California Business Startup Guides

Starting a Business in San Francisco, California

Thinking about starting a business in San Francisco, California? This step-by-step guide walks you through the major decisions you should consider before opening a new business in San Francisco.

What Type of Business Should You Start?

An important decision is what kind of business you want to start. We recommend that you read How to Evaluate a Business Idea.

For in-depth how-to guides on how to start specific businesses, browse our Good Businesses to Start section of our site. For example, you might be interested in our Starting an Air & Gas Compressors Service & Repair Business guide or our Opening a Cinder Blocks Business guide.

Don't forget that starting a business in San Francisco has some implications. Some businesses will do better in San Francisco than others. Study San Francisco demographics and do a competitive analysis as part of your startup planning process.

San Francisco, California Demographic Information

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

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

Business Size
# of
Businesses
1-4 Employees
49641
5-9 Employees
16397
10-19 Employees
10873
20-49 Employees
7665
50-99 Employees
2694
100-249 Employees
1584
250-499 Employees
429
500-999 Employees
195
1000+ Employees
99
All San Francisco Businesses
89577

As a new San Francisco entrepreneur, you may also be interested in the table below. It shows how many businesses there are in San Francisco 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
Advertising Agencies
165
Air and Gas Compressor Manufacturing
1
Ambulance Services
4
Amusement and Theme Parks
3
Amusement Arcades
4
Appliance Repair and Maintenance
3
Apprenticeship Training
5
Art Dealers
102
Audio and Video Equipment Manufacturing
1
Automobile Driving Schools
15
Automotive Exhaust System Repair
3
Automotive Glass Replacement Shops
9
Automotive Parts and Accessories Stores
33
Automotive Transmission Repair
2
Barber Shops
15
Beauty Salons
274
Bed-and-Breakfast Inns
22
Beer and Ale Merchant Wholesalers
7
Beer, Wine, and Liquor Stores
103
Blind and Shade Manufacturing
3
Blood and Organ Banks
3
Book Publishers
39
Book Stores
57
Books Printing
1
Bowling Centers
2
Breweries
1
Broadwoven Fabric Finishing Mills
1
Building Inspection Services
6
Business Associations
55
Business to Business Electronic Markets
7
Cable and Other Program Distribution
12
Cafeterias
35
Camera and Photographic Supplies Stores
36
Canvas and Related Product Mills
2
Car Washes
11
Casino Hotels
1
Caterers
36
Cemeteries and Crematories
7
Charter Bus Industry
10
Child and Youth Services
87
Child Day Care Services
253
Children's and Infants' Clothing Stores
21
Claims Adjusting
14
Clothing Accessories Stores
49
Coffee and Tea Manufacturing
2
Coin-Operated Laundries and Drycleaners
41
Collection Agencies
6
Commercial Bakeries
17
Commercial Flexographic Printing
1
Commercial Lithographic Printing
70
Commercial Photography
68
Commercial Screen Printing
11
Commodity Contracts Brokerage
4
Commodity Contracts Dealing
14
Community Food Services
18
Computer and Software Stores
33
Computer Systems Design Services
298
Computer Training
15
Confectionery and Nut Stores
37
Confectionery Merchant Wholesalers
9
Construction Machinery Manufacturing
1
Consumer Lending
18
Continuing Care Retirement Communities
15
Convention and Trade Show Organizers
45
Convention and Visitors Bureaus
4
Cookie and Cracker Manufacturing
2
Cosmetology and Barber Schools
5
Couriers
28
Court Reporting and Stenotype Services
21
Credit Bureaus
8
Credit Unions
31
Curtain and Drapery Mills
8
Custom Computer Programming Services
433
Custom Roll Forming
1
Cut Stock, Resawing Lumber, and Planing
1
Dance Companies
15
Deep Sea Freight Transportation
4
Dental Laboratories
28
Diagnostic Imaging Centers
24
Diet and Weight Reducing Centers
7
Digital Printing
14
Direct Life Insurance Carriers
