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In simple words, a startup is an idea for an interesting project that needs financial investment from investors to get off the ground and grow. The notion first appeared in the world-famous business magazine Forbes as early as August 1976, but was consolidated and became widespread only in the 1990s. As a rule, a startup at the initial stage is organized by a small team, which consists of two to five like-minded people. After the start of financing and active work, this group usually expands.

A startup has several features that distinguish it from a small business.

Feature Designation
Uniqueness Any startup must carry some kind of original idea, offer something new or ways to improve an existing product.
Scope A startupper doesn’t box himself in and strives to win as much market share as possible.
Financing Personal savings are usually sufficient to start a small business, a startup will not do without investment.


Growth rate The startupper must plan for the rapid development of his project, preferably on a global scale.
Profit It is necessary to be prepared for the fact that a startup project may begin to bring in its first income only in a year. The priority is always to create a new product to win a niche in the market.

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If we evaluate today’s trends, even though Europe and Asia are confidently moving forward and improving their economies by leaps and bounds, the startup system in the United States of America is still ahead.

After careful analysis and checks, experts say that Silicon Valley and New York City take first and second place among favorable regions for startups and are not going to give up their positions in the near future. Six other U.S. cities were also included in the TOP:

  • Chicago;
  • Austin;
  • Boston;
  • Los Angeles;
  • Seattle;
  • Washington

A Brief Look At Startups In The USA

Even despite the global crisis and the long-running pandemic that has affected every country, 2021 proved to be a fairly successful and profitable year for the USA startup market. There are more than 10,000 incubators and gas pedals worldwide. As much as 15% of them are in the United States, which is a lot compared to the rest of the world.

The main feature of the United States is that it is very favourable for start-ups. In this country, Barack Obama made sure that there were favorable conditions for startups. The former president introduced the International Entrepreneur Parole Program, which temporarily expired in 2018. But in the spring of 2021, the program went back into effect. The Entrepreneur Parole Program applies if a startup has received money from an American investor or a government grant.

In the United States, institutions of higher education play a special role in supporting startups. Universities very often support their students and invest finances in startup projects. This opens the door to big business for them and allows students to be financially independent at a young age.

Geographic Location Features

Historically, the demand for the types of startups varies from region to region in the United States. Somewhere medicine is more popular, somewhere it is artificial intelligence. You can draw some major geographic points and highlight the main types of startups:

  • Los Angeles – this city is home to the largest film studios. That is why projects connected with design, creativity and cinema are especially in demand here. The point of attraction for technology start-ups is Silicon Valley, where Stanford University is located. The same region is home to many offices of the largest IT companies;
  • New York City is the world’s largest financial center. Startups in real estate and finance are in demand here;
  • Miami is a region where fitness and healthcare projects are booming. The city has a very large diaspora of Latin Americans, so Miami is called the Hispanic financial valley;
  • Seattle is home to the headquarters of many world-famous corporations such as Microsoft and Amazon. If we talk about the biggest and most popular startup projects, Starbucks grew out of Seattle. Startups working with retail and e-commerce are in demand in the region today.

Key Technology Industries In The USA Startup Market

The number of business companies in the United States is increasing every year. This significantly improves the country’s economy and the way of life of its residents. If you compare it to other countries, for example, in the UK the growth of projects in one year was only 9%, in China it did not change, and in the USA – it increased by as much as 24%. Every year, this trend is improving, even despite the difficult situation around the world.

Considering the most relevant types of startups, it is worth paying attention to the sphere of innovative technologies, because it is the sphere that will be especially in demand in 2022.

EdTech startups

Because most educational institutions have moved to online learning because of the pandemic, such startups became incredibly popular last year and will stay relevant this year.

It was the pandemic that gave a powerful impetus for change in education and the introduction of more and more innovative technologies into this field.

Advertising technology

In the United States and other countries, the business of creators of blogs, photos, media, audio content, and curators of communities of interest is actively developing. This trend is no longer new, but it will be relevant in 2022. For example, in 2021, startups in this area received a record $1.3 billion in funding.


In 2022 and last year, the main investor interest focused on HealthTech and biotechnology projects. This is due to the fact that medical technology developments have become incredibly in demand because of the COVID-19 pandemic. By implementing their original ideas, startuppers do not only plan to make money, but also want to improve the way of life of other people. Such desires cannot go unnoticed by businessmen.

Artificial intelligence

These startups can be very different, but their main function is to simplify the life of humans as much as possible. Investments in projects based on AI and neural networks have been popular for a number of years.

Game industry

Not only video games are especially in demand today, but also online casinos USA. These virtual clubs allow everyone to enjoy their favorite game of chance even without leaving home, being on the road or on a lunch break at work. Every year the number of online casinos is increasing.

online casino

Online sales

Online commerce and the creation of more and more marketplaces is also what the pandemic has led to. To avoid leaving their homes, people have begun to order even basic goods from online stores. That is why investors are putting more and more money into such startups and interesting ideas every year.

Mobile app development

As people use mobile phones more and more and give up personal computers more and more, app development startups will be incredibly in demand in 2022. The main thing is to come up with an original idea that will not only be interesting, but will also be beneficial to mankind, then you can get a good investment.

Short Conclusion

To sum up briefly, it can be said that the startup market in the United States has more than 200 different sought-after niches. You can become a successful businessman in any of them. The main thing is to correctly determine your own interests, the demand for the project in the market, to study the competition and assemble a strong team on which you can rely at any time.

The United States is a country that invests quite well in startups, which contributes to the active development of the economy and improves the standard of life of its citizens.

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