Pennsylvania Business Startup Guides

Opening a Business in Philadelphia, Pennsylvania

Contemplating starting a business in Philadelphia, Pennsylvania? We walk you through the process of opening a business in Philadelphia.

Philadelphia, Pennsylvania Demographic Information

Philadelphia has an active business community that includes small businesses, mid-sized businesses and large businesses.

To give you a better feel for Philadelphia demographics for small businesses, we have tabulated the small business sizes, based on number of employees, for business in Philadelphia.

Business Size
# of
Businesses
1-4 Employees
169136
5-9 Employees
59560
10-19 Employees
41768
20-49 Employees
28680
50-99 Employees
10608
100-249 Employees
6756
250-499 Employees
2292
500-999 Employees
828
1000+ Employees
672
All Philadelphia Businesses
320300

As a new Philadelphia entrepreneur, you may also be interested in the table below. It shows how many businesses there are in Philadelphia for each business category. By looking at this chart, you can get a general sense for how much competition there is in the business niche that you are pursuing.

Business Type
# of
Businesses
Abrasive Product Manufacturing
1
Adhesive Manufacturing
1
Advertising Agencies
55
Aluminum Die-Casting Foundries
1
Aluminum Foundries (except Die-Casting)
1
Ambulance Services
30
Animal (except Poultry) Slaughtering
3
Appliance Repair and Maintenance
13
Apprenticeship Training
11
Architectural Services
159
Armored Car Services
2
Art Dealers
38
Automobile Driving Schools
5
Automotive Glass Replacement Shops
13
Automotive Parts and Accessories Stores
105
Automotive Transmission Repair
18
Baked Goods Stores
35
Ball and Roller Bearing Manufacturing
1
Barber Shops
41
Beauty Salons
357
Beer and Ale Merchant Wholesalers
31
Beer, Wine, and Liquor Stores
188
Blind and Shade Manufacturing
3
Blood and Organ Banks
6
Boat Building
1
Boat Dealers
4
Book Publishers
19
Books Printing
3
Bowling Centers
10
Breweries
1
Broadwoven Fabric Finishing Mills
4
Broadwoven Fabric Mills
2
Broom, Brush, and Mop Manufacturing
3
Building Inspection Services
10
Business Associations
53
Business to Business Electronic Markets
4
Cable and Other Program Distribution
14
Cafeterias
16
Camera and Photographic Supplies Stores
15
Canvas and Related Product Mills
1
Car Washes
47
Carpet and Upholstery Cleaning Services
16
Caterers
68
Cemeteries and Crematories
22
Charter Bus Industry
4
Child and Youth Services
106
Child Day Care Services
374
Children's and Infants' Clothing Stores
30
Claims Adjusting
23
Clothing Accessories Stores
38
Coffee and Tea Manufacturing
1
Coin-Operated Laundries and Drycleaners
74
Collection Agencies
13
Commercial Bakeries
28
Commercial Flexographic Printing
1
Commercial Photography
20
Commercial Screen Printing
11
Commodity Contracts Dealing
4
Community Food Services
15
Computer and Software Stores
36
Computer Facilities Management Services
11
Computer Systems Design Services
73
Confectionery and Nut Stores
11
Confectionery Merchant Wholesalers
7
Consumer Lending
18
Continuing Care Retirement Communities
14
Convenience Stores
140
Convention and Trade Show Organizers
15
Convention and Visitors Bureaus
4
Copper Foundries (except Die-Casting)
1
Cosmetology and Barber Schools
12
Couriers
32
Court Reporting and Stenotype Services
19
Credit Bureaus
5
Credit Card Issuing
1
Credit Unions
59
Custom Computer Programming Services
79
Custom Roll Forming
2
Cut Stock, Resawing Lumber, and Planing
2
Dance Companies
9
Deep Sea Freight Transportation
1
Dental Laboratories
23
Diagnostic Imaging Centers
20
Digital Printing
6
Direct Life Insurance Carriers
34
Direct Mail Advertising
11
Direct Title Insurance Carriers
13
Directory and Mailing List Publishers
4
Discount Department Stores
19
Display Advertising
6
Document Preparation Services
17
Drafting Services
2
Drinking Places (Alcoholic Beverages)
532
Dry Pasta Manufacturing
3
Drywall and Insulation Contractors
15
Educational Support Services
37
Electric Power Distribution
4
Electronic Auctions
2
Electronic Connector Manufacturing
1
Electronic Shopping
19