38
Direct Mail Advertising
24
Direct Title Insurance Carriers
36
Discount Department Stores
2
Display Advertising
14
Distilleries
2
Document Preparation Services
24
Drafting Services
3
Drilling Oil and Gas Wells
1
Drinking Places (Alcoholic Beverages)
337
Drywall and Insulation Contractors
23
Educational Support Services
55
Electric Power Distribution
5
Electrical Contractors
171
Electronic Auctions
2
Electronic Computer Manufacturing
2
Electronic Shopping
55
Emergency and Other Relief Services
9
Employment Placement Agencies
78
Engineering Services
262
Envelope Manufacturing
1
Environmental Consulting Services
42
Exam Preparation and Tutoring
50
Exterminating and Pest Control Services
8
Family Clothing Stores
118
Family Planning Centers
10
Farm Labor Contractors and Crew Leaders
1
Farm Product Warehousing and Storage
1
Farm Supplies Merchant Wholesalers
7
Fine Arts Schools
53
Finfish Fishing
2
Fish and Seafood Markets
14
Fish and Seafood Merchant Wholesalers
27
Fitness and Recreational Sports Centers
108
Flight Training
1
Floor Covering Stores
41
Flooring Contractors
34
Florists
80
Food (Health) Supplement Stores
48
Food Service Contractors
76
Footwear and Leather Goods Repair
9
Footwear Merchant Wholesalers
9
Formal Wear and Costume Rental
6
Framing Contractors
14
Freight Transportation Arrangement
47
Fruit and Vegetable Markets
39
Full-Service Restaurants
1,523
Funeral Homes and Funeral Services
17
Fur and Leather Apparel Manufacturing
5
Furniture Merchant Wholesalers
53
Furniture Stores
126
General Automotive Repair
197
General Medical and Surgical Hospitals
13
General Rental Centers
7
General Warehousing and Storage
13
Gift, Novelty, and Souvenir Stores
218
Glass and Glazing Contractors
19
Gold Ore Mining
1
Golf Courses and Country Clubs
4
Graphic Design Services
203
Greeting Card Publishers
1
Gypsum Product Manufacturing
1
Hardware Manufacturing
2
Hardware Merchant Wholesalers
15
Hardware Stores
36
Hazardous Waste Collection
1
HMO Medical Centers
6
Hobby, Toy, and Game Stores
23
Home Centers
2
Home Furnishing Merchant Wholesalers
56
Home Health Care Services
35
Homes for the Elderly
63
Household Appliance Stores
22
Industrial Building Construction
1
Industrial Design Services
31
Industrial Gas Manufacturing
1
Industrial Launderers
7
Industrial Pattern Manufacturing
2
Inland Water Passenger Transportation
1
Institutional Furniture Manufacturing
4
Interior Design Services
151
International Trade Financing
8
Internet Publishing and Broadcasting
40
Internet Service Providers
52
Interurban and Rural Bus Transportation
2
Investigation Services
37
Investment Advice
209
Iron Foundries
1
Irradiation Apparatus Manufacturing
1
Janitorial Services
119
Jewelry (except Costume) Manufacturing
10
Jewelry Stores
170
Junior Colleges
4
Kidney Dialysis Centers
5
Landscape Architectural Services
49
Landscaping Services
64
Language Schools
26
Lead Pencil and Art Good Manufacturing
1
Lessors of Other Real Estate Property
19
Libraries and Archives
10
Limited-Service Restaurants
729
Linen Supply
2
Livestock Merchant Wholesalers
1
Local Messengers and Local Delivery
20
Locksmiths
15
Logging
2
Luggage and Leather Goods Stores
20
Luggage Manufacturing
7
Mail-Order Houses
42
Manifold Business Forms Printing
3
Marinas
4
Marketing Consulting Services
162
Marking Device Manufacturing
1
Masonry Contractors
17
Mattress Manufacturing
2
Meat Processed from Carcasses
7
Media Buying Agencies
14
Media Representatives
33
Medical Laboratories
10
Medicinal and Botanical Manufacturing
1
Men's Clothing Stores
49
Metal Household Furniture Manufacturing
1
Mineral Wool Manufacturing
1
Miscellaneous Intermediation
75
Mobile Food Services
8
Monetary Authorities-Central Bank
1
Mortgage and Nonmortgage Loan Brokers
60
Motion Picture and Video Distribution
4
Motion Picture and Video Production
99
Motorcycle Dealers
11
Museums
41
Music Publishers
4
Musical Groups and Artists
39
Musical Instrument and Supplies Stores
16
