New York’s expensive startup initiative only created 76 jobs
When Governor Andrew Cuomo launched Start-Up New York in late 2013, his office called it a “game-changing” initiative that promised “a windfall” of innovation. The program established 356 tax-free…
Having spent a week in New York I wonder if the real incentive shouldn’t have been affordable housing for young tech workers (as opposed to tax breaks for the company). The biggest expense for a startup will be employees; if you could get a break on housing in a desirable city you would easily help those small, struggling companies hire vs. going to larger companies elsewhere.
I don’t know how much this campaign cost but if you assumed renting an apartment in New York was $5000/month (not a great apartment mind you) then you could help 466 aspiring tech workers with a free apartment just for the $28m cost of the ad campaign. Seems like far more bang for the buck and certainly something other aspiring tech hubs should do (Seattle? Portland? Bend? Are you listening and trying to be different?). Imagine competing for college grads and offering them a decent salary and a free apartment in New York.