Elementary and Secondary Schools
164
Emergency and Other Relief Services
9
Employment Placement Agencies
44
Engineering Services
99
Exam Preparation and Tutoring
27
Exterminating and Pest Control Services
35
Fabric Coating Mills
1
Facilities Support Services
13
Family Clothing Stores
121
Family Planning Centers
12
Farm Labor Contractors and Crew Leaders
2
Farm Supplies Merchant Wholesalers
5
Fiber Optic Cable Manufacturing
1
Fine Arts Schools
35
Finish Carpentry Contractors
41
Fish and Seafood Markets
26
Fish and Seafood Merchant Wholesalers
14
Fitness and Recreational Sports Centers
96
Floor Covering Stores
35
Flooring Contractors
33
Florists
59
Fluid Milk Manufacturing
1
Folding Paperboard Box Manufacturing
4
Food (Health) Supplement Stores
46
Food Product Machinery Manufacturing
3
Footwear and Leather Goods Repair
9
Footwear Merchant Wholesalers
8
Formal Wear and Costume Rental
7
Fossil Fuel Electric Power Generation
2
Framing Contractors
14
Freight Transportation Arrangement
36
Frozen Specialty Food Manufacturing
1
Full-Service Restaurants
1,018
Funeral Homes and Funeral Services
96
Fur and Leather Apparel Manufacturing
1
Furniture Merchant Wholesalers
29
Furniture Stores
128
General Automotive Repair
362
General Freight Trucking, Local
43
General Rental Centers
8
General Warehousing and Storage
27
Gift, Novelty, and Souvenir Stores
94
Glass and Glazing Contractors
16
Golf Courses and Country Clubs
10
Grantmaking Foundations
53
Graphic Design Services
77
Hand and Edge Tool Manufacturing
5
Hardware Manufacturing
4
Hardware Merchant Wholesalers
23
Hardware Stores
46
Hat, Cap, and Millinery Manufacturing
2
Hazardous Waste Collection
1
Hazardous Waste Treatment and Disposal
2
Historical Sites
9
HMO Medical Centers
6
Hobby, Toy, and Game Stores
28
Home Centers
11
Home Furnishing Merchant Wholesalers
24
Home Health Care Services
57
Home Health Equipment Rental
3
Household Appliance Stores
22
Human Rights Organizations
19
Ice Manufacturing
2
Industrial Building Construction
4
Industrial Design Services
6
Industrial Gas Manufacturing
1
Industrial Launderers
28
Insurance Agencies and Brokerages
239
Interior Design Services
51
International Trade Financing
1
Internet Publishing and Broadcasting
8
Internet Service Providers
19
Interurban and Rural Bus Transportation
2
Investigation Services
20
Iron Foundries
1
Irradiation Apparatus Manufacturing
1
Janitorial Services
171
Jewelry (except Costume) Manufacturing
20
Jewelry Stores
201
Junior Colleges
5
Kidney Dialysis Centers
28
Landscape Architectural Services
20
Landscaping Services
56
Language Schools
9
Lead Pencil and Art Good Manufacturing
1
Leather and Hide Tanning and Finishing
1
Lessors of Other Real Estate Property
8
Libraries and Archives
12
Limousine Service
12
Linen Supply
3
Local Messengers and Local Delivery
21
Locksmiths
16
Luggage and Leather Goods Stores
6
Machine Shops
32
Mail-Order Houses
29
Marinas
2
Marine Cargo Handling
3
Marketing Consulting Services
54
Marking Device Manufacturing
2
Masonry Contractors
39
Materials Recovery Facilities
3
Mattress Manufacturing
5
Meat Processed from Carcasses
12
Media Buying Agencies
3
Media Representatives
14
Medical Laboratories
14
Medicinal and Botanical Manufacturing
1
Men's and Boys' Neckwear Manufacturing
1
Men's Clothing Stores
66
Metal Household Furniture Manufacturing
4
Metal Stamping
2
Metal Tank (Heavy Gauge) Manufacturing
1
Metal Window and Door Manufacturing
6
Miscellaneous Intermediation
12
Mobile Food Services
18
Monetary Authorities-Central Bank
1
Motion Picture and Video Distribution
1
Motion Picture and Video Production
34
Motor and Generator Manufacturing
1
Motor Vehicle Metal Stamping
1
Motor Vehicle Towing
22
Motorcycle Dealers
5
Museums
32
Musical Groups and Artists
25
Musical Instrument and Supplies Stores
11
Musical Instrument Manufacturing
1
Nail Salons
95
Narrow Fabric Mills
2
Navigational Services to Shipping
3
New Car Dealers
48
News Dealers and Newsstands
27
News Syndicates
7
Newspaper Publishers
34
Nonresidential Property Managers
56
Nonwoven Fabric Mills
2
Nursing Care Facilities
87
Office Administrative Services
