Arizona: 2026 Business Market Risk & Industry Survival
Rank #35 of 51 state markets. 10 industries tracked. Population: 7,151,502.
Arizona ranks #35 out of 51 state markets by average entry risk (46.3). Construction carries the lowest risk at 38.6 (Moderate), while Finance and Insurance is the most challenging at 52.6 (Elevated). The 14.0-point spread signals moderate variation across sectors. Healthcare and Social Assistance is the largest tracked employer with 462,596 jobs.
Arizona: 46.3 Average Entry Risk
Arizona at a Glance
Best Industries for New Entrants in Arizona
Industries with the lowest entry risk in Arizona.
Entry Risk by Industry in Arizona
Compare market entry conditions across industries in Arizona. Rank indicates position vs. all 50 states.
Arizona Industry Data: 173,271 Establishments
| Industry | Entry Risk | Rank | Establishments | Employment | Avg Wage |
|---|---|---|---|---|---|
| Construction NAICS 23 | 38.6 | #16/51 | 18,417 | 226,684 | $79,419 |
| Professional, Scientific, and Technical Services NAICS 54 | 41.2 | #28/51 | 39,539 | 177,067 | $104,689 |
| Healthcare and Social Assistance NAICS 62 | 44.1 | #32/51 | 22,724 | 462,596 | $67,275 |
| Retail Trade NAICS 44-45 | 44.9 | #32/51 | 17,270 | 345,178 | $46,521 |
| Other Services NAICS 81 | 46.0 | #30/51 | 13,988 | 87,478 | $52,671 |
| Accommodation and Food Services NAICS 72 | 46.9 | #40/51 | 13,944 | 310,498 | $31,316 |
| Administrative and Support Services NAICS 56 | 47.6 | #43/51 | 14,713 | 245,123 | $56,631 |
| Information NAICS 51 | 49.2 | #41/51 | 5,724 | 49,339 | $124,582 |
| Real Estate and Rental and Leasing NAICS 53 | 52.4 | #46/51 | 13,332 | 60,378 | $75,058 |
| Finance and Insurance NAICS 52 | 52.6 | #29/51 | 13,620 | 169,626 | $103,791 |
Largest Industries in Arizona by Employment
Metro Markets in Arizona
7 metropolitan areas with industry-level market scores. Each links to its most favorable industry.
How Arizona Compares to Neighboring States
Average entry risk across all tracked industries. Lower scores indicate better conditions for new businesses.
| State | Avg Entry Risk | vs AZ |
|---|---|---|
| Arizona | 46.3 | — |
| Utah | 42.7 | -3.6 |
| New Mexico | 47.2 | +0.9 |
| Nevada | 49.3 | +3.0 |
| Colorado | 50.1 | +3.8 |
| California | 50.4 | +4.1 |
Arizona: Frequently Asked Questions
2026 state-level data answers to common business-formation questions.
What is Arizona's overall business entry risk score for 2026?
Arizona averages 46.3 across 10 tracked industries, ranking #35 of 51 state markets. Lower scores indicate more favorable conditions; the national average sits near 44.
What is the easiest industry to start a business in within Arizona?
Construction carries the lowest entry risk in Arizona at 38.6 (Moderate). It employs 226,684 workers across 18,417 establishments.
Which sector is the most challenging for new businesses in Arizona?
Finance and Insurance posts Arizona's highest entry risk at 52.6 (Elevated). New entrants in this sector face conditions that favor incumbents.
How many businesses operate in Arizona?
173,271 business establishments are tracked across 10 industries in Arizona, employing 2,133,967 workers in 2026 data releases from the U.S. Census BDS and BLS QCEW.
What is Arizona's largest industry by employment?
Healthcare and Social Assistance is the largest tracked employer in Arizona with 462,596 jobs across 22,724 establishments and an entry risk score of 44.1.