California Business Startup Guides

Starting a Business in Sacramento, California

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

Sacramento, California Demographic Information

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

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

Business Size
# of
Businesses
1-4 Employees
49804
5-9 Employees
18884
10-19 Employees
14010
20-49 Employees
10504
50-99 Employees
3684
100-249 Employees
2028
250-499 Employees
510
500-999 Employees
120
1000+ Employees
84
All Sacramento Businesses
99628

As a new Sacramento entrepreneur, you may also be interested in the table below. It shows how many businesses there are in Sacramento 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
Adhesive Manufacturing
1
Advertising Agencies
30
Air Traffic Control
1
Ambulance Services
6
Amusement and Theme Parks
4
Amusement Arcades
5
Appliance Repair and Maintenance
10
Architectural Services
80
Armored Car Services
3
Art Dealers
11
Audio and Video Equipment Manufacturing
4
Automobile Driving Schools
8
Automotive Exhaust System Repair
10
Automotive Glass Replacement Shops
24
Automotive Transmission Repair
28
Baked Goods Stores
9
Barber Shops
1
Beauty Salons
122
Beer and Ale Merchant Wholesalers
3
Beer, Wine, and Liquor Stores
59
Blind and Shade Manufacturing
3
Boat Dealers
11
Book Publishers
1
Book Stores
25
Bottled Water Manufacturing
1
Bowling Centers
4
Breweries
2
Building Inspection Services
9
Business and Secretarial Schools
3
Business Associations
107
Business to Business Electronic Markets
3
Cable and Other Program Distribution
11
Cafeterias
23
Camera and Photographic Supplies Stores
6
Canvas and Related Product Mills
4
Carpet and Upholstery Cleaning Services
17
Caterers
32
Cemeteries and Crematories
15
Charter Bus Industry
7
Cheese Manufacturing
1
Child and Youth Services
38
Child Day Care Services
164
Civic and Social Organizations
71
Claims Adjusting
12
Clothing Accessories Stores
14
Coffee and Tea Manufacturing
1
Coin-Operated Laundries and Drycleaners
13
Collection Agencies
15
Commercial Bakeries
7
Commercial Lithographic Printing
38
Commercial Photography
6
Commercial Screen Printing
10
Commodity Contracts Dealing
1
Community Food Services
8
Computer and Software Stores
31
Computer Facilities Management Services
8
Computer Training
14
Concrete Block and Brick Manufacturing
1
Concrete Pipe Manufacturing
3
Confectionery and Nut Stores
13
Confectionery Merchant Wholesalers
2
Construction Sand and Gravel Mining
2
Consumer Lending
15
Convenience Stores
49
Convention and Trade Show Organizers
20
Convention and Visitors Bureaus
2
Cookie and Cracker Manufacturing
2
Cosmetology and Barber Schools
6
Couriers
32
Court Reporting and Stenotype Services
19
Credit Unions
48
Curtain and Drapery Mills
1
Custom Compounding of Purchased Resins
2
Custom Computer Programming Services
91
Dance Companies
1
Dental Laboratories
23
Diagnostic Imaging Centers
19
Digital Printing
6
Direct Life Insurance Carriers
16
Direct Mail Advertising
6
Direct Title Insurance Carriers
16
Directory and Mailing List Publishers
5
Discount Department Stores
10
Display Advertising
4
Doll and Stuffed Toy Manufacturing
1
Drafting Services
3
Drinking Places (Alcoholic Beverages)
84
Drive-In Motion Picture Theaters
1
Dry Pasta Manufacturing
1
Drywall and Insulation Contractors
47
Educational Support Services
23
Electrical Contractors
113
Electronic Computer Manufacturing
2
Electronic Resistor Manufacturing
1
Electronic Shopping
11
Elementary and Secondary Schools
43
Emergency and Other Relief Services
4
Employment Placement Agencies
23
Envelope Manufacturing
1
Environmental Consulting Services
45
Ethyl Alcohol Manufacturing
1
Exam Preparation and Tutoring
17
Exterminating and Pest Control Services
19
Fabric Coating Mills
1
Facilities Support Services
12
Family Planning Centers
9
Farm Labor Contractors and Crew Leaders
1
Farm Product Warehousing and Storage
1
Farm Supplies Merchant Wholesalers
10
Fine Arts Schools
12
Finish Carpentry Contractors
54
Fish and Seafood Markets
1
Fitness and Recreational Sports Centers
58
Flight Training
2
Floor Covering Stores
24
Flooring Contractors
37
Florists
30
Fluid Milk Manufacturing
2
Folding Paperboard Box Manufacturing
1
Food Service Contractors
32
Footwear and Leather Goods Repair
1
Footwear Merchant Wholesalers
1
Formal Wear and Costume Rental
7
Fossil Fuel Electric Power Generation
4
Framing Contractors
14
Freight Transportation Arrangement
9
Full-Service Restaurants
551
Funeral Homes and Funeral Services
18
Furniture Merchant Wholesalers
13
Furniture Stores
77
General Automotive Repair
201
General Freight Trucking, Local
56
General Medical and Surgical Hospitals
8
General Warehousing and Storage
19
Gift, Novelty, and Souvenir Stores
81
Glass and Glazing Contractors
19
Golf Courses and Country Clubs
9
Grantmaking Foundations
20
Graphic Design Services
39
Gypsum Product Manufacturing
1
Hardware Stores
19
Hat, Cap, and Millinery Manufacturing
1
Historical Sites
1
HMO Medical Centers
2
Hobby, Toy, and Game Stores
23
Home Centers
7
Home Furnishing Merchant Wholesalers
20
Home Health Equipment Rental
4
Homes for the Elderly
67
Household Appliance Stores
17
Human Rights Organizations
12
Hydroelectric Power Generation
1
Industrial Building Construction
2
Industrial Design Services
3
Industrial Launderers
8
Industrial Mold Manufacturing
1
Institutional Furniture Manufacturing
1
