Originally published in 2018. Updated in 2025 as part of the Personal Branding Blog relaunch under Brown Brothers Media.
When it comes to starting up a new technology business, the first place that comes to mind is Silicon Valley, located in San Francisco, California.
However, the rise of living costs and real estate prices is giving entrepreneurs a hard time because they already have a limited budget.
For this reason, entrepreneurs should not forget that there are many alternative locations to found a new business that are much cheaper than Silicon Valley.
Below you can find the best five cities besides San Francisco to launch a startup.
Boston, Massachusetts, USA
Boston is the east coast version of San Francisco. It has a highly educated population because it hosts more than 60 universities.
Some of the most prestigious universities such as MIT and Harvard are located in Boston, which makes finding the necessary talent easier.
Both Bill Gates and Mark Zuckerberg began their studies in Boston, setting the stage for their entrepreneurial journeys.
Berlin, Germany
Berlin is one of the fastest growing startup ecosystems around the world.
Many startups are headquartered in Berlin, and there are numerous accelerator programs and incubator centers to help entrepreneurs grow their businesses.
It is in the middle of Europe, and Germany has a very strong economy.
Therefore, if an entrepreneur is targeting business growth in Europe, Berlin is the place to be.
Bangalore, India
Bangalore hosts thousands of active startups. It is one of India’s leading tech cities since the 1970s and offers low labor costs along with great technical talent.
There are plenty of early adopters in Bangalore, so startups can showcase their MVP or finished products easily and find active users.
It also has strong investor potential.
Istanbul, Turkey
Istanbul is the bridge between Europe and Asia. It is a very large city with a population of 15 million people, and its population mostly consists of younger people.
Mobile device ownership and internet penetration rates are very high.
New business accelerator programs and incubator centers are opening up every year, so getting into a program to grow your business is easier.
However, it is an emerging market, so one should be ready to face the challenges of an emerging market.
Melbourne, Australia
Melbourne often competes with Sydney to be the tech city of Australia, but Melbourne has lower living and real estate costs compared to Sydney.
This makes Melbourne attractive for startup founders.
Its people are open to new ideas and innovation, which makes finding early adopters easier.
In addition, the business community is very diverse, so startup founders from any industry can try their chances in Melbourne.
This article is part of Personal Branding Blog’s evergreen archive and has been reviewed to reflect current career and personal branding best practices. Learn more about our story here.