Musical Instrument Manufacturing
5
Nail Salons
116
Navigational Services to Shipping
5
New Car Dealers
16
New Housing Operative Builders
17
News Dealers and Newsstands
13
News Syndicates
8
Newspaper Publishers
34
Nonresidential Property Managers
120
Office Administrative Services
147
Office Equipment Merchant Wholesalers
33
Office Supplies and Stationery Stores
38
Offices of Bank Holding Companies
2
Offices of Certified Public Accountants
275
Offices of Chiropractors
107
Offices of Dentists
623
Offices of Optometrists
80
Offices of Other Holding Companies
41
Offices of Podiatrists
26
Offices of Real Estate Appraisers
30
One-Hour Photofinishing
9
Open-End Investment Funds
5
Ophthalmic Goods Merchant Wholesalers
2
Outdoor Power Equipment Stores
2
Outerwear Knitting Mills
3
Packaging and Labeling Services
2
Packing and Crating
6
Paging
1
Paint and Coating Manufacturing
1
Paint and Wallpaper Stores
20
Parking Lots and Garages
289
Passenger Car Rental
48
Payroll Services
18
Periodical Publishers
67
Perishable Prepared Food Manufacturing
7
Pet and Pet Supplies Stores
29
Pet Care (except Veterinary) Services
18
Pharmacies and Drug Stores
118
Photography Studios, Portrait
38
Pipeline Transportation of Natural Gas
1
Political Organizations
19
Portfolio Management
240
Precision Turned Product Manufacturing
1
Prepress Services
16
Private Mail Centers
17
Professional Employer Organizations
15
Professional Organizations
48
Public Relations Agencies
109
Quick Printing
42
Radio Networks
2
Radio Stations
57
Ready-Mix Concrete Manufacturing
3
Real Estate Credit
64
Real Estate Investment Trusts
23
Recreational Goods Rental
6
Refrigerated Warehousing and Storage
3
Reinsurance Carriers
14
Remediation Services
3
Repossession Services
2
Residential Property Managers
194
Residential Remodelers
257
Retail Bakeries
51
Reupholstery and Furniture Repair
27
Rice Milling
1
Roofing Contractors
68
Sales Financing
30
Satellite Telecommunications
5
Savings Institutions
80
Saw Blade and Handsaw Manufacturing
1
Scheduled Freight Air Transportation
7
Scheduled Passenger Air Transportation
42
Schiffli Machine Embroidery
1
Securities and Commodity Exchanges
2
Securities Brokerage
236
Security Guards and Patrol Services
62
Sheet Metal Work Manufacturing
5
Ship Building and Repairing
4
Shoe Stores
99
Siding Contractors
2
Silverware and Hollowware Manufacturing
1
Site Preparation Contractors
13
Snack and Nonalcoholic Beverage Bars
325
Soap and Other Detergent Manufacturing
2
Software Publishers
109
Software Reproducing
1
Solid Waste Collection
7
Sound Recording Studios
17
Soybean Processing
1
Special Needs Transportation
6
Spice and Extract Manufacturing
2
Sporting Goods Stores
54
Sports and Recreation Instruction
31
Sports Teams and Clubs
5
Steel Wire Drawing
1
Synthetic Rubber Manufacturing
1
Tax Preparation Services
86
Taxi Service
25
Telecommunications Resellers
12
Telemarketing Bureaus
13
Telephone Answering Services
13
Television Broadcasting
16
Temporary Help Services
143
Temporary Shelters
40
Testing Laboratories
12
Textile Bag Mills
1
Theater Companies and Dinner Theaters
44
Tile and Terrazzo Contractors
25
Tire Dealers
18
Title Abstract and Settlement Offices
12
Tobacco Stores
12
Toilet Preparation Manufacturing
1
Tortilla Manufacturing
1
Tour Operators
39
Tradebinding and Related Work
7
Travel Agencies
204
Travel Trailer and Camper Manufacturing
1
Used Car Dealers
10
Used Household and Office Goods Moving
34
Used Merchandise Stores
104
Vending Machine Operators
6
Veterinary Services
25
Vocational Rehabilitation Services
56
Voluntary Health Organizations
43
Warehouse Clubs and Supercenters
1
Water Supply and Irrigation Systems
1
Web Search Portals
13
Wholesale Trade Agents and Brokers
171
Window Treatment Stores
11
Wired Telecommunications Carriers
97
Women's Clothing Stores
182
Wood Office Furniture Manufacturing
4
Wood Window and Door Manufacturing
6
Yarn Spinning Mills
1
Zoos and Botanical Gardens
3