Insurance Agencies and Brokerages
286
Interior Design Services
17
Internet Publishing and Broadcasting
10
Internet Service Providers
14
Investigation Services
23
Investment Advice
49
Iron and Steel Mills
2
Janitorial Services
116
Jewelry (except Costume) Manufacturing
1
Jewelry Stores
63
Junior Colleges
3
Land Subdivision
33
Landscape Architectural Services
19
Landscaping Services
154
Language Schools
1
Lessors of Other Real Estate Property
22
Libraries and Archives
2
Limited-Service Restaurants
520
Linen Supply
5
Livestock Merchant Wholesalers
1
Local Messengers and Local Delivery
12
Locksmiths
9
Logging
2
Luggage and Leather Goods Stores
4
Machine Shops
18
Manifold Business Forms Printing
1
Manufactured (Mobile) Home Dealers
4
Marinas
3
Marketing Consulting Services
43
Masonry Contractors
29
Materials Recovery Facilities
3
Mattress Manufacturing
3
Media Buying Agencies
4
Media Representatives
3
Medical Laboratories
7
Men's Clothing Stores
17
Metal Can Manufacturing
1
Metal Household Furniture Manufacturing
2
Metal Stamping
2
Miscellaneous Intermediation
5
Mobile Food Services
7
Mortgage and Nonmortgage Loan Brokers
81
Motion Picture and Video Distribution
1
Motion Picture and Video Production
10
Motor Vehicle Body Manufacturing
5
Motor Vehicle Towing
30
Museums
10
Music Publishers
1
Musical Groups and Artists
6
Musical Instrument and Supplies Stores
10
Musical Instrument Manufacturing
2
Nail Salons
32
Natural Gas Distribution
2
New Car Dealers
53
New Housing Operative Builders
10
News Dealers and Newsstands
2
News Syndicates
3
Newspaper Publishers
15
Nonresidential Property Managers
46
Nursing Care Facilities
36
Office Equipment Merchant Wholesalers
23
Office Machinery Manufacturing
1
Office Supplies and Stationery Stores
27
Offices of Certified Public Accountants
153
Offices of Chiropractors
97
Offices of Dentists
411
Offices of Lawyers
811
Offices of Other Holding Companies
7
Offices of Podiatrists
15
Offices of Real Estate Appraisers
38
One-Hour Photofinishing
6
Open-End Investment Funds
1
Ophthalmic Goods Manufacturing
2
Ophthalmic Goods Merchant Wholesalers
2
Outdoor Power Equipment Stores
7
Packaging and Labeling Services
3
Packing and Crating
3
Paging
3
Paint and Coating Manufacturing
1
Paint and Wallpaper Stores
18
Painting and Wall Covering Contractors
78
Parking Lots and Garages
64
Passenger Car Leasing
2
Passenger Car Rental
39
Payroll Services
8
Periodical Publishers
18
Perishable Prepared Food Manufacturing
2
Pet and Pet Supplies Stores
15
Petroleum Bulk Stations and Terminals
9
Pharmacies and Drug Stores
66
Photography Studios, Portrait
27
Plastics Plumbing Fixture Manufacturing
2
Political Organizations
34
Polystyrene Foam Product Manufacturing
4
Portfolio Management
23
Power-Driven Handtool Manufacturing
1
Precision Turned Product Manufacturing
2
Prepress Services
8
Printing Ink Manufacturing
1
Private Mail Centers
14
Professional Employer Organizations
10
Professional Organizations
82
Quick Printing
25
Racetracks
2
Radio Networks
5
Radio Stations
25
Railroad Rolling Stock Manufacturing
2
Ready-Mix Concrete Manufacturing
8
Real Estate Credit
107
Record Production
1
Recreational Goods Rental
4
Recreational Vehicle Dealers
11
Refrigerated Warehousing and Storage
1
Reinsurance Carriers
1
Remediation Services
8
Rendering and Meat Byproduct Processing
1
Residential Property Managers
110
Residential Remodelers
120
Retail Bakeries
13
Reupholstery and Furniture Repair
10
Roofing Contractors
46
Rooming and Boarding Houses
3
Sales Financing
16
Savings Institutions
34
Scheduled Freight Air Transportation
1
Scheduled Passenger Air Transportation
12
School and Employee Bus Transportation
1
Secondary Market Financing
2
Securities and Commodity Exchanges
1
Securities Brokerage
66
Septic Tank and Related Services
1
Sheet Metal Work Manufacturing
15
Ship Building and Repairing
1
Shoe Stores
58
Siding Contractors
10
Sign Manufacturing
12
Site Preparation Contractors
35
Soap and Other Detergent Manufacturing
1
Soft Drink Manufacturing
5
Software Publishers
11
Solid Waste Collection
10
Solid Waste Landfill
1
Sound Recording Studios
3
Soybean Processing
1
Specialty Canning
1
Sporting Goods Stores
47
Sports and Recreation Instruction
20
Sports Teams and Clubs
3
Support Activities for Forestry
1
Tax Preparation Services
60
Taxi Service
3
Telemarketing Bureaus
10
Telephone Answering Services
5
Television Broadcasting
9
Temporary Help Services
93
Temporary Shelters
20
Testing Laboratories
17
Theater Companies and Dinner Theaters
9
Tire and Tube Merchant Wholesalers
8
Tire Dealers
53
Tire Retreading
1
Title Abstract and Settlement Offices
33
Tobacco Stores
12
Toilet Preparation Manufacturing
1
Tortilla Manufacturing
2
Tradebinding and Related Work
7
Translation and Interpretation Services
8
Travel Agencies
24
Travel Trailer and Camper Manufacturing
1
Truck Trailer Manufacturing
1
Truss Manufacturing
1
Used Car Dealers
46
Used Merchandise Stores
31
Vending Machine Operators
11
Veterinary Services
33
Video Tape and Disc Rental
38
Vocational Rehabilitation Services
37
Voluntary Health Organizations
22
Warehouse Clubs and Supercenters
4
Water Supply and Irrigation Systems
3
Web Search Portals
1
Wholesale Trade Agents and Brokers
57
Window Treatment Stores
9
Wineries
2
Wired Telecommunications Carriers
96
Women's Clothing Stores
67
Wood Office Furniture Manufacturing
1
Wood Window and Door Manufacturing
5
Zoos and Botanical Gardens
1

