You won’t believe the explosive growth forecast for Santa Clarita’s small businesses by 2025—discover the exciting opportunities on the horizon!
Santa Clarita's small business sector is set to expand significantly by 2025, with projections indicating the creation of approximately 1,633 new jobs, mainly in the tech industry. This growth aligns with a forecasted 35% increase in tech businesses, reinforcing the city's status as an emerging innovation hub. Additionally, local support initiatives from organizations like SCVEDC will facilitate entrepreneurship through training programs and workshops. Overall, a favorable economic environment—with development revenues projected to rise by 16.8% and property tax by 5.3%—will further bolster small business opportunities, providing a conducive landscape for growth and innovation. More insights await regarding these developments.
As you look ahead to 2025, you'll find that Santa Clarita's economy is poised for modest growth, with projections indicating a 0.7% annual increase through 2028. This growth will be largely supported by ongoing economic diversification efforts, particularly as the region capitalizes on the construction of new residential projects. In 2023 alone, over 7,000 permits were issued, valued at more than $650 million, reflecting a commitment to addressing housing and infrastructure needs. Additionally, the local economy has remained positive despite a temporary film industry halt, showcasing its resilience.
In terms of the labor market, Santa Clarita has demonstrated impressive job stability, with a 9.5% increase in total jobs from early 2022 to early 2023. This is particularly significant given the national trend of rising unemployment rates, which increased from 3.4% to 4.1% during the same period. The local labor supply remains talented and diverse, helping to sustain economic activity despite broader challenges in California's economy, such as expected sub-par growth in 2024.
Moreover, Santa Clarita's General Fund revenues are projected to rise, with significant increases anticipated in property tax (5.3%) and development revenues (16.8%). These financial indicators suggest a strong foundation for local businesses to thrive, supported by a growing labor market and steady economic diversification. As the economy evolves, Santa Clarita appears well-positioned to leverage these trends, fostering an environment conducive to small business growth in 2025 and beyond.
The business growth trends in Santa Clarita point to a vibrant future, driven by a supportive environment for entrepreneurs and a flourishing job market. As the city ranks 4th among the most business-ready cities in the U.S., local initiatives are key in fostering a robust entrepreneurial ecosystem. The presence of three local colleges enhances workforce development, ensuring a highly educated talent pool ready to meet the demands of various sectors.
Key trends include:
The city's favorable homeownership rate of 70% allows residents to save capital, further empowering local entrepreneurs. Additionally, the cybersecurity sector is projected to experience a remarkable 33% growth by 2030, with competitive entry-level salaries. As job opportunities surge, particularly in tech, the local economy is becoming increasingly dynamic. The commitment to workforce development, along with a focus on employee satisfaction and quality of life, solidifies Santa Clarita's position as an attractive destination for both businesses and skilled professionals.
In Santa Clarita, ongoing construction and development projects are set to reshape the city's infrastructure and enhance the community's quality of life. A major infrastructure investment of $250 million aims to improve traffic flow, safety, and multi-modal transportation along The Old Road. This project includes widening The Old Road from four to six lanes, incorporating protected bicycle lanes, and replacing the Santa Clara River bridge. Additionally, a multi-use trail will be developed along the old railroad right-of-way, with Phase 1 construction costs estimated between $19 million and $28 million. The project will also support emergency vehicle access, ensuring that first responders can navigate the area effectively during critical situations.
Road enhancements along I-5 will feature the addition of a High Occupancy Vehicle (HOV) lane in each direction, along with extensions to the northbound truck lane from SR-14 to Calgrove Boulevard. This initiative also includes the replacement of the Weldon Canyon Bridge and improvements to traffic flow through auxiliary lanes and soundwalls.
Community engagement is essential, as over 80 community projects are planned as part of the Santa Clarita 2025 strategic plan. These projects, which include a permanent housing shelter by Bridge to Home and the new SCV Sheriff's Station, are selected based on community input, ensuring they align with the City Council's priorities. As these projects unfold, they will not only address aging infrastructure but also promote a sustainable and connected community, with construction timelines for The Old Road project expected to be completed in phases, progressing toward a more efficient city layout.
Santa Clarita's financial landscape is poised for growth, with general fund revenue projections indicating a positive trajectory for 2025. As the local economy continues to expand, several key revenue sources are contributing to this optimistic outlook. Particularly, sales tax is projected to increase by 1.4%, reaching approximately $49.0 million. Additionally, property tax and property tax in lieu of vehicle license fees are estimated to rise by 5.3% to around $49.6 million collectively.
Key revenue projections include:
These projections underscore the diverse revenue sources fueling Santa Clarita's economy, which also reflect broader economic trends. The positive tax implications of increasing employment in sectors such as entertainment and transportation are significant, with a projected increase of 400 jobs in entertainment alone. Moreover, the local economic indicators point to a flourishing business landscape, as evidenced by an 18.3% increase in the number of businesses.
As these revenue sources continue to grow, the city's financial stability appears robust, setting a strong foundation for continued investment and development. The interplay between these revenue sources and tax implications will be vital in shaping Santa Clarita's economic future.
Community initiatives in Santa Clarita are greatly enhancing the local economy and overall quality of life. Through strategic investments exceeding $200 million in new amenities such as the Cube Ice and Entertainment Center and the Vista Canyon Multi-Modal Center, the city is fostering economic growth. These facilities not only provide recreational opportunities but also create a vibrant environment that attracts tourism and encourages community engagement.
Local partnerships play a significant role in this development. The Small Business Development Center, hosted by College of the Canyons, offers no-cost advising and low-cost training, empowering entrepreneurs to navigate the complexities of starting and maintaining a business. Additionally, the increase in funding for the Arts and Events budget, which totals $140,500, promotes cultural initiatives that draw residents and visitors alike, further stimulating the local economy.
The city is also focused on beautification and sustainability, with investments in landscape maintenance and solid waste diversion programs, totaling over $1.6 million. These efforts not only improve the visual appeal of the community but also enhance the quality of life for residents.
Moreover, the allocation of funds for the Santa Clarita Valley Senior Center's Recreation and Wellness Program reflects a commitment to community well-being. By prioritizing local partnerships and community engagement, Santa Clarita is well-positioned to support small business growth and improve residents' experiences through these initiatives. As these projects continue to unfold, the benefits to both the economy and community cohesion will likely become increasingly evident.
In conclusion, Santa Clarita's small business landscape is poised for significant growth by 2025, driven by favorable economic conditions, ongoing construction projects, and community initiatives that foster entrepreneurship. With projected revenue increases and a proactive approach to development, businesses in the area are set to thrive. As the saying goes, "the sky's the limit," indicating that the potential for innovation and expansion is vast, positioning Santa Clarita as a promising hub for small enterprises in the coming years.
