Alabama ranked No. 8 overall on Area Development magazine’s list of Top States for Doing Business.
On the 2025 list, the state also was top-ranked in the Favorable Property Tax category and scored in the top 10 in eight other categories: Third in Overall Cost of Doing Business and Favorable Regulatory Framework; fourth in Business Incentive Programs; sixth in Cooperative Local and State Government and Site Readiness Programs; seventh in Workforce Training Programs and Availability of Sites; and ninth in Energy Cost.
“Alabama’s high ranking in this respected national survey confirms what we already know: Our state is open for business and built for success,” said Gov. Kay Ivey. “By keeping taxes low, cutting red tape and investing in our people and infrastructure, we’ve created an environment where companies can thrive and communities can grow.”
Alabama also ranked No. 8 on last year’s list.
“This recognition reflects Alabama’s ongoing commitment to fostering a pro-growth, pro-business climate,” said Commerce Secretary Ellen McNair. “From our competitive incentives to our nationally respected workforce training programs, Alabama continues to prove that we’re not just participating in the race for economic growth – we’re leading it.”
