Arizona Business Startup Guides

Start a Business in Tempe, Arizona

Are you starting a business in Tempe, Arizona? This article discusses the most important things to consider when opening a business in Tempe.

Tempe, Arizona Demographic Information

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

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

Business Size
# of
Businesses
1-4 Employees
9568
5-9 Employees
3450
10-19 Employees
2760
20-49 Employees
2361
50-99 Employees
903
100-249 Employees
531
250-499 Employees
213
500-999 Employees
81
1000+ Employees
27
All Tempe Businesses
19894

As a new Tempe entrepreneur, you may also be interested in the table below. It shows how many businesses there are in Tempe 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
10
Aluminum Foundries (except Die-Casting)
2
Ambulance Services
2
Amusement and Theme Parks
1
Amusement Arcades
3
Appliance Repair and Maintenance
1
Apprenticeship Training
1
Armored Car Services
1
Art Dealers
4
Audio and Video Equipment Manufacturing
1
Automobile Driving Schools
1
Automotive Exhaust System Repair
6
Automotive Glass Replacement Shops
9
Automotive Parts and Accessories Stores
28
Baked Goods Stores
6
Barber Shops
3
Beauty Salons
49
Beer and Ale Merchant Wholesalers
2
Beer, Wine, and Liquor Stores
12
Blind and Shade Manufacturing
1
Blood and Organ Banks
2
Boat Dealers
7
Book Publishers
4
Book Stores
9
Books Printing
1
Bowling Centers
1
Breweries
1
Broadwoven Fabric Finishing Mills
2
Business Associations
10
Business to Business Electronic Markets
4
Cable and Other Program Distribution
3
Cafeterias
14
Camera and Photographic Supplies Stores
2
Canvas and Related Product Mills
2
Car Washes
19
Carpet and Upholstery Cleaning Services
14
Caterers
12
Cemeteries and Crematories
2
Charter Bus Industry
3
Cheese Manufacturing
1
Child and Youth Services
7
Child Day Care Services
31
Civic and Social Organizations
14
Claims Adjusting
2
Clothing Accessories Stores
4
Coffee and Tea Manufacturing
1
Coin-Operated Laundries and Drycleaners
1
Collection Agencies
9
Commercial Bakeries
6
Commercial Photography
8
Commercial Screen Printing
13
Community Food Services
2
Computer and Software Stores
18
Computer Facilities Management Services
3
Computer Storage Device Manufacturing
1
Computer Systems Design Services
51
Confectionery Merchant Wholesalers
2
Construction Machinery Manufacturing
1
Construction Sand and Gravel Mining
1
Consumer Lending
8
Continuing Care Retirement Communities
1
Convenience Stores
19
Convention and Trade Show Organizers
2
Cosmetology and Barber Schools
6
Couriers
16
Court Reporting and Stenotype Services
2
Credit Bureaus
1
Credit Card Issuing
3
Credit Unions
12
Crop Harvesting, Primarily by Machine
2
Custom Compounding of Purchased Resins
1
Custom Computer Programming Services
66
Custom Roll Forming
1
Deep Sea Freight Transportation
1
Dental Laboratories
10
Diagnostic Imaging Centers
6
Diet and Weight Reducing Centers
5
Direct Life Insurance Carriers
8
Direct Mail Advertising
9
Direct Title Insurance Carriers
17
Directory and Mailing List Publishers
2
Discount Department Stores
2
Display Advertising
4
Document Preparation Services
4
Drinking Places (Alcoholic Beverages)
29
Dry Pasta Manufacturing
1
Drywall and Insulation Contractors
8
Educational Support Services
7
Electric Power Distribution
1
Electrical Contractors
62
Electron Tube Manufacturing
1
Electronic Computer Manufacturing
1
Electronic Connector Manufacturing
2
Electronic Shopping
15
Elementary and Secondary Schools
20
Employment Placement Agencies
10
Engineering Services
121
Envelope Manufacturing
1
Exam Preparation and Tutoring
3
Exterminating and Pest Control Services
20
Facilities Support Services
2
Family Clothing Stores
25
Family Planning Centers
2
Farm Labor Contractors and Crew Leaders
1
Farm Management Services
1
Fine Arts Schools
3
Finish Carpentry Contractors
11
Fish and Seafood Markets
1
Fish and Seafood Merchant Wholesalers
3
Fitness and Recreational Sports Centers
28
Flight Training
1
Floor Covering Stores
15
Florists
8
Flour Milling
1
Fluid Milk Manufacturing
1
Food (Health) Supplement Stores
8
Food Service Contractors
35
Footwear and Leather Goods Repair
1
Footwear Merchant Wholesalers
1
Framing Contractors
9
Freight Transportation Arrangement
15
Fruit and Vegetable Canning
2
Fruit and Vegetable Markets
1
Full-Service Restaurants
173
Funeral Homes and Funeral Services
2
Furniture Merchant Wholesalers
4
General Automotive Repair
53
General Freight Trucking, Local
12
General Medical and Surgical Hospitals
1
General Rental Centers
6
General Warehousing and Storage
7
Gift, Novelty, and Souvenir Stores
16
Glass and Glazing Contractors
5
Golf Courses and Country Clubs
5
Grantmaking Foundations
3
Graphic Design Services
22
Hand and Edge Tool Manufacturing
2
Hardware Manufacturing
3
Hardware Merchant Wholesalers
13
Hardware Stores
9
Hobby, Toy, and Game Stores
14
