California
California ranks second in the nation for new business creation
Trump won’t rule out recession as US tariffs begin
President Trump refused to rule out the possibility that his economic policies, including aggressive tariffs, could lead to a recession. In an interview with Fox News, he acknowledged a “period of transition” but insisted that his policies would ultimately benefit the economy.
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A new business started nearly every minute of the day in California last year, according to a new report.
The Golden State received 43,265 new business applications per month—or 59 per hour—in 2024, according to Switch On Business, which is equivalent to almost one new business per minute.
But, despite the impressive figure, the study authors, who analyzed business application and census data, found that it was 6.9% fewer applications than in 2023.
Florida received 72 new business applications per hour in 2024—the most of any state, making it the hottest state for startups, according to the study, while West Virginia received just 855new business applications per 100,000 residents in 2024, the lowest rate of any state.
America saw a record number of new businesses in last four years
The previous four-year period saw a record 21 million new businesses launched in the United States, according to January’s end-of-term report by former SBA Administrator Isabel Casillas Guzman,
To compare, in 2021, Americans applied to start 5.4 million new businesses—more than two-thirds higher than the annual average of 3.2 million new business applications per year in the five years prior to the start of the pandemic, according to the SBA.
In 2023, some 1.8 million of the 5.5 million new businesses launched with plans to hire workers, according to Switch On Business findings.
California has more small businesses than any other state
California has more small businesses than any other state, employing seven million people.
The state also grabs the lion’s share of America’s venture capital, according to Switch On Business analysis, with California start-ups netting 59.25% of all capital raised nationwide in the first quarter of 2024.
Wyoming is a hot spot for new business creation
Wyoming received 10,133 new business applications per 100,000 residents in 2024—the highest rate per capita of all fifty states, according to Switch On Business. However, report analysts found that people outside the state made many business applications.
To compare, California submitted 1,317 business applications per 100,000 residents in 2024.
“[Wyoming’s] business-friendly tax structure, minimal regulatory requirements, and strong privacy laws have made it a preferred destination for business registration, especially for non-U.S. residents and out-of-state entrepreneurs,” according to Start in Wyoming.
Top 10 states with the most new businesses in 2024
States with the most new business applications submitted in 2024, according to Switch On Business analysis:
- Florida (634,321)
- California (519,182)
- Texas (490,063)
- New York (292,292)
- Georgia (243,088)
- Illinois (171,878)
- North Carolina (163,499)
- New Jersey (153,350)
- Pennsylvania (146,789)
- Ohio (145,512)
California
California drops lawsuit seeking to reinstate federal funding for the state’s bullet train
OAKLAND, Calif. — California this week dismissed a lawsuit officials filed against the Trump administration over the federal government’s withdrawing of $4 billion for the state’s long-delayed high-speed rail project.
The U.S. Transportation Department in July slashed funds for the bullet train aimed at connecting San Francisco to Los Angeles. The Trump administration has said the California High-Speed Rail Authority had “ no viable plan ” to complete a large segment of project in the state’s farm-rich Central Valley.
The authority quickly filed a lawsuit, with Democratic. Gov. Gavin Newsom calling the federal government’s decision “a political stunt to punish California.”
The authority said this week it would focus on other funding sources to complete the project estimated to cost more than $100 billion.
“This action reflects the State’s assessment that the federal government is not a reliable, constructive, or trustworthy partner in advancing high-speed rail in California,” an authority spokesperson said in a statement.
The Transportation Department did not respond to a request for comment on California dismissing its lawsuit. President Donald Trump and Transportation Secretary Sean Duffy have both previously slammed the project as a “train to nowhere.”
“The Railroad we were promised still does not exist, and never will,” Trump wrote on Truth Social in July. “This project was Severely Overpriced, Overregulated, and NEVER DELIVERED.”
The authority’s decision to drop the lawsuit comes as the group seeks private investors to support the bullet train. The project recently secured $1 billion in annual funding from the state’s cap-and-trade program through 2045.
The program sets a declining limit on total planet-warming emissions in the state from major polluters. Companies must reduce their emissions, buy allowances from the state or other businesses, or fund projects aimed at offsetting their emissions. Money the state receives from the sales funds climate-change mitigation, affordable housing and transportation projects, as well as utility bill credits for Californians.
The rail authority said its shift in focus away from federal funding offered “a new opportunity.”
“Moving forward without the Trump administration’s involvement allows the Authority to pursue proven global best practices used successfully by modern high-speed rail systems around the world,” a spokesperson said in a statement.