80
Office Supplies and Stationery Stores
32
Offices of Bank Holding Companies
1
Offices of Certified Public Accountants
124
Offices of Chiropractors
108
Offices of Dentists
458
Offices of Lawyers
1,143
Offices of Optometrists
49
Offices of Podiatrists
77
Offices of Real Estate Appraisers
19
One-Hour Photofinishing
5
Open-End Investment Funds
3
Ophthalmic Goods Manufacturing
5
Ophthalmic Goods Merchant Wholesalers
4
Optical Goods Stores
71
Outerwear Knitting Mills
2
Packaging and Labeling Services
6
Packaging Machinery Manufacturing
3
Packing and Crating
1
Paint and Coating Manufacturing
7
Paint and Wallpaper Stores
27
Painting and Wall Covering Contractors
52
Paper Industry Machinery Manufacturing
1
Paperboard Mills
2
Parking Lots and Garages
205
Passenger Car Rental
36
Payroll Services
22
Periodical Publishers
31
Perishable Prepared Food Manufacturing
5
Pet Care (except Veterinary) Services
13
Petroleum Bulk Stations and Terminals
8
Petroleum Refineries
2
Pharmacies and Drug Stores
297
Photography Studios, Portrait
48
Plastics Bag Manufacturing
3
Plastics Bottle Manufacturing
1
Political Organizations
15
Polystyrene Foam Product Manufacturing
1
Port and Harbor Operations
3
Portfolio Management
65
Poultry Processing
3
Precision Turned Product Manufacturing
6
Prepress Services
8
Private Mail Centers
8
Professional Employer Organizations
11
Professional Organizations
47
Public Relations Agencies
35
Quick Printing
21
Radio Stations
27
Railroad Rolling Stock Manufacturing
1
Real Estate Credit
44
Real Estate Investment Trusts
4
Record Production
1
Recreational Goods Rental
1
Refrigerated Warehousing and Storage
5
Reinsurance Carriers
19
Remediation Services
10
Repossession Services
8
Residential Property Managers
85
Residential Remodelers
164
Retail Bakeries
59
Reupholstery and Furniture Repair
15
Rice Milling
1
Roofing Contractors
89
Rope, Cordage, and Twine Mills
1
Sales Financing
21
Savings Institutions
133
Saw Blade and Handsaw Manufacturing
1
Scheduled Freight Air Transportation
3
Scheduled Passenger Air Transportation
28
School and Employee Bus Transportation
8
Securities and Commodity Exchanges
1
Securities Brokerage
64
Security Guards and Patrol Services
35
Setup Paperboard Box Manufacturing
2
Sewage Treatment Facilities
1
Sheer Hosiery Mills
1
Sheet Metal Work Manufacturing
15
Shoe Stores
184
Siding Contractors
17
Sign Manufacturing
15
Site Preparation Contractors
36
Snack and Nonalcoholic Beverage Bars
200
Soap and Other Detergent Manufacturing
2
Soft Drink Manufacturing
3
Solid Waste Collection
20
Solid Waste Combustors and Incinerators
1
Solid Waste Landfill
1
Sound Recording Studios
13
Soybean Processing
1
Special Needs Transportation
5
Spice and Extract Manufacturing
1
Sports and Recreation Instruction
25
Sports Teams and Clubs
8
Spring (Heavy Gauge) Manufacturing
1
Steam and Air-Conditioning Supply
1
Steel Wire Drawing
1
Support Activities for Forestry
1
Surface Active Agent Manufacturing
1
Tax Preparation Services
72
Taxi Service
22
Telecommunications Resellers
9
Telemarketing Bureaus
9
Telephone Answering Services
2
Telephone Apparatus Manufacturing
1
Television Broadcasting
12
Temporary Shelters
29
Testing Laboratories
5
Textile Bag Mills
1
Textile Machinery Manufacturing
1
Theater Companies and Dinner Theaters
32
Tile and Terrazzo Contractors
15
Tire and Tube Merchant Wholesalers
10
Title Abstract and Settlement Offices
33
Tobacco Stores
31
Toilet Preparation Manufacturing
2
Tour Operators
12
Tradebinding and Related Work
10
Translation and Interpretation Services
8
Travel Agencies
86
Used Household and Office Goods Moving
25
Used Merchandise Stores
65
Vending Machine Operators
14
Veterinary Services
43
Video Tape and Disc Rental
66
Vocational Rehabilitation Services
52
Voluntary Health Organizations
26
Web Search Portals
2
Weft Knit Fabric Mills
1
Wholesale Trade Agents and Brokers
126
Window Treatment Stores
17
Wineries
1
Wired Telecommunications Carriers
108
Women's Clothing Stores
207
Wood Office Furniture Manufacturing
1
Wood Window and Door Manufacturing
3
Yarn Spinning Mills
2
Zoos and Botanical Gardens
2