Home Centers
2
Home Furnishing Merchant Wholesalers
11
Home Health Care Services
8
Home Health Equipment Rental
4
Homes for the Elderly
11
Household Appliance Stores
5
Industrial Building Construction
4
Industrial Design Services
3
Industrial Launderers
3
Industrial Mold Manufacturing
4
Industrial Pattern Manufacturing
1
Institutional Furniture Manufacturing
1
Insurance Agencies and Brokerages
129
International Trade Financing
1
Internet Publishing and Broadcasting
4
Internet Service Providers
11
Investigation Services
4
Investment Advice
22
Janitorial Services
40
Jewelry Stores
17
Kidney Dialysis Centers
5
Land Subdivision
10
Landscape Architectural Services
16
Landscaping Services
59
Language Schools
3
Lessors of Other Real Estate Property
9
Libraries and Archives
1
Limousine Service
1
Linen Supply
2
Local Messengers and Local Delivery
6
Locksmiths
2
Luggage and Leather Goods Stores
2
Machine Shops
35
Mail-Order Houses
19
Marketing Consulting Services
39
Masonry Contractors
18
Mattress Manufacturing
1
Meat Markets
3
Media Buying Agencies
2
Media Representatives
1
Medical Laboratories
9
Men's Clothing Stores
7
Metal Household Furniture Manufacturing
1
Metal Stamping
1
Metal Window and Door Manufacturing
3
Mineral Wool Manufacturing
1
Miscellaneous Intermediation
3
Mobile Food Services
1
Motion Picture and Video Production
7
Motor Vehicle Towing
3
Motorcycle Dealers
3
Museums
1
Musical Groups and Artists
5
Musical Instrument and Supplies Stores
5
Nail Salons
7
New Car Dealers
20
New Housing Operative Builders
23
Newspaper Publishers
1
Nonresidential Property Managers
24
Nursing Care Facilities
2
Office Administrative Services
25
Office Equipment Merchant Wholesalers
22
Offices of Certified Public Accountants
79
Offices of Chiropractors
41
Offices of Dentists
94
Offices of Lawyers
125
Offices of Optometrists
9
Offices of Other Holding Companies
9
Offices of Podiatrists
3
Ophthalmic Goods Manufacturing
1
Ophthalmic Goods Merchant Wholesalers
5
Optical Goods Stores
9
Outerwear Knitting Mills
1
Packaging and Labeling Services
2
Packing and Crating
1
Paging
2
Paint and Wallpaper Stores
3
Painting and Wall Covering Contractors
20
Paper Industry Machinery Manufacturing
1
Parking Lots and Garages
4
Passenger Car Leasing
1
Passenger Car Rental
6
Payroll Services
7
Perishable Prepared Food Manufacturing
1
Pet and Pet Supplies Stores
6
Pet Care (except Veterinary) Services
5
Pharmacies and Drug Stores
15
Photography Studios, Portrait
8
Plastics Bag Manufacturing
2
Plastics Bottle Manufacturing
1
Plate Work Manufacturing
1
Portfolio Management
3
Precision Turned Product Manufacturing
1
Prepress Services
4
Printing Ink Manufacturing
2
Private Mail Centers
13
Professional Employer Organizations
10
Public Relations Agencies
6
Quick Printing
11
Radio Stations
2
Railroad Rolling Stock Manufacturing
1
Ready-Mix Concrete Manufacturing
3
Real Estate Credit
62
Real Estate Investment Trusts
5
Recreational Vehicle Dealers
2
Remediation Services
3
Repossession Services
2
Residential Property Managers
28
Residential Remodelers
19
Retail Bakeries
4
Reupholstery and Furniture Repair
8
Sales Financing
17
Sanitary Paper Product Manufacturing
1
Satellite Telecommunications
3
Savings Institutions
2
Scheduled Freight Air Transportation
1
Scheduled Passenger Air Transportation
1
Secondary Market Financing
1
Securities Brokerage
19
Security Guards and Patrol Services
13
Semiconductor Machinery Manufacturing
6
Sheet Metal Work Manufacturing
4
Shoe Stores
28
Sign Manufacturing
6
Site Preparation Contractors
15
Snack and Nonalcoholic Beverage Bars
35
Soft Drink Manufacturing
1
Software Publishers
16
Software Reproducing
1
Solid Waste Collection
1
Sound Recording Studios
1
Specialty Canning
1
Sports and Recreation Instruction
16
Sports Teams and Clubs
1
Spring (Light Gauge) Manufacturing
1
Steel Foundries (except Investment)
1
Storage Battery Manufacturing
1
Tax Preparation Services
21
Taxi Service
1
Telemarketing Bureaus
13
Telephone Answering Services
1
Telephone Apparatus Manufacturing
1
Television Broadcasting
1
Temporary Help Services
67
Testing Laboratories
14
Theater Companies and Dinner Theaters
3
Tire and Tube Merchant Wholesalers
3
Tire Dealers
12
Title Abstract and Settlement Offices
6
Tobacco Stores
1
Toilet Preparation Manufacturing
1
Tortilla Manufacturing
1
Tour Operators
2
Travel Agencies
16
Travel Trailer and Camper Manufacturing
1
Truss Manufacturing
1
Used Car Dealers
12
Used Household and Office Goods Moving
6
Used Merchandise Stores
10
Vending Machine Operators
7
Video Tape and Disc Rental
12
Vocational Rehabilitation Services
4
Voluntary Health Organizations
4
Warehouse Clubs and Supercenters
4
Water Supply and Irrigation Systems
2
Web Search Portals
3
Wholesale Trade Agents and Brokers
81
Wired Telecommunications Carriers
27
Women's Clothing Stores
19
Wood Container and Pallet Manufacturing
1
Wood Window and Door Manufacturing
2

