These cities are entrepreneur-friendly, according to the magazine, because "there's an openness and energy that permeates the whole culture, an infectious enthusiasm throughout the small-business community, and a faith that any problem can be overcome through dedication and smart decisions."

The top ten cities meeting these requirements were found to be Las Vegas, Nevada; Portland, Oregon; Orlando, Florida; San Diego, California; Phoenix, Arizona; Chapel Hill, North Carolina; Atlanta, Georgia; Madison, Wisconsin; Youngstown, Ohio and Austin, Texas.

Yet recent data from Standard & Poor's Case-Shiller index found that two of the cities on the list - Las Vegas and Phoenix - have seen some of the most rapidly falling housing prices in the country, declining 32 percent and 34 percent respectively from last year's prices, reported the Wall Street Journal.