Why don't they have many IT Software or Consulting Companies or Businesses in the State of New Hampshire ?

Question

They say there is a Zero % Income tax in NH .But instead I find many people opening up businesses in States like MA,TX,VA,NC,CA,NJ,NY,FL,GA,IN,KY,IL,NE ,...Etc....etc.... and where some of these states have Income taxes. Why is NH not a favorite or what is the downside or disadvantage of starting an IT Software or Consulting business like an Inc.,or a LLC. in the State of New Hampshire

* I think any Employee who Consults would be attracted to the Fact that he will not have to pay any Income Taxes if his Employer/Company is in the State of New Hampshire

Answer 1

I can't speak for all, but I would imagine it is a matter of employee base, and possibly timing.  Our software company is located in Nebraska because that is where the people who own it started it.  It stays here because of the strong technological base in the community.