Have You Considered Franchising?

As you drive around Sacramento, it's apparent that franchising has become a very popular way to start a business. But is franchising the right option for you?

We highly recommend you investigate buying a franchise. We have many articles on franchises, such as The Disadvantages of Franchise Ownership. Gain a solid understanding of franchising by scanning all of our Articles on Franchising.

To learn about specific franchise opportunities, check out our Franchise Directory.

Sample franchise opportunities include Trailways and All American Ice Cream & Donuts. Alternatively, you can browse franchise categories, such as Retail Franchises and Frozen Yogurt Franchises.

Note on Sacramento Franchise Opportunities: To find out if a franchise you are interested in is available in Sacramento, you will need to get in direct contact with the franchisor.

Have You Considered Buying an Existing Sacramento Business?

If you have some capital to play with, you may want to Buy a Business in California. Follow that link and you can review several good businesses for sale in Sacramento.

If you are going to be buying a business, you may want to read this article: Hold Harmless Agreements When Buying Businesses.

Forming a Company in Sacramento, California

A critical step is ensuring that your business is formed as a legal entity that is separate from its owners. The main advantage of forming your new business as a legal entity is that it separates your business liabilities from your personal liabilities.

The entity you form can be a corporation, LLC, sole proprietorship, partnership or other structure.

Incorporation 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 California, it doesn't mean you are required to incorporate in California. In fact, you are allowed to incorporate in any state you would like to. 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 Company Formation. You should also consider getting professional assistance from your business lawyer. Finally, if you are starting a business in Sacramento, California, our information on Incorporating in California may be a useful resource if you decide to incorporate in California.

Make Sure You Have a Business Plan

A business plan is essential in maximizing the prospects of your new company. Indeed, a business plan describes what you plan to do with the business and how you plan to do it. Failure to write a business plan is a recipe for disaster.

If you want more information on writing business plans, we recommend reading Business Plan Contests. You should also take advantage of free counseling sessions provided by your local SCORE chapter in California.

Marketing Your New Company

To rise above the crowd in Sacramento and build your business, you need a great marketing plan.

There are myriad resources on this site to help you with your marketing plan. Billboard Advertising Best Practices is an article that will stimulate a few thoughts on your marketing plan. There are many more articles on marketing on our site. Visit our Small Business Marketing resource section to see them all.

How to Improve Your Entrepreneurial Abilities

Good entrepreneurs recognize that what they know now may not be enough to ensure their future success.

As an entrepreneur who lives in Sacramento, California, you will want to take advantage of the learning programs at local California educational institutions. It's also beneficial to see if there are any Sacramento networking organizations.

Interviews With Sacramento Entrepreneurs

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

Now It's Up To You

As an entrepreneur in Sacramento, 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 Sacramento and throughout the United States . We believe entrepreneurship is an amazing engine for job creation in Sacramento, neighborhood development and overall economic health.

More Entrepreneurial Resources for Starting a Business in Sacramento, California

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

More Business Startup Guides for California

Starting a Business in Rutherford
Starting a Business in Saint Helena

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

 

 

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