Naming the Company

A good company name can give a big boost to a new startup. It might seem like an easy thing to do, but there are many things to consider when naming a business.

Before you decide on a company name, run it by some prospective customers and see what they think. If they don't like it, it's probably a good idea to go back to the drawing board.

For other considerations regarding naming a company, we recommend this article: Branding Advice.

As a final piece of advice, remember that because you are planning on starting a business in Philadelphia, it's very important that you make sure your company name has not already been claimed by another Pennsylvania business.

Forming a Company in Philadelphia, Pennsylvania

It's essential that your business is formed as a legal entity that is separate from its owners. Doing so will shield you from personal liability for business debts and obligations.

When forming a company, you will choose from many company types, such as a corporation, LLC, sole proprietorship, partnership or other structure.

Incorporating is a very popular way to form a business. Of course, you have to decide which type of corporation to form and where to incorporate. If you are starting a business in Pennsylvania, you don't necessarily have to incorporate in Pennsylvania. In fact, you can incorporate wherever you want. For example, it's very popular to incorporate in Delaware, and incorporating in Nevada has become very trendy as well. Don't forget, though, that you will have to register as a foreign entity in all states that you do business in.

There are many nuances to forming a company. We recommend you read some of the educational articles about company formation that are availabe on our site, such as Pre-Incorporation Agreements. You may also want to seek the advice of an attorney. On a final note, since you will be starting a business in Philadelphia, Pennsylvania, our web page covering Incorporating in Pennsylvania may be a useful resource if you decide to incorporate in Pennsylvania.

The Role of the Business Plan

Writing a business plan is critical in laying a solid foundation for your business success. In effect, a business plan describes what you plan to do with the business and how you plan to do it. Not having a business plan will greatly reduce your chances of business success.

To learn more about business plans, read Business Plan Mistakes. You can also get face-to-face free consulting available from your local SCORE chapter in Pennsylvania.

Getting Money to Start a Business

Raising money to fund your new Philadelphia business is very difficult due to the ongoing business credit crunch. To obtain business financing, you will need to hear a lot of rejections before you finally find a funding solution that works for you.

Take advantage of our many articles on raising capital, such as Borrowing Money from Friends and Family.

For Philadelphia entrepreneurs who need startup capital, check out our List of Pennsylvania Angel Investors and our List of Pennsylvania Venture Capital Firms.

Learning More About Entrepreneurship

Successful business owners recognize that what they know now may not be enough to ensure their future success.

Given that you are starting a business in Philadelphia, Pennsylvania, you should get information on some of the many programs available at nearby Pennsylvania universities, colleges and community colleges. You should also check if there are any networking groups or organizations in which Philadelphia entrepreneurs get together to network and trade their business experiences.

Philadelphia Entrepreneur Interviews

Here, we'll keep a running list of interviews we've had with Philadelphia entrepreneurs.

Now It's Up To You

You have a dream -- starting a business in Philadelphia. To achieve your dream, you have to persevere, even when the odds are against you.

Owning your own business will be a daunting task, but you can do it.

We are here to help Philadelphia businesses to be successful. We want to be there for you to answer your business questions, whether you are a new Philadelphia entrepreneur who is just getting started or you are already up and running with your new venture.

More Entrepreneurial Resources for Starting a Business in Philadelphia, Pennsylvania

Here are more links that we believe will help you be successful in starting a business in Philadelphia.

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