Why startups are leaving Silicon Valley despite having a great career scope here? The reasons are many. There are many startups that moved in from their home countries and cities just to be in Silicon Valley.
Now that the times have significantly changed, they are thinking of immigrating back to their own or their desired place. But the ones residing in Silicon Valley are not actually shifting out. In fact, the evidence shows that the startups are not coming to Silicon Valley as much as they used to earlier.
Due to digital evolution, startups are beginning to start from where they are.
Here we have tried to mention a few genuine reasons that are making startups leave Silicon Valley.
Reasons why startups are leaving Silicon Valley
Besides the fact that Silicon Valley is well known for businesses, at this point of the time, there is no significance for startups to startup in Silicon Valley. There are several reasons for startups who dreamt to be in Silicon Valley to leave the same.
Investors have started funding startup elsewhere around the world
Earlier, investors were majorly interested in investing in a startup in Silicon Valley. These days the scene has totally changed. Investors are no longer interested in mere location but the startup idea.
If investors are thinking that your startup idea has potential, they won’t see what your location is. Such investors are investing around the world.
So now, considering the fact that investors are ready and willing to invest anywhere in the world. Or from across any corner of the world, there is absolutely no reason to shift in Silicon Valley.
Remote Working has now made people to work from anywhere with ease – Thanks to Technology
When people are getting actual access to Silicon Valley from the comfort of their home, why would they insist on coming here! There are many employees working for the startups in Silicon Valley from different parts of the world.
People used to relocate to Silicon Valley just for working with the company. But the days have arrived, where to work with the company, you don’t need to be in the company.
Hence, the startups are now declining to stay in Silicon Valley and are staying in their own comfortable spaces.
Co-working prices are high in Silicon Valley
Startups usually start their company in a co-working space. And these spaces are extremely high in prices in Silicon Valley. Startups are already needing to save on their bucks as much as they could, despite having strong funding.
Hence, affording a coworking space in Silicon Valley is not a startup thing. It is better to look for some alternative if it is possible.
Expenses are Exhausting in Silicon Valley
The lifestyle of Silicon Valley is not at all budget-friendly. And startups are looking for more budget-friendly options.
Everything including the rent, groceries, vegetables, and other routine expenses is higher than in other suburb regions.
Startups looking to save on their expenses, should initially avoid Silicon Valley.
Health problems
People who migrate here from elsewhere may face severe health problems. Here, the environment is highly techno-savvy. You will have all the facilities and amenities that are top-notch.
But when it comes to a healthy environment, and a healthy lifestyle, you will miss nature and natural lifestyle tremendously.
Hence, many people chose to live in a healthy environment where they could breathe the breeze.
Preferring Outskirt locations
As expenses are high, startup founders think to opt for outskirts locations for their businesses.
This helps them to save on routine expenses and office spaces and also gives them easy access to the city.
Outside People are not willing to settle here
People who have emigrated here, prefer not to live here for long. They don’t always find the environment suitable for them.
There are many people who have stayed here permanently. But as of now, when the surroundings and technology are allowing us to work remotely, people choose to do so.
Bottom Line
There are many reasons why startups are leaving silicon valley. But it is also true that every startup dreams to have an office in Silicon Valley. In today’s world, they are dreaming of a virtual office, though! But still, the desire is desire at last.