When Deli Star Corp. executives announced in July 2021 that they would locate their company’s new headquarters in St. Louis, Missouri, the news only confirmed what many site selectors already know: Missouri is a magnet for jobs.
Deli Star is bringing 475 jobs and nearly $100 million in investment to the Show Me State with its a new 110,000 square foot facility.
The firm conducted a comprehensive search across several states before choosing to locate in the Greater St. Louis region. The company specifically cited Missouri’s highly skilled and available talent pool, low business costs and exceptional quality of life.
It is not surprising that Deli Star executives cited these factors. Some of the most common questions asked by site selectors and corporate executives pertain to availability of workers, sites or buildings, and the business costs and tax climate found in the state.
On each of these counts, Missouri stacks up very competitively with other locations. According to the Tax Foundation, Missouri boasts the No. 3 Best Corporate Tax Index in the nation, No. 7 Best Unemployment Insurance Tax Index, No. 8 Best Property Tax Index, and No. 12 Best Overall Tax Climate for 2021. In addition, in the Tax Foundation’s 2021 Location Matters study, Missouri was ranked as the 10th best state for new business and the 4th best for labor-intensive manufacturing facilities.
Missouri also excels in other areas. It ranks No. 8 in overall housing affordability, with a median home value of $168,000 and a cost of living index of 87.1.
Process of Continuous Improvement
And the state keeps getting better. Just last year, Missouri’s corporate income tax rate dropped to 4%, making it one of the most tax-friendly states in the U.S. Missouri also moved to a single sales factor, market-based corporate income tax apportionment model based only on sales. It’s also worth noting that Missouri has not adopted worldwide or nationwide unitary tax assessment in computing multinational corporate income tax liability.
On energy costs, Missouri is extremely affordable as well. Commercial electricity costs are nearly 19% lower than the U.S. average, at 8.77 cents/kWh, and residential electricity costs are more than 19% lower than the U.S. average, at 10.90 cents/kWh.
As the business climate of Missouri has improved, so has its job market. The Missouri Economic Research and Information Center recently reported that the Missouri labor market added 130,000 jobs in the past year.
Check out the full article from the Site Selection team here.