KC’s startup economy so-so, study says
August 3, 2015 | Bobby Burch
Kansas City for years has been making waves as an innovative community.
Launching and attracting dozens of tech ventures serving a variety of industries, the Kansas City metro’s brand as an entrepreneurial hub continues to grow. But how does it compare to other communities in the U.S.?
While focused on St. Louis, a recent report by the East-West Gateway Council of Governments aimed to answer that question. The group’s “Where We Stand” report analyzed 90 metrics such as innovation, segregation and economic opportunity.
The report looks at the top 50 cities in each category. Here are a few key findings related to innovation and startup business activity:
- Patent creation: Kansas City was granted on average 8.8 “utility patents” per 10,000 employees in 2013, giving it a No. 19 ranking in the U.S. Utility patents are issued for the invention of a new “process, machine, manufacture or composition of matter” and comprise about 90 percent of patents issued, according to the U.S. Patent and Trademark Office.
- Startup formation: Kansas City ranked as the No. 22 city for per capita startup formation, with 136.6 startups per 100,000 residents, according to the report. The U.S. average is about 130 startups per 100,000 residents.
- Venture capital investments: In 2014, Kansas City ranked as the No. 31 city for venture capital investment per employee in dollars, with about $90 per employee. For comparison, St. Louis on average had about $95 per employee (No. 28 ranking), Denver about $363 (No. 9 ranking) and San Francisco $8,002 (No. 1 ranking).
- STEM employment: In 2011, about 20.4 percent of all Kansas City jobs required science, technology, engineering or math skills, ranking it No. 28 in the nation. About 22 percent of St. Louis jobs required STEM expertise (No. 14 ranking), Austin about 22.7 percent (No. 10 ranking) and San Jose 33.2 percent (No. 1 ranking).
- High-speed Internet: About 10 percent of Kansas City’s population has access to gigabit Internet, earning it a No. 13 ranking. About 14 percent of Chicago has access to such speeds (No. 9 ranking) Salt Lake City about 40 percent (No. 4 ranking) and Providence about 64 percent (No. 1 ranking).
Featured Business
2015 Startups to Watch
stats here
Related Posts on Startland News
Entrepreneur of the Year honorees stepped through a wormhole of fate: Here’s what they found in KC
The ultra successful all share one common influence, said Peter Mallouk: luck. And for the president and CEO of Creative Planning, good fortune has revolved around Kansas City. It all started when his parents left Egypt and ended up in Brookside, he told a crowd Wednesday evening during the 39th University of Missouri-Kansas City Entrepreneur…
How UMKC’s top student entrepreneur found shelter (and a path forward) as a founder
Shapree Marshall’s path began with shared struggle, re-routed to survival — and ultimately made a stop Wednesday evening at H&R Block’s World Headquarters where the startup founder was honored as UMKC’s 2025 Student Entrepreneur of the Year. “My journey into entrepreneurship did not begin with a business plan or a class project,” said Marshall, founder…
First look: Made in KC’s new Union Station shop boasts all the trimmings (and World Cup timing)
An influx of holiday shoppers is just the start for Made in KC’s newly-opened store inside Union Station — positioned to take advantage of coming FIFA World Cup traveler traffic — years after the local-first retailer’s owners first envisioned making the quintessential Kansas City destination a home for one of their shops. “We’ve been wanting…
KC Tech Council reboots its visual identity, teases plans to open new downtown HQ
It’ll be new year, new look for KC Tech Council as the regional tech advocate relocates to a collaborative headquarters space in downtown Kansas City, as well as embracing a bold brand update — all coded to better reflect a modern, tech-driven ecosystem. “As KCTC powers initiatives that further establish Kansas City as a premier,…