Is a Franchise Opportunity Right For You?

Visit the business district of Tempe and you'll notice that many local entrepreneurs have gone the franchising route. So, it probably makes sense for you to consider franchising too.

Our recommendation is that you consider franchising as an option. We have many articles on franchises, such as The Disadvantages of Franchise Ownership. Get a thorough education on franchising by browsing all of our Articles on Franchising.

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

Sample franchise opportunities include Owens Corning and Barmetrix Canada. Alternatively, you can browse franchise categories, such as Apparel Franchises and Healthcare Franchises.

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

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.

There's one other important factor when naming a business. Since you are opening a business in Tempe, it's very important that you make sure you will be the only Arizona company using the business name you have chosen.

Forming a Company in Tempe, Arizona

A critical step is ensuring that your business is formed as a legal entity that is separate from its owners. The biggest 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 traditional C-corporation, a Limited Liability Company (LLC), or an S-corporation.

Incorporating is a very common way to legally create a business entity. Of course, you have to decide which type of corporation to form and where to incorporate. If you are starting a business in Arizona, it doesn't mean you are required to incorporate in Arizona. In fact, you can incorporate in the state of your choosing. However, if you do incorporate in another state, you'll have to register as a foreign corporation in your home state.

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 Subchapter S Corporations. You should also consider getting professional assistance from your business lawyer. Finally, if you are starting a business in Tempe, Arizona, our information on Incorporating in Arizona may be a useful resource if you decide to incorporate in Arizona.

The Role of the Business Plan

Having a business plan is essential in laying a solid foundation for your business success. Simply put, a business plan is a written description of the future you envision for your business. Not having a business plan makes you more prone to becoming a business failure statistic.

To learn more about business plans, read Business Plan Outsourcing. You can also get free counseling sessions provided by your local SCORE chapter in Arizona.

Where to Get Money to Start a Company

Finding the funds to fuel the growth of your Tempe 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.

On the bright side, this site contains dozens of articles on raising money, including one we recommend entitled Bank Credit Lines.

For Tempe entrepreneurs who want to raise money for a new venture, we have assembled a List of Arizona Angel Investors and our List of Arizona Venture Capital Firms.

Improving Your Entrepreneurial Skillset

Good business owners recognize that they don't know everything.

With your business being located in Tempe, Arizona, you will want to take advantage of the learning programs at local Arizona educational institutions. We also suggest you look into Tempe networking organizations.

Some Interesting Tempe Entrepreneurs

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

Next Steps

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

From this point on, you control your own destiny.

We are here to help Tempe businesses to be successful. We believe entrepreneurship is an amazing engine for job creation in Tempe, neighborhood development and overall economic health.

More Entrepreneurial Resources for Starting a Business in Tempe, Arizona

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

  • Resources for Tempe, Arizona Entrepreneurs - Browse a variety of resources we've collected to assist Tempe entrepreneurs.
  • Arizona Entrepreneurial Resources - We've gathered state-level entrepreneurial resources to help new entrepreneurs who are based in Arizona.
  • Arizona Small Business Development Center - Arizona’s Small Business Development Center Network is an innovative partnership between the state’s ten community college districts and the U.S. Small Business Administration. The network is the largest and most accessible source of assistance to Arizona businesses with fewer than 200 employees.

Starting-a-Business Guides for Other Cities in Arizona

Starting a Business in Sun Lakes
Starting a Business in Tucson

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

 

 

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