California
California rain may ease but more mudslides, flooding possible, forecasters say
A strong storm system that brought relentless winds, rain and snowfall to California this week was expected to ease Friday, but there was still a risk of high surf along the coast, flash flooding near Los Angeles and avalanches in the Sierra Nevada.
Waves near the San Francisco Bay Area could reach up to 25 feet Friday, parts of Southern California were at risk of flooding, and avalanches could hit the Lake Tahoe area, officials warned. Residents were told to be ready to evacuate the mountain town of Wrightwood about 80 miles northeast of Los Angeles because of mudslides.
Atmospheric rivers carried massive plumes of moisture from the tropics during one of the busiest travel weeks of the year. The storms were blamed for at least two deaths earlier in the week. Some 70,000 homes and businesses had no power overnight, according to Find Energy.
The system brought the wettest Christmas season to downtown Los Angeles in 54 years, the National Weather Service said.
CBS Los Angeles points out that the National Weather Service said, “The flooding threat will be exacerbated … due to the super saturation of all of the area. “Any rainfall that occurs will immediately turn to runoff.”
Roads in the 5,000-resident town of Wrightwood were covered in rocks, debris and thick mud on Thursday. With power out, a gas station and coffee shop running on generators were serving as hubs for residents and visitors.
With more rain on the way, more than 150 firefighters were stationed in the area, said San Bernardino County Fire spokesman Shawn Millerick.
“We’re ready,” he said. “It’s all hands on deck at this point.”
A falling tree killed a San Diego man Wednesday, fire officials confirmed to the CBS affiliate there, KFMB-TV. Farther north, a Sacramento sheriff’s deputy died in what appeared to be a weather-related crash.
Areas along the coast, including Malibu, were under a flood watch until Friday afternoon, and wind and flood advisories were issued for much of the Sacramento Valley and the San Francisco Bay Area.
Southern California typically gets half an inch to 1 inch of rain this time of year, but this week many areas could see between 4 and 8 inches, with even more in the mountains, National Weather Service meteorologist Mike Wofford said.
More wind and heavy snow were expected in the Sierra Nevada, where gusts created “near white-out conditions” and made mountain pass travel treacherous.
Gov. Gavin Newsom declared emergencies in six counties to allow state assistance.
The state deployed resources and first responders to several coastal and Southern California counties, and the California National Guard was on standby.
California
Christmas storm continues to slam Southern California, with 3 people killed in floodwaters
A record-setting Christmas storm battering Southern California brought rushing floods that have already killed at least three people.
Water and debris, along with mudslides, have led to evacuation orders and water rescues as the deluge slams regions still recovering from wildfires earlier this year.
Three people have been killed, according to the Los Angeles Times.
Los Angeles Mayor Karen Bass declared an emergency as of Wednesday, including flash flood warnings and evacuation orders. Road closures reported by the LA County Sheriff have triggered travel delays across the region.
The San Bernardino Sheriff’s Department issued evacuation orders for communities up until the Los Angeles county line on Wednesday evening, as the area is slammed with mudslides and rushing water, worsened by the burn scars from earlier wildfires.
Evacuation orders were also issued for the Palisades, Sunset, Hurst, and Ridgewood areas, with the LAPD personally knocking on doors of vulnerable homes.
Officials told The Associated Press that 380 homes were given evacuation orders.
As of Christmas morning, the sky has cleared slightly, allowing for officials to prepare for the next bout of rain expected Thursday afternoon.
“It’s blue skies, no rain, so we’re using this time to reinforce our troops in the area to get ready for the next band of rain we’re expecting this afternoon and into tonight,” San Bernardino County Fire Department Public Information Officer Christopher Prater told The New York Post at around 9:30 a.m. local time.
Prater said no rescues were conducted overnight, but firefighters continue to patrol the San Debrardino area. Crews are continuing to use equipment to try to clear the roads, taking advantage of a break in the storm.
Flash flood warnings urging residents to get to higher ground and not to travel in flood waters have been issued by the National Weather Service for most of Southern California. Warnings were issued for Santa Barbara, Malibu and Topanga.
The Los Angeles County Fire Department rescued a 50-year-old man, alone with his cat and his dog, from the hood of a car in the Sunland-Tujunga neighborhood, and issued an evacuation order for the area on Wednesday evening.
The record-setting storm began on Christmas Eve and is predicted to dump many months’ worth of rain over just a few days, according to Tom Kines, Senior Meteorologist at Accuweather.
“The good news is once we get past tomorrow, the rain will definitely ease up out there, and there will be a stretch of sunnier and dry weather for several days,” Kines said.
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