Should You Buy an Existing San Francisco Business?

We've created a useful website page for those who want to Buy a Business in California. Follow that link and you may find several good businesses for sale in San Francisco.

If you are intent on buying a business, you may want to read this article: How to Buy a Business.

Don't Forget to Create a Business Plan

A business plan is critical in laying a solid foundation for your business success. Indeed, a business plan describes what you plan to do with the business and how you plan to do it. Not having a business plan is a recipe for disaster.

If writing a business plan is on your to-do list, be sure to read Business Plan Contests. You should also take advantage of face-to-face free consulting available from your local SCORE chapter in California.

Raising Money for Your Venture

Getting your San Francisco business the capital it needs to succeed will be harder than you might expect. To obtain business financing, you will need to hear a lot of rejections before you finally find a funding solution that works for you.

To learn about raising money, we recommend you read the fundraising articles on our site, such as Getting a Small Business Loan.

For San Francisco entrepreneurs with great ambition but a shortage of investment capital, browse our List of California Angel Investors and our List of California Venture Capital Firms.

Letting the World Know You Exist

To grow your San Francisco business, you'll need to have a good marketing plan.

We have some helpful resources on this site for entrepreneurs who are working on marketing plans. Business Logo Design is an article that will stimulate a few thoughts on your marketing plan. That's just a taste of the many useful articles we have on Marketing a Small Business.

How to Sell

Do you know how to sell? In order to attract customers to your new San Francisco business, you need to focus on sales.

Good selling involves demonstrating that your wares meet your customer's needs. Fortunately, we've got plenty of good advice to help you improve your selling skills.

Tips on Customer Referrals offers some helpful tips on how to sell. It's one of several good articles on our site regarding Entrepreneurial Selling.

Some Interesting San Francisco Entrepreneurs

We're compiling a number of interviews with San Francisco entrepreneurs. Enjoy!

Next Steps

As an entrepreneur in San Francisco, you won't be working for the boss anymore. You are the boss.

If you choose the right business and love what you do, you will greatly increase your odds of success.

Our goal here is to promote the vitality and growth of small businesses in San Francisco and throughout the United States . We believe entrepreneurship is an amazing engine for job creation in San Francisco, neighborhood development and overall economic health.

More Entrepreneurial Resources for Starting a Business in San Francisco, California

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

More Business Startup Guides for California

Starting a Business in San Fernando
Starting a Business in San Jose

Browse All Business Startup Guides for California
Starting a Business Guides for Other States

 

 

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