DC area gets C+ for small business friendliness (but is that fair?)

WASHINGTON — The D.C. area’s score for small-business friendliness took a hit this year, according to an annual survey by Thumbtack, a website and app that connects consumers to small business contractors.

The D.C. area scored a C-plus in this year’s survey of Thumbtack members, down from an overall friendliness grade of A-minus in 2017.

D.C. scores took the biggest hits this year in business regulations, licensing and tax codes.

The area also went from an A-minus for government websites in last year’s survey to an F this year. That score is not based on the quality or user-friendliness of government websites. Thumbtack members were simply asked if they’d used a government website to comply with a regulation or learn about operating a business.

Local governments consistently get good ratings for their taxpayer-facing websites. The Center for Digital Government and the National Association of Counties’ most recent Digital Counties survey gave top marks to Montgomery County and Arlington County. Fairfax County and Prince George’s County also earned among the highest marks in the nation.

The D.C. area’s C-plus grade ranks it 32nd out of the 57 metro areas Thumbtack’s survey covered.

Despite the tight labor market, the D.C. area earned an A-plus for ease of hiring and an A-minus for employment and labor. The area also got a B-plus for ease of starting a business, contrary to a low score for regulations.

The survey also ranked states for small business friendliness. Virginia earned an overall grade of B. Maryland earned an overall business friendliness grade of B-plus.

Thumbtack surveyed over 7,500 small business owners for this year’s results, covering a diverse swath of occupations, from electrocutions and music teachers to wedding planners, wellness professionals and more.

Thumbtack’s entire small business owner survey results for metro areas and states, and its methodology is posted online.

Jeff Clabaugh

Jeff Clabaugh has spent 20 years covering the Washington region's economy and financial markets for WTOP as part of a partnership with the Washington Business Journal, and officially joined the WTOP newsroom staff in January 2016.

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