(STL.News) Dubbed the “entrepreneurial renaissance,” St. Louis generates over 6,000 new businesses annually (on average)—a number that employs more than 50,000 people (Greater Louis Inc.). It’s a massive metropolitan area with 22 companies listed on the Fortune 1000, Forbes Global 2000, and Forbes list of America’s Largest Private Companies, all of which have their headquarters there, and venture capital for startups reaching $275 million invested in 2024.
The statistics for 2025 aren’t out yet, but entrepreneurs are benefiting from venture capital and a thriving local economy. Are startups protecting themselves? Read on to find out.
The Business Economy for St. Louis Entrepreneurs
First, we’ll start with why St. Louis is known as an entrepreneurial renaissance. In January 2026, the Bureau of Economic Analysis released real GDP data for all US states, with a national average of 4.4% growth annualized. All states from the St. Louis Fed’s Eighth District grew by 5.8%, well above the national average, proving how well the economy is performing (The Fred Blog).
And from 2014 to 2024, the St. Louis metropolitan statistical area workforce grew by around 7.3% to 1.4 million workers as businesses thrived and took on more employees. Driven by microbusiness, especially the density in Missouri, entrepreneurs starting businesses in industries like leisure, hospitality, and tech roles outpace those in other cities.
It’s a great place to start a business, and we can see why so many people try to.
Why St. Louis Entrepreneurs Are Going Through a Period of Growth
There are multiple reasons, but at the top of the list has to be the diverse economic base. The region’s economy includes:
- Healthcare
- Professional services
- Advanced manufacturing
- Logistics
- Technology
And the list could go on—there’s such a fertile ground for new business. Besides the economy, you’ve got major infrastructure investments and regional freight priorities that highlight continued interest in connectivity and economic competitiveness around logistics and manufacturing. Being a central transport and logistics hub gives entrepreneurs better access to national and global markets.
All of that is supported by innovation districts, such as Cortex, and startup accelerators from public and private sectors that help attract talent and capital to the region.
Are Businesses Properly Protected?
Now we get to the important part—all of it sounds like sunshine and rainbows until we question whether the businesses are properly protected. We’d say it depends on the business, but for entrepreneurs growing fast, it isn’t always the case, as a business is expanding.
Why? Insurance.
It’s so common for entrepreneurs not to understand the changing needs of business insurance as a business grows. Risk exposure definitely increases, and there are some considerations that might be missed.
For example, workers’ compensation is required in St. Louis when a business has 5 or more employees. Or, if it’s construction, that rule doesn’t apply, and it’s only one employee. Sometimes, businesses will have general liability insurance because landlords and contracts demand it, but that policy needs to be updated with new risks for the policy to be valid.
The typical insurance recommendations for the area are:
- General liability
- Commercial property and a business owner’s policy to protect assets and business interruption
- Cyber insurance
- Workers’ compensation insurance
Business owners can bundle these into one monthly package and a premium.
For St. Louis, there are some local risks to consider that don’t necessarily apply to other states, the main one being intense weather-related loss. In 2025, the EF3 tornado caused roughly $1.6 billion in damage.
What St. Louis Entrepreneurs Need to Know for 2026
All of that said, if St. Louis entrepreneurs protect themselves, 2026 will be a good year. Some of the highlights to expect are:
- Continued economic growth will fuel the entrepreneurial economy.
- A growing talent pool of highly skilled employees
Despite the positives, we would recommend local entrepreneurs to:
- Review their risks and insurance needs
- Get comprehensive insurance coverage.
- Build risk planning into a growth strategy
It’s a good time to be an entrepreneur in St. Louis. It’s one of the more thriving economies in the US, with plenty of opportunities to create a successful business. It would be a shame if something so simple as an insurance policy, or lack of one, ruined that.
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