact that I am forced to support it through my taxes.”
Despite the challenges, some have expressed emotional attachment to the state and struggled with the decision to leave.
Texas, Florida, and Nevada emerge as top choices for potential relocation, offering lower taxes and a more business-friendly environment.
“We have wanted to move for at least the last three to four years,” Bulletproof Pet Products CEO and CFO Cherie Falwell said. “Especially since Biden has been president. Things were already expensive here. Now they are so expensive we can hardly afford to do business. However, moving is expensive, and with interest rates on homes, it is difficult to move.”
“We are L.A., California natives, and have never lived or worked anywhere else,” digital marketing business owner Trish Aquino said. “It was our financial strife, prospecting struggles and concern for our children’s futures that made us finally consider a move to Frisco, Texas.”
“Employers we’ve been talking to have been planning a move or thinking about a move since 2020,” RedBalloon CEO Andrew Crapuchettes said. “And what’s happening is, in the last couple of years, every time Gavin Newsom does a new stupid thing, it makes it a lot easier for them to make that decision.”
“[It’s a] headache,” he said. “They are dealing with regulation, they’re dealing with taxes, they’re dealing with crime… They’re still generating economic activity, but this invisible groundswell of businesses [are] planning on leaving the state, and that’s because of those bad policies.”
“The building where I have my office has just installed flood lights throughout the parking lot, installed new doors and upgraded the security system to improve safety,” Carvalho said. “Throughout the neighborhood, there are signs reminding people not to leave valuables in their cars.”
“It used to be this very nice town, now it is just horrible,” Falwell said. “We have been in our home for 17 years, we have had mail theft. The crime has impacted my desire to even leave my house or business.”
“We are blessed to work from home, so we have no additional property to worry about and protect. That being said, I don’t feel safe walking my kids around the block,” Aquino expanded. “I’ve witnessed a hit-and-run of a parked car right in front of my house, midday high-speed chases on our street, a freeway exit beggar [getting] into a van and a person shooting up in front of a commercial trash can.”
“My car was hit while parked at my previous job, we’ve had shredded refuse stolen out of our recycling bin,” he said. “There was a shooting at our mall late last year, and we hear search copters overhead every other week… You don’t realize how bad things are until you’re asked to recollect and actually list it out.”
“[In] hotel California, you can check out any time, but you can’t leave. It’s hard to get your business to move somewhere, and particularly for conservatives… We try and make things better where we are,” Crapuchettes said.
“It takes a lot to make a conservative leave where they grow up, leave where they have their business established. And so this is kind of a big deal that these businesses are moving.”
“I had my first job when I was 13 years old, working for a car upholstery shop. In high school, I worked the fields of Harrison Farm in the San Joaquin Valley… I love my state and my country, and I think I am somehow supposed to fight for its future. So I have not left California yet,” Carvalho said.
“These were just a couple of the factors that made it abundantly clear to us that God was slamming this door in our face… I hope that we will have the Godly wisdom to accurately discern how to ensure that our business thrives versus just survives,” Aquino said.
“These were just a couple of the factors that made it abundantly clear to us that God was slamming this door in our face… I hope that we will have the Godly wisdom to accurately discern how to ensure that our business thrives versus just survives,” Aquino added.
“We would love to move our home and our business to Nevada,” Falwell said. “We have considered other states like Texas, Florida and Tennessee. The reason for those states, especially Nevada, is because the taxes and cost of living are cheaper. [The] minimum wage here is horrible.”
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