NAICS 54

Professional, Scientific, and Technical Services in California: 2026 Market Risk Report

Entry risk 51.2 (Elevated), ranked #48 of 51 states. 183,554 establishments, 1,408,800 jobs.

Entry Risk Assessment

Entry Risk Score 51.2
Low 0-30
Moderate 30-42
Elevated 42-55
High 55+
Elevated

ⓘ Lower is better. Relative to national professional, scientific, and technical services average.

Despite ranking top 10 in growth momentum, California presents structural entry friction. Wage pressure (64.4) and an overall risk score of 51.2 indicate that top-line growth may not translate to favorable unit economics for new establishments.

5-Year Firm Retention
5.9%
Percentile within industry
Rank #49 of 51 states
Growth Momentum
↑ 61.5
Scale of 0-100
Rank #10 of 51 states
Establishment Density
4.5
vs. national average
Rank #20 of 51 states
Market Volatility
12.8
Lower is more stable
Wage Pressure Index
64.4
Labor cost pressure

183,554 Establishments in California

183,554
Establishments
+1.6% YoY
1,408,800
Total Employment
-0.4% YoY
$167,284
Average Annual Wage
+8.5% YoY

California vs National Professional, Scientific, and Technical Services Average

How California's professional, scientific, and technical services market compares to the national average across all 51 states.

Metric CA National Difference
Entry Risk Score 51.2 40.5 +10.7
5-Year Retention 5.9% 51.0% -45.1
Growth Momentum 61.5 37.2 +24.3
Market Volatility 12.8 21.8 -9.1
Establishment Density 4.5 12.6 -8.1
Wage Pressure 64.4 34.0 +30.4

Green = favorable vs national average. Red = less favorable. Metrics are relative within professional, scientific, and technical services only.

California Ranks #48 of 51 for Professional, Scientific, and Technical Services

California ranks #48 out of 51 states for professional, scientific, and technical services market entry conditions.

Professional, Scientific, and Technical Services Entry Risk by State

Rank State Risk Score Classification
#1 Alabama 29.4 low
#2 Iowa 31.1 moderate
#3 Nebraska 31.6 moderate
#4 South Dakota 32.9 moderate
#5 Mississippi 33.4 moderate
#48 California You 51.2 elevated
Entry Risk by State Alaska — 38.0 · #21 Alabama — 29.4 · #1 Arkansas — 37.3 · #18 Arizona — 41.2 · #28 California — 51.2 · #48 Colorado — 46.4 · #46 Connecticut — 45.1 · #41 District of Columbia — 44.8 · #40 Delaware — 38.9 · #24 Florida — 38.2 · #22 Georgia — 43.5 · #38 Hawaii — 33.8 · #7 Iowa — 31.1 · #2 Idaho — 34.9 · #11 Illinois — 42.6 · #33 Indiana — 56.7 · #50 Kansas — 44.7 · #39 Kentucky — 35.7 · #14 Louisiana — 36.4 · #15 Massachusetts — 41.5 · #29 Maryland — 38.4 · #23 Maine — 40.2 · #26 Michigan — 41.2 · #27 Minnesota — 49.2 · #47 Missouri — 45.5 · #45 Mississippi — 33.4 · #5 Montana — 43.4 · #37 North Carolina — 37.8 · #20 North Dakota — 34.8 · #10 Nebraska — 31.6 · #3 New Hampshire — 37.5 · #19 New Jersey — 45.4 · #44 New Mexico — 59.3 · #51 Nevada — 42.6 · #34 New York — 52.4 · #49 Ohio — 36.9 · #17 Oklahoma — 45.4 · #43 Oregon — 45.2 · #42 Pennsylvania — 33.7 · #6 Rhode Island — 35.3 · #13 South Carolina — 34.7 · #9 South Dakota — 32.9 · #4 Tennessee — 39.4 · #25 Texas — 42.2 · #30 Utah — 42.2 · #31 Virginia — 42.3 · #32 Vermont — 43.0 · #35 Washington — 43.3 · #36 Wisconsin — 35.0 · #12 West Virginia — 34.4 · #8 Wyoming — 36.5 · #16
Low Moderate Elevated High

Tap a state to view details

About Entry Risk Score: A weighted composite of firm retention, growth momentum, market volatility, establishment density, and wage pressure. Lower scores indicate more favorable conditions. Read full methodology →

Data Sources

Data period: 2024. Last updated: February 2026. Next refresh expected: Q2 2026 (BLS QCEW update).

Compare to Another State

How does California stack up against other states for professional, scientific, and technical services?

Select a state above to see the comparison

Professional, Scientific, and Technical Services in Neighboring States

How California's professional, scientific, and technical services market compares to bordering states.

Arizona 41.2 #28/51 Nevada 42.6 #34/51 Oregon 45.2 #42/51

Other Industries in California

Construction → Healthcare and Social Assistance → Retail Trade → Accommodation and Food Services → Finance and Insurance → Real Estate and Rental and Leasing → Administrative and Support Services → Information → Other Services →