Cost of Doing Business

THE COST OF DOING BUSINESS

The highly respected Kosmont Cost of Doing Business Study compares the cost of doing business in a wide range of cities throughout the United States which have populations of more than 100,000. The study compares a number of costs imposed by local government such as business taxes, gross receipt taxes, utility taxes, property taxes, sales tax, state income taxes, fees, and other costs that may apply.

Listed is the Kosmont 2009 rating, for Lancaster and Palmdale, along with a comparison with other popular business locations.

Of the 71 cities surveyed in Los Angeles County, 21 cities have Cost Ratings in the lowest two brackets: of these, only 6 cities are in the lowest bracket.

The ten least expensive cities for doing business in Los Angeles County in 2009 (in alphabetical order) are: Agoura Hills; Bell Gardens; Cerritos; Diamond Bar; Lancaster; Santa Clarita; Signal Hill, Walnut and Westlake Village

Legend
Cost Rating   Charges Gross Receipts Tax
Very Low Cost The lowest possible rating for city fees and charges Indicates rate of Utility Users Tax, if applicable.
Low Cost Cities that charge low fees and charges   "No" indicates that the city does not charge this tax
Average Cost Cities that charge average fees and charges Business tax rate comparison per $1,000 in receipts
High Cost Cities that charge high fees and charges Property Tax
Very High Cost Cities that charge the highest fees and charges Sales Tax
 





Antelope Valley            
Lancaster Low Cost No No $0.002% 1.13% 9.25%
Unicorporated Kern Low Cost No 4.50% N/A 1.19% 8.25%
Palmdale Average Cost Yes No 0.006-0.03% 1.29% 9.25%
           
Los Angeles Basin            
Whittier High Cost Yes 5.00% 0.001-0.02% 1.10% 9.25%
Long Beach High Cost No 5.00% 0.011-0.273% 1.15% 9.25%
Los Angeles Very High Cost Yes 5-10% 0.13-55% 1.86% 9.25%
           
San Bernardino            
Redlands High Cost Yes No 0.025-0.3% 1.25% 8.75%
Fontana Very High Cost Yes 5.00% 0.03-0.35% 1.20% 8.75%
San Bernardino Very High Cost Yes 7.75% 0.025-0.25% 1.29% 9.00%
           
Riverside            
Indio Average Cost Yes 5.00% 0.016% 1.12% 8.75%
Riverside High Cost Yes 6.50% 0.007-0.08% 1.09% 7.75%
Palm Springs High Cost No 5.00% 0.003-0.05% 1.92% 8.75%
           
Central Valley            
Bakersfield Low Cost Yes No 0.002-0.065% 1.15% 8.25%
Tulare High Cost Yes 7.00% 0.005-0.035% 1.00% 9.25%
Stockton Very High Cost Yes 6.00% 0.025-0.2% 1.12% 9.00%
           
Various            
Phoenix, AZ Very High Cost No 9-11% Various 1.82% 8.10%
Portland, OR Very High Cost No 5-8% 0.36% 2.17% 5.00%
Tucson, AZ Very High Cost Yes 2.00% 0.005-2% 2.25% 8.10%
Chandler, AZ Very High Cost Yes 9.00% 0.001-1.5% 2.63% 7.80%
Bullhead City, AZ Very High Cost No 7.6-10.8% 0.002% 2.71% 7.85%
Arlington, TX Very High Cost No 7.50% 0 3.03% 8.00%
Source: Kosmont-Rose Institute