INSIDE RURAL COLORADO'S TECH STARTUP SCENE
HOW SUCCESSFUL TECH STARTUPS ARE LAUNCHING IN RURAL COLORADO
Did you know that Colorado is one of the top states for the tech industry? Over 11,000 tech companies are headquartered here, from niche firms to global juggernauts like IBM and AT&T. Silicon Valley has taken notice of talent pool and quality of life, too, with 60 of the biggest tech companies establishing Colorado-based offices (as of 2020). Amazon, Apple, Google, and more have teams in the state.
While the Front Range is home to a large percentage of our tech companies and offices, there is a thriving tech scene emerging in the state’s rural communities.
Tech founders and employees are venturing out of the Denver/Boulder metropolis to discover they can find success and a fantastic lifestyle in small towns.
“Rural communities in Colorado have shown time and again that they have the complete package: determined entrepreneurs, scalable ideas, supportive mentors, and active investors.”
– Elizabeth Marsh, Executive Director of SCAPE (Durango)
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COLORADO'S GROWING REPUTATION FOR RURAL TECH INNOVATION
Like so many other aspects of life, the pandemic accelerated a trend of technology founders and workers moving to rural Colorado communities.
Verified, growth data for rural communities doesn’t exist, so that trend spotting is anecdotal. We do, however, have statewide statistics that substantiate the assertion.
First is the growth of the tech sector in the State. According to the 2022 Colorado Tech Industry Report (published February 2023), the tech sector:
- Accounts for 18% of the State’s gross state product,
- Accounts for 9% overall State employment,
- Added 9,680 jobs since 2019 (through end of 2022), which is a 19% increase and the 7th fastest growth rate for tech jobs in the country, and
- Is predicted to grow by 11% over the next five years, which would be the 6th fastest growth rate among all 50 states.
Second is the persistence and resilience of remote work in the State. At 37%, Colorado has the highest partial to full-time remote work rate in the U.S. Admittedly, the high rates of remote work in Denver and Boulder skew this statistic toward the Front Range. At 32%, Boulder, Colorado, has the country’s highest work-from-home rate (source: Axios).
Add to those statistics the increasing number of founders who’ve chosen to live and work in rural areas, and it’s fair to extrapolate that rural areas are indeed experiencing growth in tech sector opportunities.
Traditional, common economic drivers in rural Colorado communities are tourism, agriculture, and service and retail jobs. With little physical infrastructure needed beyond a fast internet connection, the tech sector is adding a diversity of opportunities to these economies.
Bottom line: Rural communities have long been home to technology founders and high-level staff who had the freedom to work remotely. The pandemic expanded this opportunity to most tech-related workers–at first by necessity, then with intention.
Many rural Colorado towns have capitalized on the statewide tech boom and are working to build a supportive ecosystem for tech companies and their teams.
“Getting involved in tech-based economic development helps to level the playing field for people in rural America. Technology is a field where so much innovation, creativity and wealth is being created, it’s only right that people everywhere–not just in major metro cities–have the opportunity to participate and be creators of the products, and the kind of future that they want to see and interact with.”
– Molly Pyle, Head of Entrepreneurship, Center on Rural Innovation
ADVANTAGES OF RURAL COLORADO FOR TECH STARTUPS
“The ingredients for innovation are an ambitious network, access to unique ideas, and space – to play, think, recharge, reflect, and execute. Rural Colorado has all of these in spades, making for an impressive breeding ground for business and innovation.”
– Jamie Finney, Partner at Greater Colorado Venture Fund
Rural Colorado can challenge any urban area for lifestyle and caliber of remote workers. Together with accelerators, mentors and investors, organizations like Startup Colorado are helping build the ecosystem for success. A few advantages to setting up shop in Rural Colorado:
Lifestyle
Lifestyle can’t be overstated when it comes to the advantages and opportunities of launching a tech startup in rural Colorado.
Smaller towns can be fantastic, active places to raise a family. They are often vibrant communities populated by people from diverse backgrounds who make an active choice to live where they do. And, of course, access to outdoor recreation is a massive advantage to balance the demands of working in the tech industry.
Remote Work
Despite a push to return to the office in some companies, remote work isn’t going anywhere. There is a wealth of talented individuals who are prioritizing lifestyle on equal par with career growth. Thanks to remote opportunities, those two objectives can now be fulfilled anywhere and at the same time. And that requires remote work opportunities.
The tech industry paved the way for remote work in other industries. But as the tides shift, companies seeking top quality talent need to continue to post remote-compatible job listings. It may require a shifting mindset for operations, but the results can be lower capital investment, higher productivity, and happier employees. It also opens the door to founders staying in the communities they love.
Cloud-based marketplace company Pax8 set up its first remote work hub at the Emergent Campus in Florence, Colo., and continues to hire largely for remote jobs. In doing so, it accesses a larger pool of qualified applicants and provides equal access to career growth for rural Coloradans and beyond.
Companies interested in hiring remotely can be proactive about helping their remote employees integrate into the local community.
Cloud-based marketplace company Pax8 set up its first remote work hub at the Emergent Campus in Florence, Colo., and continues to hire largely for remote jobs. In doing so, it accesses a larger pool of qualified applicants and provides equal access to career growth for rural Coloradans and beyond.
Companies interested in hiring remotely can be proactive about helping their remote employees integrate into the local community.